Over the past year, e-commerce membership site ShopRunner grew its partnership of retail and fashion brands by 40 percent with recent additions including Saks Fifth Avenue, Adidas, Reebok and Ralph Lauren. The site, which offers consumers free, two-day shipping and “two-click checkout,” now has more than 150 brands and retailers.
That growth in partners follows robust gains in online transactions for the company with a large increase in mobile users, which is expected to see further growth next year.
Joe Milano, senior vice president of digital retail and general manager of e-commerce at Saks Fifth Avenue, said the company’s “recent partnership with ShopRunner has elevated our online shopping experience by including benefits like free two-day shipping and free returns, which helps us attract new customers through the holiday season and beyond.”
Saks joins other retail brands such as Neiman Marcus, Brooks Brothers and Staples on the membership site. The company said that its consumer members now total more than three million. The company also noted that consumers are increasingly using mobile devices.
“Over the Thanksgiving weekend alone, ShopRunner’s gross merchandise (GMS) sales grew 68 percent year over year, with mobile GMS growing more than 200 percent,” the company said. “And the percentage of ShopRunner’s overall mobile transactions has nearly doubled since last year, with 66 percent of ShopRunner’s retail partners now offering ShopRunner benefits via mobile.”
Scott Thompson, chief executive officer of ShopRunner, said as digital and mobile commerce “continue to accelerate, more and more brands are looking to attract the best online shoppers by elevating their digital shopping experience.”
ShopRunner’s growth of mobile sales mirrors sales across the market. In a just-released research report from eMarketer, analysts at the firm said “the number of people in the U.S. using their phones to pay for goods and services at the point of sale will continue to climb steadily, with 2016 being a year of significant growth for the technology.” The company said it expects the total value of mobile payment transactions in the U.S. will increase by 210 percent next year.
As 2015 comes to a close, mobile payments account for about $8.7 billion in sales, eMarketer said adding that users spend an average of “nearly $376 annually using their mobile phone as a payment method.”
By 2016, eMarketer said total mobile payment transactions will reach $27.1 billion, “with users spending an average of $721.47 annually.” The company said total mobile payment sales “will rise faster than average spending per user in 2016 because of the growth in the number of overall users of the technology.” This year, there were about 23 million people in the U.S. using “proximity mobile payments.” By next year, that figure is expected to jump 62 percent to 37.5 million.
Additionally, eMarketer said it expects that consumers “will move beyond primarily buying low-priced goods, below $20, with mobile payments to a wider array of price points.”