The Impact of Mobile Apps on Small Business Revenues

Eugenie Goodwin, Laurie Babin, Henry Cole
(University of Louisiana at Monroe, USA)

Abstract: Consumers are increasingly using mobile devices, such as smart phones and tablets, for purchasing goods and services. Previous surveys reveal that consumers are using these devices to research goods and services, make purchases (mobile commerce/m-commerce), and check competitors’ prices, often while in the retail environment. This study investigates if and how small businesses use the new technology, the impact that the technology has on revenues, and how satisfied the business owner is with these activities. An online sample of 321 small business owners throughout the United States revealed only a small percentage (11.21 percent) use mobile applications. Of those users, just over half (53 percent) reported increased revenues for their use, and over a quarter of those businesses reported an increase of more than 25 percent in their total revenues.

Key words: small business; mobile applications; mobile marketing; entrepreneurship

JEL code: M31