From 21st April 2015, Google will consider mobile-friendliness as a factor for ranking the website in the Google search results. Till now it was not the matter but now Google will strictly follow this. Mobile-Friendliness will be now a ranking signal for showing the search page results.
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So if your website is not friendly with mobile devices then it will be ranked lower than the websites which are mobile-friendly.
So it will highly affect your website traffic and reputation.