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Delivery is key for digital shoppers

News, 19 February 2016

LONDON/SAN LUIS, CA: British and American consumers now regard the digital services offered by retailers as standard with more than half in both countries willing to switch to a rival if their preferred method of delivery is not available.

According to the 2016 Consumer Trends Report from Kibo, a US omnichannel commerce platform, digital services are central to the retail experience because only 5% of consumers prefer to avoid omnichannel completely.

With digital expectations growing on both sides of the Atlantic, the survey of 3,000 consumers confirmed that consumers' loyalty can wane if a retailer's digital service is perceived as being not up to scratch.

More than half of British (56%) and American (54%) shoppers say they would be prepared to jump ship to a rival retailer if their delivery preferences could not be met.

Nearly a quarter of Americans and a third of British digital shoppers expect short delivery times of two days or less, while about four-in-ten in both countries would prefer in-store click-and-collect options if available.

In addition, nearly one-third (29% in both countries) will not buy from retailers unable to offer in-store pick-up. 31% of US consumers and 28% of their UK counterparts say the same about extended payment options.

"As the marketplace becomes increasingly crowded, retailers need to remain a step ahead with their digital services and fulfilment options to ensure the loyalty of their customers," said Kenneth Frank, CEO of Kibo.

"Most consumers have their preferred places to shop, yet retailers' lack of progression toward offering a true omnichannel experience can erode their customers' loyalty. As such, the only option left open to many consumers is a move to the closest competitor who will.

"The speed of change in the retail landscape is relentless. Embracing modern technologies is especially crucial for retailers and manufacturers looking to compete with the likes of Amazon and other internet giants setting the digital benchmark."

Data sourced from Kibo; additional content by Warc staff