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Study: Retailers see opportunity in online customer behavior

Chain Store Age – Most retailers expect their e-commerce revenue to increase, according to a new study from BRP, retail consulting firm. According to “The E-commerce Effect,” 74% of retailers expect an increase in e-commerce revenue next year, and 72% expect higher mobile website revenue. Less than half of retailers expect revenue growth from channels such as mobile app (49%), social media (47%), and brick-and-mortar (38%).

Online consumer shopping trends lend support to these expectations. Eighty-nine percent of consumers browse merchandise online and 81% purchase merchandise online at least once per month. Eighty-two percent have shopped and reviewed products online and then purchased them in the store, while 62% compare prices online before visiting a store.

Read Full Article: Study: Retailers see opportunity in online customer behavior

The Power of Mobile

There is no denying the power of mobile technology as a major disruptor in the retail industry. The proliferation and convenience of mobile devices has completely changed shopping behaviors and elevated customer expectations. And there’s no sign that it’s slowing down any time soon. In fact, according to the BRP Consumer Study[1], mobile shopping will continue to grow as 41% of consumers indicate they plan to increase their shopping frequency on their phone or tablet in the next 24 months.

However, purchasing via a phone is just one way that mobile devices are becoming more pervasive. Many consumers use their mobile devices as a research tool throughout the shopping journey. In the BRP Consumer Study, we found that 34% use their phone to compare prices and 28% look for offers/coupons, all while in the store. This makes it imperative for retailers to ensure their mobile app/website offers the tools and capabilities to keep the customer shopping their brand.

A retailer’s mobile capabilities can actually be a major driver for where a consumer chooses to shop, with 67% of consumers choosing a store based on the availability of mobile coupons and 49% choosing a store based on the ability to locate products via a locator maps on their mobile device.

Unfortunately, retailers are still trying to catch up to customer expectations. While two-thirds of consumers want mobile coupons, only 23% of retailers actually offer mobile offers within the store. Half of consumers want to be able to locate products in the store with their mobile device, but only 23% of retailers currently offer it.

There is a large gap between what customers want and what retailers can currently offer. Mobile technology, and the opportunities it offers consumers, requires retailers to upgrade and replace applications and systems to stay ahead of their competitors’ customer experience offerings and to keep up with their very informed, technology-savvy customers.

To learn more about the gap between customer expectations and retailer capabilities I urge you to read BRP’s recent SPECIAL REPORT: The Mobilization of Retail.

Please share your comments on this topic below.

David

[1]2019 Consumer Shopping Habits – The Generation Gap, April 16, 2019

67% Pick Stores Based on Mobile Coupons

MediaPost – Despite all the new technology that continually hits the market, consumers are still looking for a deal when they shop. The technology has made the deals much more portable.

Thanks to mobile, the shopping experience has been transformed from a serial process, as in when a consumer leaves home to go to the store to shop, to an iterative process, as in a smartphone-equipped consumer is shopping all the time.

About a third (34%) of shoppers use their phone to compare prices while in a store and nearly as many (28%) use their phones to look for offers, according to a recent BRP shopping study.

The pattern is not likely to change, with 41% of consumers planning to increase their shopping frequency on their phone or tablet within the next two years.

Read Full Article: 67% Pick Stores Based on Mobile Coupons

Focus on the phone

Produce Retailer – How does the average shopper experience your brand on her phone? That question should be a guide for your marketing efforts in the coming years. According to a new report by retail consulting firm BRP, 41% of consumers plan to increase how often they shop on their phone or tablet within two years. The report is based on a survey about shopping habits overall — not grocery shopping habits alone — but the findings are still relevant.

After all, the plethora of fast food options has certainly influenced what kind of products shoppers demand in grocery stores, leading to tremendous growth in fresh-cut and prepared foods sections, and the popularity of e-commerce in non-food retail sectors like clothing, books and electronics has prompted the rapid rise of grocery pickup and delivery services. We know shoppers are looking for convenience, and the BRP report indicates that for many people convenience is not just important but a make-or-break factor.

The firm found that 67% will choose a store based on the availability of mobile coupons and 64% will choose a store based on product information availability via a mobile device. BRP found that many retailers are already working to realize the opportunities those preferences present.

Read Full Article: Focus on the phone

Gap, Chipotle and Sephora test Ibotta’s new rewards-based payment tool

Retail Dive – Younger consumers are leading the way with the adoption of mobile payments, according to a survey by Origin, Hill Holliday’s independent research arm. Twenty-two percent of survey respondents under 40 said they use mobile payments daily, while 45% of people over 40 said they’ve never used mobile payments. The most popular payment apps on mobile devices in the U.S. are for person-to-person (P2P) transactions, eMarketer found. It estimated that P2P adoption of apps like Venmo will grow to 96 million users, or 40% of all mobile phone users, this year from 82.5 million in 2018.

Smartphones have become a key part of the shopping journey for many U.S. consumers, with 34% saying they use their phone to compare prices while in store and 28% looking for coupons, according to consulting firm BRP. About two-thirds (67%) of surveyed consumers in the U.S. said they’re likely to shop at a retailer that offers mobile coupons over one that doesn’t, the company said. Ibotta’s new feature aligns with these trends by streamlining mobile payments, couponing and rewards into a single app function.

Read Full Article: Gap, Chipotle and Sephora test Ibotta’s new rewards-based payment tool

Mobile coupons drive customer loyalty

Retail Dive – As retailers compete for customers both online and in-stores, BRP’s report highlights the importance of building a mobile presence in tandem with a physical one, rather as separate endeavors. “A retailer’s mobile capabilities can be a major driver for where a consumer chooses to shop,” Marty Whitmore, senior vice president and practice lead at BRP, said in a statement. “With 67% of consumers choosing a store based on the availability of mobile coupons and 64% choosing a store based on product information availability via a mobile device, these are essential mobile capabilities for retailers.”

The success of a mobile-meets-store experience relies on providing customers the information they want without taking too much of their information in exchange for the convenience. The plans retailers shared with BRP to offer identification by WiFi, beacons and other technology to identify customers don’t yet match customer willingness to be identified by such measures. “Even with the best technologies to identify consumers, retailers need to convince consumers to opt-in to customer identification,” BRP noted. “They need to make it ‘valuable’ enough for customers to want to be recognized.”

Read Full Article: Mobile coupons drive customer loyalty

Mobile coupons influence over two-thirds of shoppers

Retail Dive – About two-thirds (67%) of surveyed consumers in the U.S. said they’re likely to shop at a retailer that offers mobile coupons over one that doesn’t, according to retail consulting firm BRP. Some retailers are responding to that preference, with 40% indicating that offering coupons and discounts is a key feature of their respective mobile apps and websites.

Forty-one percent of consumers plan to shop more frequently on their phone or tablet in the next two years, while the same percentage of retailers plan to improve their mobile shopping experience to meet those customer expectations, the survey found.

Nearly 40% of those surveyed said they’re comfortable with mobile identification when they walk into a store if it means a more personalized experience. However, 61% of retailers said they plan to use mobile identification through customers’ smartphones and Wi-Fi, per BRP.

Read Full Article: Mobile coupons influence over two-thirds of shoppers

Mobile Discounts Draw 67% Of Shoppers To A Store, Yet Most Retailers Still Don’t Offer Them

Retail TouchPoints – While 67% of shoppers say they are likely to choose a retailer that offers mobile coupons over one that doesn’t offer them, only 40% of retailers indicate that offering coupons or discounts is a key feature of their mobile offering, according to BRP, retail consulting firm.

In the BRP special report, titled: The Mobilization of Retail, the features retailers highlight most often include:

  • Item availability/visibility (53%);
  • Product information (51%);
  • Customer service (47%); and
  • Loyalty/rewards (33%).

Up to 41% of retailers say refining the mobile shopping experience is a top priority for ensuring they meet customers’ expectations, and there’s still plenty of room to make the mobile shopping experience better. For example, 53% of retailers have implemented suggestive selling/product recommendations but say the feature needs improvement. only 9% have implemented them and say they’re working well.

Read Full Article: Mobile Discounts Draw 67% Of Shoppers To A Store, Yet Most Retailers Still Don’t Offer Them

New Report Finds Mobile Coupons Entice Two-thirds of Consumers

Convenience Store Decisions – Only 40% of retailers offer discounts as key feature on mobile app or website. The proliferation and convenience of mobile devices has completely changed shopping behaviors and elevated customer expectations. Mobile shopping will continue to grow as 41% of consumers in a BRP consumer study indicate they plan to increase their shopping frequency on a phone or tablet in the next 24 months.

Shopping via a phone is just one way that mobile solutions are becoming more pervasive, as many consumers use their mobile devices as a research tool throughout the shopping journey. In fact, 34% use their phone while in a store to compare prices and 28% look for offers/coupons.

“A retailer’s mobile capabilities can be a major driver for where a consumer chooses to shop,” said Marty Whitmore, senior vice president and practice lead at BRP, retail consulting firm. “With 67% of consumers choosing a store based on the availability of mobile coupons and 64% choosing a store based on product information availability via a mobile device, these are essential mobile capabilities for retailers.”

Read Full Article: New Report Finds Mobile Coupons Entice Two-thirds of Consumers

How Siloed Legacy Processes Push Your Buyers to Amazon

Signifyd – Most retailers have incorporated mobile into their strategies, but frankly, some have done a better job than others. Sephora, which merged its in-store, digital and customer service teams in October 2017, continues to be an innovator in the mobile space.

“By focusing on the user experience first and foremost, Sephora has been able to separate themselves from the majority of retailers who spend too much time inside the box or are too focused on having a mobile experience for the sake of having one,” Ryan Grogman, senior vice president and practice lead at BRP, retail consulting firm, told us by email.

Complementing the mobile experience is the rise of social media. Many forward-thinking retailers are using advanced information gathering and consumer segmentation through increased social media interactions.

“Outside of transacting on social platforms, consumers are using that medium to discuss preferences, provide reviews, and seek input from their connections,” Grogman said. He also pointed out that retailers who can leverage mobile and social may help improve the effectiveness of flash sales.

Read Full Article: How Siloed Legacy Processes Push Your Buyers to Amazon

Downloads

2019 Special Report – The E-Commerce Effect

82% of Consumers Shop and Review Products Online Before Purchasing in a Store

The advent of e-commerce has elevated consumers’ expectations of the shopping experience and retailers must now provide service anytime, anywhere and any way customers’ desire. Consumers now have more shopping options than ever before with more competitive pricing, greater merchandise assortments and faster delivery to get her desired product wherever and whenever. This makes the customer journey more complicated than ever before.

Since consumers use digital devices throughout the shopping journey to research product information, compare prices and read consumer reviews, providing as much relevant information via the retailer’s website helps keep customers loyal to the brand. As e-commerce continues to represent a greater share of retailers’ revenue mix, it is imperative that retailers continue to enhance their online capabilities to keep up with their competitors that are just a click away.

Consumers now start and stop their shopping journey in different channels and frequently shop for the same product across different retailers, via mobile, online or in-store. The customer expects a frictionless shopping experience across an entire brand and she doesn’t want disruptions as she crosses individual channels or locations.

According to BRP’s SPECIAL REPORT: The E-Commerce Effect, retailers indicate the following are top unified commerce priorities:

  • Create a consistent brand experience across channels (59%)
  • Improve the online experience (52%)
  • Improve personalization (45%)
  • Improve the mobile shopping experience (41%)

2019 Special Report – Mobilization of Retail

67% of Consumers are Likely to Shop with a Retailer that Offers Mobile Coupons

The proliferation and convenience of mobile devices has completely changed shopping behaviors and elevated customer expectations. Mobile shopping will continue to grow as 41% of consumers in the BRP Consumer Study[1] indicate they plan to increase their shopping frequency on a phone or tablet in the next 24 months. Shopping via a phone is just one way that mobile solutions are becoming more pervasive, as many consumers use their mobile devices as a research tool throughout the shopping journey. In fact, 34% use their phone while in a store to compare prices and 28% look for offers/coupons.

A retailer’s mobile capabilities can be a major driver for where a consumer chooses to shop,” said Marty Whitmore, senior vice president and practice lead at BRP. “With 67% of consumers choosing a store based on the availability of mobile coupons and 64% choosing a store based on product information availability via a mobile device, these are essential mobile capabilities for retailers.”

The SPECIAL REPORT: The Mobilization of Retail highlights:

Mobile Shopping

  • 41% of consumers plan to increase their shopping frequency on their phone or tablet within two years
  • 41% of retailers plan to improve the mobile shopping experience to ensure they are meeting their customers’ expectations

Mobile Coupons

  • 67% of consumers are likely to shop with a retailer that offers mobile coupons instead of one that doesn’t offer them
  • 40% of retailers indicate that offering coupons/ discounts is a key feature to offer on their mobile app/website

Mobile Identification

  • 39% of consumers are comfortable with mobile identification when they walk in the store to personalize the experience
  • 61% of retailers plan to identify customers when they walk in the store using their mobile device and WiFi

Personalization is Key to Customer Loyalty

Personalization is Needed to Compete Against Amazon

As consumers become more technologically savvy and have access to better information, there is a widening gap as retailers struggle to meet consumers’ escalating expectations. Personalization is one of the best ways to create and maintain a connection with the brand’s most valuable and loyal customers. The 2018 Special Report – Personalization is Key to Customer Loyalty identifies how retailers are personalizing the shopping experience for their most valuable customers.

“Personalization is the best way for retailers to enhance the customer experience, especially for those customers who are already invested in your brand,” said Perry Kramer, senior vice president and practice lead at BRP. “Identifying and rewarding your most valuable customers with personalized offers and services is imperative to cultivating loyal, brand enthusiasts.”

The key customer loyalty trends identified in the study include:

Customer Identification and Incentives – To engage with customers on a personal level requires retailers to identify the customer early in the process at any touch-point.

• 53% of retailers extend specialized offers to encourage customers to identify themselves with personal information

Most Valuable Customers – With 80% of a retailer’s business typically coming from 20% of its customers, identifying your most valuable customers and understanding their shopping habits is critical to cultivating loyal, brand enthusiasts.

• 77% of retailers identify their most valuable customers, however, 69% of those feel the process needs improvement

Personalizing the Experience – Retailers that identify customers when they enter the store and equip their associates with the proper mobile tools can personalize the shopping experience based on customer context.

• 69% of retailers that identify their most valuable customers share this information with their associates, which represents missed opportunities for the 31% who don’t share customer information with associates.