Merchants are primed for omnishoppers’ loyalty, a new survey says. MasterCard on Thursday released a new report Retail CMO’s Guide to the Omnishopper which combines survey data from thousands of shoppers around the globe with transaction-based insights from MasterCard. It reveals that despite having nearly endless choices a click away, only 30 percent of shoppers around the world like to try new merchants. Just 20 percent say technology has led them to consider a new retailer. In China, however, 40 percent of consumers like to try new merchants, the second highest in the world after the UAE (43 percent).
The survey also finds that technology use in shopping is almost universal. 80 percent of consumers report using technology during the shopping process, such as smartphone apps for price checks, "click and collect" services to buy online and pick up in-store, and in-store technology to research or order a product.
In China, 95 percent of all consumers use technology at some point in the shopping process and 94 percent have used retail-based shopping tools such as automatic notifications and mobile payments. In Australia, more than one in two are doing more research online today than two years ago, above the global average of 62 percent.
Brick-and-mortar stores are still favoured by shoppers as the omnishoppers choose physical stores for better customer service and a faster, more social buying experience. This might be a contributor to e-commerce’s relatively flat growth as a share of total retail sales (7.5 percent globally). The survey finds that more than two-thirds of Japanese shoppers value the advice they get from in-store sales associates and the social experience.
It’s also revealed that consumers want specific inventory, and a seamless experience accessing it. Today’s shoppers know what they want. The top frustration – cited by 73 percent of respondents – is items not being in stock, underscoring the importance of inventory management for retailers.
Consumers feel smarter and get more value from what they buy than a few years ago. 80 percent of global consumers claim to be "smarter shoppers" than they were a few years ago and 68 percent say they are getting more value from what they buy (both in-store and online) compared to five years ago.
More than 9 in 10 consumers in China (92 percent), Indonesia (91 percent) and Brazil (91 percent) report that they are more savvy shoppers compared to a few years ago. Nine in 10 Chinese shoppers feel that they are getting more value out of their purchases compared to five years ago.
"In order to thrive in an increasingly competitive retail landscape – one in which 80 percent of people are claiming to be ‘Smarter Shoppers’ – retailers also need to get savvier about their use of technology to improve the overall shopping experience and help drive loyalty and growth. It is clear that the sociability and immediate customer service offered in-store still hold significant appeal, but there is huge scope for brands to harness big data, mobile applications and the power of social media to improve customer interaction, increase loyalty and make the online shopping experience more seamless. With a fast-growing smartphone penetration rate, e-commerce will continue to be an important growth area for brands across Asia Pacific in the coming decade," said Eric Schneider, Region Head, Asia Pacific, MasterCard Advisors.