THE OMNICHANNEL CONSUMER
KEY FINDINGS FROM THE DELOITTE REPORT “THE OMNICHANNEL OPPORTUNITY”
TO HELP RETAILERS UNLOCK THE POWER OF THE CONNECTED CONSUMER
The internet and mobile devices have revolutionised shopping. The way in which an increasing group of consumers now shop has prompted retailers to begin to seek alternative ways to reach their audience.
This new system of retailing - connecting stores, ecommerce, mobile apps and social media - is referred to as omnichannel retailing. By integrating and aligning
channels, omnichannel retailing provides a flexible and seamless shopping experience for consumers, regardless of whether the customer walks into a store, browses a website or orders via a mobile phone.
Just who are these omnichannel consumers?
eBay has worked with Deloitte to examine the impacts and opportunities of the
omnichannel phenomenon across Europe.
As part of the survey, Deloitte commissioned Ipsos Mori to survey 1000 adults in each of the UK and Germany on their behaviours and attitudes in relation to omnichannel retailing.
This booklet contains a selection of key observations for the UK.
INTRODUCTION
This booklet is written and produced by eBay. Key results and retailer views are taken from the Deloitte report “The Omnichannel Opportunity” supplemented by eBay’s own perspective and other sources.
The full report from Deloitte is available here.
UNDERSTANDING THE
OMNICHANNEL CONSUMER
Online only
Offline only Omnichannel
33%
34% 51%
31%
of consumers visited a store prior to
making a recent online purchase. of consumers used online channels before or during a recent purchase in-store.
of consumers used additional online resources.
Omnichannel is becoming a reality for retailers
33% of consumers have recently made an omnichannel purchase
of us with regard to offline shopping
That’s That’s
of us with regard to online shopping
of all consumers used multiple channels when making orders over £100.
Frequent shoppers account for up to
Up to
of total retail spending.
They’re more likely to use multiple channels too.
to visit a retailer’s website, do an online search, or use price comparison and customer review sites before and during a visit to a store.
Frequent shoppers are almost
ONE IN
FIVE TWO IN FIVE
63%
70%
TWICE AS LIKELY
Frequent shoppers are more likely to be omnichannel shoppers, and are defined as consumers who shop for non-grocery products at least once per week, online or offline.
They’re not abandoning the high street – they regard the high street and
online shopping as complementary,
with half of them shopping offline at
least once per week.
BEHAVIOURS AND ATTITUDES OF THE OMNICHANNEL CONSUMER
Consumers are using multiple devices to support their shopping habits
In addition to seeking information from more sources, consumers are using more devices in these ways:
use the internet to find shopping related information
adults in UK and Germany use computers to look for shopping related information
of UK and German adults use tablets in relation
to shopping use mobile phones
to find shopping related information
use all 3 of these devices do this using at least 2 devices
(for example a computer and tablet or smartphone)
86%
82% 56% 23%
18%
56%
www...
High value purchases are more likely to be omnichannel purchases
And the highest value purchases are likely to be completed using a mix of online and offline channels.
A broad presence across multiple channels can help retailers ensure they effectively support higher spending
customers at any stage of the shopping process. Easy access to information on quality and value, for instance, can help encourage consumers to spend more on items.
Bought offline Bought online Bought offline, online research during purchase
Bought offline, online research prior to purchase
Bought online, additional online research
Bought online, in-store research
£115 £90 £123
£94
£81
£70
of those who hadn’t purchased via their smartphone had still used it as part of their shopping journey.
of tablet owners have used their tablet for shopping.
OVER 50%
OVER 80%
A majority of consumers now use either smartphones or tablets for shopping.
A majority of consumers also use multiple devices for shopping.
Average spend by channel of purchase:
are influenced by customer reviews, and slightly higher by price comparison sites
reported that they were influenced in their shopping by apps
reported that they were influenced by social media and blogs
said that visiting the retail store had a big influence on their shopping
69%
2/3
43% 1/2
Omnichannel consumers are being influenced in their shopping
These findings are based on asking consumers about the information sources used prior to purchase. For each source Deloitte asked the consumer whether the information available influenced their decision to complete the purchase.
There is significant variation across product
categories in the share of omnichannel purchases with electronics and home products the most likely to be bought using multiple channels.
Consumers use multiple channels when purchasing electronics. And they’re more likely to use multiple channels before buying home and garden products, and sports and leisure products – but least likely on clothing items, which suggests they are a more spontaneous purchase.
% of online purchases that involve research
using other channels % of in-store purchases that involve online
research % of online purchases that are preceded by a
visit to one or more stores
48% 56% 45%
Electronics Electronics Electronics
40%
24%
34%
23%
31%
17%
Home
Clothing Sports and leisure
Books/
DVDs, etc All
Groceries
43%
37%
26%
21%
34%
25%
32% 24%
37%
18%
24%
Home
Home
Groceries
Groceries All
Clothing
Clothing Sports and
leisure
Sports and leisure
Books/
DVDs, etc
Books/
DVDs, etc
TODAY’S CONSUMERS ARE
USING CONVENTIONAL AND EMERGING CHANNELS
3/4 2/3 1/2
of consumers said they were influenced in their shopping by friends and family.
said they were influenced by visiting the store.
62% are influenced by visiting other stores.
reported that they were influenced by social media and blogs.
Nearly Over
Consumers use new channels but still value stores and positive word-of-mouth
These findings are based on asking consumers about the information sources used prior to purchase. For each source Deloitte asked the consumer whether the information available influenced their decision to complete the purchase.
MOBILE IS PROPELLING OMNICHANNEL
Across the population, laptops are still the device most often used for shopping but mobile is gaining ground, and younger consumers are far more likely to use smartphones for shopping.
Tablet ownership rates remain lower, at about one fifth of adults, but tablets are becoming a popular channel for shopping related activities across age groups.
Consumers are making use of mobile-specific technologies. This includes newer features such as barcode scanning, location recognition and contactless payment.
Retailers could obtain a strategic advantage by being quick to adapt their stores and online
resources to make the most of these tech features.
35%
34%
23%
23%
Take a picture of a product to retrieve information on the product =
Scan barcodes in order to access additional information =
Find nearby stores =
Recognise their location and provide information on local offers =
Percentage of smartphone owners
who have used their phone to...
HOW CAN RETAILERS SUPPORT THE OMNICHANNEL CONSUMER
A majority of consumers use
Through the 3 eBay Inc companies
we can help support a seamless shopper experience, placing the retailer at any stage of the shopper journey, whatever the channel.
EBAY, PAYPAL &
EBAY ENTERPRISE
have been downloaded more than 220 million times in 190 countries and in 8 languages. At any time, shoppers can browse over 550 million listed items on eBay by mobile. We also know that 40%
of all purchases on eBay are ‘touched’ by mobile.*
WHAT WE’VE FOUND WHAT RETAILERS SHOULD CONSIDER HOW EBAY CAN HELP
for shopping
are more likely to be used for research than purchase
MULTIPLE DEVICES
TABLETS AND SMARTPHONES
OMNICHANNEL STRATEGY
APPS & MOBILE OR TABLET OPTIMISED WEBSITES
EBAY APPS
INTEGRATED CHANNELS MULTIPLE
An integrated
Retailers can use The use of
can help ensure that these consumers seamlessly experience the full range of a retailer’s resources through any device.
to appeal to omnichannel consumers as they gather information.
can allow retailers to build brand loyalty and create social engagement with their brand.
*Source: eBay research 2012-13
eBay provides one of the world’s largest online marketplaces to customers via any connected device. By making its items available on ebay.co.uk,
A RETAILER CAN ACCESS OVER 18.5 MILLION VISITORS.*
eBay is not just a checkout – it’s a vital part of the shopper journey too.
PROMOTIONS, ADVERTISING AND VARIOUS OTHER SERVICES.
NEW CLICK &
COLLECT SERVICE
eBay offers various attractive delivery services including its
plus FAST & FREE which increases listing conversion by an average 3%.**
eBay supports retailers with branded storefronts that mirror the brand experience across other channels and keep the retailer in control.
This is supported by
WHAT WE’VE FOUND WHAT RETAILERS SHOULD CONSIDER HOW EBAY CAN HELP
that bought online said they could not find the product in a local store.
don’t like to wait for delivery or pay for it Consumers buying online are also likely to visit the websites of
Roughly
prefer the convenience of online shopping
1 IN 4 CONSUMERS
1 IN 5 SHOPPERS NEARLY 1 IN 3
OTHER RETAILERS’ WEBSITES
ONLINE PRESENCE
BROAD RANGE OF ONLINE RESOURCES.
SAME-DAY DELIVERY OR CLICK & COLLECT
Retailers can appeal to these consumers via an
Retailers should seek to ensure that they have a presence across a
Retailers should offer a range of fulfillment options, such as and making available a broad range - if not all - of their items online.
services that offer more flexibility.
*Source: eBay research Jan-Dec. 2012 **Based on test on ebay.co.uk Feb-Mar 2013, in which 40% of buyers were exposed to listings with the FAST & FREE logo. Individual seller results may vary.
www
Retailers should make better use of
These sources are less likely to be viewed as important - or used frequently - by them.
In addition to its highly popular apps, eBay is making shopping
for omnichannel consumers, via personalised feeds and community engagement.
eBay is used as a
by today’s shoppers.
And with 70% of items listed being new and 73% fixed price*, these consumers are going to eBay for their brand fix.
eBay appreciates the point well since drives our
APPS AND
SOCIAL MEDIA. PERSONAL AND INSPIRING
VALUE BENCHMARK
POSITIVE FEEDBACK SELLERS’ SUCCESS.
RANGE OF ONLINE RESOURCES.
IN-STORE EXPERIENCE AND POSITIVE
WORD-OF-MOUTH.
Consumers are influenced by a
This suggests that retailers need to work on their entire web presence, not just their own site.
Technology needs to be backed up by good customer service.
Consumers value
43% 50%
69% 72%
66% 68%
63% 65%
Apps Blogs and
social media
Retailer’s websites
Other retailers’
websites
Customer reviews
Price compari- son sites
Visiting the store
Friends and family
Percentage of users who reported that they were influenced by...
www www
*Source: eBay research 2013
WHAT RETAILERS SHOULD CONSIDER HOW EBAY CAN HELP
This is the first of 3 observation guides based on the
report “The Omnichannel Opportunity”. This Deloitte report and the other 2 guides can be downloaded here.
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