Online shopping is huge. This, you know.
But Australian shoppers are not abandoning the shopping mall this Christmas, just yet. They are coming armed with the best pricing and product information on what they want courtesy of digital retail tools, according to the latest research from Effective Measure, an Australia-based online measurement specialist.
That being said, the retail sector may still take a hit, at least according to the “Australian Shopping Intentions Report,” with only 25-per cent of survey respondents stating that they would spend more this Christmas compared to last year. But for the consumer, the digital domain is where the action is this year.
When money is tight, make sure the tool is right…
The survey indicates that as consumer spending sentiment is tight, driving cash-poor shoppers to flock to online tools to aid them in their quest to find the best deal.
Effective Measure survey respondents revealed that price comparison sites are driving digital traffic for the astute shopper, with men taking the lead in their price gathering information over the ladies.
While consumers are clearly on a mission to extract maximum value for their money, which has been fuelled by the power of data- whether via the mobile or online, the report reveals that consumers are more likely to use their digital information to make a transaction in store.
Effective Measure, Regional MD-Oceania Dinesh Arasaratnam said, “Digital vs. physical retail is not a David and Goliath battle anymore, it is actually emerging as a complimentary status quo, where the consumer is the winner. Retailers need to see that their greatest opportunity rests in understanding how their data is the key to more effective business performance.”
“Collecting on and offline data is one step but extracting the value from it and applying that to retail strategy and customer engagement is now key.”
An augmented, retail reality
Though shoppers use digital channels to source product information, they remain traditionalists in doing their shopping in retail outlets. One third of women surveyed said they plan to do the majority of their shopping online, while only 23-per cent of men said that they would be buying gifts online.
“Despite the fact that traditional retailers can feel the digital disruption shifting consumer behaviour and purchasing power, there are many that continue to ignore the opportunities that are being delivered by an integrated channel strategy where digital engagement can actually help power and uplift in-store sales,” Arasaratnam cautioned.
In other findings, elsewhere in the world, online purchases are now part of the core shopping budget. Aussie males bring to bear an overseas budget of AUD$313 while women had AUD$216 allocated for overseas shopping.
Price is really the driver for online shoppers. But the survey points to customer retention through loyalty programs and the role of gift incentives to keep customers happy, the report reveals.
Something to offer
“Effective Measure is empowering retailers with the data and the tools to extract the deepest understanding of their consumers and provide the best possible shopping experience for the customers, whether online or in-store. Our data insights can re-direct online strategies to complement offline consumer engagement and conversion,” Arasaratnam said.
The Effective Measure SHOP Dashboard provides valuable information on the demographic profile of shoppers at the store, line or product level and for example, and could be used to identify the perfect “gift with purchase” to offer a customer to help drive conversion.
Get the full report, right here.