Shoppers twice as loyal online to in-store

Shoppers twice as loyal online to in-store

September 13, 2021

Research shows that shoppers are twice as loyal to their preferred online retailers than they are to in-store outlets and ten per cent more loyal to their brands.

With that in mind, Shopper Intelligence suggests that businesses act now to invest in robust and adaptable online channels ‘to win – and keep -shoppers’. It is something both Woolworths and Coles said they are investing heavily in this financial year.

Suffice to say that businesses that had acted early to establish strong ecommerce channels by early 2020 have reaped the benefits of online shopping growth with massive gains in the sector.

The research also shows that online shoppers are price aware but 43 per cent of them do not mind paying more (compared to just 26 per cent in the physical store). Online shoppers will also stock up in during their online shop so retailers would do well to deliver premium offerings and use price mechanics to entice trading up, such as multi-buys.

Millennials displayed the greatest brand loyalty while 35-54 year old Generation Xers shopped in the same stores online as when visiting physical stores. The over 55s displayed the most engrained habits with planned and regular purchases made online and no purchases made if their usual (preferred) choice was not available.

The online shopper is just 3 per cent happier with the experience than the in store consumer (62 per cent vs 59 per cent) showing that online wins as the preferred experience for its price, innovation and enjoyment offerings.

And finally, Shopper Intelligence say, “Pre-store activity is a stronger trigger for online shoppers so understand what to invest in for your category.” Reminders and linking items to occasions are recommended strategies. Arming consumers with a plan is essential.

For more information, contact Shopper Intelligence's Nancy Truscott.

Shopper Intelligence is an Associate Member of the Drinks Association. 

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