Weitere ähnliche Inhalte
Ähnlich wie 2011 shopper experience survey (20)
Kürzlich hochgeladen (20)
2011 shopper experience survey
- 1. 2011 Shopper Experience
Survey
Steven Skinner
Vice President – Cognizant Business Consulting
June 2011
| ©2011, Cognizant
- 2. 2011 Shopper Experience Study
Second Annual Shopper Experience Study
Joe Skorupa
Group Editor-in-Chief RIS News
jskorupa@edgellmail.com
joeskorupa@twitter
risnewsinsight@twitter
RIS News @Facebook
RIS News @LinkedIn
www.risnews.com
To download full study:
www.risnews.com/research
1 | ©2011, Cognizant
- 3. 2011 Shopper Experience Study
Methodology – North America
• 2,427 shoppers in U.S. and
Canada
• 70% female to 30% male to
mirror influence in buying
decisions
• Age groups are split into four
large segments with a slight bias
toward baby boomers
• Income group breakout matches
the overall population picture
2 | ©2011, Cognizant
- 4. 2011 Shopper Experience Study
Methodology - Global
• 1554 shoppers in Singapore,
Hong Kong, UK and China
• 69% female to 29% male
• Age groups biased toward the
younger segments
• Income groups biased towards
the lower segments based on
the lower per capita incomes
• Japan not covered due to timing
of their natural disaster
• Global aspects of survey not
covered in today’s presentation
3 | ©2011, Cognizant
- 5. First Things First…
How well do you know Generation Y?
Yes, the winner gets a very nice
door prize!
4 | ©2011, Cognizant
- 6. What We Learned
The Shopping experience is becoming
disaggregated
Retailers must teach the new
ways of shopping
5 | ©2011, Cognizant
- 7. What We Learned
The future of shopping is upon us
20th Century Shopping 21st Century Shopping
• Easy to brush aside shopper • The whole world knows instantly
complaints
• Full and instant access to all
• Variability of pricing not known your offers
or understood
• Independent third parties put
• You were the only source of offers together
information
• Everything is 24 x 7
• Everything was time-boxed
• Virtual shopping and social-
• Everything is seen and touched based decision making
• Task workers • Knowledge workers
• Dumb in-store assets • Interactive in-store assets
• Focus on fundamentals • Focus on fundamentals
Retailers must re-integrate the
shopping experience
6 | ©2011, Cognizant
- 8. 2011 Shopper Experience Study
What is the shopper experience?
Research
Shop
Transact
Post Sale
7 | ©2011, Cognizant
- 9. Research
Indiana Jones
“We do not follow maps to
buried treasure and X never,
ever marks the spot.”
– Indiana
Jones
8 | ©2011, Cognizant
- 10. Research
What did we learn?
• Social Media is not the dominant
driver of decision making
• “In the box” still dominates
• Retailer mobile solutions seemed
to regress in preference
• Web-based out-of-store research is
preferred
• Coupons, coupons, coupons
Carefully understand the
social media hype
9 | ©2011, Cognizant
- 11. Research
Traditional methods (at least from the last
10 years) still hold sway
Prior to making a purchase decision, what step are you most likely to use to ensure
you have all the relevant information
Web Research (PC) 24%
Manufacturer Website 20%
Family & Friends 17%
Coupons.Com 15%
Shopping Comparison Site 12% Shopper internet
research
Smart Phone Research 6%
dominates, but…
Social Networking 5%
0% 5% 10% 15% 20% 25%
Social media lagged across all
study segments
10 | ©2011, Cognizant
- 12. Research
“What’s on the box” is still important
If each of the following were available, which would be your preferred
method to receive product information
From better information on the product package 66%
From signs or cards on the store shelves 61%
From an informed store associate 57%
Through a dynamic display that provides product
33%
Through review publications such as Consumer
31%
Reports
By reading online customer feedback on the store
27%
site or third-party social media platform
By scanning the product with your personal mobile
24%
device
0% 10% 20% 30% 40% 50% 60% 70%
Large growth
Generation Y skews high on from 2010, but
mobile usage still lags
11 | ©2011, Cognizant
- 13. Research
And the preference for in-store information
has increased year over year
If each of the following were available, which would be your preferred method
to receive product information
From better information on the product package
2011
From signs or cards on the store shelves 2010
From an informed store associate
Through a dynamic display that provides product
Through review publications such as Consumer
Preference, Reports
not usage By reading online customer feedback on the store
site or third-party social media platform
By scanning the product with your personal mobile
device
Preference for Technology-assisted
service regressed year over year
12 | ©2011, Cognizant
- 14. Research
There’s no overwhelming preference to use
mobile methods to conduct research
If a retailer offered the following services for a mobile device, indicate how likely you would
be to use them on a scale of 1 to 10
Coupons 5.9
Product and price lookup 5.3
Ability to instantly use loyalty program 5.3
Product comparisons 5.3
Store locator 5.2
Ability to place an order 5.1
View your status/points in the store loyalty 5.0
Ability to receive location, personalized or 4.7
1 2 3 4 5 6 7 8 9 10
But momentum is certainly growing
from last year
13 | ©2011, Cognizant
- 15. Research
Have shoppers been turned off by the retailer
mobile experience to-date?
If a retailer offered the following services for a mobile device, please indicate how likely you would be
to use them using the 10-point scale
5.9
Coupons 7.0
5.3
Product and price lookup 6.6
5.3
Product comparisons 6.0
2011
5.2
Store locator 6.2 2010
5.1
Ability to place an order 5.9
View your status/points in the 5.0
store loyalty program 5.6
1 3 5 7 9
This was a startling statistic
from the survey
14 | ©2011, Cognizant
- 16. Research
But as with all things retail, you need to know
who your customer is
If a retailer offered the following services for a mobile device, indicate how likely you
would be to use them on a scale of 1 to 10
4.6
5.3 6.3
Coupons 7.3
3.7 4.7
Product and price lookup 5.9 7.0
4.3 4.9
Ability to instantly use loyalty 5.7
6.4
3.9 4.7
Product comparisons 5.7 Emerging Elders
6.7
3.9 4.6 Baby Boomers
Store locator 5.8
6.7 Gen X
4.2 4.7
Ability to place an order 5.5 Gen Y
6.1
3.8 4.4
View your status/points in the 5.5
6.2
3.6 4.2
Ability to receive location, 5.1 6.0
1 2 3 4 5 6 7 8
When do you chase “Generation Y”
behavior & attitude?
15 | ©2011, Cognizant
- 17. Research
What you may not have known
• Time is money - higher incomes
prefer web research
• Your mom reads the newspaper -
40% of females use when
shopping for groceries
• Internet is best, but word of mouth
a close second for apparel info
• Discount/deal sites preferred to
geo location sites for all groups
16 | ©2011, Cognizant
- 18. Shop
Stephen Wright
“I went to a general
store but they wouldn’t
let buy anything specific”
– Stephen Wright
17 | ©2011, Cognizant
- 19. Shop
What did we learn?
• In-Stock Position is King
• The Basics Still Rule
• Shoppers Want Technology-Enabled Associates
• Cross-channel Price Inconsistency Is an
Irritant
• Poor Associate Knowledge
Shopper sophistication is increasing
rapidly
18 | ©2011, Cognizant
- 20. Shop
Dislike of channel price differentiation
growing
Which of the following experiences do you dislike most when shopping in a store?
Out of Stock 73%
Slow Checkout 67%
Store Assoc With Poor Knowledge 47%
No Cash Refund 30%
Diff Price (Store vs Online) 28%
Diff Promo (Store vs Online) 18%
Not Accept Return without Receipt 13%
Not Accept Return from Another 12%
No Refund for Online Purchase 11%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Price differentiation makes
theoretical sense, but…
19 | ©2011, Cognizant
- 21. Shop
Generation Y is even more sensitive to
price inconsistency
Which of the following experiences do you dislike most when shopping in a store?
72%
77%
Out of Stock 72%
72%
66%
69%
Slow Checkout 65%
67% Emerging Elders
Baby Boomers
61%
50% Gen X
Store Assoc With Poor Knowledge 43%
37%
Gen Y
20%
21%
Diff Price (Store vs Online) 34%
38%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Are we creating disloyal
generation Y customers
20 | ©2011, Cognizant
- 22. Shop
Execution issues indexed higher
than all others
Which of the following experiences do you dislike most when shopping in a store?
you get to the cash register, it rings up the 85%
regular price, or a different price
Store is difficult to navigate through -- too
73%
cluttered, and/or with poor access to aisles
Poor promotional signage no clear way to
69%
know what is on sale
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Shopper expectations are
increasing each year
21 | ©2011, Cognizant
- 23. Shop
Shoppers are telling you how to fix the poor
associate knowledge problem
In general, which of the following would you most like to see improved among store associates?
Ability of store associates to match
68%
competitive online prices
Improved customer service skills enabled by
64%
technology
More store associate engagement in the
58%
aisles with check-out processing capabilities
Better electronic access to product
53%
information, inventory location and ordering
Better product knowledge enabled by smart
27%
phone, tablet technology and digital signage
More multi-lingual store associates to support
9%
your local area
0% 10% 20% 30% 40% 50% 60% 70% 80%
Knowledgeable assisted sales
drive transaction size
22 | ©2011, Cognizant
- 24. Shop
What you may not have known
• Emerging Elders have almost twice the
dislike of unknowledgeable store associates
than Gen Y
• Gen Y’s do their homework – 38% dislike
difference between store and on-line price
• Facebook tied with Groupon, at least for
the Gen Y’s
• Personalized store experience – more
important for men than women
• Women have a lower tolerance than men
for poor store service
• Older shoppers consistently have higher
expectations of store associates
23 | ©2011, Cognizant
- 25. Transact
“I've never felt like I was in the
cookie business. I've always been
in a feel good feeling business.
My job is to sell joy. My job is to
sell happiness. My job is to
sell an experience.”
– Debbi Fields
24 | ©2011, Cognizant
- 26. Transact
What did we learn?
• Mobile Payments are not a shopper priority…
• …but in Europe and Asia Pacific it is!
• Coupon management is a huge sore customer
pain point
• Slow check-out remains an enigma
Europe and Asia are driving a new
transactional model
25 | ©2011, Cognizant
- 27. Transact
Time is money,
for you and your customers
Which aspect of the check-out process at a store do you dislike?
The wait in line 56%
Slow or inattentive cashiers 48%
Products without stock numbers having to
43%
A barcode that does not work at check-out 39%
0% 10% 20% 30% 40% 50% 60%
Probably nothing new here…
26 | ©2011, Cognizant
- 28. Transact
Mobile Payments – not ready for prime time
Which aspect of the check-out process at a store do you dislike?
Not being able to use a personal mobile device to checkout 5%
0% 10% 20% 30% 40% 50% 60%
How likely would you be to pay using a personal mobile device
2.5
Emerging Elders 3.1 2011
3.1 2010
Baby Boomers 4.0
4.2
Gen X 4.6
5.2
Gen Y 4.7
1 3 5 7 9
Standards and customers in US
are not ready
27 | ©2011, Cognizant
- 29. Transact
Yet preferences in other countries
suggest its coming
How likely would you be to pay using a personal mobile device
China 7.7
Hong Kong 6.8
Singapore 6.8
UK 4.2
Research alert!
There is a global
North America 3.7 version of this.
1 2 3 4 5 6 7 8
US-Based Global retailers need a
mobile payments strategy
28 | ©2011, Cognizant
- 30. Transact
Bad shopping experiences drive higher profit.
Shouldn’t we feel bad about that?
Which aspect of the check-out process at a store do you dislike?
Getting the manufacturer discount
by having to mail in the rebate 52%
coupon after purchasing the product
0% 10% 20% 30% 40% 50% 60%
Can you think of a bad experience
at an Apple store?
29 | ©2011, Cognizant
- 31. Transact
Shoppers want simple coupon redemption
and no paper
If a retailer offered the following new or alternative payment methods, how likely
would you be to use them?
Coupons/gift cards 8.3
Pay using a mini store loyalty card
5.7
that attaches to your key ring
PayPal or other third-party online
services that allow payments to be 5.3
made through the Internet)
-wallet service with
4.2
pre-filled out credit authorization
Pay using a personal mobile device 3.7
0 2 4 6 8 10
Digitizing coupon management is
the next frontier
30 | ©2011, Cognizant
- 32. Transact
Everyone wants a better coupon
management system
How likely would you be to pay using alternative coupons/gift cards
Emerging Elders 8.0
Baby Boomers 8.4
Gen X 8.4
Gen Y 8.4
1 2 3 4 5 6 7 8 9
Fast check-out, happy customers.
Seems reasonable.
31 | ©2011, Cognizant
- 33. Transact
What you may not have known
• No refund, how big a deal? – lowest dislike
of all choices
• Level of income has little bearing on
like/dislike of mobile methods
• Emerging Elders have almost twice the
dislike of a ‘price check’ than gen Y
• Gen Y’s more sensitive to wait in line than
Emerging Elders, yet more accepting of
‘self checkout’
• Men more likely than women to pay using
mobile devices or 3rd party services
32 | ©2011, Cognizant
- 34. Post Sale
“Give your clients the earliest
delivery consistent with
quality - whatever the
inconvenience to us.
- Arthur C. Nielsen
33 | ©2011, Cognizant
- 35. Post Sale
What Did We Learn?
• Cross-Channel Fulfillment is now
“Table Stakes”
• Mobile commerce lags
• Nothing beats a live voice or
person
• A bad experience is now
communicated to thousands
Post-sale execution is even more
critical to loyalty
34 | ©2011, Cognizant
- 36. Post Sale
Multi-Channel
is now expected by shoppers
Which store service offerings do you value 1st and 2nd
Ability to purchase a product in the store and have it delivered to
57%
your home at no extra charge
Ability to automatically redeem a retailer or manufacturer coupon 46%
Ability to purchase a product online and pick it up in the store 43%
Ability to purchase a product online, have it delivered to your
36%
home, and return it (if needed) to the store
Ability to purchase a product in the store and return it (if needed)
9%
using online procedures
Ability to purchase a product via a personal mobile device and pick
6%
it up in the store
Ability to purchase a product via a personal mobile device, have it
3%
delivered to your home, and return it (if needed) to the store
0% 10% 20% 30% 40% 50% 60%
Mobile Commerce not yet
demanded however
35 | ©2011, Cognizant
- 37. Post Sale
When things go wrong shoppers still want
to talk to a live body
If a retailer provided access to customer service/product representatives how likely would you be to
use this service
Phone assistance 6.4
Text/Call to receive Live Associate 5.1
Text assistance 4.6
Video assistance 4.2
1 2 3 4 5 6 7
When you have an issue in-store, which means of communication are you most likely to use?
Ask to speak with the Store Manager 6.8
6.2
the retailer's website or mobile site
5.6
Post comments to your personal social networking network
4.2
(i.e. friends and family)
Post comments on retailer pages within social networking
4.0
sites (i.e. Facebook, Twitter)
1 2 3 4 5 6 7 8 9 10
36 | ©2011, Cognizant
- 38. Post Sale
Generation Y uses newer methods to connect
If a retailer provided access to customer When you have an issue in-store,
service/product representatives how likely would which means of communication are you most
you be to use this service likely to use?
6.4
Phone assistance Ask to speak with the 6.1
6.4
Store Manager 6.8
Text/Call to receive Live 6.3
Associate assistance 5.1 Send an email to the
Gen Y Only retailer through the 6.2
5.9 6.2
Text assistance All Shoppers retailer's website or
4.6
4.8 5.2
Video assistance customer service Gen Y Only
4.2 5.6
number
All Shoppers
1 3 5 7 9
Post comments to your
personal social 5.0
networking network (i.e. 4.2
friends and family)
Post comments on
retailer pages within 4.7
social networking sites 4.0
(i.e. Facebook, Twitter)
1 3 5 7 9
37 | ©2011, Cognizant
- 39. Post Sale
What you may not have known
• Cash is king, at least for women - More
likely to want a cash refund than men
• Gen Y more likely to try alternative
customer service contact methods, but
phone is still #1
• Older shoppers quicker to go to the store
manager, but younger shoppers not that
far behind
• Gen Y will make their displeasure more
widely known via Facebook, Twitter and
other sites
38 | ©2011, Cognizant
- 40. “Never tell people how to do things.
Tell them what to do and they will surprise you
with their ingenuity.”
– General Patton
39 | ©2011, Cognizant
- 41. The 10 Megatrends we highlighted last year
Taking Off
• Taking the Store to the Shopper
• Shopper Demand for Consistent Cross-Channel
Experiences Drives Retailer Organizational
Integration
• Distributed order management Integrates the
Retailer
• Social Media and Product Development Collide
• The Death of the Task Worker
• Generation Y Changes the Behavior of All Other
Generations
40 | ©2011, Cognizant
- 42. The 10 Megatrends we highlighted last year
Still Emerging
• Sales and Product Information via Mobile
Phone
• Mobile Shopping (Finally) comes of age
• Death of POS becomes a possibility
• Real SKU Rationalization Takes Hold
41 | ©2011, Cognizant
- 43. A Final Thought
“A good plan violently executed now is better
than a perfect plan executed next week.”
Tech-assisted associates &
coupons leap to the planning front.
42 | ©2011, Cognizant
- 44. About Cognizant
A leading provider of information technology,
consulting, and business process outsourcing
services
With more than 50 global delivery centers and over
110,000 employees*, we help clients transform core
processes for greater flexibility, higher efficiency and
lower costs.
Cognizant is a member of the NASDAQ-100, the
S&P 500, the Forbes Global 2000 and Fortune
500.
We are also ranked among the top information
technology companies in BusinessWeek’s
“InfoTech 100, Hot Growth and Top 50
Performers.”
*as of March 31, 2011
43 | ©2011, Cognizant
- 45. Thank you
If you would like the detailed Global Shopper
Experience Study -
Please contact:
Rachel Cosby at rachel.cosby@cognizant.com
| ©2011, Cognizant