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Insight: study reveals increased dissatisfaction with online shopping experience

New research has found that more than three quarters of UK adults would be likely to switch to an alternative retailer when shopping online if they had a poor ordering experience.

GENERAL MERCHANDISE

Insight: study reveals increased dissatisfaction with online shopping experience

New research has found that more than three quarters of UK adults would be likely to switch to an alternative retailer when shopping online if they had a poor ordering experience.

Findings from the third annual JDA/Centiro Customer Pulse 2017 Report conducted by YouGov show that 56% of consumers surveyed had experienced a problem with an online order in the last year. This compared to 53% in 2016 and 47% in 2015.

Some 42% who had experienced a problem cited late delivery while 37% had missed a delivery despite being at home. In addition, 25% had never received an item and 24% found their item was damaged.

However, retailers were found to be fixing the problems that consumers previously had when using click and collect services. The number of UK adults that had used a click and collect service in the last 12 months and experienced an issue fell to 43% from 45% in 2016 and 47% in 2015. Among those that experienced problems, 26% cited long waiting times due to a lack of staff, and 18% said staff had been unable to locate their items in store.

More than half of the UK online shoppers surveyed said they had used click and collect services in the last 12 months.

Jason Shorrock, vice president, retail strategy EMEA at JDA, said: “Fulfilment and ‘last-mile’ issues continue to hinder retailers’ efforts at a time when consumers are becoming increasingly intolerant of poor service. Today’s shoppers expect retailers to offer a high-level of service across all channels – those retailers that fail to keep up with demand put themselves in serious danger of being left behind.

“However, it does appear retailers’ continuing investments in Click & Collect are starting to pay off. Almost a third of UK adults made an additional purchase when visiting a store for a Click & Collect item, which demonstrates the new revenue streams that can open up when a customer sets foot in a physical store.”

This year’s Customer Pulse study found that a third of UK adults who shop online return up to two non-grocery items a year, and 25% return three or more non-grocery items a year. The most popular reason given for making a return was that items were not what customers expected, goods were faulty and the fact that shoppers ordered several alternatives with the intention of returning items they did not want.

Niklas Hedin, chief executive of Centiro, said: “Effectively dealing with returns can’t be ignored. The research shows that for nearly two thirds of consumers, the ease of being able to return items factors into who they shop online with. Retailers need to see returns as another customer touchpoint, and a way to make a positive impression that engenders greater customer loyalty. It will be those retailers that offer a full-circle brand experience that will capture the larger share of customer wallets.”

The study also found that 75% of UK adults would be willing to exceed a minimum order value to qualify for free delivery.

Looking at mobile, the research found that nearly half of UK adults are using mobile devices in stores with 30% of them using mobile devices to check and compare prices. Meanwhile, 22% read product/service reviews on a mobile device and 21% use a mobile device for entertainment while queueing.

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