Article from MarketingCharts
Published March 1, 2016
Mobile devices and other digital technologies continue to have a growing impact on retail, including in-store shopping, according to a series of recent studies. In fact, digital’s influence on US in-store sales appears to be particularly large relative to other mature markets.
A new report from Deloitte examines digital’s influence on in-store sales across 9 countries, building on its prior report that analyzed the US only. With digital influencing 49% of its in-store sales and mobile influencing 28% of its in-store sales, the US leads in digital influence among the 6 mature markets studied. By comparison, for example, digital influences 28% of in-store sales in the UK, with mobile influencing 16%, an interesting finding given other research showing that e-commerce’s share of total retail sales is highest in the UK.
Interestingly, digital’s influence on in-store sales is higher in the 3 developing markets (India, Mexico and China) studied by Deloitte, hovering at around 60% of in-store sales. Mobile’s role is also higher in these countries, influencing slightly more than one-third of in-store sales in China.
In fact, a newly released report from PwC cites data indicating that almost two-thirds (65%) of Chinese shoppers shop online via their mobile at least monthly, roughly three times the proportion (22%) of US shoppers who do so with that frequency. Moreover, some 59% of Chinese shoppers believe that their mobile phone will become the main tool through which they purchase items, compared to 34% of shoppers globally.
How Are Mobile Devices Being Used In-Store?
About three-quarters of the nearly 23,000 online shoppers surveyed by PwC across 25 territories report using a mobile device while in-store. The most common uses of mobile are:
- Comparing prices with competitors (36%);
- Researching products (36%);
- Accessing a coupon/promotional code (31%);
- Checking reviews about the product/retailer (25%); and
- Accessing a confirmation email to pick up product purchased online (23%).
Not surprisingly, Millennials (18-34) are more likely to be engaging in these activities than those 35 and older. For example, among the more popular activities, they are:
- 35% more likely to compare prices with competitors (42% vs. 31%);
- 43% more likely to research products (43% vs. 30%); and
- 38% more likely to access a coupon/promotional code (36% vs. 26%).
Within the US, more than 8 in 10 Millennials (18-34) use their mobile devices while in-store, compared to 55% of shoppers over 35, per the PwC results. Globally, those figures are 88% and 65%, respectively.
Among those shoppers who do not use a mobile/smartphone while shopping in-store, the most commonly-cited reasons are: not seeing the benefit (38%); preferring to speak to sales staff directly (27%); and not owning a mobile or smartphone (18%).
Meanwhile, a separate report [download page] from The Integer Group and M/A/R/C Research also looks at US shoppers’ mobile activities in-store, finding that 41% look for discounts/promotions on their device, 28% compare prices, and 27% look up product reviews.
Finally, outside of the store, a study from UPS and comScore indicates that among shoppers who have recently purchased a high-tech product (such as a computer or mobile phone) online, 76% tracked the delivery on a mobile device. A majority of these shoppers also reported using a retailer’s mobile app (70%), purchasing products on mobile devices (69%) and researching products on a mobile device while in-store (69%).
Read this article in its entirety, including how digital impacts various categories such as books, apparel, accessories, footwear and toys. The article also sheds light on the reasons why shoppers prefer in-store shopping with mobile commerce apps, and how retailers using a mobile commerce platform can develop their apps properly to cater to in-store clienteling.