Enduring appeal of in-store shopping, and continued fears about data privacy among surprising findings in “Future of Commerce |The Why Behind the Buy “
LONDON, Aug. 4, 2021 /PRNewswire/ — As the marketing industry worldwide continues its efforts to both map and navigate the post-pandemic commerce landscape, a new report from OMD and Omnicom Commerce Group (OCG) provides a deep dive into the new retail normal emerging in the wake of the abrupt and extended break in daily retails habits forced by the 2020 lockdown.
Launched today, “Future of Commerce | The Why Behind the Buy” looks at consumer behaviour and expectations by market, life stage, channel and category to reveal nuances of the retail environment that are emerging in the post-pandemic marketplace, and how marketers can act upon them to drive brand growth.
The quantitative research encompasses over 4,000 respondents across six global markets (Australia, China, Germany, Spain, the UK and the USA) and was conducted via online surveys from May 11-27, 2021. Respondents were asked about their attitudes about pandemic-driven changes to their shopping habits, current shopping preferences, expectations for both online and offline shopping experiences, attitudes to returning to shop in city centres and their attitudes towards technology and data-sharing.
The report defines and explores the three most important factors of modern commerce – experience, relevance and ease – defined in ‘The Why Behind The Buy’ as Wow, Right, Now.
- Despite the continued rise of e-commerce, shopping in physical stores still has strong appeal as a lifestyle activity that goes beyond needs fulfilment:
- While 39% of respondents reporting shopping more frequently online during the pandemic – and 24% plan to continue to buy more online in the future – shoppers still appreciate the experience of shopping at physical retail with nearly half of all respondents (49 %) preferring the experience of shopping in-store and 47% enjoying browsing.
- A third of respondents highlight the desire for increased health and safety measures, and 26% sited more contactless options a priority for returning to in-store shopping.
- Shoppers are channel fluid – there is no such thing as an online shopper vs an offline shopper – they want the same thing:
- Moving forward, nearly half (47%) of consumers prefer an equal mix of buying products online and in-store.
- Shoppers are looking for value, convenience and service when shopping on any channel, but they prioritize them differently.
- Both are price driven, but one of the primary factors for shopping in store is immediacy.
- There is rich opportunity to re-define city-centre shopping as a lifestyle with consumers highlighting the desire for a rich combination of socialising, eating & drinking, events and experience:
- Across all markets, more than half of respondents feel positively about returning, with the USA (55%) and China (56%) expressing the most confidence.
- Shopping and dining are the top activities (49%) sited as a motivator for returning.
- However, there is a significant generational divide in net comfort, with desire lowest among Gen Z and Boomers (35%) vs Millennials (46%) and Gen x (42%).
- Clear need to better communicate the benefits of technology and data and bridge the trust divide:
- Even as 74% of respondents said AI technology can enhance the shopping experience, 44% still don’t trust brands’ motivations for using technology.
- And 66% of consumers are not willing to share any data with at least one type of company.
Implications for Marketers
“The research reconfirms the priority to put consumer behaviour and expectations firmly at the forefront of commerce strategy and plan above siloed channels to deliver the seamless end to end experience shoppers clearly expect,” says Sophie Daranyi, CEO of Omnicom Commerce Group and one of the co-authors of Future of Commerce | The Why Behind the Buy.
Report co-author and Chief Product Development Officer for OMD EMEA Jean-Paul Edwards adds, “The research also underscores the imperative for marketers in terms of educating consumers about the data value exchange. We need to consider how to elevate data communication to be clearer about the tangible benefits and to establish a relationship based on trust and respect.”
For a more detailed analysis of the research, and an expanded discussion around the implications and opportunities for marketers, download the full Future of Commerce |The Why Behind the Buy report.
OMD Worldwide is the world’s largest media network with more than 13,000 people working in over 100 countries. Named Adweek’s Global Media Agency of the Year in 2019 and 2020, OMD, an Omnicom Media Group agency, is currently ranked the world’s most effective media agency network in the Effie Effectiveness Index.
Omnicom Commerce Group (OCG) is an unrivalled community of commerce experts working with brands and retailers to offer best in class consultancy, creativity and capability focused on driving increased conversion and transaction. OCG’s priority is to address the need for innovative multi-channel commerce expertise in the rapidly evolving world of retailing and shopping and at our core are four individual award-winning commerce agencies –Haygarth, The Integer Group, TPN and TracyLocke – employing over 2,500 people across 19 markets. For more information visit https://www.omnicomcommercegroup.com/.