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Connected Consumer: the shift of power
Guy Chiswick: “Looking at the Connected Consumer report from Webloyalty, we can see that retailers have a lot to contend with now. The power shift from the retailer to the consumer has happened, and the consumer now controls that experience. The retailers who succeed will be the ones that address their consumers’ needs and put them at the heart of what they’re building and how they do it.
“We look at how, why, where and when people use connected devices as part of the shopping cycle.
“The challenge is you have a longer process to engage with but you have to deliver a seamless experience across all of the touch points you provide”
Ross Tulloch: “The connected consumer tends to connect with retailers via their website. This might be to simply find out where their local store is, it might be to send them an email, it might be to call them up, but again via different devices they are able to connect with the retailer”
“The purchase funnel hasn’t changed – the consumers still shop in the same way that they did, which is, they’ll browse, they’ll research, they’ll buy, they’ll receive the goods, they’ll take the goods back if needs be, but they’re doing it in a digital environment where, again, they can do it when they want to.” ~ Guy Chiswick, Webloyalty
“They can now do their research through a global collection of people who have the product and they can price compare now, not just against your store competitors but across a whole online community. The world has just become increasingly complex because you as a retailer aren’t just competing against your competitors in a ten mile radius, but with a global audience that people can access through their desktop, laptop, mobile or tablet, when it suits them, how they want.”
“In order to engage with the connected consumer, retailers should think about things like putting reviews on their website. My background is in the travel space and I saw Trip Advisor do this very effectively a number of years ago, and I think it was very empowering for customers, to feel they understood a lot more about what they were purchasing.” ~ Ross Tulloch, Webloyalty
Guy: “One of the things we looked at was the distance that the connected consumer would have to take if they were purchasing offline, in store. We got that down to about 7 miles that they used to do, whilst walking around from store to store, getting to and from the place, going back because they didn’t have the item that they wanted and so on. That seven miles now equates to a significant saving in time that would have been spent before, but also in petrol, and the cost it would have been to put fuel in the car to get them there.
“So the seven miles that was spent by the non-connected consumer travelling two and from the stores actually equates to 198 million miles when you look at all the consumers in the UK which when you break that down into cost of petrol is £32 million in petrol. So not only is a connected consumer doing it on their time and when they choose to, but they’re also saving a significant amount of money in terms of getting to and from the store.
“On average customers are using about five different tools on their purchase journey. So this could be anything from a price comparison site they use to check the price, to a review site where they’re finding out what people think about it, to a retailer’s website.
“Interestingly, a lot of people are still using traditional catalogues, which are very popular with pure play retailers, who want to get something into people’s hands, who want to get their brand through the letterbox. So it’s interesting to see that those traditional channels are still very strong. On the flip side, we found that only around about 4% of people are using social media as part of that purchase cycle. So there is a lot of chatter about it in the press, but we’re not seeing that come through in the report.”
— @WebloyaltyUK —
The Connected Consumer Report
You can view the full report on the Webloyalty site.
Thank you for your interest, but this competition is now closed. For more comps, follow @WebloyaltyUK
Enter our Easter Competition!
In a break from our normal feed about e-commerce and retail news, we’re bringing our followers a treat! To celebrate the release of the Connected Consumer report, we are giving away a box of chocolate-y goodness. If you can find the ‘Happy Easter’ message in our latest video series, you’ll be in with a chance of winning.
How to enter
You have to locate the hidden Happy Easter! message in the video below, and use the contact form below to say what time it pops up, for example 0m23s or 0:23. Please do not share the answer publicly.
Watch very carefully or you may miss it… tweet us for a clue..
So… when does the Happy Easter! message appear?
There is one big Webloyalty prize, and it contains:
- A milk chocolate “Happy Easter” egg
- A duck egg soft toy
- A milk chocolate “Harry Hopalot” bunny
- A Fudge Brownie chocolate square
- A milk chocolate bunny lolly
- A “Smiles” packet of white chocolate buttons
- A milk chocolate mouse with vanilla centre
- Chocolate mini-eggs (from Tiger)
- A Webloyalty mobile phone stand
- 3 Webloyalty pens
Unless otherwise stated, all chocolate products are from Thorntons.
Terms and Conditions
- The prize: an Easter collection of treats, as listed above
- UK entrants only
- Entrants must be aged 18 or over
- Entrants must watch the video, then answer the question through the contact form, and share on Facebook and/or Twitter
- Competition runs from Friday 20th March and closes at 23:59 on Monday 30th March
- The winner will be chosen at random and notified on Tuesday 31st March, and must respond within 24 hours, or another winner may be chosen
- The name of the winner may be shared on the Webloyalty UK blog
This competition is now closed. Thank you for your interest.
Join the conversation @WebloyaltyUK
Below is a full transcript from Webloyalty’s Connected Consumer video, part one: The Role Of Mobile. Please credit Webloyalty UK when quoting from this video. You can see the video here:
Guy Chiswick: “The Connected Consumer report by Webloyalty reveals that people use mobiles and tablets in different ways across the purchase cycle. Browsing seems to be the stage where mobile is utilised, with people looking for ideas and inspiration.
“When looking at devices people own nearly three quarters of people own a laptop, around about two thirds of people own a smartphone and then around about 50% of people own a desktop or a tablet” ~ Guy Chiswick
Ross Tulloch: “We found that well over half of online consumers chose to use their mobile devices while at their home, I think this is interesting because clearly consumers want to be online all the time, on the one hand a smartphone is something they tend to have with them all the time, at the same time they’re finding tablet to be very useful for various stages of the shopping process as well, particularly for purchasing online which they like to do at home.
“The tablet tends to be that one that they’re doing both on, they’re browsing, and also we’ve really seen a step change in the last 3 – 5 years around people actually purchasing online through tablet.” ~ Ross Tulloch, Webloyalty
Guy: “Now the majority of consumers use at least five touch points in the purchase process. So this includes a review site, where they might get a sense of what people think about it, a price comparison site, they’ll visit the retailer’s website, they might check out a retailer catalogue that they get sent to them, and they’re also still going into the store and checking it out, so, a dramatic change in only fifteen years.
“Actual spend on mobile is relatively low. The smartphone owners we surveyed pointed to it being about one fifth of their spend, with the majority going through traditional online channels.”
Ross: “We found that over three quarters of those who own tablets use them to regularly buy or browse online, and on average those that we using them to browse online, they were browsing for at least an hour.”
Guy: “The most successful retailers will be those who embrace the mobile offering, to put the customer at the centre of what they’re building. So in the same way as you would design your store, in light of what your consumer is and how they function with the products and services that you offer, you need to do the same for mobile, so you need to consider how you use reviews, how you use imagery, how you use price comparison, how you will tie up the order cycle, so, and all this will depend on the price of the product, and you know that most people will use mobile to browse. It’s about how you’re showcasing your products and making it user friendly.”
Ross: “We found that shoppers like to use their mobile at various different stages of the shopping process, particularly for checking prices, so for example they might be in the store of a retailer, in fact a third of the shoppers we reviewed said they liked to use their mobiles to check prices while in the store itself. Another way people might use it is while they’re travelling to work, they have time, they have their mobile in hand and it’s very easy for them to browse or check out prices of items or things they’re looking to purchase online.”
Guy: “So the connected consumer now has the power in their hands, they decide how they’re going to shop, when they’re going to shop and where they’re going to shop, and it’s down to the retailer to ensure that they’re in a position to be interacted with.”
Ross: “Our research shows that on average a consumer spends 4 hours a week browsing and shopping online and on average visit 16 different websites”
Guy: “Interestingly the tablet ownership has gone from around about 3% five years ago to nearly 50% this year”
We are excited to release the first episode from our Connected Consumer video series! Featuring Guy Chiswick and Ross Tulloch from Webloyalty, we explore the role of mobile in today’s shopping environment. Enjoy, and please share.
The Connected Consumer Infographic
To accompany the Connected Consumer report, we have also developed an infographic. You can click for a larger image:
Join the conversation @WebloyaltyUK