the shopper story 2017 - criteo · source: criteo shopper story, uk 2017 | n=1515 7 in 10 are...
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1 Copyright © 2017 Criteo
The Shopper Story 2017— UKA global study of the changing nature of retail from the
viewpoint of over 10,000 shoppers
2
What is The Shopper Story?Criteo surveyed nearly 10,000 omnichannel shoppers (who shopped both online and offline) across the globe
to find out what they think about shopping.
Copyright © 2017 Criteo Source: Criteo Shopper Story, UK 2017 | n = 1515
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Key Insights for the UK
Omnishopping is ubiquitous – and multi-directional
Retail and brand websites drive awareness as well as consideration
Search engines are not the shopping starting point for the majority
Shopping between sites is the norm
Impulse purchases are almost as prevalent online as in-store
The empowered shopper demands relevance and respect
Copyright © 2017 Criteo
Source: Criteo Shopper Story, UK 2017 | n = 1515
4 &
What is an Omnishopper?Shoppers who use a variety of devices, channels,
and platforms to browse and buy products.
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Omnishopping is nearly ubiquitous in the UK
83% 83%78%
72%79% 78%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
US UK FR DE BR JP
Omnishoppers(percent of total)
Source: Criteo Shopper Story, US, UK, FR, DE, JP, BR 2017 | n = 9033
Omnishopping is a global phenomenon with the US and UK leading
Copyright © 2017 Criteo
In the UK, they spend
+13% online +31% offlinethan non omnishoppers
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Omnishopping takes many forms
Webrooming
Research online, buy in store
Scan & Scram
See in store buy it from
another retailer online
Click & Collect
Buy online, pick up at a
store or kiosk
Showrooming
See in a store, buy from
that retailer’s site
Click & Ship
See in a store but buy on
your phone for convenience
It’s all about enabling the shoppers to buy and get the product whenever, wherever they want.
Copyright © 2017 Criteo
Source: Criteo Shopper Story, UK 2017 | n = 1515
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Click & Collect is the most frequently done form of UK Omnishopping
Webrooming &
Showrooming are
also common
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14%
19%
20%
25%
28%
38%
38%
71%
63%
60%
0% 20% 40% 60% 80% 100%
Make purchases on my phone from within a retail store from that retailer’s website
Make purchases on my phone from within a retail store on another retailer’s site (Amazon, etc.)
Make purchases online after seeing the product at a retail store
Browse products online and then purchase them in a retail store
Order goods online and pick them up in a retail store
Frequency of Cross Channel Purchasing(percent of total)
Regularly On occasion
Source: Criteo Shopper Story, UK 2017 | n = 1515
8 &
What is the Role of Real World Retail?
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Real-world retail is about the experience and discovery
I look forward to shopping in
stores when I have the time.
I like to try new retail stores.
I prefer to do as much online
shopping as possible.
I enjoy shopping in stores to
understand what is in style.
I like to shop online at
new websites.
I use my phone while in-store
to research products online.
Copyright © 2017 Criteo
Source: Criteo Shopper Story, UK 2017 | n = 1515
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Location and immediate need drive store visits in the UK
Omnishoppers seek
convenience and immediacy
from retail stores.
Retailers also need to:
Up the “genius” level of their staff
Optimise product mix
Enable better product experience
Copyright © 2017 Criteo
10%
22%
26%
27%
34%
39%
45%
45%
55%
0% 10% 20% 30% 40% 50% 60%
The ability to checkout from my phone
More unique merchandise
Displays that show how to use a product
Store design
Better ways to try the product
Knowledgeable salespeople
Availability of in-store offers
Immediate need for product
Convenient location
Factors That Would Make Users More Likely to Shop In Retail Store(percent of total)
Source: Criteo Shopper Story, UK 2017 | n = 1515
11 &
What Influences the Shopper Journey?
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Contrary to the old model, digital channels drive awareness across categoriesDigital has more impact than word of mouth and retail stores across all categories, but TV still scoops up ad spend.
I typically find out about something new when I see it online.
Copyright © 2017 Criteo
90%
73%68% 67%
55%
82%
45% 43%37% 36%
79%
48% 48%
37%41%
75%
58%
43%
36% 35%
75%
49%44%
36% 37%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Websites/Apps Retail stores Advertising People in Real Life Social Media
First Learn About New Product(percent of total)
Apparel & Accessories Consumer Electronics Home Ware FMCG Health & Beauty
Source: Criteo Shopper Story, UK 2017 | n = 1515
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Digital drives product considerationOmnishoppers are eager for information about products. Websites empower them to make product decisions.
When I’m deciding between coffee makers, I go online to compare.
Copyright © 2017 Criteo
89%
67%65% 63%
49%
89%
44%
35% 37%34%
86%
43%40%
35%38%
84%
44%41% 39%
35%
86%
38% 39%34%
37%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Websites/Apps Retail stores Advertising People in Real Life Social Media
Learn More About New Product(percent of total)
Apparel & Accessories Consumer Electronics Home Wares FMCG Health & Beauty
Source: Criteo Shopper Story, UK 2017 | n = 1515
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Digital is also a point of purchase driver, regardless of where the purchase is made
I saw an offer on a retail site for just what I wanted.
Copyright © 2017 Criteo
44%
18%
9%11%
19%
53%
24%
8% 10%6%
50%
27%
6%
11%
6%
46%
36%
6%10%
3%
52%
24%
5%
14%
5%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Websites/Apps Retail stores Advertising People in Real Life Social Media
Last Influenced Product Purchase(percent of total)
Apparel &Accessories
Consumer Electronics Home Wares FMCG Health & Beauty
Source: Criteo Shopper Story, UK 2017 | n=1515
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The omnishopper journey does not usually start at search
of shoppers who have a type of item in mind do not start at search
80%
Copyright © 2017 Criteo
69%
77%
80%
31%
23%
20%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
I don't have a specific item in mind
I know the type of item I want
I know the exact item
Starting Points For Online Purchases(percent of total)
Other sites Search engine
Source: Criteo Shopper Story, UK 2017 | n=1515
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Retail sites attract high intent shoppersShoppers turn to retail sites when they are in market to buy. They typically know the item or type of product they want.
Copyright © 2017 Criteo
0 5 10 15 20 25 30 35
Fashion/lifestyle websites
Social media
A brand website
Search engine
Amazon.com
A retail website
Starting Points For Online Purchases(percent of total)
I don't have a specific item in mind I know the type of item I want I know the exact item
Source: Criteo Shopper Story, UK 2017 | n=1515
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Retail websites are seen as increasing in influence – even over search and social
Copyright © 2017 Criteo
13%
15%
18%
19%
23%
27%
33%
38%
38%
39%
45%
50%
24%
22%
20%
18%
16%
15%
10%
13%
6%
6%
6%
4%
0% 10% 20% 30% 40% 50% 60%
Newspaper advertising
Magazine advertising
Online ad banners
Online video advertising
TV advertising
Retail stores
Email from retailers/brands
Social media
Friends/word of mouth
Brand websites/apps
Search engines
Retailer websites/apps
Resources More Or Less Influential In Purchase Process(percent of total)
Less Influential More Influential
Source: Criteo Shopper Story, UK 2017 | n=1515
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How eCommerce sites can improve conversion
Free return shipping
Discounts available
Online chatReviews organized by
relevance
360° product images
Appealing photos
Copyright © 2017 Criteo Source: Criteo Shopper Story, UK 2017 | n=1515
Percent of shoppers that say these website factors are very important.
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Digital vouchers are seen as most influential
50%
53%
55%
64%
64%
65%
70%
0% 10% 20% 30% 40% 50% 60% 70% 80%
I print out coupons from the internet and use them in store
I clip coupons and use them in store
Discount codes/coupons on social media site motivate me to make a purchase
I often search for coupons online before making an online purchase
I look through and sometimes save coupons that I receive in the mail
I always take and use in-store coupons when they are available
Email discount codes/offers motivates me to make a purchase
Attitudes Towards Couponing(percent agree)
Source: Criteo Shopper Story, UK 2017 | n=1515
7 in 10 are motivated by email offers; 55% are motivated by discount codes through social media and half print out
online vouchers – yet most trade spend is still focused on in store tactics.
20 &
How Do People Shop Online?The journey is increasingly complex
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More than half the time, shoppers do not purchase from the first siteAll categories show a high level of “cross shopping”.
I check out more than one website to see what they have, when I can get it, and what it costs.
Copyright © 2017 Criteo
47%
44%
44%
56%
50%
0% 10% 20% 30% 40% 50% 60%
Apparel
CE
Homewares
FMCG
Health & Beauty
Purchase From The First Website Visited(percent of time)
Source: Criteo Shopper Story, UK 2017 | n=1515
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43%
22%
14%
9% 10%
34%
19%
24%
8%
14%
38%
21%20%
9%
12%
34%
30%
13%
8%7%
33%
30%
17%
9% 9%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
I want a better selection The product I want is unavailable I want more product information I want to compare shipping options I want to read product reviews
Why Browse Different Websites(percent of total)
Apparel CE Home Goods CPG Health & Beauty
Selection and stock availability drive site abandonment
Source: Criteo Shopper Story, UK 2017 | n=1515
Product availability is more important in FMCG and Health & Beauty.
Copyright © 2017 Criteo
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78%
55% 55% 57%62%
77%
53%
73%
87%
76%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Apparel Consumer Electronics Home Goods FMCG Health & Beauty
Frequency Of Making Unplanned Purchases(percent of total)
Sometimes/frequently Online Sometimes/frequently Offline
Impulse purchases almost as prevalent online as in-store
Source: Criteo Shopper Story, UK 2017 | n=1515
FMCG, Home Goods and Health & Beauty brands need to adopt ways of incenting impulse purchasing
online in ways similar to what they do offline.
Copyright © 2017 Criteo
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33%20%
55%
27%
23%
19%
28%
45%
44%
61%
17%29%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Apparel CE FMCG Health & Beauty
Are You a Member of Loyalty Programs(percent of total)
Yes, multiple retailers Yes, at one retailer No
Nearly 2/3 of omnishoppers belong to loyalty programmesLoyalty programs are an important step to enacting shopper marketing across channels.
Source: Criteo Shopper Story, UK 2017 | n = 1515
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What Do Shoppers Think About Advertising Relevance and Data Usage?Awareness is high: Omnishoppers demand respect and relevance
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Shoppers recognise retargeting and understand the value
I like it when I see ads for things I was shopping for yesterday. A deal can make me buy now.
Copyright © 2017 Criteo
3%
8%
21%
37%
0% 5% 10% 15% 20% 25% 30% 35% 40%
It encourages me to go to a store to find out more about the product
I don't mind them if they are on the same device that I used for my initial search
I like receiving them as reminders about products I am considering
I like receiving them if I can get better discounts
Attitudes Toward Retargeting Ads(percent of total)
Source: Criteo Shopper Story, UK 2017 | n = 1515
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Omnishoppers want control, consent and transparency
Data may be the way to
drive ultimate relevance
for omnishoppers, but
publishers and retailers
need to tread with caution
– and full disclosure.
Copyright © 2017 Criteo
3%
13%
17%
18%
17%
35%
42%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
I don't believe that publishers are using my internet activitydata
I am not concerned because I am in control over how mypersonal data is being used
I am OK with them using my personal data because I get avaluable service in exchange
I am interested in learning more about how they are usingmy data
I understand that my data is shared with advertisers and I'mOK with that
I feel that using my personal data invades my privacy
I am concerned about these companies selling my personaldata without my consent
Attitudes Toward Publishers & Retailers Using Browsing Data(percent of total)
Source: Criteo Shopper Story, UK 2017 | n = 1515
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Use data well — but don’t abuse the privilegeBrands and retailers need to gain the broadest possible view of the shopper so that they receive the most timely, relevant offers –
and think about long term loyalty versus short term gains.
are annoyed by
improper data use
1/3
Copyright © 2017 Criteo
17%
17%
19%
22%
31%
36%
0% 5% 10% 15% 20% 25% 30% 35% 40%
I am sometimes embarrassed by inappropriate ads
I feel advertisers ignore my personal preferences
I feel I am disrespected by the advertisers
Ads typically don't generate negative feelings for me
I feel advertisers care more about my money than my long-term loyalty
I am annoyed by offers for products I have alreadypurchased
Attitudes Towards Online And Offline Advertising(percent of total)
Source: Criteo Shopper Story, UK 2017 | n = 1515
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Amazon does not dominate the omni-
shopper journey. Retail sites, building on
long-time offline relationships, are a way
to reach highest intent omnishoppers.
Retail sites reach shoppers
in buying mode
Brands need to consider digital across the full funnel to ensure that they are capturing shoppers where decisions are increasingly made.
Retail sites drive awareness
and point of sale purchase
Takeaways for reaching the empowered UK Omnishopper
With the prevalence of
omnishopping, marketers need
to market to the shopper – not
the device or channel.
The omnishopping
mandate eliminates silos
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Omnishopper data usage is a privilege –
advertising timeliness and relevance is
the demand. Marketers who respect the
shopper earn long time loyalty.
Respect the shopperRelevance drives impulse
Takeaways for reaching the empowered UK Omnishopper
Omnishopper journeys include multiple sites and sessions. A networked approach to commerce marketing enables brands to reach valuable consumers across every channel and device.
It’s an ecosystem
With impulse purchasing almost as prevalent online as in-store, brands and retailers need to use data to present the most relevant and complementary products to encourage “click to cart”.
Copyright © 2017 Criteo
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About Criteo
Criteo (NASDAQ: CRTO), the leader in
commerce marketing, is building the
highest performing and open
Commerce Marketing Ecosystem to
drive profits and sales for retailers and
brands. 2,700 Criteo team members
partner with 16,000 customers and
thousands of publishers across the
globe to deliver performance at scale by
connecting shoppers to the things they
need and love. Designed for commerce,
Criteo Commerce Marketing Ecosystem
sees over $550 billion in annual
commerce sales data.
Contact: [email protected]
Copyright © 2017 Criteo