What Online Shoppers Want
Are you planning on starting your own e-commerce business? Here are the findings from a study conducted by international courier UPS you need to pay attention to, so you can improve your service to better compete in this ever increasingly aggressive market not just locally but globally as well.
High consumer dissatisfaction rate
Asia recorded the highest online shopping dissatisfaction rate, with nearly 43% of shoppers dissatisfied with their online shopping experience, the highest percentage when compared to other regions internationally.
Most popular shopping platform
The most preferred method for respondents shopping online was through online marketplaces like Lazada, Shopee and etc-etc, with 98% of respondents having purchased from an online marketplace before. Online Marketplaces are popular because of the better prices and discounted shipping they can offer.
Free and faster shipping
The study found that free shipping is an important factor in attracting consumers to purchase online as around half of the shoppers in Asia add items to their shopping cart to qualify for free shipping. Also, shoppers only paid for shipping for 15% of all orders made last year. However, delivery efficiency is essential as well because if delivery takes too long, or no delivery date is provided, shoppers will abandon their shopping cart. Additionally, if the waiting time for delivery is more than 11 days, half the respondents would willingly not purchase at all.
Easy return policies
Simple return policies are also essential to an e-commerce business as most shoppers from the study are dissatisfied with the return policies they had experienced. Most often shoppers who've had a pleasant experience making returns will return to the same online store to purchase newer items. Therefore an online business can boost sales and retain returning and long-term customers by ensuring convenient return policies are in place.
Overseas sellers more trusted
The study found that almost 50% of online shoppers generally purchase from an overseas seller if the product they are after is not available in their home country; they also buy overseas to get better prices or better quality of similar products. However, 77% of online shoppers would still prefer to buy from retailers in Asia. There's potential for SMEs to improve their services to fight off international sellers to gain a foothold in the regional market.
Mobile shopping popularity
In Asia, mobile phones are the preferred device when shoppers purchase online. More than 75% of shoppers shop online via their phones, which statistically is the highest globally.
The study found that brick-and-mortar stores in Asia are not in decline because it is viewed as a tool to boost sales for businesses. 60% of online shoppers who collect their online purchases in-store are more likely to make additional purchases while they are there to collect their orders.
The hyper-competitiveness in the e-commerce sphere today has not only benefitted online shoppers with a plethora of choices but also increased their consumer power significantly by allowing them to dictate the terms of their shopping experience. Its vital that retailers cater and adapt to these changing needs by providing convenient shipping and return solutions to retain customers, drive repeat patronage, and encourage shoppers to add more items to their carts both online and in-store.