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What do online shoppers want from e-Commerce?

Three brains e-Commerce online purchase with credit card

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Snapshot : We’ve heard a lot of noise about the e-Commerce opportunity during the COVID-19 crisis. As normality slowly returns, you should be asking what do online shoppers want from e-Commerce. Here, we look at how the three key online shopping consumer benefits of convenience, range and price comparison drive your marketing plan to grow your business online.

The e-Commerce opportunity in crisis

In every crisis, there’s an opportunity” is a common phrase that crops up in many motivational speeches.

It’s a neat way to say have a positive outlook even when everything looks like shit. And given what’s happened over recent months, a lot of businesses have been looking for opportunities. Because let’s face for many businesses, everything does looks like shit.

Can’t do this. Can’t go there. That’s not allowed.

Person paying for an e-Commerce purchase as they hold a credit card up in front of a laptop

For many businesses, particularly those in the retail world, the opportunity has been to accelerate into e-Commerce. To set up their own online store

But as restrictions ease and retail stores start to re-open, it’s a good time to look at what online shoppers want from e-Commerce.

Interest in online shopping in the last 12 months

Certainly, during the lock-down phase, interest in online shopping rocketed. Check out Google Trends and look at that spike that started at the end of March 2020 with the runs on toilet paper.

Pun intended, obviously. 

Look at how Shopify is growing its presence. How brands like Lindt chocolate and Heinz ketchup jumped into Direct-to-Consumer. 

Google trends online shopping last 12 months 170620

Heck, even IGA which we’d flagged in a previous post as a e-Commerce laggard has managed to launch an online delivery service.

But look at the more recent trend. 

Interest judged by searches is still high. But it’s back down at similar levels to Christmas, Black Friday and Singles Day from last year.

So yes, COVID-19 might have pushed the e-Commerce baseline up. But that initial peak has subsided.

So, while it’s been like a short-term adrenalin boost for the e-Commerce business, there’s still a lot to review if you plan to have a longer-term e-Commerce business. 

And people have started to head back to stores. Look at the queues outside shops in countries that have had more restrictive closures, like this example in the UK.

The rush to get your online business launched

If you’re one of those businesses who rushed out an online offer as a response to the pandemic, now is a good time to go back over those parts of the e-Commerce planning process you skipped in the rush to launch your online business. 

We’ve been there. 

When your business is in a crisis-mode, and you identify the solution, you focus everything on the launch. It’s like a sprint to launch your site, and you stick to your lane till you launch your site and cross the finish line. 

Relay sprinter holding a baton in his blocks about to start a sprint relay

You focus on action and delivery. You short-circuit your normal planning and thinking processes. But with your shiny new online store now live, the race is only starting.

E-Commerce is a marathon, not a sprint. 

With your store live, now’s the time to ask what you really know about the needs of your target audience. What do online shoppers want? Do you need to review your e-Commerce competitive strategy for example? Do you have a clear link from your e-Commerce insights through to your brand identity and your activation

What online shoppers want

As we outline in our guide to the e-Commerce planning process, online shoppers want one of three things. They want ease and convenience, they want access to a range of goods and they want clear ways to compare prices.

Ease and convenience of online shopping

The majority of shopping is still done at actual stores, not online. But, when you think about it, shopping at a store more difficult and less convenient than shopping online. 

With online shopping, you can pick up your phone that’s never more than 2m away from you. You press a few buttons on the screen. And, voila.

Whatever you want magically turns up at your door a few hours or a few days later.

Brilliant.

Person holding a mobile phone with an e-Commerce page on screen and a credit card in the other hand

At any time of day or night, any day of the week. No need to go out. No need to physically carry products.

A few clicks and you’re all good.  

(check out our article on online alcohol shopping for examples of the the convenience of online shopping). 

Compare online to the physical store experience

You can only go at certain times of day. Times of day that the store decides. When you go, the store might not have what you want in stock. You have to physically carry goods all the way from the shelf till you get it home.

And think of all the time you have to give up.

You have to get yourself physically to the store. To drive and park, or use public transport. Talk to staff members. Tell them you’re not interested in their loyalty scheme, again. 

So, what we see come out again and again, like in this recent e-marketer survey on Amazon you can see below, is that online shoppers want ease and convenience most of all. 

Because let’s face it, most of us are lazy.

Or have better things to do with our time. 

e-marketer amazon shopper driver study

Range

And here’s where e-Commerce really wins out over physical stores in terms of what online shoppers want. Because in-store, we’ve all had that moment, where what we went in for is sold out. Or unavailable.

It sucks, right?

And it happens because physical shops have limits on space and time. They can only hold so many goods. Those goods need to move along a supply chain and be replenished when someone else goes in-store and buys them. 

But online, those space and time restrictions don’t really exist.

Screengrab of search result on converse on theiconic.com.au

You can buy pretty much anything you want from anywhere, all from your phone.

Think about it.

You can buy anything you want.

Unlimited choice.

(Check out our article on online fashion shopping for examples of selling large ranges online).

It’s no surprise, that Jeff Bezos positioned Amazon as the ‘everything store’ in the early days. Because unlimited choice is a strong and compelling driver to buy (and sell) online.

(even if selling with Amazon can be a challenge). 

As a consumer, once you press that “Buy Now” button, unless something goes wrong, your ‘job’ is done.

How it actually gets to you when you are a shopper, well, who cares, as long as it does get there. 

Price

There’s a commonly held belief that people who shop online are always bargain hunters. They like the ability to compare prices across multiple retailers and pick the best price.

And yes, you should consider sales promotion and price discounting for online selling. 

But while we do know this happens online, it’s happens a lot less than you think it would.

It comes across most clearly in bigger ticket-items. Think holidays, cars and electronics. 

Selling high ticket products online - Good Guys Linsar 75" TV product page

In these categories, the value of the time spent to compare prices results in savings worth the search time. Savings in the hundreds or even thousands of dollars range.

But when you’re looking at lower-value everyday items, like most groceries, the ability to save a few cents here and there doesn’t seem such a valuable use of time. In fact, most people who shop online tend to be LESS price sensitive than in-store shoppers. In general, the online customer pays more than in-store customer for the ease and convenience of the delivery. 

And because there are SO many online retailers, it would be impossible to research prices on all of them. That’s why range aggregator sites like Amazon, E-Bay and Google Shopping are so popular with those who do like to shop on price. They make the price comparison more convenient when they put everything in the one comparable place online. 

Online shoppers want convenience, range and price

So, if you are the owner of a shiny new online store, those are really the three opportunities to consider.

How will your store deliver a product to consumers that makes their lives easier and more convenient? And if you have set up your online store functions and systems to be relatively automated, you’re already well on the way to this goal.  

You need to consider the range you offer.

But online, it should be EVERYTHING you can possibly supply that’ll meet the needs of your target audience. .

Of course, you need to make sure the way those items are organised in your online store makes it easy for the customer to find what they want. But wide choice should be part of your benefit for customers.

And price. Well, online selling should be part of your pricing and sales promotion strategy for sure. 

Price is not necessarily about being the cheapest. But you do need to make sure that what you offer in terms of the overall product and service package justifies the price point you take. It needs to fit with your target audience expectations.

E-Commerce opportunity in crisis

Back to the opportunity in crisis motivational phrase we started with. It’s also often referenced in conjunction with the fact that the Chinese word for crisis has two characters.

One represents danger and one represents opportunity. Except if you do some investigation, it’s not an exact translation from the Chinese. As rather than opportunity, it actually means “a point where things happen” (which may be good or bad).

And given where we see most businesses currently at, when it comes to online shopping, we’re certainly at “a point where things happen” right now.

And if you have a newly hatched online store, the big opportunity is really to understand what online shoppers want and give it to them.

Check out our article on where to start with e-Commerce insights for more on this topic. Or contact us, if we can help you with a specific e-Commerce challenge. 

Photo credit

Credit Card / Laptop : Photo by rupixen.com on Unsplash

Sprint : Photo by Braden Collum on Unsplash

Online shopping with phone and credit card : Photo by PhotoMIX Company from Pexels

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