Until recently, online commerce represented a digital version of a large part of physical commerce with the same brands that we could find in the main shopping streets and following a similar commercial model. With the arrival of new technologies, infrastructures and commercial tools, there have been multiple changes in the dynamics of retail trade and in its commitment to digitization, such as the creation of marketplaces to improve retail.
But, without a doubt, for many retailers the emergence of COVID-19 is what has forced them to completely reconfigure their commercial strategy and adopt digitization as a means of survival and, at the same time, as an instrument to take advantage of the opportunity to exploit the huge potential of the Internet.
Customer Preferences
The landscape is more competitive and brands are competing for consumer attention, leading to a proliferation of new business models. The irruption of marketplaces or subscription services are an example of this.
In this sense, the study of YouGov shows that more than half of the respondents (56%) prefer to visit a marketplace to make all your purchases online, instead of going directly to individual stores. On the other hand we have the model of subscriptions, although it is not raising the same interest as the marketplace. Only 16% are open to monthly subscriptions for certain products, according to the YouGov report. In terms of age groups, it is millennials (25 to 34 years old), with 28%, the most likely to use a subscription service.
The study also addresses the link between users and brands and shows how loyalty is closely linked to values: 54% of adults say they feel more loyal to certain brands when their values ​​coincide with theirs, a percentage that rises to 63% again among young people between 18 and 24 years old.
“If businesses want to survive, they will have to act quickly to meet growing consumer expectations and deliver an optimal user experience,” he says. Borja Santos, head of Stripe Spain and Portugal.
And, after the pandemic, what?
What’s the “new normal” like in retail? How has it affected consumer behavior? According to YouGov’s report for Stripe, Covid’s shopping habits cannot be trusted to continue after the pandemic as only 23% of respondents say they continue to buy more online, once the stores have reopened their doors normally.
In fact, according to data from the Shopping Index from Salesforce For the second quarter of 2021, e-commerce revenues grew by just one 3% year-on-year worldwide, after registering four consecutive quarters of growth above 50%. In Spain, this growth has been 12% compared to the same period of the previous year, becoming the fourth fastest growing country, behind Canada (23%), the United Kingdom (17%) and France (16%) .
The YouGov study also shows the advantages and disadvantages of buying online, with consumers frustrated by the friction in the online experience, ranging from waiting times for delivery to lengthy registration processes. Thus, shipping costs (for 57%) and waiting times for delivery (for 45%) are the most negative aspects of Internet purchases, followed by long registration processes (for 28%) . On the positive side, users appreciate the convenience that e-commerce offers (for 52%) and the ability to meet multiple brands in one place (for 37%).