Study Shows Disconnect Between Consumer Sentiment, Behavior

Widening gap in consumer behavior can provide opportunity for retailers to improve shopping experience.

January 15, 2015

NEW YORK – The findings of a new study by IBM released this week at the National Retail Federation convention, showed that while consumers are growing more enthusiastic about online shopping and digital interaction with retailers, their actual behavior lags behind. The findings, indicating that consumer expectations are not being met, identify clear opportunities for retailers — both online and offline — to close the gap and create new loyalty.

The IBM Institute for Business Value study analyzed four years of survey data from over 110,000 consumers in 19 countries. It found that consumers have become quite comfortable with combining digital and physical elements in their buying process. However, while IBM’s study found that 43% of consumers said they prefer to shop online, only 29% actually made their last purchase online.

Similarly, while the number of consumers willing to share social, location and mobile information with a trusted retailer went up compared to the previous year, retailers are still missing out. Although 42% of consumers see the potential benefit of sharing their location via GPS with retailers, only 28% are willing to do so, even with trusted retailers. Likewise, 54% see the benefit of sharing mobile for text with retailers, but only 42% would actually share this information.

“With consumers switching seamlessly from online to the store it might appear that retailers have finally struck the right balance, but IBM’s study identifies a significant gap between what shoppers want from retailers and what they are getting today,” Sarah Diamond, general manager for IBM Global Business Services, said in a statement. “Retailers may not be doing enough to meet consumer expectations shaped by digital experiences outside of retail, from location-based services to preference-based apps. The good news is that this gap also indicates the potential of growth for retailers who can meet those consumer expectations.”

For more findings from the study, visit ibm.com/business/value/shoppersdisrupted.
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