45% of shoppers abandon purchases due to poor digital experiences
While forty two per cent of global consumers believe online shopping is superior to browsing for products in person, 46 per cent are “amazed” at the poor digital experiences major brands offer, according to research from VML.
The New York-based advertising giant surveyed more than 25,000 shoppers across 16 countries to produce its ninth annual Future Shopper Report.
A failure to meet customers’ online expectations is having a direct effect on retailers’ bottom lines, according to VML. In fact, 45 per cent globally said they “often” abandon purchases because they are frustrated with a brand’s digital experience.
Shoppers are also going back to stores, where 39 per cent said having a well-organized assortment was the top factor in choosing to visit in person. For 33 per cent, though, overly crowded stores were enough to send them looking elsewhere.
It’s possible that artificial intelligence (AI) will help address some of the challenges consumers have finding and making purchases online. More than half (52 per cent) of shoppers said they are excited by the prospect of having their own AI agent to shop on their behalf.
AI agents could provide the personalized touch brands need: 63 per cent say personalized recommendations help them discover new products. However 45 per cent of consumers said they think most brands do a poor job of personalization today.
“This isn’t just about AI enhancing existing channels; it’s about the
emergence of entirely new, AI-driven pathways to purchase,” the report’s authors wrote. “Brands must pivot from simply optimizing current journeys to actively designing for an agentic future, where understanding and integrating with these intelligent agents will be paramount to winning the digital shelf.”
360 Magazine Insight:
It’s possible that some of the frustration among shoppers over brands’ digital experiences stems from the fact more of them are spending time on individual retail sites.
VML’s data showed that the share of wallet for online marketplaces, for instance, has fallen from 29 per cent to just 22 per cent. Marketplaces were also tied with search engines as being the top channels for the discovery phase of the customer journey at 18 per cent.
Shoppers may begin looking through search engines or marketplaces like Amazon, for instance, but then go directly to retail sites to get more detail before clicking “buy.” If what they find there is at all confusing or disappointing, it’s no wonder they’ll abandon their shopping carts.
There’s also value in offering hybrid retail experiences: VML’s data showed 62 per cent of consumers prefer to shop for a brand with both physical and online stores. This reflects the non-linear customer journey where shoppers look online, touch and feel a product in store, then perhaps place an online order later.
VML’s gated 126-page report is chock-full of more data on AI, the impact of politics and the economy on consumer spending and much more on personalization in retail.
