Online Retailers Fail Customer Experience 101

Continuing yesterday's theme, here are five studies that try to uncover what online shoppers are looking for on shopping Web sites compared to the capabilities retailers currently provide.

1. The E-tailing group survey (covered in Internet Retailer) revealed that:
  • Online shoppers find site search the most useful element of a retail web site by a wide margin, specifically keyword search and advanced search functionality. Next were product comparison tools and customer ratings and reviews.
  • The reason - 65% research products online before making gift purchases, 74% typically comparison shop three sites or more before making a purchase, 60% search directly at a favored merchant, and 54% browse multiple online stores before completing a purchase.
  • Consumers also value bargains - 86% want free shipping, 76% want sales and specials, 69% want a perpetual shopping cart and 60% want one-page checkout.
  • “Gifting tools” also are growing in importance - 47% want to be able to buy gift cards online; 41% want to send the different elements of a purchase to different addresses, and 31% want to create wish lists.
  • Positive shopping experienced include free shipping and bargains, and negative ones include high shipping costs or other shipping problems, return problems and out-of-stocks. 

Bottom-line: “These responses challenge merchants to push those shopping online to buy more and entice those who prefer the store encounter to venture online via a more engaging experience. This will be accomplished by creating exciting, fun, easy-to-shop environments with desired products in-stock coupled by relentless customer service starting with timely, reasonably priced delivery.”

2. The FutureNow study (covered by eMarketer) showed that online retailers are failing to execute on many e-commerce basics.
While "easy checkout, product search and the right policies are as important as multi-channel integration and authentic user-generated content, such as ratings and reviews", in reality only:

  • 74% of retail Web sites offered estimated delivery times
  • 61% did not offer any information on the product page regarding in-stock availability
  • 58% correctly answered an e-mail question within 24 hours
  • 10% offered in-store pickup of orders out of 52% with physical stores
  • 43% offered free shipping
  • 42% provided shipping costs early in the checkout process
  • 35% had a checkout process with more than four steps
  • 33% offered customer reviews
3. The SLI Systems report (covered in Internet Retailer and eMarketer) found that nearly three-quarters of shoppers will leave an e-commerce site within two minutes of not finding the products they are looking for. In addition, 36% of those responding said they would never return to that site and 56% said they would only come back if the site had completely unique items that couldn’t be found elsewhere. 96% of those surveyed said a web site’s search function is important to the online shopping experience. 

Additionally, 87% of shoppers find retail sites through a major search engine, such as Google, Yahoo, MSN or AOL. 86% said they are inclined to visit retail web sites that they’ve never heard of simply because the site ranks highly on the major web search engines. Bottom-line: “Consumers have become more adept at shopping on the web and as such they now expect a seamless e-commerce experience from the sites they visit.”

4. The WebCollage research (covered in Retail Merchandiser) confirmed that retailers must provide complete product information in order to meet the needs of their online customers. It discovered that shoppers are more likely to linger and make purchases at retail websites that offer complete and compelling product information. The most useful pieces of information noted by consumers are detailed product compatibility information and product accessory listings.

For retailers, the price of having poor online content can be steep. Shoppers who are not able to find the information they need to make a purchase are ready and willing to go elsewhere. In the search for more complete, up-to-date content, 37% of shoppers said they would visit a competitor’s retail website to find the information they needed. Recognizing manufacturers as the best authority on their products, 55% said they would go to a manufacturer’s website to find their information.

5. The Omniture review (covered in ClickZ) discovered that "online retailers fall far short of offering good or even adequate customer experiences" (only 4 (!) out of 330 sites would get a passing grade).
The average site score was 43 out of 100, with the best site (SmartBargains.com) scoring a respectable 67.

The good news is that the basics can be fixed relatively easily. Omniture's suggestions include:

  • Present consumers with better and more enticing product descriptions, better-quality product images, multiple images and customer reviews.
  • Offer easily accessible information on product availability, gift options, return policies, shipping policies, and guarantees, as well as customer-friendly and easy-to-read and -understand return/exchange policies.
  • In the checkout process include multiple payment options, estimated delivery times, in-stock availability for items, in-store pickup where physical stores exist, a simplified checkout process with a progress indicator, and third-party seals and security assurances.
  • Implement customer service systems that provide faster and more accurate replies to customer e-mail inquiries, chat options and a visible phone number for questions and problems.


Posted by Universal Ad


 del.icio.us  Stumbleupon  Technorati  Digg 

 

What did you think of this article?




Trackbacks
  • No trackbacks exist for this entry.
Comments
  • No comments exist for this entry.
Leave a comment

Submitted comments will be subject to moderation before being displayed.

 Enter the above security code (required)

 Name

 Email (will not be published)

 Website

Your comment is 0 characters limited to 3000 characters.