Consumers look to move their essential items shopping to online post COVID-19

Before March 2020, retailers and brands viewed supply chain diversification as a competitive differentiator: a valuable and proactive move, but not urgent. In fact, only 43% of respondents said that they preferred to shop online for essential items. But given how the demand for certain items has played out, 69% said they’d be more willing to subscribe to a delivery service for essential items following the pandemic. As we have seen retailers work their way into a new normal, a diversified supply chain is no longer a bottom-line booster, but a competency needed to survive.

 

As Amazon delivery timeframes continue to get pushed out, Prime subscribers still don’t trust that orders will be delivered on-time

Currently, Amazon has extended delivery promises on assortment they deem “non-essential.” The lengthened delivery promise window could reduce conversions among consumers, and may ultimately drive them to find the items they need from another retailer that can promise faster delivery. In fact, approximately 80% of Amazon Prime subscribers say that the expected delivery date has impacted their purchase decisions for essential items. Retailers that are able to rely on their network to keep essential items available and accurately provide delivery dates that are more reflective of their current logistics capabilities have the advantage of being able to offer a better customer experience right now.

 

Out-of-stocks are still happening

As consumer demand for certain product categories has increased, for example, lawn and garden products, DIY home projects and outdoor recreation, retailers are being put to the test having to find new ways to quickly fill supply gaps by tapping into a broader and more diverse network than they are currently supporting. Out-of-stocks stir agitation and cause stress for consumers; it is something that retailers can easily avoid with the right approach. Today, 75% of people said that they have searched for an item to purchase online, only to find that it was out of stock. By tapping into digital inventory and executing on proper resource planning and logistics execution, retailers could potentially have no sell-outs at all, enabling them to keep customers happy and maintain their brand promise.

 

Kerbside pickup is here to stay

Convenience plays an overwhelmingly large role in customer satisfaction, and now safety is something that consumers are taking seriously and is something retailers need to consider. 59% of consumers said they are more likely to use kerbside pickup following the COVID-19 crisis, signalling an adoption of social distancing that might become more prominent once the pandemic subsides. Providing more ways for contactless shopping gives physical stores the ability to provide what a customer needs quickly while reducing shipping costs and increasing brand loyalty.

 

Home delivery is still the safest option during COVID-19

Ecommerce is being tested in ways we never imagined and retailers need to find ways to keep up with shifting demand and an accelerated boost in online sales. In fact, 65% of survey respondents said delivery to home is the safest option for getting anything during this pandemic.

 

The full research findings can be downloaded here.

 

Another recent survey on holiday shopping habits can be found here  https://ignitevisibility.com/ecommerce-marketing-study/