STORES Magazine - September 2017 - 23
fees spelled out on the front end was a critical factor. Almost as
many - 76 percent - said they wanted the prices spelled out in
their home currencies.
"As you start understanding that consumers from outside your
borders are buying your goods, you have to understand how to
do international shipping," DeJianne says.
Shipping is still important, but consumers are willing to pay for
it. That does not mean that free shipping is going away, of course;
DeJianne says it has become almost expected. Its importance
continues to fall, however: In 2017, 74 percent said it was the most
important option when checking out online, dropping from 81
percent in 2014.
Free shipping can motivate customers to buy more. Nearly half
(48 percent) said they would add items to their carts to reach a
threshold for free shipping, though this can backfire, DeJianne
notes: "If you're going to drive consumers to buy more items, how
do you handle the returns of those items?"
Some 44 percent said they'd pick a slower transit time to
get their purchase for free while 41 percent said they'd look
for a promo code. Another 36 percent said they would choose
the ship-to-store option - which has benefits for retailers. Of
the 50 percent of consumers who have shipped to a store for
pickup, 44 percent have made additional purchases while in
the store. Only 31 percent said they would delay making the
purchase to wait for a free-shipping offer.
In all, 94 percent of shoppers have taken some action to
qualify for free shipping.
The expectations related to shipping are quite high; 64
percent of shoppers believe that an order placed by 5 p.m.
should be available for next-day shipping and 61 percent
UPS Pulse of the Online Shopper study.
(See sidebar above.)
"The amount of people that have a smartphone
across the globe continues to grow, 200 million or
so now," DeJianne says. "As a retailer, you are really
trying to provide visibility to customers when and
where they want to shop. It leads to that always-on
At least for now, though, there is still one bridge
too far, according to the UPS survey: mobile
purchases. Though UPS shows that 68 percent
of shoppers have researched products on mobile
devices, only 28 percent of smartphone users have
used a smartphone to purchase in store. Security
and privacy are cited as the reasons against.
Recent research from digital performance
marketing company Criteo found that mobile
transactions continue to grow in key retail
subcategories. In overall retail, mobile accounted
for 37 percent of transactions in the first quarter
of this year - up from 35 percent during the same
quarter of 2016. Fashion and luxury continues to
say if the order is in by noon, they should be able to choose
to receive their order the same day. Three in four shoppers
are willing to pay a premium to receive expedited shipping;
23 percent said they are willing to pay a membership fee to
receive free next-day or two-day shipping.
hold the highest mobile transactions at 43 percent,
but sporting goods showed the biggest year-overyear growth, jumping from 29 percent in the second
quarter of 2016 to 41 percent in 2017.
Mobile average order value has remained
relatively flat compared to desktop. It is clear that
cross-device transaction is growing, however. Criteo
data shows that 31 percent of all online transactions
in the United States involved two or more devices at
the end of 2016.
THE POWER OF RECOMMENDATIONS
A study published by TurnTo Networks, a producer
of user-generated content solutions, showed that usergenerated content outranks search engine results as the
most influential aspect of a purchase decision. Some
90 percent of those surveyed ranked user content
such as reviews, ratings and question-and-answers as
having some level of influence. Search engines were
rated by 87 percent. One in four said that user content
was extremely influential in purchasing, compared
with 8 percent for search engines.
STORES September 2017 23