Young shoppers have changed their consumption habits and prefer to buy their products directly from branded e-commerce stores rather than going to retail stores or marketplaces, such as Amazon or Mercado Libre. However, e-commerce growth over the past two years has stagnated.
The 72% of consumers intend to meaningfully access physical stores once the pandemic passeswhich represents a 60% increase before the arrival of COVID, therefore, e-commerce will not be able to replace physical stores.
Branded e-commerce increases the likelihood of consumers sharing their data
The Capgemini Research Institute study, What Matters to Today’s Consumer, reveals that two-thirds (68%) of Gen Z and more than half (58%) of Millennials have purchased products directly from brands in the past six months.
Of those who have purchased directly from brands, nearly two-thirds (60%) cite a better shopping experience as one of the reasons for doing so, and 59% cite access to loyalty programs.
Tim Bridges, global director of consumer goods and distribution at Capgemini, said going directly to brands when purchasing goods presents a great opportunity for consumer products companies. This allows them to collect consumer data and helps create a direct channel to the most mature buyer.
Currently, nearly half (45%) of shoppers are willing to share data on how they spend or use the products, however, 54% say offers and/or discounts increase the likelihood of sharing their data directly with brands.
“Having data enables consumer products and retail companies to translate supply and demand trends into intelligent decisions about how best to stock their products and personalize products and services, as well as than improving the customer experience.said Tim Bridges.
Physical stores will explode when the pandemic ends; 72% of consumers plan to shop in person
For safety, concern and to avoid physical contact, the pandemic has increased the number of users who have purchased their products through digital channelsHowever, this trend has come to a halt, preventing e-commerce from completely replacing physical stores.
According to the Capgemini Research Institute study, 72% of shoppers expect to have meaningful interactions with physical stores once the pandemic subsides.
In general, all age groups expect their level of in-store interaction post-pandemic to be higher than their online interactions. Baby boomers are the most likely to interact in a physical store (76%), and Gen Z the least likely (66%).
However, the nature of these interactions is changing as, post-pandemic, 22% of shoppers expect to have a high level of click-and-collect order interactions. This trend is highest among millennials (33%) and lowest among baby boomers (11%).
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