Commerce marketing firm Criteo has unveiled its latest App Commerce Goes Big in APAC report. The Criteo commissioned study, conducted by Retail Week Connect, highlights the use of retail shopping apps across Australia.
The survey analysed shoppers attitudes and behaviours towards retail and shopping apps. The findings revealed the most important reason for Australians to install and use a retail and shopping app is convenience. The vast majority (88 per cent) of respondents make a purchase via a retail and shopping app at least once a month.
The study uncovered the roadblocks stopping shoppers from revisiting apps, showing that 30 per cent of Australians will delete or stop using a retail app, mainly because it’s too complicated and not easy enough to use. Over half of Australians who have had a negative retail and shopping app experience will also change their opinion of the retailer as a result.
However, it’s not all doom and gloom; the research revealed the effect of a good experience is stronger than that of a bad experience, underlining the value of investing in the shopping experience and ensuring that an app meets expectations from day one.
The study also showed that an impressive 61 per cent of Australians find it more enjoyable to shop using a retail and shopping app than buying via a mobile website.
Smartphone reigns supreme
The research shows that mobile commerce has reached a turning point and is surpassing desktop purchasing as retailers continue to evolve their mobile shopping platforms, and shoppers look for on the go action. In Australia, 95.2 per cent of consumers use their smartphone to browse the internet. Retailers must employ both strong app and mobile web presences together with mobile targeting strategies to engage with shoppers wherever and whenever they browse and purchase in order to keep up with competitors.
The security of personal and financial data is still a prominent issue for many when using apps with 25 per cent of Australians citing this as their main concern.
Surprisingly 22 per cent of Aussie shoppers said the lack of cash on delivery payment options had stopped them from following through on a purchase. The payment on delivery issue was a bigger problem for Australian shoppers to compared to all other APAC respondents.
Apps should be optimised for smartphones
While shopping habits through apps on smartphones and tablets are similar, tablet usage is significantly lower in APAC. More developed markets such as Australia are witnessing a stronger transition to shopping on smartphones, having originally conducted ecommerce through PCs and laptops. This suggests that retail apps must be developed with the needs of smartphone users first and foremost.
Electronics are the most popular category for shopping via apps
Australia has a well-established ecommerce market where shoppers are used to turning to the internet to find the best deals. As a result, many categories proved to be popular but electronics took out the top spot with 51% of respondents shopping for them via retail apps. Fashion and luxury followed closely behind with 46%.
Commenting on the study, Pressy Sankaran, commercial director of Criteo ANZ, said, “As retailers gear up for the busy seasonal period, it’s important to examine how their digital experience is engaging and influencing potential shoppers now.”
“We know through our extensive data and insights into shopping behaviours, that a strong digital presence can be key to growing sales, but it’s not a process that can be rushed. The data suggests that many retailers rush apps to market to tick a box, but fail to develop a platform that meets shoppers’ needs in the process, ultimately creating a negative experience. Time to test must be invested.”
“It’s comes as no surprise that shoppers turn to shopping apps for convenience; we have these devices on us 24 hours a day. A mobile first world means businesses must embrace and leverage the opportunities of this continuously evolving marketplace if they are to thrive.”
“What’s also really interesting is that Australians are incredibly responsive to ads that appear in apps. The data suggests that brands are realising the value of using technology that allows them to track and put user data into action at every point of the purchasing journey.”