Delivery continues to be the number one source of frustration for Australian online shoppers, with the most common cause of negative experiences being products taking longer to arrive than specified, according to a New Galaxy research commissioned by Appliances Online.
John Winning, Appliances Online CEO, said delivery is a crucial component of the online shopping journey, yet many online retailers continue to get it wrong.
“Although shopping online has become the norm for many Australians, logistics and delivery is still a major problem for consumers,” Winning said. “A high number of Australians are still reporting the wrong product being delivered, delayed delivery, or the product not being delivered at all, which is a huge problem around Christmas time.”
Winning said in the lead up to Christmas, timely and reliable delivery is more important than ever.
“Online retailers really need to get it right and step up their game or customers will go elsewhere as problems with delivery can mean missing the big day,” he said.
Winning said they have invested in their own delivery and installation team to provide speedy delivery.
“We’re aware of how critical delivery is, especially around Christmas, so our customers can order a product as late as 23 December and still have it arrive for the big day,” he said.
The research also shows Gen Y leads demand for personalised user experiences, however many Australians are still impartial to receiving tailored content. Thirty-five per cent of Australian consumers prefer sites that are not personalised (40 per cent of Baby Boomers), 30 per cent prefer retailers to personalise products and offers (43 per cent of Gen Y) and 36 per cent are unsure. Gen Y’s preference for personalised experiences is an early indication of future requirements for online retailers as digital natives embrace a more personalised approach to online shopping.
The increasing use of smartphones among Australian consumers highlights mobile purchases as an integral channel, demonstrating the need for a tailored mobile strategy. With three in four (74 per cent) Australians sometimes using a smartphone or tablet to help when shopping for items or services, a significant increase of eight per cent since 2015, retailers who do not invest in a mobile strategy may be missing out.
Security is one of the concerns affecting confidence in online shopping. Among the 18 per cent of Australians who are not confident about shopping online, the lack of confidence is largely due to their dislike of making credit card purchases online (64 per cent), and their reluctance to hand over personal details (57 per cent) while 28 per cent don’t trust the internet, the research revealed.
The research also showed when Australians shop online for large appliances such as a television or fridge 71 per cent mention an online supplier they can trust as a very important consideration. This has increased to 15 per cent from 2015 to become the most valued consideration. A high proportion of Australians also mention a good warranty (65 per cent) and a known brand that they can trust (63 per cent) as very important, while only 52 per cent mention free delivery.
According to the survey, negative experiences around online shopping continues to be more about late delivery or in relation to the product purchased than about credit card fraud or online security highlighting the importance of the last leg of the customer journey. Of the 44 per cent of Australians who have had a negative experience while shopping online, delayed delivery is the main problem with 44 per cent mentioning it, down from 51 per cent in 2015.
This is followed by products that weren’t the same as described online, mentioned by 42 per cent, down from 46 per cent in 2015. For 34 per cent of people reporting a negative experience the product didn’t arrive at all, compared to 47 per cent in 2015.
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