Little Tolerance for Poor Service by Consumers who Shop via Tablet
By Josh Galde | June 12, 2014
There has been a lot of talk recently about how the new mobile reality is changing the way people shop, forcing retailers to confront the challenge of showrooming and adopt an “omni-channel” approach. As far back as 2012, ComScore was reporting that 10% of all eCommerce purchases were being made via the mobile channel and it was assumed by most that this trend would continue unabated. And while the number of mobile shoppers has continued to grow steadily (according to research published by Monetate, a provider of e-commerce solutions, tablets and smartphones accounted for 27% of e-commerce website traffic in Q4 2013, up from 18% in Q4 2012), the conversion rate among smartphone users continues to lag.
According to Statista:
“Tablets account for more traffic than smartphones do, and the conversion
rate on tablets is much higher than it is on smartphones. The data suggests
that tablet users actually make purchases on their device while smartphone
users browse products and check prices on the go but turn to bigger devices
or actual brick-and-mortar stores to make the purchase.”
[“Smartphone Shoppers Rarely Close the Deal, Statista, 03/06/14]
So while it’s clear that more people are using their mobile devices to shop online and that tablet shoppers are actually making a significant amount of purchases on those larger devices, the smartphone shopping experience still has a ways to go.
Even among the competing smartphone platforms (iOS, Android and Windows), as the above graph illustrates, there is some significant variance in relative conversion rates, with iPhone shoppers leading the way at 1.09%. And while some of this can be attributed to the demographics of the different user bases, it is clear that retailers still have work to do to ensure that they are optimizing their mobile sites and apps to improve conversion rates among all smartphone shoppers. All too often we see leading retailers, as tracked by our weekly Mobile Commerce Performance Index, falling short of accepted performance standards. According to a 2012 Google survey - fourty-eight percent of consumers that access the mobile Internet say they are frustrated and annoyed with web sites not designed with mobile in mind. Keynote research from last summer revealed that mobile users expect mobile sites to download in 4 seconds or less, yet a year later, half of the retail sites in our index take more than double that time to load!
At Keynote, we believe that preparing for the new omni-channel reality offers opportunities for all retailers. But this requires making sure that desktop and mobile websites, plus mobile apps, work around the clock. For online retailers, high-levels of site performance are simply a given. It translates to revenue and returning customers.
One unifying truth across all retail channels is that there remains little tolerance for poor service. Just as shoppers have always hated waiting in long lines or finding poorly stocked shelves, the mobile conversion rate will continue to suffer when shopping apps or websites are slow to load or fail to deliver to expectations. There is evidence that shows that faster performance leads to greater conversion rates. But conversely, it’s also true that a single point of failure, such as a checkout screen that fails to load, can undo all of the benefits you may otherwise enjoy. Keynote works with leading global retailers to ensure customers can quickly and successfully conduct retail transactions from their desktops, smartphones and tablets. In today’s always-connected reality, there is no excuse for missing out on a sales conversion opportunity due to poor performance.