New research in 17 countries shows consumers combining online, in-person shopping for even low-value purchases.
October 20, 2014
The complex interplay between online and in-person shopping in the US has tilted slightly in favor of bricks-and-mortar retailers, according to GfK’s 2014 FutureBuy global study of shopping habits and preferences. Incidents of smartphone “showrooming” — seeing a product in a store, then buying it online from another retailer using a smartphone — dropped from 37 percent in the US last year to 28 percent in 2014. But “webrooming,” in which consumers buy in a store after researching a purchase online using a smartphone, was reported by an even higher proportion of respondents, 41 percent.
Use of a smartphone or tablet to “webroom” topped “showrooming” on those devices by 12 to 14 percentage points among Baby Boomers (ages 50 to 68) and Generations X (35 to 49) and Y (25 to 34). Only Generation Z preferred showrooming — and not by much.
Showrooming versus webrooming using a smartphone (percent reporting behavior in past six months)
| Generation Z (18 to 24) | Generation Y (25 to 34) | Generation X (35 to 49) | Boomers (50 to 68) | |
| Showrooming | 39 percent | 32 percent | 29 percent | 18 percent |
| Webrooming | 34 percent | 46 percent | 43 percent | 30 percent |
Across 15 product and service categories studied, 44percentof US shoppers reported combining online and in-person shopping activities – a jump of 7 percentage points versus 2013. Once limited primarily to “big ticket” purchases, this omnichannel behavior is surging in even lower-priced categories such as Beauty and Personal Care (reported by 39percentof US shoppers), Lawn and Garden (29percent), and Food and Beverage (22percent).
The largest US increases in omnichannel shopping came in Home Improvement (57 percent, up 19 points from 2013), Auto (also 57 percent, up 14 points), and OTC Medications (27 percent, up 12 points).
US shoppers who decided to make their purchases in a bricks-and-mortar environment were motivated by key differentiators such as “see and feel before buying” (58 percent prefer bricks and mortar, versus 9 percent online), “get products sooner” (53 percent versus 16 percent), and “hassle-free returns” (35 percent versus 10 percent). When online was the preferred purchase venue, attributes such as “save money” (61 percent versus 28 percent), “easier” (53 percent versus 24 percent), and “better selection” (46 percent versus 16 percent) were deciding factors.
Though PCs and laptops still account for the lion’s share of online research and purchases, mobile devices (smartphones and tablets) are playing a growing role. Internet shopping via a traditional home computer (PC or laptop) dropped from 78 percent to 63 percent in the US in just one year, while use of mobile devices doubled — from 8 percent to 15 percent for smartphones, and 5 percent to 10 percent for tablets.
Rises in smartphone shopping were more dramatic among Generations Z and Y, while tablets recorded significant upticks with Generation X and Boomers. Tablets have very consistent (though currently lower) usage for shopping across generations, while smartphones clearly skew younger.
Use of smartphones and tablets for online shopping (incidents in past six months)
| Generation Z (18 to 24) | Generation Y (25 to 34) | Generation X (35 to 49) | Boomers (50 to 68) | |
| Smartphones | 21 percent (+8*) | 25 percent (+11) | 15 percent (+7) | 7 percent (+4) |
| Tablets | 9 percent (+2) | 10 percent (NC) | 11 percent (+5) | 10 percent (+8) |
* Percentage point change versus 2013
“The big takeaway from this year’s FutureBuy study is how dynamic the shopper environment has become,” said Joe Beier, Executive Vice President of GfK’s Shopper and Retail Strategy team in North America. “We are seeing double-digit point changes in metrics designed to measure relatively foundational behaviors, such as omni-channel and devices used to shop. This volatility, combined with significant variability in shopper behavior by category and generation, makes it even more imperative that manufacturers and marketers build out an up-to-date and nuanced shopper insights platform, from which highly engaging and relevant programming can be developed. Without these insights, brands are simply in ‘hit-or-miss’ mode in execution; and, given how fast this space is moving, that is not going to be a formula for marketplace success going forward.”
