Online demands of shoppers not matched by retailers

SINGAPORE — Retailers are not keeping up with the demands of online shoppers, according to new research.

The Digital and the New Consumer: Emerging Paths to Purchase report by integrated marketing communications agency Havas Worldwide Southeast Asia said Asian shoppers are among the leaders in online shopping compared to their counterparts in the West.

Only 16 per cent of online consumers in the United States have used a mobile device to shop, compared with 50 per cent in China, 48 per cent in Singapore and 42 per cent in India.

Singaporeans are also more mobile and even more demanding when it comes to digital commerce. However, the demands of mobile shoppers are not matched by retailers, who keep a more conservative profile online.

According to the report, 94 per cent of Singaporeans surveyed shop online compared to the global average of 88 per cent.

More than half of them shop via their mobile devices — 48 per cent use smartphones and 26 per cent tablets. This is almost double the global average of 25 per cent for smartphones and 14 per cent for tablets.

Singaporeans prefer shopping for clothing, shoes and accessories (65 per cent) over travel (56 per cent) and technology products/personal electronics (54 per cent).

However, 84 per cent said they will still buy certain products from physical shops as they are able to touch and try the products (64 per cent), get the salesperson’s advice (34 per cent) and own the products faster (32 per cent).

But it is not all rosy on the online shopping front.

Shoppers said they get frustrated with the number of choices and information available online, causing them to feel overwhelmed.

At the same time, they say retailers are not doing enough to integrate their online resources with physical stores to create a seamless shopping experience, according to the report.

Even so, more than 72 per cent of local respondents said they will do more shopping online in the future.

Senior Analyst, Asia Pacific, for Forrester Research, Mr Clement Teo, said: “It’s gotten a lot more secure to use online shopping/commerce. Think about Amazon, eBay and the Apple iTunes store and how much more secure they have become. Also, more merchants are addressing the mobile needs as they continue to make improvements. For example, Redmart for groceries is fine for mobile, as well as for in-game purchases for Farmville, etc.

“For more people to get comfortable with online shopping, the user experience has to be seamless: From desktops to living room (for example, smart TVs) to mobile devices, and users need not re-enter personal banking details across all the platforms.”

“Also, it needs to be individualised, rewards the user, and seen to be secure. The ecosystem of merchants, banks, card associations and tech infrastructure providers have to be tightly integrated as well,” added Mr Teo.