Despite the trend toward online shopping, the experience at brick-and-mortar stores keep customers coming back, according to Raydiant's State of Consumer Behavior 2022 report.
Due to the COVID-19 pandemic, online shopping has become even more popular than it was before. However, as employees have returned to work and mask mandates have lifted, consumers are beginning to patronize brick-and-mortar establishments again. Raydiant’s report shows that over 44% of consumers prefer to shop in-store, but consumers are picky; 77% say that the in-store experience influences where they shop. Of that percentage, 83% say that they will return to the store if they have a positive shopping experience. The report also shows that consumers care deeply about product organization, store design, a streamlined checkout, and the quality of customer service they receive.
Another study from UCLA Anderson reports that online shoppers are overwhelmed by the options and information online, causing shopping to become much less exciting for them. About 48% of consumers have switched from online shopping to in-person shopping to acquire their favorite goods and services. Most of those respondents say that they're driven back to stores because of the ambiance and experience of shopping. Others prefer to feel products for themselves before purchasing them.
While customers love a discount, data from the American Marketing Association shows that shoppers are exhausted by the number of loyalty programs that various brands offer. Between spam emails, data collection, and different promotion exclusions, consumers feel less incentivized to be brand loyal. In fact, 29% of respondents says they are switching brands today more often than they ever have, partially due to this loyalty program phenomenon. Bobby Marhamat, Chief Executive Officer of Raydiant, told Newsweek that brands should focus on providing exceptional in-store experiences to combat this phenomenon.
"Online shopping just isn't that exciting," Marhamat said. "When those brands can couch well-curated product offerings with a memorable in-store experience, customers rediscover why they love shopping in your stores."