For shoppers, it all boils down to convenience and connection. That’s the key finding of the new report, “Future of Retail 2019” from Walker Sands.
Based on interviews with 1,600 U.S. consumers on their shopping habits and expectations, 46% of consumers are more open to purchasing a big-ticket item online than they were a year ago.
And interestingly, consumers want to feel more connection with the items they purchase and the brands they purchase from. With this want for connection, 66% of consumers say they are buying less than they used to.
But brick and mortar still has its place as 25% of consumers feel more connected with brands when they go in the store.
Given the upcoming Amazon Prime Day (July 15, 16), here are some predictions of how consumers will act:
- Amazon Prime Day could be bigger than ever. A third of consumers (32%) now receive one or more Amazon packages per week, and one in 10 (10%) consumers receive three or more Amazon packages per week. Forty-three percent of millennials ages 18-35 report receiving one or more packages per week.
- Consumers are likely to trust Amazon’s product recommendations. Nearly a fourth of consumers (24%) say they are more willing to try new products recommended by Amazon than a brand or retailer.
- Amazon’s supply chain and logistics investments aren’t going unnoticed for consumers. Just 17% of consumers say they are always satisfied with online retailer’s shipping options for speed of delivery, compared to nearly double who are satisfied with Amazon’s delivery speed (30%). And, Amazon's one-day shipping option is right on time -- 35% of consumers say next-day shipping is a key in getting them to purchase more online.
- We may see a spike in purchases via voice-controlled devices. Amazon says the "biggest Prime Day deals ever" will be found on Alexa-enabled devices. This may be a smart strategy -- the report found two out of five consumers with a voice device (42%) have made a purchase with it in the past year, indicating an increasing comfort among those with devices. For consumers ages 26-35 that number is as high as 53%.
- Whole Foods may be a big player in Amazon’s grocery endeavors. Amazon says the biggest Prime Day deals will also be in Whole Foods. This is smart -- despite Amazon’s push into online grocery, just one in 10 consumers (11%) report purchasing fresh foods from Amazon.com in the past year. On the other hand, 82% of consumers report having made a purchase in a physical grocery store in the past year -- indicating that consumers still want that in-store experience.
