Click and Collect Picks Up Steam with Holiday Gift Shoppers

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Click and Collect is gaining traction as more shoppers make purchases online and pick up merchandise in a physical store. People like the convenience of shopping online and having their order ready within an hour in most cases without paying shipping fees.

Long story short, Click and Collect enables the end consumer to get the product they want, when they want, where they want, how they want, and at the price they want.

InfoScout has been tracking the use of Click and Collect, particularly during the 2016 holiday gift shopping season. We surveyed 600 Click and Collect shoppers to see if there has been a shift in adoption, identify the top Click and Collect retailers for holiday gift shopping, and find out how shoppers rate their experiences with Click and Collect.

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Among those shoppers who have used Click and Collect, 38% have already used the service for purchasing and picking up holiday gifts this year. 15% used Click and Collect for the first time during the 2016 holiday shopping season. 51% used the service for the first time within the past 12 months, showing an uptick in adoption.

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There is a clear “Big Three” for top Click and Collect retailers during the 2016 holiday gift shopping season – Walmart (58%), Target (39%) and Kohl’s (26%). JC Penney (12%), Sears (9%) and Kmart (8%) round out the next tier of Click and Collect retailers.

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Perhaps the most encouraging sign for future adoption of Click and Collect is the positive feedback. 99% of shoppers rated their overall experience with Click and Collect during the 2016 holiday gift shopping season as “as expected” or “better than expected.”

92% of shoppers who have already used Click and Collect to purchase holiday gifts in 2016 said they are “very likely” or “somewhat likely” to use this service to purchase additional gifts before the holiday season is done. Looking ahead to 2017, 95% of shoppers are “very likely” or “somewhat likely” to use Click and Collect again when they shop for holiday gifts next year.  These additional Click and Collect purchases pose a significant challenge to retailers in that they have to find creative ways to encourage shoppers to buy impulse and add-on items that typically end up in the cart from general in-store shopping (ex. batteries for the toy helicopter, case for the new tablet, etc.).

There are two important points to consider about this data. First, InfoScout focused exclusively on Click and Collect for the purpose of holiday gift shopping. Our survey doesn’t account for other use cases and time periods in which adoption could be increasing.

Second, the holiday shopping season is far from over, as most shoppers plan to wrap up their shopping during the second week of December. If the intention of shoppers to use Click and Collect again holds true to form, the service could end up having an even greater impact on the 2016 holiday gift shopping season.

About the Data

These insights were powered by InfoScout’s ability to trigger real-time surveys based on observed shopping behavior. The data in this article was sourced from a survey completed by 600 shoppers who have used a Click and Collect service at least once in the past 24 months.

Throughout the 2016 holiday shopping season, InfoScout’s team of researchers will be analyzing real-time data from millions of omnichannel shopping trips. This data is mapped to shopper profile data, instantly triggered surveys and more to provide the richest set of shopper insights available.

For more information, please contact press@infoscoutinc.com.

2016 Holiday Shopping Trends & Predictions, Part 2

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In the run-up to Black Friday, InfoScout’s team of researchers has been examining holiday shopping trends and has developed a number of predictions. Part 1 of our two-part blog series ran yesterday; today we share Part 2.

Our predictions for the 2016 holiday season include:

Any growth in year-over-year holiday sales will be won by Amazon – for all other retailers, the shopping season will be a zero-sum game.

Last year, the No. 1 “first stop” for Black Friday shoppers was Walmart — but running a close second was Amazon, as shoppers preferred to enjoy the leisure of shopping from home, rather than brave the crowds. InfoScout expects that trend to accelerate in 2016.

“Amazon’s share of holiday sales will grow by double digits again this year,” Schrieber said. “In fact, we expect Amazon to account for virtually all growth in retail sales, while others fight over their share of the rest of the pie.”

Voice products like Amazon Echo will have a breakthrough holiday season.

InfoScout predicts 2016 will be the Year of Voice for holiday shoppers, as products like Amazon Echo, Google Home and others in the “smart speaker” category gain awareness and rapid adoption.

“Last year was a huge win for the Amazon Fire, which dethroned the iPad as the top-selling tablet on Amazon during the holiday season. This year promises to be even bigger for the Amazon Echo; we predict it will be among the season’s hottest products,” Schrieber said.

Use of “click and collect” among shoppers will more than double.

“Click and collect” services enable people to shop online and then pick up the items at the store, giving shoppers the ability to avoid long checkout lines and shipping fees. InfoScout expects usage of “click and collect” to spike dramatically this year.

“An InfoScout survey earlier this year showed that only 34.6 percent of shoppers had used ‘click and collect’ — but of those shoppers who used it during the 2015 holiday season, a full 95 percent plan to use it again in 2016. That suggests rapid adoption is on the way,” Schrieber said.

It will be another difficult holiday season for mobile payments.

Apple Pay had a disappointing season in 2015, being used in only 2.7 percent of eligible transactions. That was down from 4.9 percent in 2014. InfoScout predicts 2016 will be even tougher for Apple Pay — especially now that top retailers including Walmart and Kohl’s have introduced their own mobile payment options.

“The challenge for mobile payment options is that shoppers don’t find them any easier or more convenient to use than credit or debit cards. Until that changes, adoption will fail to cross the chasm,” Schrieber said.

Throughout the 2016 holiday shopping season, InfoScout’s team of researchers will be analyzing real-time data from millions of omnichannel shopping trips. This data is mapped to shopper profile data, instantly triggered surveys and more to provide the richest set of shopper insights available.

Business and consumer news media interested in specific holiday shopping data and trends may send inquiries to infoscout@ideagrove.com.

Black Friday’s Payment Method Showdown: How Did Mobile Wallets Fare?

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It’s the weekend after Black Friday, and the InfoScout team is busy analyzing millions of receipts to report on where people shopped and what they bought. But what about how consumers paid for those Amazon Fire tablets and Fitbit trackers? With the rise of mobile wallets like Apple Pay, Android Pay, Samsung Pay, and PayPal, we wanted to find out if this Black Friday would be the shot heard round the world for mobile payments.

 

With 300,000 Americans submitting pictures of receipts through apps on their smartphones, InfoScout can identify exactly what type of devices they’re using, down to the model numbers. This allows us to study transactions made by people who actually have the capability to use mobile payment technologies such as NFC exclusively at stores with compatible point-of-sale (POS) terminals. For Apple Pay, this qualifies owners of the iPhone 6 and above. On the Android side, the device market is far more fragmented, so we limited our study to owners of fairly equivalent devices: the two most recent versions of Google’s Nexus phones, the LG G3 and G4, and the Samsung Galaxy S5 & S6.

 

We found Apple Pay usage at its lowest rate since we’ve started tracking it, being used for only 2.7% of Apple Pay-eligible transactions. This is a fairly marked decrease from what we saw last year on Black Friday, when iPhone 6 owners used Apple Pay for 4.9% of eligible transactions at participating merchants. Of course, back then the primary owners of Apple Pay-enabled devices were early—and technologically curious—adopters, whereas now the technology is in the hands of the broader population. Below you can see the usage over time in our quarterly Apple Pay tracking reports.

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On the Android side of the table, we saw an even lower rate of mobile wallet usage – just 2.0% of eligible transactions. This was our first time investigating mobile wallet usage among Android owners and we were interested to see that of all the mobile wallet options available, it was actually PayPal that came out on top on Black Friday. Since Android Pay and Samsung Pay were both released within the last three months, we may see this picture change as time goes on.

So what was the most common way shoppers paid for their Black Friday bargains? Plastic. This year, 79% of iPhone users and 74% of Android users paid with their credit and debit cards on 2015’s iconic shopping day, and that doesn’t even count the mobile wallet transactions that were funded by credit/debit cards.

How Android and iPhone users paid for their Black Friday purchases.