What’s the worst thing that could happen to a Millennial after engaging in an immersive in-store experience? A long checkout line. According to survey results from payment solution platform Adyen, retailers lost out on approximately $37.7 billion over the last 12 months due to lengthy waits.
“The lines between the physical and digital shopping worlds are dissolving,” said Roelant Prins, chief commercial officer at Adyen. “Retailers need to cater to shoppers by offering fast, easy and frictionless ways to pay so there are minimal lines and offer personalized recommendations and in-store deals. In other words, experience is key.”
Conducted with 451 Research in March this year, Adyen polled more than 1,000 U.S. consumers to gain better understanding on consumers’ present and future shopping experiences, preferences, behaviors and the influence of evolving digital trends.
The survey results all pointed to the need for convenience in addition to deeply engaging shopping experiences. “Over the last 12 months, 86 percent of U.S. consumers say they have left a store due to long lines, resulting in purchases at a different retailer or no purchase at all. This results in approximately $37.7 billion lost in potential sales. In addition, $1.1 billion in potential sales have been lost when retailers don’t support their customers’ preferred payment methods,” said an Adyen spokesman.
The survey results also revealed a key consumer set, “Spendsetters.” According to the spokesman, this group comprises about one-third of all consumers and 52 percent of Millennials. This group is tech-savvy, and early to adopt new digital services and functionality. “Spendsetters will drive the future of retail as the key segment of shoppers who set the trends for how people want to spend and shop. They are a leading indicator of broader customer demands in retail experience and where the industry is headed,” the spokesman explained.
According to the survey results, 75 percent of the group will patron stores that offer simple “walk-out” payment options — 69 percent would prefer to shop in-store with shorter lines and that offer the direct shipment of products that might be out of stock. What’s more, 86 percent have left a store before completing their purchase due to lengthy lines.
Less surprising, 61 percent of Spendsetters want personalized experiences based off past spending patterns and behavior. “Seventy-two percent would shop more with personalized product recommendations and coupons based on location,” the spokesman said.
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