Your Next Big Target in Omnichannel: Lapsed Click and Collect Consumers
Wednesday, September 12, 2018

Categories: Click & Collect

Your Next Big Target in Omnichannel: Lapsed Click and Collect Consumers

In the grand scheme of retail, omnichannel is relatively young. So, it’s not surprising that while doing our latest research into Click and Collect consumers, noticed one of the greatest opportunities in omnichannel today, the Lapsed omnichannel consumer group. Here’s why this group of consumers can change your omnichannel ROI. 

Lapsed Consumers were once interested in Click and Collect, it is now up to retailers to entice them back

In 2011, click and collect was becoming a much buzzed about phenomenon. Retailers across the globe, particularly in grocery, were experimenting with this fulfillment model. Forward-thinking retailers, who were anxious to take on web-only retail giants, tried everything they could to compete.

The results were mixed. Some retailers got click and collect very right. In fact, many of today’s Superconsumers were born during this time. Click and collect retail started to take shape. But other retailers were not as quick to embrace the full omnichannel opportunity. And as a result, a large number of consumers tried it, but then just did not participate again. These are the lapsed click and collect consumers.

 

Read More: Shopping with the Click and Collect Superconsumer

 

The Lapsed Click and Collect Consumer

Lapsed omnichannel consumers have not used click and collect in at least 12 months. Demographically, lapsed click and collect shoppers are typically between the ages of 35-49, male, and have a low to medium income. These consumers divide their retail time between shopping primarily in brick and mortar stores, and ordering online items that can be delivered.

 

Related: Click and Collect

 

What Created the Lapsed Click and Collect Consumer?  A report from Deloitte found that online shoppers worldwide were interested in Click and Collect, but few actually follow through on it. This disparity likely comes from shoppers' concerns that retailers cannot fulfill a cross-channel order

Today, click and collect is more popular than ever. As retailers seek to build click and collect fulfillment operations, more customers are trying ‘in-store pickup’ than ever before. But the lapsed consumer group, discovered in our research on click and collect, is staying away. Why?

Early Buy Online, Pickup in-Store (BOPIS) programs suffered from many of the same problems that still plague omnichannel adopters today. An overarching theme of these challenges is friction from one channel to the next with customers not having the same experience throughout. These interruptions in the buying journey deterred the lapsed consumers from using the service again.

Specifically, common challenges to a click and collect program are:

  • Long wait times for the customer at pick-up in store.
  • Untrained staff who are unable to assist customers when picking up orders.
  • Inventory shortages for preferred store location pick-ups.
  • A lack of dedicated pick-up location within the store.
  • General lack of communication to customers about how-to pick-up their purchases.
  • A disconnect between online and in-store shopping experience.

Lapsed consumers are those consumers who had tried click and collect services but were somehow deterred. This offers one of the greatest opportunities for retailers who are changing the game of retail with premium omnichannel experiences.

 

Read More: Is Foot Traffic Still Important to Omnichannel Retail? 

 

Here’s How Retailers Can Engage Lapsed Click and Collect Consumers   Read the Superconsumer Research Report

Lapsed consumers were willing to try click and collect once or maybe even a few times. As modern retailers look to grow their customer base for omnichannel, targeting the lapsed group of consumers can be a strategic move. By referencing the challenges that this group has experienced in the past, retailers can re-engage this consumer group, learn from them and create better click and collect experiences.

Retailers who optimize the click and collect process should dedicate store sections for pickups, train employees on the floor to assist customers and communicate with customers to ensure ease of pick up. Stores that follow these steps will reap the advantage of generating more sales from satisfied customers. Click and collect shoppers are more than twice as likely to spend more than a regular shopper, as well as make more unplanned purchases during pick up.

Lapsed click and collect consumers were once interested in participating in this fulfillment experience. It is up to modern retailers to entice this customer group back to omnichannel.

Author:  

Rida Talpur

Rida Talpur is OrderDynamics’ Jr. Marketing Coordinator, and resident retail-loving millennial. She has completed a B.A. from the University of Toronto as a specialist in Journalism. Rida has interned with prominent names in Canadian journalism including The Toronto Star, and Canadian Living Magazine.