Retail Trends Report 2018 - Ubamarket
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
2018
Retail Trends Report
Shop Smarter
FOREWORD
It’s been a turbulent and challenging year for retail but with that comes significant opportunity.
Whereas online shopping has seen sustained investment over the past decade, it’s now apparent that
the in-store experience is making a prolific comeback! With statistics clearly demonstrating that getting
shoppers in to stores will result in increased basket sizes and a more loyal customer base, the emphasis
throughout 2018 and beyond will be squarely on enhancing the customer experience. This is clearly
evidenced by the World’s largest online retailer investing substantially in bricks and mortar.
It is therefore more important than ever that retailers solve and eradicate the age old problems that
have consistently been seen as a downside when compared with online shopping. It is statistically
proven that if retailers can combine all the major benefits of online shopping with the widespread
appeal of the in-store experience, then their customer base will grow, shopping frequency will
increase, and basket sizes will get exponentially bigger.
For the first time, a simple to use and seamless technological solution is now commercially available
to all retailers. Ubamarket® is an entirely white labeled app (native to both iOS and Android) which
enhances the entire in-store experience for everyone and solves all of the major peeves experienced
by shoppers in 2018. The app enables customers to write their shopping list (guiding them to
each item), scan & shop, receive personalized offers and pay in-app to eradicate queues forever.
Ubamarket® effectively provides retailers with their own market-leading branded solution, which will
give them a distinct advantage, instantly!
Ubamarket® brings every aspect of the shopping journey together in one simple, convenient and
affordable app without the need for any additional hardware, delivering a personalized experience to
customers which results in lower overheads, increased store visits and bigger basket sizes.
We would welcome the opportunity to work with you and we look forward to hearing from you in 2018!
Will Broome
Founder & CEO, Ubamarket Ltd.
TRENDS AND INSIGHTS FOR SUPERMARKET RETAIL IN 2018 The Retail Trends Report 2018, is an annual body of customer-centric research dedicated to the current and future state of the nation’s grocery shop. Serving as the only analysis of its kind to focus on the behavioural insights and key decision drivers that define consumer shopping habits, the online and offline insights gathered are yet unseen by UK retailers. Gathered over a two-year period - between 2016 and 2018 - the Trends Report dissects the opinions and attitudes of over 2,000 UK adults across the nation - both in relation to their specific shopping experiences and how these perceptions will inform their ongoing shopping habits. Developed entirely around consumer sentiment towards the UK’s supermarkets, Retail Trends 2018 provides progressive retailers a unique blueprint as to how future-facing technology is effectively integrated with relevant in-store delivery. 1 In-store Vs online retail 2 Cashless Society - How customers will pay in 2018 3 Brits LOVE loyalty (delivered in the right way) 4 What your customers are REALLY doing in-store 5 How Ubamarket benefits both retailers and customers 6 Work with us
IN-STORE VS ONLINE RETAIL
Ubamarket
IN-STORE vs ONLINE RETAIL 2017
Catering to the the death of the of shopping for food little
ConvenienCe- high street and the and often continued. This
Motivated PhysiCal shoPPing was partly fuelled by a nation
ConsuMer exPerienCe that became more discerning
about produce and interested
D isruptive technologies
and the rise of online
The high-street is a British
institution, but the act of
physical shopping has been
in home cooking, which also
coincided with the emergence
of items such as artisanal
shopping have long been
cited as the British high- under threat since online retail foods and craft beers.
street’s main challengers. came to prominence. In 2012,
Saatchi & Saatchi discovered
Mobile apps have transformed
conventional industries, such that one in six UK stores were
83% of consumers
as taxi services, banking and boarded up, with footfall changed their
clothing retail; however, down by 10% over three-
despite their common years. During that time, a shopping habits
introduction as a means of quarter of high-streets around
diminishing the need for a the country were failing, with
storefront or bricks and mortar an additional 11% in decline. the rise of
outlets, industry research is Throughout this post-financial online retail
proving this to be a widely crisis period, online shopping
misunderstood notion. was just one of several The online model was once
Culminating over the course significant contributing factors flagged as a real disruptor
of the last five years, the UK that prompted UK shoppers to in the retail world, however
consumers desire for physical deviate from one large weekly research from IGD indicated
supermarkets has in-fact shop at a warehouse-style that adoption may not have
reached an all-time high - in supermarket. been as widespread as first
the case of the food-retail anticipated. In 2014 the
space – it is positioned at the Prior to that, the financial online market accounted
epicentre of a steadily crisis of 2008 had instigated for just 4.4% of total sales,
evolving omni-channel a wave of ‘segmented with forecasts expecting this
experience. This desire shopping’, where the weekly figure to reach only 8.3% in
however can only be catered ‘big shop’ was superseded by 2019. Nevertheless, in 2015,
for effectively if retailers smaller, more frequent visits appetite for online food retail
understand how to navigate to convenience stores, in a appeared to be rising, as the
the ubiquitous crossover bid to minimise food wastage UK ranked in the top two
between digital and physical and tighten budgets. Research largest online grocery markets
retail appropriately. In by Sainsbury’s in 2012 found in the world, second only
isolation, both online and that 83% of consumers had to China, with the industry
offline models serve an changed their shopping habits valued at £9.57 billion a year.
inherently flawed shopping at this time in response to By 2020, online sales are
experience, with a clear and squeezed family finances. forecast to reach £17.2 billion.
distinct call to action for However, in the wake of the That same year, 11% of UK
retailers to innovate around financial crisis and as Britain’s consumers did the bulk of
the actual trends and economy began to recover their grocery shopping online,
behaviours defining a future- from the recession, the habit compared to just 6% in 2011.
proof supermarket of 2018Additional research from Sales at ‘open all Despite the expectations
Barclays in 2015 also found that attached to online grocery
more Britons were using mobile hours’ convenience shopping as the disruptor of
devices to shop for groceries. British retail, those who do buy
The UK bank discovered that
stores rose by 1.8% groceries online are far from
although clothing is the most in 2015/16, satisfied. A staggering 71%
commonly purchased item on a of online shoppers said they
mobile device – amounting to reaching are frustrated with their online
£2.3 billion in 2014 (predicted £37.8 billion supermarket experience to the
to rise to £7.8 billion in five point of nearly abandoning
years) – more money is spent the model altogether. In a
on food and groceries – £2.6 the failings of nationally representative
billion in 2014 (forecast to reach online retail sample, that is the equivalent of
£8.8 billion in 2019). over 36 million UK adults.
The online market may have
The UK is ranked in increased in size in recent Britain’s online food shoppers
years and have further scope also voiced their most
the top two largest for growth in the near future, significant inconveniences in
online grocery but whether the model has the the Ubamarket survey, with the
strength to undermine in-store biggest grievance emerging
markets in the shopping altogether is yet to as the consumer’s inability to
world be seen. Independent research
commissioned by Ubamarket
select their own fresh produce
when shopping online, with
The increased spend online found that 43% of the UK does 38% of respondents stating
in recent years reinforced the not buy food online. Although this.
on-going trend of the ‘top up the majority have purchased
shop’ which continued into goods over the internet, there
the first half of 2016. Research is still a large proportion of 71% of online
from Mintel reported that
more British families were
shoppers yet to be swayed by
the online model.
shoppers said
abandoning the big warehouse- they are frustrated
style supermarkets. Instead,
families were buying bulk items 43% of the UK with their online
online or at budget brands,
does not buy supermarket
then performing smaller shops
at convenience stores. As a food online experience
result, sales at ‘open all hours’
convenience stores rose by
1.8% in 2015/16, reaching
£37.8 billion. The market is
expected to expand by a
further 13% in the next five
years, and is set to hit £43.8
billion by 2020.
By 2020, online
sales are forecast
to reach
£17.2 billionhow the uK's online shoppers feel
about their online food shop
The UK’s online shoppers aired the following
71% frustrations, that would potentially deter
them from internet grocery shopping:
43%
of online shoppers
are not satisfied with 38% Over two fifths of UK
internet grocery retail 29%
adults do not shop
I am not able to select for groceries online
my own fresh produce I receive unwanted
43% = 10,690,890 people replacement items
31% = 8,145,440 people
6%
Women are more frustrated
with not being able to select
18% 12% There are long waiting
their own fresh produce
times before items
online than men
The items I buy are can be delivered
The delivery slots = 1,527,270 people
poor quality (bruised,
are inconvenient
discoloured or misshapen)
33% 22% = 5,599,990 people
= 3,563,630 people
12%
Young people
(aged 18-34) are more 16% I am confronted with
frustrated with receiving
10% too many options when
unwanted replacement items I receive the I search for an item
than older shoppers It is difficult to check wrong items = 3,563,630 people
(aged over 55) dietary information = 4,581,810 people
= 3,054,540 people
What’s in-store for 66% of UK adults that UK shoppers are motivated
PhysiCal shoPPing? by saving money or adhering
– the equivalent to a budget. 8.1 million people
The inconvenience of the (16% of the survey) said the
online shop has driven some
of 33.4 million difficulty in tracking their spend
UK consumers back to the people – have was an issue with in-store food
store. In March 2016 a survey shopping. In addition, 19% of
found that a substantial 78% of said they are Britons – 9.6 million people –
Britons still prefer to shop in- frustrated with find themselves buying items
store and that only 20% favour they do not need or already
the online experience. And yet, the supermarket have, which was ranked the
irrespective of the proportion second largest irritation
of shoppers that prefer to go buying goods in-store. by UK shoppers.
to the supermarket, the in-store Amongst the UK shoppers
model is not without its flaws. surveyed, the most significant
in-store peeve proved to be 17.8 million people
Ubamarket’s survey discovered long checkout queues, with said that waiting
that 66% of UK adults – the 35% of consumers – 17.8
equivalent of 33.4 million million people – agreeing that times could deter
people – have said they are
frustrated with the supermarket
waiting times could deter them
from in-store grocery shopping.
them from in-store
and would potentially stop The survey also demonstrated grocery shoppingThe same survey also revealed – the latter of which could be The inconvenience of
that 15% of consumers – 7.6 used at 85 of the USA’s top online shopping that sent
million people – find it easy to 100 retailers and influence frustrated consumers back to
miss out on promotional deals $44 billion in retail sales in the convenience store is still
and discounts, which could 2016. European retailers not being remedied by new
prove problematic for shoppers such as Tesco and Waitrose technology, as reflected by
actively trying to save. trialled similar services in 2014, results from the Ubamarket
and in 2016, French retailer survey. The research found
The lines between online and Carrefour began to utilise that 15% of shoppers, or 7.6
offline are beginning to blur costly LED lighting systems that million UK consumers, said
in food retail, predominantly transmit promotional codes to their biggest grievance in-store
to increase awareness of smartphones via lightwaves. was the struggle to find items
in-store promotions. In a However, none of the former quickly and without assistance.
bid to personalise in-store technologies are focused on
shopping, retailers are starting enhancing the in-store user 7.6 million
to implement Bluetooth and experience or improving
Beacon technology to send efficiency. consumers
customers targeted promotions struggle to find
items in-store
Britain’s Biggest frustrations towards in-store shopping
UK shoppers aired the following frustrations that would
potentially deter them from in-store grocery shopping:
35%
26%
I have to wait in long 66%
queues at the check-
out = 17,818,150
15% 18-34 year olds said
of Britons are frustrated buying items they
by in-store shopping already have or do
I struggle to find the
not need was a big
items I want on the
16% shelves quickly and
frustration in-store,
compared to 13%
without assistance = 44% of over 55s
I find it difficult to track 7,636,350
my total spend
= 8,145,440 In London, people are
more impatient in-
15% store – 44% cited long
24% 11%
check-out queues as a
19% It is easy to miss major frustration (9% Young people (aged
out on promotional above the UK average) 18-34) are more than
I find myself buying deals and discount twice as likely as older
items I already have or offers = 7,636,350 shoppers (over 55) to
do not need find it difficult to track
= 9,672,710 their total spendthe deManding
shoPPer
Neither the online or offline how the uK feels about their
grocery shopping experience
grocery shopping experience
is fulfilling the needs of the UK
consumer. Although we are
now more engaged with our 30%
food, discerning about produce
and more budget conscious, Grocery shopping 28%
convenience overrides our is one of the most
decisions whilst inefficiencies inconvenient things I
Grocery shopping
in the food buying experience have to do each week
is my least favourite
are evidently leaving shoppers = 13,976,512 shopping experience
frustrated. This is apparent to (when compared with
such an extent that the failures other forms of retail)
of both models prompted over = 13,088,712
a quarter (28%) of UK shoppers,
27%
or 13 million people, to say that
grocery shopping is their least I have reduced
the frequency with
favourite shopping experience
which I buy groceries
compared to other forms of either online or in
retail. Consumer sentiment also 18%
a supermarket
revealed that 30% of shoppers = 12,429,203
– equating to 13.9 million I feel let down by the
grocery shopping
people – said that grocery
experience
shopping was one of the least = 8,446,785
convenient parts of their week.
However, one of the most 36%
notable findings to emerge 33%
from the Ubamarket survey of 18-34 year olds said
was that 27% have reduced grocery shopping was of 18-34 year olds
the frequency of their grocery their least favourite have reduced the
shops – that is 12.4 million that type of shopping frequency of
are turning their backs on the = 4,667,292 people their grocery shops
supermarket. = 4,261,441 people
28% of UK 25%
shoppers, or
of 18-34 year olds felt
13 million people let down by the grocery
shopping experience
said grocery = 3,246,812
shopping is their
least favourite
shopping
experienceCRITICAL INNOVATION FOR 2018
27% have half of 2016 (27% who have 82% of 18-34 year
reduced the reduced their food shopping),
this has correlated with the olds would use a
frequency of their rise of takeaway apps and solution combining
grocery shops delivery services. According
the benefits of online
to 2015 research, expenditure
The high number of on takeaways such as pizza, with in-store shopping
disillusioned younger curry and Chinese food is set to
consumers (18-34 year olds) is a rise by 28% by the end of the little and often, the 2016 findings
troubling statistic for the future decade to hit £7.6 billion a year. from Ubamarket suggest that
of food retail. Given that this In the first half of 2015, the consumer peeves are resulting
age bracket will serve as our UK’s largest takeaway business in over a quarter of UK adults
next generation of shoppers, JustEat saw sales increase reducing the frequency of
the British high-street and the 54%, whilst in 2016 Deliveroo their online and offline food
online supermarket model are witnessed 25% Month-on-month shopping. This was reflected by
both reliant on their satisfaction growth. data from the Confederation
in order to prosper. As around of British Industry (CBI) which
4.2 million young shoppers The correlation between showed that retail sales
have already reduced the the rise of delivery services dropped sharply in the weeks
frequency of their food shops and the decline in food following the EU referendum
and are subsequently turning shopping overall illustrates and, in July 2016, the BDO
their backs on the supermarket, a clear disconnect between monthly High Street Sales
this does not bode well for consumers’ appetite for ease Tracker recorded 0% growth,
food retail’s prospects. When and the stores’ inability to confirming a sixth successive
asked if consumers would deliver. We are clearly a nation month of no growth for British
embrace a hybrid solution that of demanding shoppers that retailers. The reduction in
combined the efficiency of seek quality but above all visits to the supermarket and
online retail and the benefits convenience; as reflected by shopping online has also
of in-store shopping, with the the 38% of online shoppers coincided with the decline in
addition of automatic loyalty who are frustrated by being sales for the UK’s ‘big four’
points, this age group was unable to select their own supermarkets. In August 2016,
the most receptive. Over four fresh produce and the 66% data from Kantar Worldpanel
fifths (82%), or 11.9 million 18- of Britons frustrated by the revealed that all four of the UK’s
34 year olds, would use such supermarket. The 69% of UK major stores saw sales decrease
a product, whilst 69% of UK adults and 82% of 18-34 year in a 12-week period. Although
adults overall would welcome a olds that would embrace a discount chains Lidl (+12.2%)
solution like this. hybrid solution combining and Aldi (+10.4%) enjoyed a
the benefits of online with the successful three months, Tesco
Although as of June 2016, in-store shopping experience (-0.4%), Sainsbury’s (-0.6%),
Waitrose began to implement is testament to this. A failure Morrisons (-1.8%) and Asda
an app to allow shoppers to to acknowledge the needs (-5.5%) all witnessed a decline
scan barcodes as they shop of the disillusioned shopper in sales figures. These are
in-store, very few food retail could reduce footfall at troubling statistics for a country
brands have embraced a bricks and mortar outlets once citied as a “nation of
solution to fully acknowledge and minimise spend online, shopkeepers” and if we are to
the consumer’s grievances driving consumers to the other revive grocery retail in a period
towards the in-store user amenities such as food delivery of decline, then listening to
experience. As the in-store and services. the needs of the consumer and
online experiences have failed responding with innovation that
to meet shoppers’ needs and Although initial statistics meets their demands could be
prompted a decline in grocery postrecession saw us shopping the solution.
shopping towards the latterCASHLESS SOCIETY - HOW CUSTOMERS WILL PAY IN 2018
CUSTOMERS EXPECT IN-APP PAYMENT
UK shoppers reveal that traditional checkouts are fast becoming redundant
THREE QUARTERS of shoppers abandon purchases due to long queues – a fifth refuse cash-only retailers
Rapid payment and mobile solutions key for millennials
73% 20%
20%
73% of UK consumers – 37.5 million 20% of UK adults say in-app payments
people – have changed their mind and Over 10 million people (20%) will are their favourite method of paying
decided not to buy something having consciously avoid shops, restaurants, for items
seen the size of a queue in a shop. newsagents, cafés or bars that only This rises to 34% among 18-34 year olds
53% of shoppers find queues the accept cash
most frustrating thing about the retail
experience
48% 41%
32%
21.1 million people (41%) believe all
Nearly half (48%, or 24.6 million
payments will be done via mobile
32% of people pick an online or high- people) hate using self-scan machines
devices in the future
street retailer based on how easy it is
to pay for items The figures jumps to 53% among
millennials
Shoppers across the UK are restaurants, newsagents, cafes of all shoppers, rising to over a
turning away from time- or bars that only accept cash. third of millennials.
consuming face-to-face Moreover, 32% of Brits actually
interactions with check out select online or high-street Will Broome, CEO of
staff in favour of rapid payment retailers based on how easy it is Ubamarket, commented on
methods. With supermarkets to pay for items. the findings:
slow to adapt, today’s research
has found 37.5 million (73%) The nation’s frustration towards “Over the past decade, major
shoppers across the nation outdated in-store queuing is retailers have taken some
have changed their mind and also revealed to be directed strides to use tech to improve
decided not to buy something towards self-scan machines, in-store shopping. However,
after seeing the size of a with 48% of shoppers frustrated today’s research reveals that
shop’s queue. by the current iteration of long payment queues remain
self-payment infrastructure in a significant challenge, ruining
Furthermore the survey also Britain’s retail outlets. millions of shopping trips and
revealed that ease of payment costing the sector significant
has become make or break for In app payment is found to revenue. Despite the rise of
retailers seeking to gain and be a timely solution, with online shopping, it is clear that
maintain shoppers’ custom. 41% of us – the equivalent of retailers must invest in their
Ubamarket’s research found 21.1million Brits expecting that in-store shopping experience
that retailers risk frustrating all payments will be processed to maintain shoppers’ loyalty
would be customers by via mobile devices in the future. in the competitive market of
maintaining archaic payment According to the research, in 2017.”
methods – over 10 million of app payment is already the
us will consciously avoid shops, preferred method for one fifthHOW DO BRITS LIKE TO PAY
Cash is a currency of the past: UK shoppers turn back on self-checkouts, cashiers
and notes in favour of in-app payments
Cash-only retailers lose out on TEN MILLION consumers
Nearly half the nation believe all payments will be made in-app by 2022
20% 20% 73%
20% of UK adults say in-app payments Over 10 million people (20%) will 73% of UK consumers – 37.5 million
are their favourite method of paying consciously avoid shops, restaurants, people – have changed their mind and
for items newsagents, cafés or bars that only decided not to buy something having
accept cash seen the size of a queue in a shop
This rises to 34% among 18-34 year olds
53% of shoppers find queues the
most frustrating thing about the retail
experience
32% 48% 41%
32% of people pick an online or high- Nearly half (48%, or 24.6 million 21.1 million people (41%) believe all
street retailer based on how easy it is people) hate using self-scan machines payments will be done via mobile
to pay for items devices in the future
The figures jumps to 53% among
millennials
Shoppers across the UK are Ubamarket’s research found In app payment is found to be
turning away from time- that retailers risk frustrating a timely solution; 41% of us –
consuming checkout queues and would-be customers by the equivalent of 21.1million
towards rapid payment methods, maintaining archaic payment people – expect that all
new research has found. methods – over 10 million of payments will be processed via
us (20%) will consciously avoid mobile devices in the future.
The 2018 Retail Trends report shops, restaurants, newsagents, According to the research, in
found that 73% of shoppers cafés or bars that only accept app payment is already the
across the nation – the cash. Moreover, 32% of Brits preferred method for one fifth
equivalent of 37.5 million actually select online or high- of all shoppers, rising to over a
people – have changed their street retailers based on how third of millennials.
mind and decided not to buy easy it is to pay for items.
something after seeing the
size of a shop’s queue. The The nation’s frustration
nationally representative study towards outdated in-store
by the retail app also revealed payments also extends to
that ease of payment has self-scan machines, with 48%
become a make-or-break factor of UK shoppers frustrated by
for retailers seeking to gain and the current iteration of self-
maintain shoppers. payment infrastructure in
Britain’s retail outlets.BRITS LOVE LOYALTY (DELIVERED IN THE RIGHT WAY)
BRITS LOVE LOYALTY POINTS
Half of UK consumers choose a retailer because of loyalty points
A points- obsessed nation: 13 MILLION are clueless on the value of their loyalty cards,
with 30 MILLION signed up to more than THREE schemes a third losing track of how many
schemes they’re signed up to
£6 BILLION sits gathering dust in loyalty accounts – 12.8 million Brits regularly forget their
loyalty cards and slam the system as “inefficient”
• Over 30 million UK adults (59%) have • 25% of UK adults say they have no • 21% of shoppers across the UK –
signed up to more than three loyalty idea how many points they have on 10.78 million people – say they prefer
cards with different retailers their loyalty cards or how they would to shop online so they can track their
find out spend and automatically receive
•46% of consumers – 23.62 million loyalty points
people – said they will choose a • £6 billion sits unclaimed in loyalty
retailer based on the points they can accounts with the UK’s leading • This figure rises to 35% among those
earn through a store’s loyalty scheme retailers aged between 18 and 34
• However, 30% of shoppers say they • 12.83 million people regularly forget
have lost track of how many loyalty their loyalty cards, causing frustration at
schemes they are a member of that the “inefficient” card-based system
This year’s Retail Trends Report their loyalty cards and would not online so they can easily track their
research reveals the true extent know how to find out. The findings spend and receive loyalty points
of the UK’s love-hate relationship come as research shows that a automatically. Millennials are even
with retail loyalty schemes. The massive £6 billion sits unclaimed more likely to turn away from in-
white label supermarket app in loyalty accounts with the UK’s store shopping, with 35% of those
commissioned a survey among leading retailers. Furthermore, aged between 18 and 34 saying
more than 2,000 UK adults, a huge number of people also they prefer to go online for the
uncovering that the majority of stated that they are frustrated loyalty benefits it provides.
consumers (59%) are signed up with card-based loyalty schemes.
to at least three different loyalty With a quarter of shoppers (25%, Will Broome, Founder and CEO
schemes. Moreover, almost half or 12.83 million people) saying of Ubamarket, commented on the
(46%) of shoppers said they choose they regularly forget their loyalty findings:
to buy items in certain shops over card, consumers have claimed that “Loyalty schemes have a huge
others based on the points they the current system is “inefficient” amount to offer consumers –
can earn through a store’s loyalty and needs changing – this figure that is why so many of us are
scheme. jumps to 38% among millennials. signed up to vast numbers of
CLUMSY LOYALTY SYSTEMS them and are drawn to certain
CONSUMERS COMMITTED PUSH SHOPPERS OUT OF retailers over others. But the way
YET CLUELESS ON POINTS STORE AND ONLINE people collect, track and reclaim
COLLECTED Furthermore, a huge number points through these schemes is
However, despite the significant of people also stated that they horribly out-dated.”
impact loyalty schemes evidently are frustrated with card-based
have on consumers’ spending loyalty schemes. With a quarter of
habits, Ubamarket’s nationally- shoppers (25%, or 12.83 million
representative study uncovered people) saying they regularly
mass frustration with the current forget their loyalty card, consumers
system. Three tenths (30%) of UK have claimed that the current
adults – the equivalent of system is “inefficient” and needs
15.4 million people – say they changing – this figure jumps to
have lost track of how many loyalty 38% among millennials. As a
schemes they are a member of, result of the inefficiencies of in-
while 25% said they have no idea store loyalty schemes, 21% of UK
how many points they have on adults said they are opting to shopCONSUMERS consumers have claimed that the
59%
COMMITTED YET current system is “inefficient”
and needs changing – this figure
CLUELESS ON POINTS jumps to 38% among millennials. Over 30 million UK adults
COLLECTED (59%) have signed up to more
than three loyalty cards with
As a result of the inefficiencies different retailers
However, despite the significant of in-store loyalty schemes, 21%
impact loyalty schemes evidently of UK adults said they are opting
have on consumers’ spending to shop online so they can easily 46%
habits, Ubamarket’s nationally- track their spend and receive
representative study uncovered loyalty points automatically. 46% of consumers – 23.62
mass frustration with the current Millennials are even more likely million people – said they will
choose a retailer based on the
system. Three tenths (30%) of UK to turn away from in-store points they can earn through a
adults – the equivalent of 15.4 shopping, with 35% of those store’s loyalty scheme
million people – say they have aged between 18 and 34 saying
lost track of how many loyalty they prefer to go online for the
schemes they are a member 30%
loyalty benefits it provides.
of, while 25% said they have
no idea how many points they Will Broome, Founder and CEO However, 30% of shoppers say they
have lost track of how many loyalty
have on their loyalty cards and of Ubamarket, commented on schemes they are a member of
would not know how to find out. the findings:
The findings come as research
shows that a massive £6 billion “Shopping apps with in-built 25%
sits unclaimed in loyalty accounts loyalty schemes are an easy way
with the UK’s leading retailers. to overcome these issues. No 25% of UK adults say they have
more worrying about if you’ve no idea how many points they
have on their loyalty cards or
Furthermore, a huge number remembered your loyalty card how they would find out
of people also stated that they and no more being left in the
are frustrated with card-based dark about how many points
loyalty schemes. With a quarter you have; in-app loyalty means £6
billion
of shoppers (25%, or 12.83 you will effortlessly amass and
million people) saying they reclaim loyalty benefits, which is £6 billion sits unclaimed in
regularly forget their loyalty card, why retailers must move towards loyalty accounts with the UK’s
consumers have claimed that the this solution.” leading retailers
current system is “inefficient”
and needs changing – this figure 12.83
million
jumps to 38% among millennials.
CLUMSY LOYALTY SYSTEMS
12.83 million people regularly forget
PUSH SHOPPERS OUT OF their loyalty cards, causing frustration at
STORE AND ONLINE that the “inefficient” card-based system
21%
Furthermore, a huge number of
people also stated that they are
21% of shoppers across the UK – 10.78 million people
frustrated with card-based loyalty – say they prefer to shop online so they can track their
schemes. With a quarter of spend and automatically receive loyalty points
shoppers (25%, or 12.83 million This figure rises to 35% among those aged
people) saying they regularly between 18 and 34
forget their loyalty card,WHAT YOUR CUSTOMERS ARE REALLY DOING IN-STORE
UBAMARKET UNCOVERS WHAT YOUR
CUSTOMERS ARE REALLY DOING IN-STORE
SUPERMARKET PURCHASE BEHAVIOUS 2018
54% 49% 53% 59%
USE LISTS PURCHASE PRIORITISE IGNORE
I enter the supermarket IMPULSIVELY CONVENIENCE ADVERTISING
with a pre-written/thought- I enter the supermarket In-store advertising
out list, and find it difficult I select the supermarket I visit based
with a roughly pre-written such as promotional
to remember what I need on the speed, convenience and
list but around half of my activity on aisles or
to buy without it efficiency of shopping in that store
shop is made from other till-points don’t really
over factors such as reduced-price or
items not on the list based influence my purchase
a well-known chain. Convenience is
on impulse purchases decisions
the most important things for me
BAKERY JAMS SWEETS FRUIT
47% ICE CREAM
17.5m
DAIRY
AVOID SELF
CHECKOUTS WANT APP
I avoid self-checkout machines
CONSOLIDATION
74%
whenever possible as they are
complicated and they often 17.5 million
go wrong shoppers want one
RESPOND app for the end to
TO OFFERS end supermarket-
shop, stating
I am much more likely to add logging into
additional items to my basket multiple apps in one
that I did not originally set out store for purchase,
to buy if they are on a loyalty tracking and
promotional offer live-offers stops
them from returning
to that storeHOW UBAMARKET BENEFITS BOTH RETAILERS AND CUSTOMERS
FEATURES FOR RETAILERS
AND CUSTOMERS
KEY FEATURES
RETAILERS’ FEATURES CUSTOMERS’ FEATURES
REDUCE OVERHEADS SHOPPING LIST GUIDES YOU TO PRODUCT
INCREASE BASKET SIZE SCAN AS YOU GO
LOYALTY UPTAKE TO 100% IN-APP PAYMENT = NO QUEUES
TARGETED OFFERS AUTOMATIC LOYALTY
COLLECT BEHAVIOURAL DATA TRACK IN-STORE SPEND
FUTUREPROOF YOUR STORE BENEFIT FROM BEST OFFER COMBOS
VIEW SHOPPING HISTORY KEEP ALL OF YOUR E-RECEIPTS
REDUCE QUEUE TIMES NUTRITIONAL SHOPPING
REDISTRIBUTE LABOUR RECIPE SHOPPINGWORK WITH US
WORK WITH US
“The World’s most sophisticated retail app.”
Working with Ubamarket is simple. We offer a licencing structure, bespoke app modules to match
your requirements and full technical support. Working with Ubamarket enables you to have your own
branded app live in store within weeks.
• Our software solution integrates with any existing EPOS system and hardware.
• Our design team creates your white label solution according to your brand guidelines
• We integrate our own loyalty programme or integrate with your existing loyalty provider
(loyalty is optional)
• We provide full store mapping of all products and locations across all stores
• We provide on-going access to real time behaviour pattern data
We are continually developing the app, launching new features and innovating the customer experience.
Your white label app will enable you to stay ahead of the game in a fast-moving digital world where
shoppers expect the best.
We would be delighted to discuss your requirements and look forward to working with you in 2018.
home list shop home list shop
Shop Smarter Milk SKIP
Aisle 2, left
MR A SMITH
000000 0000 0000 0000
You have 1640 points worth £16.40
START SHOPPING
SHOPPING LIST
S
ER
FF
O
1/2 £0.62
ST
TODAY’S OFFERS
TE
LA
SPECIALLY SELECTED FOR YOU scanned Checkout in basketUbamarket
Ubamarket
Top Floor
Top Floor
42 Bruton Place
42 Bruton Place
Mayfair, London W1J 6PA
Mayfair, London W1J 6PA
www.ubamarket.com
www.ubamarket.com
Ubamarket
42 Bruton Place
Mayfair, London W1J6PA
Tel: +44 20 7015 2250
Will Broome
CEO and Founder:
Email: will@ubamarket.com
Tel: +44 7767 688866
Fiona Ferrer
Head of Customer Engagement
Email: fiona.ferrer@ubamarket.comYou can also read
