News Round up: Top 25 eCommerce Power Players announced, H&M’s new payment initiative, Russia eCommerce sales reach €20 billion
Nike, Walmart, and Max Mara executives head up new Top 25 Global E-Commerce Power Players list
Coresight Research and eShopWorld have teamed up to publish the list of ‘Top 25 Global E-Commerce Power Players’, a new industry list that identifies the top individuals at brands who are ‘helping make the ideal global shopping experience a reality’.
“The nearly two billion online shoppers around the world represent both a massive business opportunity as well as a challenge when it comes to integrating the retail supply chain to ensure a frictionless purchase journey,” said Deborah Weinswig, CEO and Founder of Coresight Research. “The digital leaders we named today are setting the standard in global e-commerce excellence and creating seamless local experiences that resonate with their international customers.”
During the year, industry leaders from around the world were invited to submit nominees for the top 25 list. The question was “Who is driving the successful growth of eCommerce today?” The most-nominated experts were shortlisted and a panel of judges determined who made the final cut, and in what order. The judging criteria depended on: success in global selling, cross border retail innovation, and influence in driving global eCommerce solutions.
H&M introduces new eCommerce trend to shops: ‘buy now, pay later’
Fast fashion giants H&M have begun to implement some of the features provided by eCommerce into their Dutch Stores. According to Retail Detail, the high street retailer is beginning the rollout of a new ‘buy now, pay later’ system in stores, where customers are invited to avail of the option to pay for an item two weeks after receiving it.
The new service will give H&M customers a period in which they can decide if they want to keep the item or not, rather than having to make a rushed decision while in-store. If you change your mind within the two-week period, the company will let you bring it back free of charge.
This is an idea borrowed from many online retailers, who have been using the technique for years to turn cautious window shoppers into customers. The service will debut in Holland, with plans for Belgium to follow suit. The company has cited improved customer service as the reasoning behind the decision.
“Why we do it? For the same reason we already offer a ‘return in store’ service, or free delivery. Customers expect an optimal shopping experience, whether it’s online or offline.”
So how does it work? The first step is registration via smartphone, then scanning an in-store QR code. The bill soon follows. The service brings many benefits to H&M’s loyal customers -they can manage their budget more effectively, avoid buyer’s regret, and bring home items to see how the clothes look and feel outside the store.
H&M hope that conversion is increased because of the new service, but only time will tell.
Report: Consumers still use desktop more than mobile for online retail
A new report published by Episerver has said that consumers are still choosing desktop as the primary device to make eCommerce orders, despite mobile making up the majority of web traffic.
The report discusses global eCommerce metrics across 1.3 billion different online shopping sessions, spread between 159 websites for retail and consumer brands. It emphasizes that smartphones are still used by the majority to access the web, with 50% of browsing sessions attributed to the medium. Desktop makes up 41% of the sessions, with tablets trailing behind by quite a distance, making up just 9% of sessions.
Despite this, the average amount of items bought while using the web is 24% higher on desktop than on its counterpart. Even orders via tablets are 14% higher than on smartphones. Episerver has suggested the data could be a result of people looking at a website on their phone initially and then converting on a separate device at a later time.
The report looked at other aspects of eCommerce, including conversion rates and website access. Paid search leads the pack in terms of conversion at 2.9%, with organic search coming very close with 2.8%, and referrals hitting 2.6%. Email trailed behind slightly, while social media and display had the worst conversion rates.
The study also stated that 17% of people interviewed said that the main reason they will visit a website for the first time is to buy something. Direct traffic – bookmarks, typed URL, email links and more – is the most common way to access a website, with 48% of people in the report visiting websites directly.
Russia: eCommerce sales expected to reach almost €20 Billion this year
According to a report published by EWDN, online sale of goods in Russia is forecast to hit €19.74 billion by the end of this year.
Russia’s eCommerce market appears to be growing from strength to strength, with many online retailers experiencing revenue growth of between 50% to 150%. Forecasts show this period of accelerated development to continue, with the report stating that eCommerce in Russia expected to be valued at €45 billion by just 2023, more than doubling the expected value for 2019.
The Chinese market still dominates the eCommerce world, but the big western countries continue to threaten that lead, with new players continually entering the market, such as Turkey recently.
One restriction for Russia in terms of cross-border eCommerce continues to be its personal data laws. However, with such impressive growth coming from the market, it appears retailers are working around it.
Majority of US shoppers will leave a brand following bad experience
In a survey published by alternative payments provider Klarna, it was revealed that 55% of US shoppers say that just one bad experience with a brand is all it would take for them to stop returning.
This may be a troubling statistic for retailers, as 36% of respondents said in the same survey they find it very difficult to keep up with changing consumer expectations. Even worse is that double that figure says retaining customers is becoming more difficult and requires them to work much harder than ever before.