5 Reasons Click & Collect has taken retail by storm
Over the last few years, Click & Collect has emerged as one of the most popular checkout options for online shoppers in the UK and Europe.
And for those who live a busy lifestyle, it’s hardly surprising. Most of us have had the experience of anxiously awaited the arrival of a parcel only to find it missing upon arriving home. By giving customers a secure collection point, Click & Collect solves this problem.
Click & Collect gives retailers an additional competitive edge by adding to their arsenal of delivery options, needed to win over customers. And customers gain the flexibility to pick up their parcels from a local, convenient, and vetted checkpoint. Below, we’ve listed out five reasons why retailers are rushing to roll out Click & Collect.
1. EXPLOSIVE CONSUMER DEMAND
While many pundits proclaimed that e-commerce giants such as Amazon and eBay would deracinate brick-and-mortar retail as we know it, current trends indicate that there is still a strong consumer preference for buying online and picking up in store. Presently, 72% of UK shoppers use click and collect, and 87% of Click & Collect users say they are very likely to recommend it to a friend. The statistics paint a bright future for Click and Collect because not only is it popular, but it also satisfies customer needs. Accordingly, Additionally, the percentage of consumers who take advantage of Click and Collect continues to rise; Click & Collect usage is expected to double by 2025.
When given the choice between rigidity and flexibility, consumers almost always pick the latter. Given that 21% of online shoppers are let down by logistical errors or delivery delays, it’s not a shocker that consumers desire the utility of in-store pickup. Plus, it’s not uncommon for parcels to arrive at inconvenient times. Traditional, at-home delivery leaves customers vulnerable to potential thieves and tube delays, each of which can prevent a customer from receiving his package. The advent of Click & Collect has proven itself attractive to consumers who desire more flexibility from their collection options, as they can pick up at a time that suits them.
Aside from the flexibility that Click & Collect offers, companies such as HubBox give consumers with an additional layer of convenience: The capacity to not only pick up a parcel at the retailer’s brick and mortar store but also to pick up a parcel at a local HubBox collect point. This additional feature gives customers the benefit of in-store pickup even if their shop of choice doesn’t have a brick-and-mortar location. Whether a consumer wishes to pick up his parcel near his workplace or home, click and collect can make it happen.
4. DRIVE FOOT TRAFFIC
Recent studies corroborate common intuition, which suggests that a customer picking up a parcel in a store is more likely to purchase additional products than a customer who had their parcel delivered to his doorstep. The data is especially auspicious for retailers: it indicates that between 50%-60% of shoppers who enter a store to pick up an online order made an additional purchase. Additionally, the studies suggest that younger buyers are more likely to make impulse purchases when picking up online orders. From a retailer’s perspective, any strategy that results in increased store traffic is a successful one. Should retailers buttress their current delivery options by including Click & Collect, it’s likely to show promising returns.
5. REDUCED WAIT TIMES
When consumers were asked why they enjoy using Click & Collect, 51% named the shorter wait times as one of their reasons. In an age of instant gratification, which includes on-demand TV, video games, and food, it’s not surprising that consumers desire the same speed of service when it comes to retail. Customers desire flexibility and convenience over all else, and the wait time is no exception.
Although the short wait times, flexibility, and convenience of Click & Collect are salient attributes, 36% of customers faced difficulties in picking up their parcels last Christmas. The data indicates that while many customers leave with a positive in-store experience, many also leave frustrated by a shortage of staff members, long wait times, or unavailable items. Thus, it’s important to remain cognizant of the additional demands placed on the staff, who will require training to support in-store pickups.
As Click and Collect has emerged as a popular alternative to traditional home delivery, its necessity for retailers and those in the e-commerce space has also spiked. However, despite the overwhelming consumer demand for click and collect, only 58% of retailers offer it. This poses a question, why do only 58% of retailers offer click and collect when over 75% of consumers use it and 17% would abandon a purchase if click and collect were not available? The benefits of click and collect are clearly palpable. It’s likely that a market delay exists between the early adopters of click and collect and the stragglers, who were reluctant to roll out the technology.
Today, all the retail giants ranging from Zara to John Lewis have rolled out instore Click-and-Collect solutions. Others such as Asos, Topshop, and Jack Wills have turned to newer Click & Collect technologies empowering consumers with access to thousands of collect points for pickup. Whether the future of home delivery lies in Amazon drones or collect points, we can be certain that any retailer reluctant to execute Click & Collect will be left in the dust.