- The second annual report from Checkout.com highlights the many
opportunities for retailers despite the current economic
environment
- 81 percent of consumers say that the future of retail is online
(up from 75 percent in 2021)
- 60 percent of consumers say it is important to them to know
that the brand they shop with is making efforts to improve
sustainability (up from 54 percent in 2021)
- 62 percent of retail merchants say the integration of digital
payments technologies will be key to protecting revenue in next 18
months
LONDON, Sept. 22,
2022 /PRNewswire/ -- New research released today
details how, in the current economic climate, consumers express
significant interest in the benefits of ecommerce for managing
spend and ensuring value for money. The data comes from "The Global
Retailer's Handbook", the latest industry report from leading
cloud-based global payment solutions provider Checkout.com, which
gathered the views of 9,000 U.S. and European consumers and 500
enterprise merchants.
The study shows that across the U.S. and Europe, consumers possess increasingly
positive sentiments about the benefits of shopping online and
utilizing new digital payment methods, with 81 percent of consumers
saying that the future of retail is online. This reality reiterates
how important it is for retailers to optimize their online
infrastructure so that their business can thrive in the evolving
digital economy.
Building resilience in retail
Merchants invested
heavily in ecommerce and digital infrastructure during the pandemic
(60 percent of retail merchants have seen a significant increase in
their tech budget in the past two years), and there is a great deal
of opportunity to ensure their digital presence remains their
competitive superpower.
However, data from the report shows that retail is facing a
challenging environment. High costs are causing 76 percent of
retailers to be worried about the financial health of their
business. And more cautious shoppers are creating revenue concerns,
as 80 percent of consumers say they will abandon their purchase if
worried about the security of the payment. This makes it all the
more vital that retailers ensure their payments are absolutely
water-tight so that money is not left on the table.
Why retailers' digital investments continue to pay off in
today's challenging environment
Attitudinal data from the
report shows that positive sentiment toward digital commerce and
payments has continued to significantly increase over the past 12
months. Moreover, 33% of consumers report that ecommerce is
appealing to them as part of their budgeting strategies, as it
makes it easier to identify savings, while merchants see the
opportunity to divest from physical and ramp up digital as a way to
shore up their business when money is tight.
All of this is good news for retailers because it means their
significant investment in digital commerce (triggered by the
pandemic) will not go to waste. With over 60% of retail merchants
reporting an increase in their tech budgets of 20-50% in the past
two years. Consumers have an increasingly digital mindset and
merchants can turn this to their competitive advantage if they are
able to meet the needs of their customers and optimize the wider
reach ecommerce offers their business.
"Retailers and consumers around the world are feeling the crunch
of inflation and economic uncertainty," says Leela Srinivasan, Chief Marketing Officer at
Checkout.com. "Yet against this bleak backdrop, there's ample
reason for optimism about the digital economy. Consumers are
emphatic that the future of retail is online. For retailers,
unlocking growth is all about balance: finding ways to deliver
smooth and delightful experiences while staying hypervigilant in a
time of heightened fraud and chargebacks."
The Global Retailer's Handbook explores numerous
additional topics, including how consumers want to engage with
brands they can trust, discouraging impulse buys, increased
appetite for digital payment methods and digital wallets, and
consumer interest in purchasing from sustainable brands.
The report can be downloaded here:
https://insights.checkout.com/the-retailers-handbook
About the research
The research was conducted
amongst 9,000 consumers and 500 merchants across the U.S. and
Europe. Countries covered are the
U.S., UK, France, Germany, Italy, Spain,
Portugal, and Greece. The consumer samples are census
weighted and data in the report is typically compared across
countries and age groups to give retailers a more granular view of
their customer bases.
About Checkout.com
Checkout.com is a global payments solution provider that helps
businesses and their communities thrive in the digital economy.
Purpose-built with performance, scalability and speed in mind, our
modular payments platform is ideal for enterprise businesses
looking to seamlessly integrate better payment solutions. With a
global team spread across 19 offices worldwide, we offer innovative
solutions that flex to your needs, valuable insights that help you
get smart about your payments' performance, and expertise you can
count on as you navigate the complexities of an ever-shifting
world. Find out more at www.checkout.com
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