Daily Research News Online no. 4886 - Online Shops Not Meeting Customer Needs

Online Shops Not Meeting Customer Needs

November 29 2005

Amid the flurry of online Christmas spending, new research highlights the many flaws of popular retail web sites. The study, by US mystery shopping specialist Informa Research Services and customer experience specialist Blast Radius, says most top web sites are struggling to meet customers' needs.

The study evaluated the entire shopping experience, including fulfilment and returns, at the 90 US retail sites with the highest 2004 revenue. It combined objective measurement with expert subjective analysis. According to the report: 'Black and white metrics have a strong appeal, but in something that involves as much human emotion as the customer experience, measurement can only take you so far.'

Mystery shoppers from Informa Research Services bought and returned a randomly chosen product from each of the 90 online retailers, and rated the experience according to criteria such as ease of navigation and searching, product display, transaction process, price transparency, shipping timeliness and return instructions.

The expert panel then graded each retailer according to subjective criteria such as how engaging the site was, whether it engenders trust, and how far it fulfils the 'brand promise'.

Amazon.com was the overall leader, although only by a narrow margin. Despite some shortcomings, it earned points for 'demonstrating a deep understanding of customer needs'. Electronics retailer PC Mall was placed last due to poor product presentation and unclear pricing, compounded by technical difficulties.

The top ten:

The bottom ten:

One weak spot for many online retailers, including Amazon, was the handling of returns - a process the report says can be 'complicated, poorly explained and often costly'. The report also says 'many bricks and mortar retailers undermine their brand by failing to extend their brand experience into the online world'.

According to Gurval Caer, President and CEO at Blast Radius: 'Companies who can go beyond the brand and beyond the product to focus on the entire experience - every moment before, during and after the purchase - will gain an immense strategic advantage in today's marketplace'.

Full report findings are at www.blastradius.com . Informa Research Services is online at www.informars.com.

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.