Mobile Savvy Shopper: Understanding Desires & Expectations for an Evolved Mobile Commerce Experience
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2 Mobile Savvy Shopper: Understanding Desires & Expectations for an Evolved Mobile Commerce Experience
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4 CHANNELS ARE CONVERGING Mobile, online and in-store are no longer separate channels. They re one seamless channel to the consumer Catalina Confidential
5 SMARTPHONE AS SHOPPING TOOL Leverage the device shoppers already carry with them Catalina Confidential
6 MOBILE SCAN + BAG Shoppers scan items into their mobile basket, and add them to their physical basket Catalina Confidential
7 MOBILE SAVVY SHOPPER RESEARCH Proprietary Catalina Findings Catalina Confidential
8 ONE WEEK 15 PANELISTS SHARING THEIR DESIRES THEIR MOTIVATIONS THEIR CURRENT EXPERIENCES
9 1000 SURVEY RESPONDENTS INFORMING A PREDICTIVE MODEL OF MOST & LEAST VALUABLE FEATURES
10 Primary HH shopper s reality complex, fragmented and very different than it used to be 10
11 Mobile Savvy Shopper Definition A Mobile Savvy Shopper was defined as: Age 18+ Buy half or more of the groceries (primary grocery shopper) US resident At least one of last 8 store trips to: Walmart, Target, Kroger, Meijer, Stop and Shop, Giant, Safeway, Walgreens, Rite-Aid, ShopRite, Food Lion, or HEB Own smartphone: mobile phone with advanced capabilities, often with personal computer-like functionality and ability to download apps (e.g., iphone, Droid, Galaxy Nexus, BlackBerry) Used in past three months or are interested in using their smartphone for shopping for grocery or household goods 11
12 Smartphones & the General Population Use of Smartphone to Shop for Groceries and Household Goods: General Population (n=2768 age 18+) Usually use one for all shopping trips Usually use one but only for big shopping trips Usually use one but only for smaller, fill-in trips Sometimes use one but not that often Never have used one for shopping but am interested in it 16% 6% 3% 13% 20% One in six adult shoppers use their smartphone during some part of the process of shopping for groceries or household goods. Never have used one for shopping and have no interest 42% Over the past 3 months, which statement best describes how often you have used a smartphone to help you shop for groceries or household items? 12
13 Smartphones and Shopping Do Mix Use of Smartphone for Shopping (of smartphone owners who are primary grocery shoppers n=1282) Usually use one for all shopping trips 29% Usually use one but only for big shopping trips Usually use one but only for smaller, fill-in trips Sometimes use one but not that often Never have used one for shopping but am 5% 11% 12% 21% Once the habit is created, smartphone owners use their smartphones for all shopping trips. However, the majority of smartphone owning shoppers are not using their smartphones to shop for groceries and household goods. Never have used one for shopping and have no 22% Over the past 3 months, which statement best describes how often you have used a smartphone to help you shop for groceries or household items? 13
14 Awareness is Scattered Across Many Apps Awareness of Mobile Shopping Apps and Websites Walmart Amazon Target Groupon Walgreens Coupons.com app Allrecipes LivingSocial RetailMeNot Kroger Safeway Scan It! Stop&Shop ShopKick Grocery IQ Meijer ibotta Peapod Grocery Pal Giant Square SnipSnap Fooducate Wegmans Endorse LevelUp Belly Aisle411 Zip List Wish n=1001 Swirl PointInside 14% 12% 10% 10% 7% 9% 9% 7% 7% 6% 5% 5% 4% 4% 3% 3% 3% 2% 2% 2% 2% 20% 18% 29% 27% 26% 37% 37% 42% 46% 57% 55% 14
15 WIN THE DAY BY KEEPING THE DAY 15
16 Help Me Stay Within Budget Be a Savvy Shopper I like to make my trip as simple as possible however still ensure that I have obtained the best savings Simplify Coupons This (integrated offers) would be an awesome feature because having coupons that you cannot use, or for items that you never use is useless. This would allow for a better shopping experience. 16
17 WHAT MAKES A GREAT APP? 1 7
18 Desired Features and Functionality Probability of Being Best or Worst Overall Coupons/Offers Real-time coupons Reminders of things that are on your shopping list Track spending as you scan and bag Loyalty points/gas points tracking Scanning products and bagging them Total shopping trip savings Making a list based on previous purchases Making a list by scanning items Nutrition/Health information Geo-location notifications Making a list by selecting from categories Making a list by typing in responses Making Payments Suggestion of complimentary products Meal/Recipe planner Receipt image Social integration (FaceBook, Twitter, Google+) Best Worst Probability 18
19 Want Integrated features (38%) Want Savings based Features (37%) Want Efficient Features (25%) Overall Suggestion of complimentary products Social integration (FaceBook, Twitter, Google+) Meal/Recipe planner Receipt image Coupons/Offers Real-time coupons Reminders of things that are on your shopping list Track spending as you scan and bag Loyalty points/gas points tracking Making Payments Scanning products and bagging them Making a list by typing in responses Total shopping trip savings Making a list by selecting from categories Making a list based on previous purchases Geo-location notifications Nutrition/Health information Making a list by scanning items 19
20 What Kind of Shopper Are You? 1. Desire Integrated Features 38% of mobile savvy shoppers Want an app that has everything Place more importance on effective lists than other features 2. Desire Savings Based Features 37% of mobile savvy shoppers Want an app that helps them save money Coupons of any sort are important, the more automated the better Manage loyalty points especially for fuel to extend their savings Lists that help them keep track of their savings 3. Desire Efficiency Features 25% of mobile savvy shoppers Want coupons especially if they are real-time or just in time Scan & bag and track spending as you shop Geo-location notifications to create efficiencies This is the most likely group to be early adopters of pay with phone features 20
21 The Biggest Barriers are Things that Slow You Down Top Barriers to Using Shopping Apps Slows down rather than speeds up the trip Too much else going on to bother with it Takes too long to connect to the internet for lookups Too much of a hassle for small trips Product codes (UPC s) don t easily scan Doesn t help me get past checkout any faster Doesn t offer me useful discounts or coupons I like using a paper list Too complicated to bother with Have the kids with me which makes it hard Too much of a hassle for big trips I m talking on the phone while I shop Too hard to navigate through options There are different coupons in the paper released coupon flyer The store I use does not have coupons on an app Doesn t offer me useful recipe or meal content Coupons are not up-to-date/expired coupons I don t trust the app with personal information Not enough product information on the app Doesn t offer me useful nutrition and health information n=1001 7% 23% 21% 17% 16% 16% 15% 13% 12% 11% 9% 33% 31% 31% 30% 29% 39% 43% 45% 21 55%
22 WIN THE DAY BY KEEPING THE DAY 22
23 MOBILE SAVVY SHOPPER RESEARCH Proprietary Catalina Findings Catalina Confidential
24 Research Methodology Phase 1 : Immersive Engagement 15 mobile savvy shoppers through five days of preplanned activities Respondents were asked to: Make a video of the apps and websites they use for shopping Diary a specific shopping trip Discuss how they would use apps/websites in three unique scenarios Review mobile shopping apps Design the app of the future Additional tasks included: Task #1: Creating a menu for 3 days of dinners Task #2: Finding the best deals to save money on the grocery budget Task #3: Pay for a drink when you left your wallet in the car powered by Revelation NEXT Respondents were recruited from the East, Midwest and West regions 24
25 Research Methodology Phase 2 : Online Survey Survey focused on gathering an understanding of: current shopping application usage and experiences Features and functionality that were the most important Barriers to using shopping applications more often Max-Diff exercise allowed each respondent to make choices of app features they thought were most and least important to a great mobile shopping app Based on their choices a model was made predicting which features a person would find most and least valuable to include in a shopping app The model includes the probability that each feature would be the most important feature validating the prioritization 25
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