Business intelligence and risk prevention provider, ClearSale, has published State of Consumer Attitudes on Ecommerce, Fraud, & CX 2023-2024. In its fourth consecutive year, ClearSale’s report reveals consumer attitudes and behavioural trends.
Despite warnings of reduced consumer spending in 2023, ecommerce sales increased. The report notes that consumers spent nearly four times more online than they did in stores. Since retailers can expect this trend to continue, ClearSale says it is vital to understand and consider the wide range of buyer preferences and expectations. This is especially pertinent as they relate to customer experience, payment options, fraud tolerance, and security.
State of Consumer Attitudes on Ecommerce, Fraud, & CX key takeaways
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The three most important factors that online consumers consider are price, shipping and selection. Among the top three reasons shoppers abandon an online shopping cart, two concern cost and time related to shipping. 80% of consumers are willing to wait longer to receive their purchases if shipping is inexpensive or free.
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Offering dynamic payment options ranks important for online buyers. Nearly 85% of Gen Z shoppers and just under 80% of millennial shoppers prefer digital wallets as a payment option. Over 50% would think twice about their purchase if a digital wallet option wasn’t possible. When it comes to fraud protection, buyers would much rather be protected. 90% of consumers prioritise fraud protection over easy checkout.
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Fraud protection is changing traditional consumer trends. A new emerging trend found that consumers are beginning to consider security more important than price. This trend still varies by generation. Overall, 33% of consumers would rather have a safe ecommerce experience than get a lower price. What’s more is that 84% of consumers said that an online store that doesn’t protect them from fraud will lose their business.
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Inaccurate fraud protection can hurt businesses. Protection is important to consumers, but it’s a fine balance between security and experience. False declines can cost companies customers. 41% of consumers globally say they’ll never shop with a brand after a false decline. These false declines also impact brand reputation. About one third of consumers take their grievances to social media after a false decline.
‘It is essential retailers understand their audiences’
“In a crowded and highly competitive seller’s market, it’s essential that retailers understand their audiences,” said Rick Sunzeri, Director of Client Solutions at ClearSale.