SOURCE Columbia Business School
Columbia Business School and Aimia researchers survey more than 3000 consumers to understand how they use smartphones in store aisles
NEW YORK, Sept. 12, 2013 /PRNewswire/ -- With brick-and-mortar-retail stores continuing to struggle with the rise of "showrooming" consumers – those visiting a store to see a product but then purchasing it later online – groundbreaking research from Columbia Business School and global loyalty experts Aimia shows retailers concrete steps they can take to entice consumers armed with mobile devices to make purchases inside their store walls. The report, Showrooming and the Rise of the Mobile-Assisted Shopper identifies five distinct segments of mobile-assisted shoppers and uncovers clear opportunities for retailers to engage and retain these tech-savvy customers.
"Retailers know that they are operating in a new world, where the shopper in your store with a smartphone has access to every competing outlet and offer," said David Rogers, a co-author of the study and professor at Columbia Business School. "But retailers are not powerless. To survive, it is critically important that retailers understand the real impact of smartphones on shopper behavior, which will allow them to shape a retail experience that gives mobile consumers a reason to buy in a brick-and-mortar store."
"Retailers don't have to resort to automatic price-matching," states Rick Ferguson, a co-author of the study and the vice president of knowledge development at Aimia. "M-Shoppers show a strong willingness to join loyalty programs in exchange for rewards, and this gives retailers the chance to build long-term relationships with them."
Some of the key takeaways of the report include:
The researchers looked at the attitudes, shopping patterns, and motivations of 3000 leading-edge consumers in the US, UK, and Canada to better understand how mobile devices are impacting their in-store shopping habits; identifying those shoppers most likely to showroom; and outlining actions retailers can take - such as loyalty programs, price matching, free shipping, and mobile payments - to encourage consumers to open their wallets in-store. The results paint a clear picture of today's mobile assisted shoppers – or M-shopper – and debunks commonly held assumptions many brick-and-mortar retailers make about retail showroomers.
Luring Back the Five Segments of Mobile-Assisted Shoppers
The research found that there are five distinct types of mobile-assisted shoppers and uncovered clear opportunities for retailers to engage and retain the business of these tech-savvy customers.
"Our findings debunk many of the common assumptions about the threat of showrooming and who is doing it," said Matthew Quint, a co-author of the study and director of Columbia Business School's Center on Global Brand Leadership. "Many shoppers with smartphones care about more than just the lowest price on every item. In fact, while roughly 25% of M-Shoppers may require a discount to motivate in-store purchases, a clear majority can be enticed to purchase in-store through information assistance, engagement strategies, and strong loyalty rewards programs"
About Columbia Business School
Led by Dean Glenn Hubbard, the Russell L. Carson Professor of Finance and Economics, Columbia Business School is at the forefront of management education. The School's cutting-edge curriculum bridges academic theory and practice, equipping students with an entrepreneurial mindset to recognize, capture, and create opportunity in a competitive business environment. Beyond academic rigor and teaching excellence, the School offers programs that are designed to give students practical experience making decisions in real-world environments. The school offers MBA, Masters, and PhD degrees, as well as non-degree Executive Education programs. For more information, visit www.gsb.columbia.edu.
Aimia Inc. ("Aimia" or the "Corporation") is a global leader in loyalty management. Employing more than 4,000 people in over 20 countries worldwide, Aimia offers clients, partners and members proven expertise in launching and managing coalition loyalty programs, delivering proprietary loyalty services, creating value through loyalty analytics and driving innovation in the emerging digital, mobile and social communications spaces.
Aimia owns and operates Aeroplan, Canada's premier coalition loyalty program, Nectar, the United Kingdom's largest coalition loyalty program and Nectar Italia. In addition, Aimia owns stakes in Air Miles Middle East, Mexico's leading coalition loyalty program Club Premier, Brazil's Prismah Fidelidade, and i2c, a joint venture with Sainsbury's offering insight and data analytics services in the UK to retailers and suppliers. Aimia also holds a minority position in Cardlytics, a US-based private company operating in transaction-driven marketing for electronic banking. Aimia is listed on the Toronto Stock Exchange (TSX: AIM). For more information, visit us at www.aimia.com.
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