How Companies Use E-Commerce to Connect with Customers
E-Commerce is connecting retailers and consumers in new ways. A company’s online presence influences major business areas such as in-store sales growth. Nielsen’s Connected Commerce report reflects the ways in which businesses are adapting to connected consumers. The report sheds light on stand out market categories, fast-moving consumer goods (FMCG), and e-commerce barriers and opportunities.
Top five Online Shopping Categories
- Books and music
- IT and mobile
- Event tickets
According to the study, 61% of global consumers purchase entertainment items like books, music, event tickets, and games online rather than in-store. Only 32% of global consumers purchase FMCG more online than in-store. While that figure falls short of those who buy FMCG in store, Nielsen reports that CAGR over the next 5 years will overtake offline sales. The availability of fresh foods available online is considered to be driving significant growth in FMCG online sales.
Key E-Commerce Opportunities
- Engage customers through advertising and availability of information.
- Utilize virtual supermarket and online automatic subscriptions to drive conversion.
- Offer order online, pick up in-store or drive-thru option.
- Guarantee refund for products that don’t meet expectations or don’t match what was ordered.
- Travel represents the top online shopping category for three of six regions: Asia Pacific, Western Europe, and Latin America.
- Same day replacement, refunds and freshness labels are three major factors that encourage online sales of fresh products.
- Advancements in connectivity, technology and security have alleviated some challenges when making online purchases. Internet connectivity is still considered a problem in developing markets.
For more information, download Nielsen’s Connected Commerce report here.