Вы находитесь на странице: 1из 15

Online Shopping:

Frictions, Frustrations, and Fixes


Presented to the Information Technology & Innovation Foundation
February 22, 2008

John B. Horrigan, PhD Associate Director for Research

If you had an internet connection, why wouldnt you shop online?


Based on national random digit dial survey of 2,400 adult Americans conducted in August & September 2007

ITIF, February 2008

Trends: internet use & online shopping


80 70 60 50

Internet use

Buy product online


40 30 20 10 0 2000 2001 2002 2003 2004 2005 2006
ITIF, February 2008

Broadband at home
Retail e-commerce revenues
(in $B quarterly)

2007
3

Reasons to think people would embrace online shopping


Convenience
78% of internet users either agree (53%) or strongly agree (25%) that it is.

Saves time
68% of internet users either agree (47%) or strongly agree (21%) that it does.

Get bargains
49% of internet users either agree (39%) or strongly agree (10%) that its a place to find bargains.

ITIF, February 2008

Barrier to online shopping


Worries over security
75% of internet users agree (39%) or strongly agree (36%) with the proposition that they dont like sending personal or credit card information over the internet

Frustration
43% of online users have experienced frustration over difficulty in finding information while shopping online

Complicated
26% of internet users agree (22%) or strongly agree (4%) that online shopping is complicated.
ITIF, February 2008 5

For the most part, people clear hurdles to shopping online


Two-thirds of internet users have bought something online Four-fifths of online users turn to the internet for research about products they are thinking of buying One-quarter of online users, on typical day, do some sort of activity online connected to shopping online

ITIF, February 2008

Trends in online shopping


(% of Americans who have ever bought a product online)
50 45 40 35 30 25 20 15 10 5 0

2000

2001

2002

2003

2004

2005

2006
ITIF, February 2008

2007
7

Researching potential purchases


(% of Americans who, on typical day, do research on a product online)

16 14 12 10 8 6 4 2 0 2000 2002 2004 2005 2007


ITIF, February 2008 8

Aggregate numbers shield variations within the online population


Older Americans
Dont see the convenience or time-saving benefits to online shopping Dont see internet as a source of bargains Only somewhat more likely to see risks to sending personal information over the internet

Low-income Americans
Very likely to see the risks to online shopping Not too likely to see the benefits to online shopping

ITIF, February 2008

Buying products online -- by income


90 80 70 60 50 40 30 20 10 0 LT $25K $25K-$60K $60K-$100K GT $100K
ITIF, February 2008 10

% of online population % of general population

83 73 59

79

58

63 49 30

Share of internet users, by income, who strongly agree that they dont like sending credit card information online
45 40 35 30 25 20 15 10 5 0

LT $25K

$25K-$60K

$60K-$100K

GT $100K
ITIF, February 2008 11

Share of internet users, by income, who strongly agree that online shopping is saves time
35 30 25 20 15 10 5 0 LT $25K $25K-$60K $60K-$100K GT $100K
ITIF, February 2008 12

What factors have biggest impacts on online shopping?


Security:
If people werent worried about security of transactions, levels of online shopping would be 7 points higher, i.e., 73% vs. 66%.

Convenience:
If skeptics came to see the convenience of online shopping, levels of online shopping would be 3 points higher, i.e. 69% vs. 66%.

Time-saving:
If more people saw online shopping as a time-saver, levels of online shopping would be 2 points higher, i.e. 68% vs. 66%.

Technology:
Getting broadband to the final quarter of home internet users with dial-up would means levels of online shopping would be 6 points higher, i.e., 72% vs. 66%.
ITIF, February 2008 13

Why does it matter?


It takes a lot of time to be poor.

Significant consumer surplus benefits of e-shopping.

ITIF, February 2008

14

What to do?
Better marketing by industry
Digital literacy Better broadband more & faster

ITIF, February 2008

15

Вам также может понравиться