Shopper Culture

Tourists Not Welcome!

Cities thrive on the income generated by tourists, but can tourism become too much? In Amsterdam, it has. Rowdy tourists partying in the red-light city is being interrupted by city officials and the city’s motto “residents come first” is gaining momentum.

Overtourism is ruining much of Amsterdam’s heart and soul. According to figures from NBTC Holland Marketing, 17.6 million people visited the Netherlands last year, which is an increase of 11 percent from 2017.  Many of Amsterdam’s residents are distraught and feel helpless about the influx of tourists that grows each year. From tacky tourist shops to drunken visitors who run wild in the streets, Amsterdam’s residents are fed-up with the non-stop party.

“There’s a feeling that those who are left are not living in their own neighborhood anymore,” Amsterdam resident Bert Nap said. “Amsterdam is starting to look like a playground for visitors; what people call, Disneyfication,” Amsterdam is, after all, a place where people live and not a tourist museum.

NEW STUDY: The Socioeconomics of AI

Our fourth and final installment of our AI study is available for download here.

At the beginning there were more questions than answers when it came to AI’s collision with commerce. But as we wrap up our four-part study, we can reflect on all we’ve learned.

We learned:

In Part 1: that today’s shopper is curious about AI and starting to scratch the surface when it comes to AI capabilities—seeing AI as an assistant that can help with simple tasks like playing music or creating a shopping list.

In Part 2: that tomorrow’s shoppers are open to letting AI make purchase decisions for “chore” transactions including everyday household items. But they are not ready to give up power completely. Rather, they have a desire for AI to enhance its services with a value slant toward finding deals, saving time, or offering more customized suggestions tailored to people’s specific needs.

In Part 3: that your preferred retailer can affect your desires and perceptions of AI. Tech-forward companies like Amazon and Walmart have shoppers that are more open to embracing AI for shopping, while core grocery shoppers are a tad behind the adoption curve.

In this fourth and final part of the study, we examined the data in light of the varying socioeconomic factors affecting today’s shopping culture. We explored whether attitudes toward and adoption of AI technology differed based on socioeconomic factors including household income, education levels, and region.

Click here to download Part 4 of the study Embracing The Machines, AI's Collision with Commerce—and if you missed Part 1-3 please visit Our Studies page to download all of the papers. 

Taking Back Control of the Omnichannel Purchase

We’ve moved beyond the age of eCommerce as being a separate entity from brick-and-mortar retail. Increasingly, the two are becoming one and the same, influencing decisions across channels and even individual retailers. Shoppers no longer think of eCommerce and in-store as separate experiences or merely transaction points, and as marketers, neither can we.

We can see this in recent statistics concerning Click-and-Collect (or buy online, pick up in store) shopper behavior, which shows that after making selections online, 69% of shoppers will purchase additional items in store when picking up their online purchase.

Or consider mobile search in store, which we’ve seen develop as a standard shopping behavior over the past several years. As Bloomberg reported this past holiday season, 49% of shoppers will first turn to Amazon.com for a product search. From our research, we know these searches often happen in conjunction with an in-store experience when shoppers are in the aisle.

It might seem challenging to start meeting shoppers everywhere at every touch point with relevant content to move them to transaction. However, there are two fundamental steps brands are taking to ensure they’re guiding today’s eShopper in just the right moments.

1. Enhanced Content

Amazon started incorporating a more advanced version of its “A+” manufacturer content this year, which includes enhanced content like engaging videos, beautiful imagery, and other immersive content that allows product pages to feel like native brand experiences.

Earth Day Reminds Shoppers to Make a Change

When it comes to changing people's habits, sometimes seeing is believing. But what if you cannot see the problem? What if it's so glacier in nature that it goes unnoticed or is downgraded in the minds of the people? Environmental issues such as pollution, are one such thing. They often go unnoticed by culture and are accepted as the status quo.

In the wake of Earth Day, environmental concerns remain high despite ongoing efforts to educate people and encourage sustainable and eco-friendly purchases. Beyond big facts and stats, people are looking for new ways to raise awareness and hopfully prompt people to change how they live and shop for the good of the planet.

Recently, British artist Michael Pinsky created an installation of five geodesic domes, or pollution pods, in London intended to replicate the atmospheric conditions in Beijing; São Paulo, Brazil; London; New Delhi; and Norway’s Tautra Island by recreating the air using safe chemicals. The installation put the spotlight on the issue of pollution and helped people truly see and experience air quality across the globe. The reactions he received proved that sometimes it takes seeing an issue in a new light to really make an impact.

Prepare for Plastic-free Shopping

The Dutch chain Ekoplaza has just launched Europe’s first plastic-free supermarket aisle. Shoppers can choose from more than 700 products wrapped in biodegradable materials that look similar to plastic at no extra cost. This initiative comes at a time when the debate around reducing plastic waste from supermarkets and manufacturers is experiencing a new push, with initiatives such as the LADbible Trash Isles and the U.K. government putting the reduction of plastic waste at the heart of its environmental plan.

24% of Britons express “extreme” concern about plastic packaging in grocery stores and 42% want food and drink manufacturers to make recyclable packaging their top priority. What so far has been an issue for a niche audience of committed environmentalists has grown to become a concern for the mainstream shopper. Fueled by small “zero-waste” or “plastic-free” stores popping up all around the U.K. and the fact that recent findings revealed that U.K. supermarkets produce around 1 million tonnes of plastic waste each year, the issue has slowly been picked up by brands.

NEW AI STUDY: Embracing the Machines Part 3

Artificial Intelligence, or AI, is a hot topic and its infiltrating our daily lives and even our shopping. Finding a lack of pre-existing consumer or shopper research, The Integer Group undertook an extensive study in the U.S. with over 3,000 consumers to understand how shoppers feel about using AI today and how willing shoppers are to have machines shop for them today and in the future. The result, a four part series, Embracing the Machines: AI's Collision with Commerce.

Today we release Part 3 of the study, in which we examine how attitudes, usage and perception of AI differ based on retailer shopped. Examining finding from the vantage point of the AI-receptive Walmart shopper, Target shopper, Amazon shopper and grocery channel shopper exposes interesting considerations for brands and retailers as they incorporate AI into their world. 

Click here to download Part 3, AI By Retailer

Click here to download Part 1: AI Today and Part 2: AI Tomorrow.

And make sure you are subscribed to Shopper Culture to receive Part 4 of the Study as well as other publications from Shopper Culture straight to your inbox. Click here to subscribe.

Navigating the Complex Path to Purchase in 2018

The need for brands to adopt an omnichannel marketing approach is essential in a world where shoppers are increasingly living in the digital space and constantly on the go. The variety of channels and media used by these shoppers makes it challenging to map a shopper’s journey, as the starting point could be unintentional and/or solely based on convenience to the shopper at the time. Though the path to purchase is more complex today, there are a few tips to consider that may help marketers better understand how and where to connect with shoppers.

Tip 1: Experience the journey yourself

NEW AI STUDY: Embracing the Machines Part 2

Artificial Intelligence, or AI, is a hot topic and its infiltrating our daily lives and even our shopping. Finding a lack of pre-existing consumer or shopper research, The Integer Group undertook an extensive study in the U.S. with over 3,000 consumers to understand how shoppers feel about using AI today and how willing shoppers are to have machines shop for them today and in the future. The result, a four part series, Embracing the Machines: AI's Collision with Commerce.

Today we release Part 2 of the study, AI Tomorrow, in which we examine how shoppers perceive their interactions with AI will evolve in the next five years and to what degree AI will be making the decisions for shoppers. Click here to download Part 2, AI Tomorrow.

Click here in case you missed Part 1, AI Today, which establishes a benchmark of where shoppers are in their relationships with AI: their perceptions, attitudes, and current adoption of AI in shopping and what it all means for brands and retailers.

And make sure you are subscribed to Shopper Culture to receive Parts 3-4 of the Study as well as other publications from Shopper Culture in your inbox soon! Click here to subscribe.

Riot Inducing Sales

In a world with so much choice and little brand allegiance there also seems to be more and more stunts as brands compete for the love of consumers. In just the past few months we've seen Oktoberfest shoes by Adidas, Thanksgiving pants by Stove Top, and a Super Bowl fanny pack by Heluva Good Dip just in time for the big game.

But sometimes the most basic stunt of all can have the most impact–a sale. Intermarché's recent price slashing of Nutella was so dramatic (at 70% off) that it caused massive lines and riots in store. Hundreds of people lined up to get their hands on some Nutella and word spread across the globe as the frenzy exploded.

Brand love can come across in innumerable ways and you never know what consumers will react to. Sometimes it's best not to overthink it and just give the people a great sale. 

Contributed By: Kira Walstrom, Integer Denver

Image Source: Unsplash

Happy National Returns Day

It's officially a new year and that means it's time to pack up the decorations, reset your early alarm, hit the gym and return those unwanted gifts. It's true, January 3rd is informally called National Returns Day. It is said that returns will hit a peak this year on January 3rd with 1.3 million packages–up 8% from last year.

While gifters may be sad that their package didn't hit the mark, shoppers are excited about how easy the returning and shopping process has become. With the print of a label and a click of a button shoppers can now get everything on their holiday wish list with ease.

Technology has certainly helped make returns easy for shoppers, but it is still largely confined to durable goods and gifts. As shoppers get used to exchanging and returning with ease, will other categories adopt these best practices? Could shoppers one day be able to return their Amazon Pantry order or their Instacart delivery if they are not pleased? We will have to see what the future has in store. Until then, Happy National Returns Day.

Contributed By: Kira Walstrom, Integer Denver

Image Source: Stocksnap

The Checkout: Holiday Edition

This year’s Holiday Checkout issue helps brands and retailers connect with consumers at the right time, on the right channels, and with the right message. We delve into three main topics: differences between men and women, mobile behaviors among general consumers, and habits of digitally-savvy Hispanics. By examining what consumers are thinking, feeling, and doing across the customer journey during the holiday season, we reveal low-hanging fruit on ways to improve audience targeting and engagement.

This issue brings to life the differing value equations that men and women have around quality, cost savings, time savings and experience. Additionally, we explore the exponential growth of mobile phone usage—115% year-over-year—during the holiday shopping season. When seeking information on what to buy, time-crunched consumers are going to their phones and have high expectations for their experience on digital interfaces. Hispanics, specifically, are bona fide digital deal finders, especially when it comes to offers delivered via their mobile phones, email, and social media. Find out more by downloading The Checkout: Holiday Edition.

Tis the Season to Splurge

Black Friday "month," Cyber Week, Giving Tuesday, Small Business Saturday. There are more deals during the holiday season than there are elves on the shelves. This past weekend is one of those moments that all retailers and marketers were watching–and it did not disappoint. While there has been debate about Black Friday's relevancy, shoppers spent $5B in 24 hours on Friday. In-store traffic during this timeframe dipped slightly but 2017 online sales rose 17% vs. 2016. 

It is certainly an online Christmas for many. It's a place where shoppers can now find deals every day and conveniences like free shipping at their fingertips. With so many deals, how are so many shoppers still overspending and going in debt over the holidays? Nearly a quarter of Millennials have still not paid off debt from 2016 compared to 16% of Gen Xers and 8% of Boomers.

It might be all the eggnog and tinsel, but shoppers seem to give into their irrational desires when it comes to the holidays. In fact, 27% of shoppers say they do not make a budget for holiday shopping. On one hand you could see this as an act that leaves them vulnerable to overspending and impulse. But on the other hand, you can see it as a conscious embrace of the holiday spirit and festive treasure hunt for the best gifts regardless of price.

So when it comes to appealing to shoppers during the holidays, it could be worthwhile to opt to focus on the higher order benefits of the gifts rather than the savings. 

Contributed By: Kira Walstrom, Integer Denver

Image Source: Stocksnap.io

NEW AI Study: Embracing The Machines Part 1

Artificial Intelligence, or AI, is a hot topic. Whether people realize it or not, AI is changing the way we consume information, make choices, navigate the world, and shop. AI has already embedded itself in multiple facets of shoppers’ everyday lives and is becoming crucial to brands and retailers as a predictor for both market and shopper behaviors.

Finding a lack of pre-existing consumer or shopper research, The Integer Group undertook an extensive study in the U.S. with over 3,000 consumers to understand how shoppers feel about using AI today and how willing shoppers are to have machines shop for them today and in the future. 

The findings have been distilled into a 4 part series that includes Part 1: AI Today, Part 2: AI Tomorrow, Part 3: AI At Retail, and Part 4: The Economics of AI

Today we release Part 1 of the series, which establishes a benchmark of where shoppers are in their relationships with AI: their perceptions, attitudes, and current adoption of AI in shopping and what it all means for brands and retailers.

Did you know that 23% of shoppers see AI as a Personal Chef? Or that over 70% over shoppers feel curious about AI? Click here to download the study and get all the fact, figures and insights on AI Today.

And make sure you are subscribed to Shopper Culture to receive Parts 2-4 of the Study as well as other publications from Shopper Culture in your inbox soon! Click here to subscribe.

Stranger Things in Our Shopping Carts

With the premier of Stranger Things season 2 happening today, everyone seems to have Eggos and the "Upside Down" on their minds (and in their carts). Like Manolo Blahnik in Sex and The City, Reese's Pieces in E.T. and many more–brand placement in entertainment can be unforgettable and highly impactful on shopping habits. 

For this spooky series, fans are going all out and looking to fill their carts with things to make viewing more fun. Pinterest content is helping them whip up themed treats for their viewing parties while Target is showcasing all the supplies they'd need on Instagram. And this season, Stranger Things is incorporating more brands like 3 Musketeers, Radio Shack and Cheetos.

Will fans and shoppers continue to embrace brands in the series or is there a limit to the love they'll give product placement? I guess we'll have to see how this season unravels.

Happy Binging!

Image Source: Target Instagram

Contextual Retailing—Where Inspiration Meets Relevancy

Contextual retail–which blends inspiration with relevancy—is flourishing due to new tech tools providing more immersive, seamless and connected shopping experiences. Smart brands and retailers are trading linear modes of ‘mission shopping’ for contextualized inspiration by deploying an increasingly advanced range of both physical and digital multi-sensory tools to emulate consumer experiences pre-purchase.

Similarly, using in-context inspiration and a more immersive approach to retailing to drive sales, retailers are transcending the traditional shopping experience by turning their showrooms into domestic settings.

The latest and most extravagant example comes from British department store John Lewis, which has established a pop-up apartment in its London Oxford Street flagship, inviting visitors to sleep over or host 10-person dinner parties, free of charge.