A new study released by a leading ecommerce agency indicates that Amazon could be losing the loyalty of its younger customer base.
Whilst regarded as having a firm grip on the ecommerce industry, a research study launched this week by Wunderman Thompson Commerce suggests that Amazon is losing the loyalty of its younger customers.
The study details that despite the e-commerce giant managing to attract more than a third of all online retail spend on an international front, that its younger customers are voicing their dissatisfaction with the firm more than its older demographic.
Wunderman Thompson Commerce’s report surveyed the views and opinions of over 15,000 consumers based on factors such as their expectations when it comes to the retail industry and what innovations they would like to see more from brands going forwards.
Key Findings that Indicate Amazon Losing Loyalty of Younger Customers
Throughout the research, participants were asked questions to determine their purchasing behavior when shopping online.
Some key findings from the report include:
• Over half of consumers (51%) commented that they use Google and other search engines when seeking inspiration or ideas for new products to buy.
• Of those asked, the 16-24-year-old age group were less likely than older demographic online shoppers to believe that Amazon provides the best experience for access to brands, easy returns policies and quality of customer service.
• Almost half of those in the survey said that they prefer to shop at physical stores, which also rises to 49% when including shoppers that classify as belonging to Gen Z.
• When it comes to purchasing clothing and other fashion, 26% of consumers prefer to shop on retailer websites such as Selfridges, with only 17% opting to shop with Amazon for the same reason.
• Nearly one in five (18%) of customers in the Gen Z bracket said that they are swayed by brand ethics when making an online purchasing decision, one factor which would have them choose another company over Amazon.
• However, 56% of consumers in the survey expressed that they would go directly to Amazon when starting a search on what to purchase online.
A Chance for Resellers and Retailers to Step Up Their Ecommerce Game?
For retailers and resellers who operate both an online business and physical store model, this development on how Amazon could be losing the loyalty of it’s younger customers could now provide some much needed motivation in an arena which has been dominated by the firm over the past few years.
With Amazon supposedly falling short on its approach to both personal and customer service based on these research findings, retailers and resellers could do well to take notice of the words of Harry Rose from Which? Magazine, who expressed in an article last year:
“The online shops with the happiest customers tend to be the ones that offer a personal service, quality items and deliver quickly and conveniently.
Where the big players are lacking, either with poor service or confusing websites, smaller more specialized online retailers have seized the opportunity to make their mark and give shoppers exactly what they want.”