Businesses may think things are stabilizing in the wake of COVID-19 — but they will be tested by rising consumer demands online.
Of consumers worldwide, 60% have higher expectations for their digital experience than they did prior to COVID-19, according to the new edition of Experian’s Global Insights Report.
Take the issue of cart abandonment. A third of shoppers will jump within 30 seconds, especially when accessing their financial accounts (creating stress on triggered email systems).
Concerns about the safety of financial data are highest in France (46%) and Japan (43%). Yet consumers have for three years trusted payment providers such as PayPal, WePay and Apple Pay, and mobile wallet adoption has jumped by 11%, the study states.
At the same time, only 24% of firms are deliberately making changes to their digital customer journey, it adds.
Despite such issues, 66% of consumers worldwide have remained loyal to their favorite brands, although this varies by country. In India, 80% will remain loyal, but only 57% will do so in France.
Moreover, most consumers believe brands are meeting their higher expectations. That includes 81% in the U.S., 79% in India and 75% in the U.K.
How are businesses reacting to the changing dynamic?
The answer is that 70% are planning to move customers out of COVID-10-induced collections. But the impact on the balance sheet is not yet clear, Experian adds.
Also, 70% of firms are focusing on fraud prevention over revenue generation. The reason: They want to protect their online transactions.
For their part, consumers seem to be shopping online — for everything. Of those polled, 61% are ordering groceries or other food deliveries online, with a 7% increase since July.
In terms of security, 77% of consumers feel more secure when using physical biometrics, and 62% says this improves their online journey when managing finances or payments.
The takeaway? Consumers are having "a positive experience and their needs and expectations are rapidly growing," states Steve Wagner, global managing director of decision analytics for Experian.
Wagner adds that "to win, business must invest now in their digital experience. The cost of doing nothing is greater than investing in the customer journey.”
Experian interviewed 3,000 consumers and 900 businesses in 10 countries, including Australia, Brazil, France, Germany, India, Japan, Singapore, Spain, the U.K. and the U.S. The survey was conducted in mid-September.