While most people still prefer to shop in-store for fashion, the move online may reflect instances where the retail offer in the locale fails to meet their needs and the physical alternatives are not convenient. For example, 48% of survey respondents stated that they would go online for their fashion purchases if their local offer did not satisfy their needs, compared to the 38% who would visit a larger town or shopping centre.
Access to retail is also key. For example, rural shoppers generally use the internet for the highest proportion of their shopping, giving them access to brands only available in large shopping destinations further afield. This has implications with regards to home delivery and internet connectivity.
The ‘physical’ store still holds the aces when it comes to customer experience and engagement. There remains an overwhelming preference for trying on clothes before buying across all demographic groups, with around 75% of consumers stating this as a preference. For Generation Z (aged 16-24 years) and Millennials (Gen Y aged 25-34 years) 79.9% and 76.1% of respondents respectively state this as important, dropping slightly for the 45-64 age group, who are likely to have embraced the internet and are comfortable making repeat purchases. Trying on clothes, however, becomes less of a key concern for consumers the further they are required to travel to a shop.
Several online retailers (e.g. Thread) are working hard to address this specific challenge through a more bespoke online offer, with personal stylists and an efficient and free delivery/returns service. For the consumer, it is not about either shopping on the internet or shopping in-store. It is about switching seamlessly between the channels depending on their specific demands and needs at that point in time. The most frequent proponents of shopping online think that the internet offers a better solution with regards to browsing, price, comparison, convenience, speed and range, with over indexing on these issues for all consumer groups regardless of age, demography or location. Yet, when it comes to enjoyment, trust and returns, the physical store wins out.
Online also provides an increasingly important resource for shoppers to undertake research. Millennials are the most adept at this ‘online’ research pre store purchases, particularly in London and Scotland, and are more likely to switch between channels than older generations, for whom online research typically results in an online sale (Figure 3).