Survey: Half of Consumers Like Idea of in-Store Mobile Concierge App

Coinciding with the recent National Retail Federation conference, Cisco released the results of its annual Consulting Digital Shopping Behavior survey. The survey polled 1,174 US adults, "representative of the United States broadband population by age, income, and region." 

Cisco grouped its survey respondents into two categories: "Digital Mass" shoppers and "Uber Digitals." The Digital Mass category had a media age of 40 to 44 and were primarily PC-based shoppers (though they possess other devices). The Uber Digitals were younger (median age 30 to 34) and were more mobile and tablet oriented. They comprised 18% of the audience, while the Digital Mass was 80% of the respondent population.

Beyond age and device preferences, a key distinguishing factor between the groups was the use of mobile devices in stores by the Uber Digitals. This group, its attitudes and behaviors are leading indicators of where the entire market is headed. Beyond this there were a number of interesting and potentially important insights from the study: 

  • Consumers distrust retailers; a "clear majority of shoppers are willing to share only . . . 'transactional' information' (i.e., data created by a purchase in the store) with retailers"
  • Sharing personal information (demographics, preferences, Likes, etc.) would only happen on an opt-in basis. However Über Digitals (25%) and Digital Mass (13%) didn't want to share any personal information with retailers 
  • Most survey respondents wanted personalized offers but wanted them via email at home: "76% of of Digital Mass and 69% of Über Digital shoppers want to receive email at home. For the Digital Mass segment, only 15% want offers upon entering a store, and 6% want offers while moving in the store. For the Über Digital segment, only 26% want offers upon entering a store, and 13% want offers while moving in the store."
  • Shoppers wanted both peer and expert reviews on retailer websites. Reviews were clear influences on the decision to buy (sales associates ranked well below reviews) 

The research showed that some of the privacy and trust objections to retailers could be overcome with discounts and other incentives. Both categories of shoppers said (in nearly equal numbers -- roughly half) that "they would provide more personal information if a retailer guaranteed either a percentage or dollar savings on their next purchase."

Cisco also tested a number of shopping concepts with these respondents. Among them: 

  • Gamification of the shopping experience
  • Mobile in-store concierge app (with navigation)
  • Best personal price tracker app
  • Consultation/assistance via video
  • Automated or suggested shopping lists
  • Automated in-store pick-up

Among these the two that had the highest positive response were the 1) best personal price app and 2) in-store mobile concierge. In the latter case, here's what was presented by Cisco:

An opt-in smartphone application that greets customers as they enter the store, guides them to the items they want, and provides shoppers with interest- and location-based information and offers. With 42% of all respondents saying they would use Mobile Concierge frequently or always, it was the second most popular concept. Among Über Digitals, 66% selected this concept. The top segment was consumer electronics, at 47%. 

There are some potential contradictions in the findings but basically everything stated above and in the report can be boiled down into the following ideas: 

  • Consumers are wary of giving personal information to retailers absent transparency and incentives
  • They like the idea of getting personalized in-store information via an app but they don't want to be bombarded with notifications and offers 
  • Consumers want product reviews via retailer websites to help them make in-store buying decisions  

These survey findings underscore the complex and fairly nuanced road ahead for retailers, which will need to be very thoughtful about their rollouts of indoor location and policies around data collection. But the survey data also validate the role that mobile does play and could play in stores to boost sales and enhance the overall customer experience.