DPD - European Young e-Shoppers Study

DPD Ireland

DPDgroup & InProcess

European Young E-shoppers Study

Introduction

• Nearly 30 year’s experience delivering parcels in Ireland

• Over 8000 active customers

• Core services next day delivery in Ireland & road delivery into Europe

• Over 40% of DPD’s business is now b2c and this will continue to grow

• Delivering to over 20,000 Irish homes daily

• Delivery partner for many of Ireland & the UK’s leading online retailers

• Part of the DPD Group, the 2nd largest parcel delivery network in Europe

What did the study entail?

40 ethnographic in-home interviews in UK, Spain, France, Germany and Poland

Methodology

3 hours spent with each respondent in their homes or in a situation of their daily lives (school, etc.)

Video Diary left with respondentfor 1 week following study

Qualitative research by ethnographers• In-depth observations of real lived experiences• Understanding the emotions of participants• Reveals what participants do, not just what they say• Goal is not to be representative, but to reveal a variety of practices

Observed Panel

8 OBSERVATIONS PER COUNTRY- between 18 and 25 years old- mix of male/female- mix of students and those who work- mix of living alone, with roommates, with

parents…- mix of city/suburbs

PROFILES- The online shopper addict- The group purchase- The gift purchase- The planned/emotional purchase- The occasional online shopper- The unlucky shopper- The returner- The express delivery chooser

Methodology

April 2016European Young Generation e-commerce study 4

http://www.dpd.com/home/insights/european_young_e_shoppers_study

April 2016




Overall, the youth observed in these 5 countries (UK, Germany, Spain, France, Poland) have strong similarities…

• They have similar expectations of online shopping, they undergo a similar customer journey, and they experience many of the same painpoints.

An overall similar online shopping experience throughout Europe…

European Young Generation e-commerce study 6April 2016

What draws this target to online shopping? The 3 C’s

Convenience:

Shopping when and where I want, even from the comfort of my bed

Choice:

Access to a wide variety of products, including rare and unique items, and sizes and colours not available in stores

Cheap prices:

A general impression that shopping online usually provides access to better deals than in offline stores

European Young Generation e-commerce study 7

European Young Generation e-commerce study

Behavioural ProfilesMotivations and Customer Journey

ACCEPTS RISK

REFUSES RISK

INSPIRATION TOOL

PIONEER EASY-GOING

LOOK OUT SECURITY

8


Behavioural Profiles: GermanyMotivations and Customer Journey

ACCEPTS RISK

REFUSES RISK

INSPIRATION TOOL

PIONEER EASY-GOING

LOOK OUT SECURITY

9


Behavioural Profiles: PolandMotivations and Customer Journey

ACCEPTS RISK

REFUSES RISK

INSPIRATION TOOL

PIONEER EASY-GOING

LOOK OUT SECURITY

10


Behavioural Profiles: SpainMotivations and Customer Journey

ACCEPTS RISK

REFUSES RISK

INSPIRATION TOOL

PIONEER EASY-GOING

LOOK OUT SECURITY

11

ACCEPTS RISK

REFUSES RISK

INSPIRATION TOOL

PIONEER EASY-GOING

LOOK OUT SECURITY


Behavioural Profiles: UKMotivations and Customer Journey

12

10/11/2015European Young Generation e-commerce study

Behavioural Profiles: FranceMotivations and Customer Journey

ACCEPTS RISK

REFUSES RISK

INSPIRATION TOOL

PIONEER EASY-GOING

LOOK OUT SECURITY

13

Emotional Roller Coaster


Online Shopping: An emotional roller coaster by countryGermany


Lots ofmissed

deliveries

Online Shopping: An emotional roller coaster by countryPoland


Benefitsof

lockers

Helps to makerational

decisions

Noreturns:

too difficulttoo expensive

Payon delivery

Online Shopping: An emotional roller coaster by countrySpain


Lookingfor simplification

Online Shopping: An emotional roller coaster by countryUK


flexible delivery options

Itemsdisappearing

Online Shopping: An emotional roller coaster by countryFrance


Noreturns:

too muchefforts

Expectto waitExpectto wait

Logging in can be a major obstacle

A generation empowered by finding good deals

• Shoppers armed with tools to look for the best price • Shoppers persuaded by a good deal• The best price sometimes comes at a price: need to make compromises • A need for transparency to avoid pricing surprises


A "one-size-fits-all" browsing experience that limits the choice of online shopping

• A need for tools to help wade through the choices available online• A desire for an experience customized to me• A lack of choice where it matters (delivery options, payment methods)


An insecurity that requires tactics of reassurance

• Certain products that require offline confirmation• Advice and reviews an important element of reassurance• Payment modes: from risk to a line of defence• Clear, easy & free Delivery & returns to increase confidence


From strong investment to delayed satisfaction after the click

• Shoppers invested in the process throughout the browsing steps• A let-down after the click, feeling of abandonment and lack of control• A desire for immediate gratification• When in danger, good customer service easily overcomes threats to satisfaction


Difficult to wade through all of the options and prices offered online to find the best value

MAKE ME FEEL LIKE A SMART SHOPPER

• Capitalize on and promote the positive feelings of the inspiration stage• Provide tools and shortcuts that empower shoppers to find exactly the right product• Alert and highlight good deals, making savings visible• Provide awareness and rewards for finding smart deals• Share good deals with my acquaintances• Make it easy to identify good deals before the click and track/share savings after


Many moments of frustration in an inflexible process that makes shoppers nervous to commit to the click

A GUARANTOR TO EASE TRANSACTIONS

• Provide an authority of trust throughout the process (secure browsing, payments, deliveries…)

• Create a reliable reference for a universe of non-standard measurements (sizes, prices, currencies…)

• Clarify choices to increase confidence• Identify a method of recourse• Provide room for error


An experience that lacks the transparency, flexibility and options to fulfil the promise of “convenience” offered by online shopping

AN ORGANIC TRANSACTION THAT MOVES WITH ME

• Increase flexibility, options, choices; create a dynamic experience• Provide the possibility to make changes during the process to ensure a smooth

transaction; a transaction that remains open until the last moment so that I am satisfied at the end

• Have a shopping experience that fits my busy, unpredictable lifestyle (24/7 access)• Clarify the options to make sure the best options for me are visible• Facilitate my purchases regardless of the circumstances: group vs solo, in-store

vs online, mobile vs computerEuropean Young Generation e-commerce study 26

A generation in search of customized experiences and suggestions frustrated with spam, non-targeted ads, mistaken identities & de-humanised experience

“ME-CENTRIC” RELATIONSHIP

• Maintain the relationship after the click• Stay connected, despite different lifestyles and devices• Create a human link • Provide a personalised experience, via profiles and advanced filters• Favour intuitive and reactive interfaces• Propose a multitude of options (payment modes, delivery options, profiles, etc.) to

correspond with a variety of preferences


Emotional Roller Coaster


A GUARANTOR TO EASE TRANSACTIONS

MAKE ME FEEL LIKE A SMART SHOPPER AN ORGANIC TRANSACTION THAT MOVES WITH ME

“ME-CENTRIC” RELATIONSHIP

10/11/2015European Young Generation e-commerce study ###

Marketing

DPD - European Young e-Shoppers Study