{ "docId": "019dd923-5ddf-7308-8fca-86091c76c648", "docSlug": "9491f959d9f4db9f", "documentTitle": "What the Customer Really Wants", "authorId": "RolandBerger", "authorName": "Roland Berger", "documentKindSlug": "consulting-deck", "documentKindLabel": "Consulting deck", "sourceTypeSlug": "strategy_consulting", "sourceTypeLabel": "Strategy consulting", "presentationDate": null, "orientation": "portrait", "aspectRatio": 0.785, "pageNumber": 21, "pageCount": 44, "prevPage": 20, "nextPage": 22, "slideType": "key_takeaways", "function": "summarize", "density": "overcrowded", "nDataPoints": 4, "notes": "The slide uses qualitative insights and survey mean scores to debunk the idea that price is the primary driver for online vs. offline shopping.", "elementsJson": [ "paragraph" ], "metadataConfidence": 0.9, "imagePath": null, "slideHref": "/slides/019dd923-5ddf-7308-8fca-86091c76c648/21", "deckHref": "/decks/019dd923-5ddf-7308-8fca-86091c76c648", "deckJsonHref": "/decks/019dd923-5ddf-7308-8fca-86091c76c648.json", "deckAnchorHref": "/decks/019dd923-5ddf-7308-8fca-86091c76c648#slide-21", "components": [ { "bbox": null, "kind": "callout", "text": "The primary driver for choosing one shopping channel over another is thus a basic preference on the part of consumers for how they receive the product.", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd951-e58e-76cb-be5d-fd11eb272ffa", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.25, "w": 0.42, "x": 0.52, "y": 0.16 }, "kind": "paragraph", "text": "The primary driver for choosing one shopping channel over another is thus a basic preference on the part of consumers for how they receive the product. Customers who want or need a product immediately opt to buy it offline. For them, the important thing is that the product is in stock and they can take it home with them straight away. By contrast, consumers for whom it is important that the product is delivered conveniently to their home choose online – in the case of heavy or unwieldy products, say, or simply because they have neither the time nor the inclination to go to a regular store. One consumer explained it this way: \"I buy things online when I can't be bothered to go to the store.\"", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "38c09344-821f-430d-9d4e-6aa1daa3b0be", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.42, "x": 0.06, "y": 0.42 }, "kind": "paragraph", "text": "In a multichannel shopping world, retail companies need to understand why consumers pick this or that shopping channel for this or that purchase transaction. Why, for example, does one customer regularly buy shoes online while another only ever buys them in-store? Is price really the key factor here?", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "754c8946-bb21-4f57-914a-3fff7bc12798", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.42, "x": 0.06, "y": 0.72 }, "kind": "paragraph", "text": "However, our findings also show that price is by no means the most important decision criterion. For consumers, the factor that clinches the fundamental choice of shopping channel is how they get the things they buy: straight away, or conveniently delivered to their doorstep. All other motives for choosing a shopping channel are secondary – in all product categories and across all customer segments. Getting the product straight away in the store is the decisive factor for offline buyers (mean: 5.7), while convenient delivery is the decisive factor for online shoppers (mean: 5.1).", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "8a4cea46-e0e3-420a-8fa6-370c8327f6c2", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.25, "w": 0.42, "x": 0.06, "y": 0.16 }, "kind": "paragraph", "text": "If price were the only thing that mattered in online retail, the book trade would have been spared a lot of grief. With the exception of a few niche markets, books are subject to price controls in Germany. There is thus no difference between online and offline offers in this category for the vast majority of products. Yet online providers – with Amazon leading the charge – established their first major bridgehead in precisely this segment, gradually expanding into other product categories over time. Brick-and-mortar bookstores such as Thalia and Hugendubel had previously enjoyed dynamic growth. Now, dwindling sales volumes are forcing them to relinquish selling space. Logically, then, there must be other, more powerful reasons than price why customers choose a certain sales channel.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "8f8d3af2-b6d6-4d92-bf34-382417c2773b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.18, "w": 0.42, "x": 0.06, "y": 0.52 }, "kind": "paragraph", "text": "We asked our respondents to state their reasons for buying products online or offline. Our findings show that price certainly can be a criterion in choosing one channel over the other. But consumers have quite different expectations with regard to online and offline prices. Far fewer respondents agreed that \"The price in regular stores is usually better than on the Internet\" (mean: 2.6) than the reverse (mean 4.5). For people buying things in regular stores, getting the best price is less important than other factors. Online shoppers, on the other hand, are much more strongly price-driven. As one participant in a focus group put it: \"Prices [on the Internet] have got to be low.\"", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "b61a202b-12bf-412d-96c8-02b346125d0d", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.42, "x": 0.52, "y": 0.42 }, "kind": "paragraph", "text": "Another significant advantage that traditional retail has over online shopping is that customers can hold the product in their hands and try it out immediately. Shoppers rate the possibility of \"touching and feeling\" a product as considerably more important (mean: 4.7) than the option of sending it back to an online retailer if they don't like it (mean: 3.7). Referring to online shopping, one respondent said: \"If you don't like the item, it doesn't feel right or it doesn't fit, you have to send it back. And even for small amounts, you still have to pay the postage and packing.\"", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ba28df94-0fb4-48f6-b005-2b89df87e629", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "I buy things online when I can't be bothered to go to the store.", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd951-e58e-76cb-be5e-03c3dbbbef1b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.12, "x": 0.83, "y": 0.05 }, "kind": "title", "text": "think:act STUDY 21", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "9d15fa39-d982-419d-ae00-c4c244fd9e40", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [ { "to": 30, "from": 21, "beatId": "a67bce92-b4b6-4b39-8947-2c2e9c1867b3", "arcName": "Problem-Agitate-Solution", "arcSlug": "problem-agitate-solution", "beatName": "Solution & Approach", "beatSlug": "consultants-gambit-solution-approach", "evidence": "The document provides a solution through data-driven approaches, highlighting the importance of understanding customer segments and their shopping behaviors.", "position": 3, "confidence": 0.8, "parentBeatName": "Turn", "parentBeatSlug": "turn" } ], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }