The number of people buying goods and services online has been steadily increasing over the last 20 years, and the pandemic has only amplified this trend. According to ONS data, in December 2006, only 2.5% of all retail purchases were made online, versus 17.1% in 2016 and 25.9% in September 2021. As more and more transacting shifts to online channels, the amount of data generated to drive insight into purchasing behaviour is also growing exponentially.
As consumers continue to shift not only essential spending but discretionary spending online, this represents a real opportunity for retailers to drive a deeper understanding of their customers. For example, commonly held beliefs like individuals would never buy items such as cars, gym equipment, jewellery, and garden houses without “seeing first” is blown out of the water as many businesses had to switch to online-only trading during the pandemic. These insights can be very critical to not only attracting new customers but retaining existing ones.
For more information on how to leverage spend data to drive customer intimacy, and how to create meaningful and actional insight, please Leveraging Data to Build Trusted Brand Relationships by Capgemini.