New report finds security and economic pressures are reshaping UK consumer purchasing behaviours with the majority actively cutting costs.
New research from SOTI reveals more than 4 in 5 British consumers are concerned about data privacy or security issues when shopping online or in-store while a similar number of shoppers are actively cutting costs amidst a backdrop of economic pressures.
Based on responses from 13,000 adults including 2,000 in the UK the report Retail Tech Assessment: Opportunities for Enhanced Consumer Experiences outlines a growing demand for immersive retail.
The report found that there is still progress to be made in enhancing consumer shopping experiences and encouraging shoppers to engage with apps and technology currently available. Over half (57%) of UK consumers say they would like to see more technology-enhanced shopping.
More initiatives and incentives are needed to encourage this which will in turn help deliver the personalised experiences they expect.
Rising economic pressures are forcing consumers to prioritise value convenience and local purchasing with 81% of UK consumers actively taking cost-cutting measures to adapt to the changing economic conditions.
Subsequently nearly two thirds (62%) say economic factors have influenced their ability to purchase their usual items in the past 12 months.
“UK consumers are being more deliberate and discerning about their purchases,” said Jon Charters Key Accounts Manager UK at SOTI. “They’re cutting back on unnecessary spending but still seeking meaningful connections with brands before committing to a purchase. This is where immersive in-store experiences play a crucial role – providing shoppers with an opportunity to engage with products firsthand fostering trust and confidence.
“By allowing people to try interact with and envision items in their lives these technology-driven experiences significantly improve purchase confidence but also deepen brand loyalty at a time when every buying decision carries more weight.”
While over half (52%) of UK consumers prefer stores with personalised tech-driven shopping experiences security and trust are critical. In fact, 84% of consumers are concerned about at least one data privacy or security issue when shopping online or in-store and 69% think twice before shopping with a retailer that has suffered a cyberattack.
Much of this sentiment stems from the fact that 2 in 5 consumers have been victims of retail-related fraud.
Charters said: “Striking a balance between technology-enhanced shopping and data privacy is key for retailers to succeed. UK consumers value personalisation but only when they trust that their data is safeguarded across all devices and digital touchpoints. Transparency and robust security are essential for building and maintaining that trust.”
