Welcome!

News Feed Item

IBM Study: Consumers Willing to Share Personal Details, Expect Value in Return

Big Data, Analytics and Cloud Computing Needed to Meet Consumer Demand for Personalization

NEW YORK, Jan. 13, 2014 /PRNewswire/ -- A new IBM (NYSE: IBM) study of more than 30,000 global consumers released today at the 2014 National Retail Federation convention (#NRF14) found consumers are willing to share their personal information with retailers, particularly if they get good value in exchange.

(Photo: http://photos.prnewswire.com/prnh/20140113/NY45230 )
(Logo: http://photos.prnewswire.com/prnh/20090416/IBMLOGO )

The percentage of consumers willing to share their current location via GPS with retailers nearly doubled year-over-year to 36 percent. Thirty-eight percent of consumers would provide their mobile number for the purpose of receiving text messages and 32 percent would share their social handles with retailers.

"Today's consumer has been conditioned by multiple industries -- from healthcare to travel -- to expect personalized interactions across different channels," said Jill Puleri, IBM Retail Global Industry Leader. "IBM's study shows consumers are willing to share details about themselves, particularly if they receive a personalized experience in return. It's imperative that retailers enact a Big Data and analytics strategy that ensures they use consumer information wisely, gaining their customers' trust and loyalty by providing value in exchange."

What Consumers Really Want
While omnichannel retailing -- the practice of providing consumers a connected, personalized experience across online, mobile and in-store channels -- is the stated goal of nearly every retailer, consumers aren't asking for it per se. They simply expect to be able to use their technology in all aspects of their life, including how they shop. IBM's study found that the five most important omnichannel capabilities to consumers are, in order:

  • Price consistency across shopping channels;
  • Ability to ship items that are out of stock in the store directly to their home;
  • Option to track the status of an order;
  • Consistent product assortment across channels; and
  • Ability to return online purchases in the store.

The IBM study found that consumers fall into four distinct groups differentiated by their interest in and use of social, location and mobile technologies while shopping. Nineteen percent of consumers surveyed lag behind the majority of the population when it came to using technology to shop. Another 40 percent of shoppers use social, location and mobile technologies for information gathering, but are not likely to use them to purchase products. Twenty-nine percent use social, location and mobile much more extensively, for everything from researching products to ordering goods.  Twelve percent of consumers surveyed are classified as "Trailblazers," those who use these technologies across channels and base their choice of retailer on whether they make that possible.

Trailblazers, although a small group today, are particularly interesting as they are paving the path most consumers will walk tomorrow. The IBM study anticipates that most consumers currently using technology to research and shop will only increase their usage. Trailblazers also represent a desirable demographic. They have a higher income level, are more optimistic about the future, plan to spend more in 2014 and are very socially engaged. IBM recommends retailers serve Trailblazers to stay competitive.

Showrooming No Longer a Top Threat 
Consumers are increasingly shopping online. In 2013, 84 percent of shoppers surveyed by IBM chose the store to make their last non-grocery purchase. This year, that figure dropped to 72 percent. Surprisingly, "showrooming" -- the practice of browsing goods at a store, but ultimately buying them online -- is not behind this online growth. While more respondents showroomed this year (eight percent vs. six percent last year), only about 30 percent of all online purchases actually resulted from showrooming -- a drop from nearly 50 percent last year. Seventy percent of online purchases were made by shoppers that went directly to the web.

Strategies for Success
Omnichannel retailing is not just a challenge of data volume -- Big Data -- but really a challenge of broad data. Omnichannel requires retailers to combine all customer interaction data -- be it from the store, online or a mobile device -- with external data from social media, video and sensors. The problem for many retailers is not only combining all this information together to form a consolidated view of a customer, but also reacting to it in a timely manner. Consumers are expecting retailers to learn from their interaction so recommendations and offers are personalized. Retailers should look to cloud computing to support their omnichannel strategy as it provides retailers the fastest, most efficient way to bring broad sets of data together in a single, secure platform.

For more information about the consumer study and IBM retail, visit:
ibm.com/business/value/greaterexpectations
www.ibm.com/press/smarterretail
IBM Smarter Planet blog
Twitter : Join the conversation at #SmarterRetail and follow @ibmretail

Joanna Brewer
IBM Media Relations
[email protected]
415-545-2270

SOURCE IBM

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
SYS-CON Events announced today that MIRAI Inc. will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. MIRAI Inc. are IT consultants from the public sector whose mission is to solve social issues by technology and innovation and to create a meaningful future for people.
Widespread fragmentation is stalling the growth of the IIoT and making it difficult for partners to work together. The number of software platforms, apps, hardware and connectivity standards is creating paralysis among businesses that are afraid of being locked into a solution. EdgeX Foundry is unifying the community around a common IoT edge framework and an ecosystem of interoperable components.
SYS-CON Events announced today that Dasher Technologies will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Dasher Technologies, Inc. ® is a premier IT solution provider that delivers expert technical resources along with trusted account executives to architect and deliver complete IT solutions and services to help our clients execute their goals, plans and objectives. Since 1999, we'v...
SYS-CON Events announced today that TidalScale, a leading provider of systems and services, will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. TidalScale has been involved in shaping the computing landscape. They've designed, developed and deployed some of the most important and successful systems and services in the history of the computing industry - internet, Ethernet, operating s...
SYS-CON Events announced today that Massive Networks, that helps your business operate seamlessly with fast, reliable, and secure internet and network solutions, has been named "Exhibitor" of SYS-CON's 21st International Cloud Expo ®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. As a premier telecommunications provider, Massive Networks is headquartered out of Louisville, Colorado. With years of experience under their belt, their team of...
SYS-CON Events announced today that IBM has been named “Diamond Sponsor” of SYS-CON's 21st Cloud Expo, which will take place on October 31 through November 2nd 2017 at the Santa Clara Convention Center in Santa Clara, California.
Infoblox delivers Actionable Network Intelligence to enterprise, government, and service provider customers around the world. They are the industry leader in DNS, DHCP, and IP address management, the category known as DDI. We empower thousands of organizations to control and secure their networks from the core-enabling them to increase efficiency and visibility, improve customer service, and meet compliance requirements.
In his session at 21st Cloud Expo, Michael Burley, a Senior Business Development Executive in IT Services at NetApp, will describe how NetApp designed a three-year program of work to migrate 25PB of a major telco's enterprise data to a new STaaS platform, and then secured a long-term contract to manage and operate the platform. This significant program blended the best of NetApp’s solutions and services capabilities to enable this telco’s successful adoption of private cloud storage and launchi...
SYS-CON Events announced today that TidalScale will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. TidalScale is the leading provider of Software-Defined Servers that bring flexibility to modern data centers by right-sizing servers on the fly to fit any data set or workload. TidalScale’s award-winning inverse hypervisor technology combines multiple commodity servers (including their ass...
As hybrid cloud becomes the de-facto standard mode of operation for most enterprises, new challenges arise on how to efficiently and economically share data across environments. In his session at 21st Cloud Expo, Dr. Allon Cohen, VP of Product at Elastifile, will explore new techniques and best practices that help enterprise IT benefit from the advantages of hybrid cloud environments by enabling data availability for both legacy enterprise and cloud-native mission critical applications. By rev...
As popularity of the smart home is growing and continues to go mainstream, technological factors play a greater role. The IoT protocol houses the interoperability battery consumption, security, and configuration of a smart home device, and it can be difficult for companies to choose the right kind for their product. For both DIY and professionally installed smart homes, developers need to consider each of these elements for their product to be successful in the market and current smart homes.
Join IBM November 1 at 21st Cloud Expo at the Santa Clara Convention Center in Santa Clara, CA, and learn how IBM Watson can bring cognitive services and AI to intelligent, unmanned systems. Cognitive analysis impacts today’s systems with unparalleled ability that were previously available only to manned, back-end operations. Thanks to cloud processing, IBM Watson can bring cognitive services and AI to intelligent, unmanned systems. Imagine a robot vacuum that becomes your personal assistant tha...
Companies are harnessing data in ways we once associated with science fiction. Analysts have access to a plethora of visualization and reporting tools, but considering the vast amount of data businesses collect and limitations of CPUs, end users are forced to design their structures and systems with limitations. Until now. As the cloud toolkit to analyze data has evolved, GPUs have stepped in to massively parallel SQL, visualization and machine learning.
In his Opening Keynote at 21st Cloud Expo, John Considine, General Manager of IBM Cloud Infrastructure, will lead you through the exciting evolution of the cloud. He'll look at this major disruption from the perspective of technology, business models, and what this means for enterprises of all sizes. John Considine is General Manager of Cloud Infrastructure Services at IBM. In that role he is responsible for leading IBM’s public cloud infrastructure including strategy, development, and offering ...
SYS-CON Events announced today that N3N will exhibit at SYS-CON's @ThingsExpo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. N3N’s solutions increase the effectiveness of operations and control centers, increase the value of IoT investments, and facilitate real-time operational decision making. N3N enables operations teams with a four dimensional digital “big board” that consolidates real-time live video feeds alongside IoT sensor data a...