Shopper unaware for full online potential

Many consumers are unaware that their preferred retailers offer an online sales channel, confirms recent research by Zendor. Despite the recent explosion in online shopping sales, retailers are still missing out on opportunities by failing to promote their websites effectively. In some sectors, more than three-quarters of consumers questioned were unaware that their 'favourite' retailer offers an online channel, suggesting that retailers are not communicating clearly enough with their customers.

With the recent upturn in online sales predicted to continue during 2006 - the Interactive Media in Retail Group (IMRG) forecasts a 36% growth this year - retailers who do not maximise the potential of their online store could risk losing out to competitors.

Zendor's survey analysed sector-by-sector success in promoting sales channels - more than 200 consumers were asked to nominate their favourite retailer in a sector and were then asked whether this retailer offered an online channel.

The clothing and furniture sectors performed the strongest with 85% of consumers correctly aware that an online channel is offered by their preferred retailer. The poorest performing retailer from an awareness point of view was Waterstone's, with 78% of respondents unaware that the retail giant offers an online shopping medium.

Interestingly, there were misconceptions about retailers who do not yet offer a transactional website but were thought to do so at the time of the survey - 25% of respondents who cited one particular retailer believed they could buy online when they could not. These results suggest that consumers now expect retailers to provide a transactional website. This indicates that as online sales continue to grow, consumers are embracing the shift occurring within retail and are expecting retailers to keep pace.

The survey also reveals that there is still high demand for a catalogue channel, with up to 69% of consumers, depending on the sector, stating that they would use a catalogue if it were made available by retailers. This should be of particular note to those retailers who have dropped their catalogue channel, believing there is no longer a demand for it.

Angela Schorah, Marketing and Communications Manager at Zendor, comments: "Not only is it vital for retailers to recognise the massive shift in consumer behaviour by offering their customers an option to shop online, but also for them to understand the importance of promoting this channel. If a consumer is not aware that their favourite retailer sells online, they are more likely to go to competitors to do so."