Click & collect purchases will grow by more than two thirds to be worth over £4bn in 2018, according to a new report from retail analysts Verdict, as consumers continue to place emphasis on convenience.
While click & collect growth will be rapid, it will still only be worth around 8% of online sales in 2018, and just 1.2% of total retail sales, said researchers. According to Matthew Rubin, analyst at Verdict, the growth of click & collect will be tempered by improvements to other fulfillment options.
“Home delivery companies, and pureplay online retailers are monitoring the development of click & collect and are reacting accordingly,” he said. “They are looking to offer collection points at convenience stores and lockers, same day delivery, narrower delivery time slots, and improved tracking and updates of estimated delivery times.”
Clothing & footwear dominates
Clothing & footwear has the highest penetration of click & collect, with 23.5% of online shoppers and 46.5% of click & collect users having used the service in the sector.
Rubin said: “This is down to the frequent nature of clothing purchases and the ability to ensure size and range availability compared to store shopping as well as the shortened lead time compared to home delivery which can be crucial in some clothing transactions.”
The second-placed sector is electricals, which has 15.4% penetration of online shoppers and 30.6% of click & collect users.
Typical click & collect shopper is older well-off female
Females are more likely to pick up online purchases from stores than men, making up 54% of users. The typical user is between 25 and 44 years old, and in the most affluent AB socio-economic group.
27% of online shoppers expect to increase use of click & collect
Verdict surveyed 10,000 online shoppers and 27% of respondents said they expected to increase their use of click & collect.
“This represents both an opportunity and a warning for retailers,” said Rubin. “With so many potential new users, retailers must invest in having adequate space, stock maintenance, and logistics to cope with the pressure.”