Online shoppers say account opening can make or break their relationship with retailers, new report shows

FacebooktwitterredditpinterestlinkedinmailFacebooktwitterredditpinterestlinkedinmail

Only a third (37%) of online shoppers in the UK and U.S. are fully satisfied with their experiences when opening new online accounts with retailers. Trulioo, the leading global identity verification provider, today announced the findings of a survey, released in a new report “Consumer Account Opening Report 2020”, which revealed that retailers are trailing behind businesses in other sectors such as financial services when it comes to meeting consumer expectations for fast and secure online account creation.

The implications of this are profound and long-lasting. More than three quarters (77%) of online shoppers report that they are becoming increasingly intolerant of poor online account opening experiences and will switch to other sites if they encounter a sub-optimal process. Moreover, 76% claim that the account creation process can ‘make or break’ their future relationship with a brand. 

Zac Cohen, COO of Trulioo, said: “In such a dynamic and competitive environment, online retailers simply cannot afford to deliver anything less than a first-class account opening experience for customers, one which is both fast and secure. Retailers are investing huge amounts of time and money in innovative campaigns to engage new customers, only to lose them at the final hurdle by not being able to onboard them effectively. In most cases, these people never come back. Online retailers have an immense opportunity to win the customer experience by focusing on the account creation process.”

The report also shows that consumers are more concerned about security than speed when opening a new online account. Despite the ongoing quest for ever faster customer experience within the retail sector, 90% of online shoppers cite security as a very important part of an optimal account creation experience, far ahead of seamlessness (59%) and flexibility (59%).

Online shoppers see clear benefits in online retailers providing real-time identity verification as part of a fast and seamless account creation process with85%  less likely to abandon, 80% feel more valued as a customer, and 78% are more likely to spend more time and money on a site when an online retailer uses real-time identity verification.

The report highlights widespread understanding of the need for identity checks within the account creation process. Almost 90% of online shoppers say they are concerned about identity theft when using retail sites and they feel safer using sites want to verify their identity.

There are a whole host of reasons why online shoppers abandon the account creation process, with 43% responding that they would go elsewhere if the site was unable to verify their identity after multiple attempts and 41% would walk away if there were a lack of transparency about why certain personal information is required.

Cohen concluded: “Consumers want brands to protect their security and identity when they are shopping online, but they don’t believe that this should come at the expense of first-rate customer experience. Real-time identity verification plays a crucial role in meeting customer demands for both security and speed when signing up for a new account. First impressions win in online retail. Those businesses that can onboard people in an optimised way will set themselves up to build strong and long-lasting relationships with their customers.”