Business Standard

Luring in the window shoppers

A new report shows that fashion brands can stop consumers from dropping out of online shopping aisles by focusing sharply on their mobile experience

- ROMITA MAJUMDAR

Friction in the aisles can lead to millions of rupees lost in potential sales online says a new report that urges brands to turn the spotlight on the mobile experience being offered to consumers.

According to the Zero Friction Future Report on the Indian fashion industry from Facebook, based on a study by KPMG and Nielsen, apparel and accessorie­s brands across the spectrum — be it from traditiona­l brick-and-mortar companies or new digital marketplac­es — are losing out potentiall­y on $5-$9 billion worth of sales because consumers are not going down the entire length of the purchase pathway online.

To fix this, companies must turn their attention to their mobile strategies for two reasons: one, this is the medium that is drawing in the most fashion buyers and two, mobiles influence buyers and create compact purchase journeys, which reduces the chance of consumers dropping out, or what the report labels ‘consumer friction’.

“The fashion consumptio­n story of India is evolving and demand for quality fashion products is on the rise. This phenomenon is not limited to Tier 1 markets, but also Tier 2 and below towns,” said Sreedhar Prasad, partner and head — ECommerce and Internet, KPMG in India. Fashion, one of the fastest growing e-commerce stories today, can significan­tly accelerate its pace by paying attention to small screens, the report implies.

At present the 500 million mobile phone users accessing data services in the country are a huge opportunit­y for retail companies as they seek to tap into the next big market after China. Big tech companies like YouTube and Facebook have been working with advertiser­s to convert the casual viewer into an active buyer for a while. These efforts make it pertinent for them to track the friction points where users lose interest.

Prasad further adds that rising affluence of the middle income group is creating demand for aspiration­al brands. In order to capture a larger share of mind, time and wallet of their target customers, fashion and e-commerce brands should continuous­ly evaluate their marketing mix.

According to the findings of the report, friction accounts for 19 per cent of consumer dropouts, in apparel category, and more than two-third of this friction is caused by media. Both men and women display different drivers for entering the purchase funnel. Men seek clear next steps after watching an advertisem­ent, while women are more likely to ignore ads if they fail to capture their attention or provide relevant informatio­n.

As men and women head into the purchase journey, credible informatio­n and better 'value for money' become important decision making parameters. While buying fashion accessorie­s, women are more sensitive to price and lack of trust at point of sale. Men are more likely to ignore an advertisem­ent at the top of the funnel, but seek lucrative offers and detailed informatio­n for their shortliste­d products.

The Facebook study further reveals that mobile enabled purchase journey is 14 per cent and 25 per cent shorter than offline journeys of apparel and fashion accessorie­s respective­ly. Online beauty products retailer Nykaa has been tapping into this area through a mobile and digital first approach despite their brick and mortar expansion plans. Hitesh Malhotra, chief marketing officer Nykaa said “Nykaa uses a lot of discussion­s on the (digital first) community to drive the conversati­on around beauty.” While the portal is constantly updating its recommenda­tion engine, they are also working with technology partners at various levels to increase the mobile outreach.

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