Why shoppers and retailers buy into click and collect

Busy lifestyles and the move to online shopping have transformed the way we make purchases.

And one of changes is a growing appetite for “click and collect” services – where items bought online are collected in local shops or lockers.

As stores gear up for the Christmas shopping season, we look at why the popularity of click and collect is growing – and how it can boost the high street.

How popular is click and collect?

More than two-thirds (68%) of shoppers now choose to buy online and pick up purchases in store, according to Barclaycard, which commissioned surveys of consumers and retailers.

Barclaycard’s findings follow predictions earlier this year from analytics company Globaldata that the UK click-and-collect market is to grow to be worth nearly £10 billion by 2023.

The convenience of click and collect – when people may be at work and unable to take deliveries – is a strong part of its appeal. More than two-fifths (42%) in Barclaycard’s research rely on these services because they’re out during the day. And 15% favour it because they cannot receive deliveries at work.

Can click and collect help retailers?

One side-effect of the popularity of online shopping for retailers is the high numbers of returns – some of which may not be re-saleable.

Barclaycard found 77% of retailers say providing click-and-collect services reduces the volume of returns. This saves stores the cost of processing refunds and re-stocking.

Click and collect also has other benefits. For example, when customers collect, they may look at what else is on the shelves. Barclaycard found 85% of customers using click and collect buy additional items.

So, what are retailers doing to meet demand?

Nine in 10 retailers aim to invest in the service over the next five years, according to Barclaycard.

Indeed, 87% say click and collect is their fastest-growing delivery option. And some retailers are innovating by clubbing together.

John Lewis launched a five-store click-and-collect trial with the Co-op in May, and has extended this to a further 50 Co-op locations. And it’s finding that many click-and-collect orders are from new customers.

Eva Cullen, head of customer fulfilment operations for John Lewis & Partners says: “Our click-and-collect service is growing in popularity every year as our customers benefit from the ease of being able to pick up their order at a time and place convenient to them.” Barclaycard found 60% of consumers want to see more businesses teaming up. Kirsty Morris, director of Barclaycard payment solutions, says: “With the retail sector facing unprecedented challenges, investing in click-and-collect partnerships should be part of a long-term strategy for retailers, to encourage shoppers into stores and respond to the changing shape of the nation’s high streets.”

Is there any other positive news for the high street?

Despite concerns about the “death of the high street”, analysis from Which? found the personal touch provided by some traders and shops had helped them thrive.

They include markets, tattoo and piercing parlours, beauty services, funeral directors, tea rooms and cafes.

Which? suggests UK high streets need to become wise to the unique role they can play in consumers’ lives, offering services that attract people to town centres.