I’M DIGITAL 2010 Report on consumer experience in Chile
I’M DIGITAL 2010
Report on consumer experience in Chile
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SHARE THIS STUDY facebook twitter delicious linkedin You can find the online version of this report at: soydigital.ayerviernes.com
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I’M DIGITAL 2010
Report on consumer experience in Chile
CONTENTS Before you start
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‘Til here
05
Who should read this report?
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Digital Consuming
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Digital Consuming: Users on motion
9 factors that define a good/appropiate consumer experience
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Digital Consumer Experience Model
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Experience Model
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Accurate positioning and supply
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Capturing and encouraging decision making
28
Logistics and uncertainty decrease
35
Methodology
38
Study Results
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41
Results
Work Team
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About AyerViernes
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Report on consumer experience in Chile
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BEFORE YOU BEGIN ABOUT BRANDS STATUS IN DIGITAL MEDIA
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Report on consumer experience in Chile
‘Til Here The end of on&off
From customer to competitor
Yes, it’s over. Consumers’ lives are different, there’s no such thing as “two lives”. Customers are not digital at night and analogue during the day. Customers live transversally and brands should learn from new behaviors to evolve with them.
Your customers are reading, talking, discussing and recommending you. Now, they have the same tools your company has to positively or negatively influence among their peers. For this reason, you can not substract yourself, you must take the lead.
Because there has never been so much irrefutable evidence about what your customers do, say, believe and comment about your products as nowadays. Nothing will cause more change and affection for brands than the Experiences that they build to communicate their messages, and the only place where consumers will participate and shape these experiences is in digital space. From now on, your marketing plans cannot offer just the crumbs to “the digital” and keep loosing leadership positions in traditional media. Your duty is to turn messages into transversal experiences across media and therefore, create an underlying synergy.
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Today, the brand´s mission is to provide the digital spaces where customers can talk, collaborate, and share their insights, which are necessary for the constant reinvention of your services and products. The customer is now your ally or your competitor, he/she is armed with blogs, social networks, micro-blogging and video streaming to say what you do not want to hear.
Report on consumer experience in Chile
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‘TIL HERE
The end of advertising Nothing will remain as before. Those glorious broadcasting TV days were replaced by viral forms of communication. Esta frase no tiene sentido en castellano -Herbert Spencer 01/12/10 21:03 Did you ask for a touchpoint? Your local TV chain offers you thousands, YouTube and Facebook, millions. Telemarketing campaigns ended with the Twitter arrival and toys ceased to be important in the Happy Meal because we entertain ourselves with the Wii. The same as the film industry, and others like music, education, software, military, design, etc... advertising is at its last throes, like never before.
because everything is questionable and can be disputed. Advertising and its campaigns will give down if they stick to obsolote and sterile business models.
Advertising recently became aware that it never cared about the digital. And it was because it - the digital - was thought as something for garage geeks and annoying nerds who only cared about Usability and User Experience.
Advertising arrived late and had keep giving away spaces until the moment when there was no possible tactic left for traditional campaigns.
Today it’s too late, we are taking possession of the industry to challenge everything,
Jorge Barahona
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The audiences have changed, and therefore, if you want to sell shoes, chocolates or plane tickets, you must talk to micro-tribes, which are transversal to C3 and to ABC1, people who twitt while they walk, taking photos and uploading those “rare new hairstyles”, which collude through MSN and are consumed while chatting. They are the main characters of this story and they know it.
Greetings,
CEO AyerViernes SA
Report on consumer experience in Chile
WHO SHOULD READ THIS REPORT? What’s the percentage of the annual advertising budget that I should reserve for the Web? Do my clients use social networks? Should I digitalize my brand or organization? How should I do it? These are some of many questions that professionals from all industries have every year meanwhile the clock ticks and your customers move away from you because they are digitalizing their lives and you are not noticing it.
An invitation to all brands
This may be good or bad news, but customers co-exist in a digital environment, where the only ones who haven´t learned how to get into are trademarks.
Leave behind Philip Kotler’s niche models, by joining the multi-platform conversation of your customers. Don´t seek for further arguments, your clients are already digital. You have to change now: the future is happening today.
Yes, your customers are no longer talking about “the Internet” or “being online”, they forgot to “click here” and won’t read the “about us” section, they expect you to be entertaining, relevant in content, in connectivity and possibilities, in a valuable conversations and all of this, at a human scale.
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Are you a communications team member? Then this report is aimed to you. The argument is simple: Today, as never before, there’s been such a significant convergency in areas such as today: advertising, marketing, business, innovation, design, public relations, strategic communications unite in order to create integrated communications for your consumers life´s.
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DIGITAL CONSUMPTION USERS ON MOTION
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Report on consumer experience in Chile
DIGITAL CONSUMPTION USERS ON MOTION
The use of digital media is rapidly becoming more diversified, what once obligated us to sit at our desks to deal with, today we can handle and carry it for consumption where and whenever we desire. People have taken a leading role in the creation of relevant messages, their mobility hits in real-time and goes a step ahead of the listless reaction to traditional media. They became content producers and their role became blurred because of consumption, therefore, people themselves act today as agents of persuasion by linking brands to their interpersonal networks. It is no longer “a technology problem” that brands cannot relate with their users, because they are already talking to their peers about the experiences they are living minute by minute. A 47.9% of people recommended websites, videos or applications to their closer friends, 45% uploads photos and/or videos through different web services, and 34.7% manages or collaborates in blogs, website or forum; this speaks of avid users in the production and consumption of digital media.
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DIGITAL CONSUMPTION: USERS ON MOTION
CO
EX
It must be relevant
PE
RI
EN
CE
Should work on Mulit-platforms
RE IN
S Raise new insights
SATIO VER IN
SI
RS
GH
TS
ME
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World of Mouth technique
INFLUENTIAL
Figure 01: Relational Model between the brand and the user
Report on consumer experience in Chile
CO N
SU
The content must be relevant and applied into strategic channels that avoid the disruption in the daily living of the consumer, providing and adding valuable conversations from beginning to end. The content is not always associated to the brand and related by corresponding terms based on client´s interests, preferences, tastes, and activities. Consequently, the balance is not to overwhelm the message as traditional advertising does.
N
RELATIONAL MODEL BETWEEN THE BRAND AND THE USER
Stratify best niches
CON
Content
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G
NT T TE N EN CO NT
NE W
We welcome bidirectional communication, which is centered from and to consumers (now also producers). Welcome to all experiences that transcend beyond thirty seconds. Our relational model proposes five steps and depicts how a brand must establish its communication so that it leverages experiences that help capture best practices (and more consumers) through digital interactions.
VE NT IN
Relational Model Brand - Consumer
DIGITAL CONSUMPTION: USERS ON MOTION
Experiences
Influential
Brands should look at technology convergence besides a computer or cell phone, the goal is to create multi-platform consumptive instances, which must be selected based on the content. Experience is the message.
Today, unknown stakeholders of great reputation are evangelizing about certain brands, validating concepts through social instances where they share their comments and experiences. They are the ones that give bidirectionality to the message.
Conversations Consumers talk about brands even though they might not be literally present, this is because customers talk among themselves to learn more about a product or service. Word of Mouth is a natural effect of experience and digital media offers an opportunity to detect these conversations (good or bad) locating insights from the user to the brand.
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New Consumers They emerge from the influence of leaders, stratitified in niches, expanding the target and demanding the reinvention of the brand’s communicational efforts.
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DIGITAL CONSUMPTION: USERS ON MOTION
Communication on the move
whenever they have leisure time and when moving from one place to another.
Worldwide, the first billion mobile phones was sold in 20 years, the second billion took only 4 years and the third only 2; (1) whereas in African countries mobile penetration is reaching almost 100% in Kenya more than 7 million people make up for the lack of banking resources paying bills with their cellphones.
According to respondents, the barriers that hold back the expansion of mobile Web, are mainly related to the prices of Internet access plans that most of the companies offer.
We are not talking about a future estimation, but the present, and about the assets available to people. It is only a matter of time in Chile, before the 64.2% of people who reported getting connected to the Internet via mobile phone, grows even more.
43.1% of those who don’t use mobile Internet perceive it is too expensive, also the first reason to access these services would be lower fares for 65.1% of people. (1) Chipchase, J. Mobile Phone & The Design of Mobile Money Services for Emerging Markets
The most recurrent situations of people connecting through their mobile devices are related to particular contexts of use: 42.9% gets connected in emergencies, 41.7% when waiting for something or someone and more than a third of respondents, when they have something important to say or review, (1) Chipchase,J. Mobile Phone & The Design of Mobile Money Services for Emerging Markets
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Report on consumer experience in Chile
9 FACTORS THAT DEFINE A GOOD CONSUMING EXPERIENCE
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I’M DIGITAL 2010
Report on consumer experience in Chile
The first rule you must follow when we want to know people’s behavior, is that we cannot conceive them separately from their consumption practices; even more if we reduce the definition of such practices only to the acquisition of certain assets. To understand consumer experiences holistically, we must consider that this field encompasses far more issues than the mere purchase of the good and includes factors as the creation of the necessity, triggering purchasing desitions, levereging rich browsing experiences, product’s use and disposal.
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Report on consumer experience in Chile
THE 9 FACTORS
DEFINING A GOOD CONSUMING EXPERIENCE From free recommendations that the 782 respondets made about the best online stores that offer —of course— a better shopping experience, we identified 9 factors that reflect the key aspects that influence people leveraging a successful Online. Consumer Experience. These are the 9 fundamentals that should support all digital structure that deals with some kind of interaction with consumers, being its appropiate implementation the starting point to establish the conditions for optimal consumer experience.
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1. Intelligence 2. Interface 3. Variety 4. Trust 5. Speed 6. Price 7. Information 8. Security 9. Payment Methods
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9 FACTORS THAT DEFINE A GOOD CONSUMING EXPERIENCE
1 Intelligencer:
2 Interface:
Do you know the customer? Can you anticipate his or her interests? If you do, you can provide an optimum experience and come in a closer relationship with your consumers by knowing their tastes and being able to present a fresh offer that they can be interesting for them. Knowing to offer with assertiveness (what and when) and creating a navigation with contextual elements of value has a direct influence on the volume of products that users will purchase. Profiling customer’s interactions is about to taking into account their digital footprint as a model of their intent, desires and necessities and being able to react to them.
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It was the aspect that people attributed greater importance since it is the visible face of all the processes and it can heavily affect user experience. Cumbersome and aesthetically unappealing interfaces project lack of processes transparency and therefore mistrust. Good interface design involves —in addition to reflecting a particular look & feel— offering all necessary elements with proper emphasis, and by doing this, constructing better interaction between customers and your service and outcomming all possible barriers that could alter the normal flow of online consumption.
Report on consumer experience in Chile
9 FACTORS THAT DEFINE A GOOD CONSUMING EXPERIENCE
3 Variety:
4 Trust:
One of the key advantages of digital spaces compared to companies with a physical presence, is their ability to have virtually unlimited stock which implies a far greater provision of products and services that may offer.
Transparency and support of an online store are the two concepts that can leverege consumers’ trust of a brand. From here, you can generate responsible “bonds of trust” with the consumer during the online experience.
Market breadth is the advantage, reaching segmented audiences with more specific tastes and needs, plus the ability to cover a smaller but loyal niche. The digital economic model implies offering a rich variety to meet specific tastes, over exploitation of selling high volumes. Variety then allows a much more accurate segmentation; its no longer complete a store that is focused on certain target audience, but niche products are those that modulate the audience that consumes them and in turn the re-informs the future product inventory to offer.
Many seek the support that offers a recognized brand or company, but this is not enough because the image is not based entirely offline. Its projection and its facetoface customer relation model may not be a reflected accordingly in the digital environment. Another relevant aspect related to trust, is the emphasis that should exist in the implied promise made by each company while interacting with their audience, seen in the after-sales service, logistics, consultation, support and guarantees delivered so as to reduce uncertainty with adequate feedback between purchase and final product delivery.
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9 FACTORS THAT DEFINE A GOOD CONSUMING EXPERIENCE
5 Speed: The importance of speed lies in two aspects: one linked to the logistics company to operate the activation of a purchase and the second on the speed with which the site allows them to interact... how many steps must be followed? This is intrinsically related to interface design and the built environment to promote a logical experience, easy and natural.
6 Price: How much consumers pay online v/s shop offline? Here are relevant customer expectations about how prices should be treated. Although it is more a factor of the business model than the experience itself, in general, the perception is that the lower prices are an important incentive for online consumption, you can find better deals online and comparison affordances exists to guide and support
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smarter decision-making. The consumer seems to assume that online prices include some sort of discount, so it might be interesting to determine the ammount that must be discounted to encourage consumption according to a stratified user model.
7 Information: The level of detail on the products: pictures, videos, comments and ratings from other buyers, external reviews, links, among others, affect the reliability, as consumers seek approval relating to acquisitions. Another important aspect is the information on after-sales, ie estimates of delivery time and tracking of shipments, anything that involves transparently reveal the status of products and monitoring. Prices and costs should be explicit, clear and transparent. If there is enough information and is well presented, decreases and increases distrust the willingness to consume.
Report on consumer experience in Chile
9 FACTORS THAT DEFINE A GOOD CONSUMING EXPERIENCE
8 Security:
9 Payment Methods:
One aspect which is presented as a major barrier to entry for consumers is the security, expressed in the field of online payments, primarily credit cards. The perceived safety when interacting with digital media companies and the projection of confidence associated, is one of the most relevant aspects for the consumer that could stimulate or inhibit consumption.
People mention payment method as one of the significant factors that make shopping easier, which has to do with the site’s commercial policies. Many users that recommend certain retail stores, based their choice solely on the fact that they needed to have credit cards to buy, since they could use the corporate credit card that these big stores provide and offer as another payment alternative. In essence, it is clear that more diversity in the ways to make the payment is relevant to the client, so it must be considered and to offer various options, particularly to provide an alternative to consumers who do not have traditional bank credit cards.
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Report on consumer experience in Chile
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THE EXPERIENCE MODEL FOR THE DIGITAL CONSUMER
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Report on consumer experience in Chile
The Digital Consumer Experience Model is based on the need to define the standard flow for the customer/service interaction. Understanding that individuals and their purchase experience is not limited only to a digital space, provides a wider vision identifying significant milestones that shape the flow of interaction that considers both online and offline aspects.
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THE EXPERIENCE MODEL For the Digital Consumer
G IN FFE R FRE EO
LI
NE
ST O E
TY
IN
LI
RE
necessarily reflect the precise
TRAN SAC TIO N
HOW DO YOU PAY? Usually with a credit card, but department store cards, electronic transfer or with the delivery
behavior for all users when ACTIVATION REQUEST
Common Problems Missed deadlines
consuming online; this
Product features that do not correspond to the real product
overarching model depicts all
The product never arrives
WHERE TO BUY?
WHAT DO YOU NEED?
Amazon, Falabella, Ebay and París
This part of the process is invisible to the user, so the feedback is essential for his peace of mind
WHAT ABOUT CHILE?
a sequential process, it doesn’t
BI
O ST
93,3%
WHAT HELPS? User reviews, comparison with similar products, description of Bloggers and other media and product pictures
NL
E
CHOISE OF THE PROVIDER
SPAM
PLY SUP
Although the model represents
SI
IN Excessive advertising, intrusive and out of context
AL ERN
PURCHASE DECISION
Extra charges and fraudulent use of credit card
O
NL
INT
Lack safety
VI
O Recurring Problems
gets informed over the Internet before buying
Non-supported credit card
is technology, electronic equipment, airplane / bus / train tickets and shows tickets
Figure 02:
RE
Common Problems
Most buyed
boundaries and constant flow, specilly blury between Positioning and the Choice of
LAN, Falabella, Ninguno and París
ONLINE OFFLINE
ONLINE POSITIONING
DELIVERY
80,2% have made online purchases
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relevant factors with blury
Report on consumer experience in Chile
OFFLINE
the Supplier.
ACCURATE POSITIONING AND SUPPLY Asking users “which store offers the best shopping experience?” Of all who responded (599), Amazon.com was ranked first for the second consecutive year (2) within all considerations with 198 mentions. By far, though again in second place, Falabella got 82 mentions. Why is this store (Amazon.com) better regarded than its direct local competition? The 8 stores recommended by users
AMAZON.COM
82
EBAY
55
PARIS
44
PCFACTORY
37
MERCADOLIBRE
35
LAN
26
Z-MART
12
FALABELLA
82
eBAY
55
Recommendations by usersPARIS compared to 2008
198
FALABELLA
Although no major differences exists between the interfaces of the different competitors, there are many alternatives that could explain this phenomenon; including branding, but mainly we suggest two: firstly, trust in the brand that transcends the digital realm, and second, enormous technical and marketing efforts, both offline and online to spread the brand through various channels AMAZON.COM 198 through which people relate with.
33% 22.9%
PCFACTORY
37
MERCADOLIBRE
35
LAN.COM
26
Z-MART
12
13.7% 13.6%
8.4% 7.3% 599 RECOMENDACIONES
YEAR 2009 YEAR 2008
AMAZON.COM
44
FALABELLA
PARIS
2.2% 2.9% LAN
599 RECOMMENDATIONS
Figure 01: Shows the Amazon undisputed leadership according to consumers
Figure 02: Represents the recommendations between 2008 and 2009.
(2) See previous year results: http://tinyurl.com/encuesta-digital2008
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Report on consumer experience in Chile AMAZON.COM FALABELLA
198 82
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ACCURATE POSITIONING AND SUPPLY
Without doubt, offline advertising is an important factor in brand building and occupies a prominent place in the stage of “free offer”, it acts as a bridge between the positioning and choosing of a provider. It also helps to build presence and, hopefully, links people’s needs with the offering by placing advertising in places where users spend most of their time.
What’s the status of digital advertising? Four of the first problems encountered when using Internet have to do with the stage of Supply Model and the first three are directly concerned with advertising, including: 1) Invasive Ads
The 6 main actions performed by users on the Internet CHECK MAILS
93,0%
FINDING INFORMATION
91,1%
READING NEWS
81,0%
SOCIALIZING (FACEBOOK, FOTOLOG, ETC)
79.2%
FILE DOWNLOADING
73,89%
INSTANT MESSAGING / CHAT
72,9%
2) SPAM 3) Excessive Advertising
Figure 03: Showing 6 of the 21 most frequent activities people perform on the tInternet. 24
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Report on consumer experience in Chile
ACCURATE POSITIONING AND SUPPLY
Similarly, statements that represent the views of users about digital advertising, are:
The 5 major problems when navigating
1) 40.8% “I think it is excessive” %
5.3
2) 36.6% “I do not see”
% % 4
9.7
. 5 4 % ing peed es 33 3 s i . t s c 1 % dver ing our s6 Ad 58.4 ive A rows able S e v asi SPAM xcess low b nreli E Inv S U
3) 34.6% “usually not related to the context of what I’m doing on the Internet” The feelings about online advertising
GIVES ME AN ANSWER TO WHAT I AM LOOKING FOR KEEPS ME INFORMED ON TIMELY PRODUCTOS OR SERVICES
I THINK IS NECESSARY
GENERALLY NOT RELATED TO THE CONTEXT OF WHAT AM I DOING ON THE WEB
Y DON’T SEE IT
I THINK ITS JUST TOO MUCH
Figure 04: The 3 primary considerations of a total of 12, have to do with any kind of digital advertising.
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2.7% 11.3% 23.6% 36.1% 36.5%
41.4%
Figure 05: Describes the association of advertising mainly negative attributes.
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ACCURATE POSITIONING AND SUPPLY
These statements plotted a precarious situation in which brands promote their products and services through various digital channels, specially when the site offers options appropriate for its modular offerings, monitor and direct a particular niche, involving a more assertive proposal to consumers (knowing what, how and when). The current situation has to do with a medieval concept of digital advertising, wanting to dominate a larger area (wide segmentation), become disproportionately larger and try to draw attention instead to concentrate efforts in the niches that it is relevant and faithful.
Why is the Amazon.com case so important? In digital spaces, the number of competitors expands, and the consumers no longer navegate only the local market but international stores as well. They willing to persue the best offer no matter the country limits. All shops in the world fit into a browser and the restrictions that might inhibit the purchase have no longer to do with the constraints of local versus the foreign market, but with the factors that establish the conditions for a positive user experience, say: usability, accessibility and a design that contain all elements that stimulate the buying process. From this perspective, the shopping experience generated on Amazon.com is a reference for every user who has bought or simply browsed through this site. Due to precision filters, recommendation, cross-selling, —stratification, among other features— make that huge inventory of goods as intelligent as it can be for each user.
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Opportunities for brands: Propose assertively, finding competitive advantages, anticipate to specific niches with consistent offers. Intelligent recommendation filters based on purchasing patterns and navigation behavior to achieve customer needs Profiling, being aware of the particular nature every single digital consumers in some way self-defined by its consumption behaviors Taking position through the generation of relevant conversation fields guided by the brand Creating brand engagement based on good knowledge of customers
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ENCHANTMENT AND ENCOURAGING THE DECISION Linked by domestic supply and limits of the online store that consumers chose as suppliers, this space becomes crucial to pass two lines that deal with important decisions: first, trust in the supplier or product that you want to buy and second, the option of initiating a transaction at the respective store.
What do they consume? Among the products or services that most users have purchased over the Internet we have first technology, electronics and plain / bus / train tickets.
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Products and services purchased by users
TECHNOLOGY
65,4%
ELECTRONIC EQUIPMENT
55,4%
AIRPLANE / BUS / TRAIN TICKETS
50,8%
SHOWS TICKETS
39,0%
BOOKS / MAGAZINES
35,0%
Figure 06: Technology, electronics and airplane / bus / train tickets are the items users buy most
Report on consumer experience in Chile
ENCHANTMENT AND ENCOURAGING THE DECISION
A positive correlation is found between the purchase of tickets and the high value that has LAN.com 1 within Chilean online stores (see figure 16 on page number 56). Certainly the concern of LAN.com for user experience is superior to other sites, while providing a solid platform for transactions that do not necessarily have to do with the purchase, but also harmless transactions. In this sense, the interface and information design promotes an accurate and informed decision, showing clarity and projecting confidence in forthcoming stages interal offer, transaction and logistics
Which elements build confidence in users? Looking a bit beyond the digital domain, we see that the relations between the users and the brands have changed. People ought to occupy a central role within the strategies
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of companies, tending to fade the line between producers and consumers. It’s all about empowering the capacity of people to act as influents and to develop relevant rols withing the productive processes Empoderizar It is the capacity of people to act as influencers and relevant actors within the productive processes of the marks. The aim is to create collaborative services, which need the direct and active participation of all stakeholders - including end users. Friends, family and coworkers’ opinion are infuential information to people. It is of tremendous importance to consumers, specially because one of the biggest barriers is the confidence in online shopping mode. Wene someone of their peers or related circle purchase, it gives them incentives to break the barrier. To create effective interfaces that encourage a purchase decision, there must be certain conditions, in addition to delivering tools that create an atmosphere of confidence and trust among the navigators.
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ENCHANTMENT AND ENCOURAGING THE DECISION
Moreover, when 58.1% of people stated commenting on social networks and 47.9% recommended sites, videos or applications to their friends, which tells of a growing trend towards involvement and building relationships influence, extolling the active role they are taking people on consumption.
Your customers already anticipated (and in real time)
The factors that influence a purchase decision
77,5%
USER COMMENTS COMPARISON WITH SIMILAR PRODUCTS
71,7%
BLOGGER’S OR INDEPENDENT MEDIA DESCRIPTION
59,9%
IMAGES
51,7%
USER RATINGS
43.4%
SITE’S DESCRIPTION
41.1%
VIDEOS
24.9%
MOST REQUESTED PRODUCTS
24.1%
Users are more agile and proactive as what the brands belive they are; users have a relationship with the products within every second that last longer than the traditional 30-second ad. So probably most of the technology and electronics products available in traditional online stores have been already reviewed, described, rated and commented by any person or independent mean, which means that currently interfaces to support the buying decision are highly inefficient, while people have to go elsewhere to seek information in order to preform the purchase decision.
Figure 07: 77.5% of people value the comments of other users as references for approval to make a purchase decision 30
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Report on consumer experience in Chile
ENCHANTMENT AND ENCOURAGING THE DECISION
Thus, not being alert to real time behavior of the users, with attention and monitoring according to this dynamism means losing important opportunities for both business and optimizing customer relationships. Although 80.2% of people have purchased over the Internet being that a significant percentage is even a greater proportion of people (93.3%) that have looked for information of product through Internet before making any purchase decision, which gives the digital content a benchmark tool of high value
Transaction The link between the purchase decision and the activation order landmark, is the transaction; and is in this section of the process that probably mosts purchase discourage occurs. The main reasons why electronic commerce purchase loses the realization at this stage, have to do with the incompatibility of browsers and operating systems that do not support the shop where they want to buy (26.1%, has had this problem). In addition 24.7% of users expressed lack of feedback regarding the transaction, which promotes the uncertainty of the users and generates mistrust, two factors that discourage consumption and erode the relationship with the store.
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ENCHANTMENT AND ENCOURAGING THE DECISION
How users pay
The problems of online shopping
39.8%
I HAD NO PROBLEMS
CREDIT CARDS
66.8%
29.1%
PAYMENT PLATFORM (SERVIPAG, WEBPAY, PAYPAL, ETC)
56.5%
DELIVERY FAILURE OF YOUR BROWSER INCOMPATIBILITY WITH OPERATING
26.1%
ELECTRONIC TRANSFER
52.8%
SYSTEM IN USE OR LACK OF FEEDBACK ABOUT THE TRANSACTION
24.7%
PRODUCT FEATURES DON’T REFLECTED REALITY
12.2%
CREDIT CARD WAS INCOMPATIBLE WITH THE SITE
12.2%
LACK OF SAFETY CONDITIONS
10.3%
BREACH OF DELIVERY
NOT RECEIVING THE PRODUCT OR SERVICE
8.2%
PRODUCT DAMAGED OR WRONG STATE
5.6%
CARD CHARGES HIGHER THAN TO BE
4.8%
DOUBLE BILLING
4.5%
FRAUDULENT USE OF CREDIT CARD
1.2%
DEPOSITS
29.1%
GREAT SHOPPING CARDS
22.7%
ON DELIVERY
18.4%
Figure 09: Means of payment used by users
Figure 08: Main problems encountered by users when making purchases online
1.042 CONTESTADAS
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295 SIN CONTESTAR
Report on consumer experience in Chile
ENCHANTMENT AND ENCOURAGING THE DECISION
What elements destroy the confidence of the consumers? If we consider the reasons why people have not shopped online, we see that 43.8% feel that the system does not give security and does not give confidence. This show an unfinished work of online stores to stimulate the digital consumer, which is about to propose basic safe and friendly interfaces. It must provide solid space generating a positive experience, which is the first step towards strengthening the percentage of people unfamiliar with the procurement of goods through the website.
Other problems that user survey and inhibiting digital consumer are: Products that do not correspond to reality shown in the offer stage (see figure 08 on page 32) Incompatibility of the site and the browsers or transactional problems (see page 31) Credit card incompatible with the site Lack of safe Charges on the card different of what the site shows Fraudulent use of credit card Double billing
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Opportunities for brands: Deepen and broaden the relationship with audiences, people leave their practices reflected in consumer interaction with digital watermarks and thus becomes a task for the brand observing these insights and propose accurately and assertively satisfying customers needs. Consider consumers as partners, co-construct with them the digital strategies of the brands included to encourage new and more powerful influencers. People are taking their time to interact with the companies, so that it is for brands to promote discussions of value and know how to listen.
Create interfaces that encourage consumption, which reduce mistrust and uncertainty. 34
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LOGISTICS AND REDUCTION OF UNCERTAINTY The success of the stages of delivery and logistics, are more related to offline internal processes than with the interface and direct user action. In this scenario, brands should generate instant reports of the status and location of the order to convey confidence, display this information and give the users the possibility to claim their rights as consumers and enforce, for example, the delivery commitment of company.
the material expression of what was previously acquired. The user has no choice but to surrender to the logistic system of the the company and hope that within the time specified, the product he bought will be delivered to his door.
Commitment of the brand, consumer confidence
Moreover, knowing that within 9 factors that users identify as relevant to the digital consumer, two have to do with safety and confidence.
Since the activation order a line of visibility is passed that establishes a new relationship with customers: people no longer have control over the purchase, emerging a bond of trust and bidirectional commitment with the business. In the delivery stage we’re able to see more explicitly the integration of a complete model that includes digital and physical spheres. It is a relevant contact point because it is
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60.2% of users reported having experienced one or more problems to make a purchase online, a figure that depicts the strategic digital immaturity of the brands and the poor consumer experience that is offered at most sites.
By specifying the main obstacles that consumers have found in their shopping experience, approximately one third of respondents (29.1%) stated that the failure fulfilling with the deadlines committed by the offeror was a serious problem. A quarter of the respondents identified as a necessary impediment to the lack of feedback on service delivery
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LOGISTICS AND REDUCTION OF UNCERTAINTY
during the logistics process (24.7%). To a lesser extent (12%), but equally important, the receipt of a different product or with other features not shown by the original purchased piece, followed closely (8%) by nonreceipt of the product, create impediments to making the purchase in stores Online. View Graph No. 08 on page 32.
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Opportunities for brands:r Comply the implicit promise to deliver an order without problems, resulting in increased confidence in the processes offered by the brand and icreased loyalty of the customers.
Stimulate consumption and promote the digital medium as aneffective channel for online shopping, focused on reducing costsand customization.
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METHODOLOGY The following report collects information about trends and changes in the Internet use in Chile. In essence it examinates the habits of Internet users and gives an overview point of where new trends are going. If we wanted to sum up this study in one question, it would be: How does the chilean people use the Internet? The exposure of the survey took place between August 10 and 13 October 2009, released in digital media or web, which enables a large number of users involved. Now we’ll show the detail of some figures obtained as a result of this report: Polls validly answered: 1339 Confidence level: 97% Error: 3%
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Media sites used as difusion: FayerWayer.com DaleAlbo.cl Zancada.cl 192.cl PolíticaStereo.tv IAB.cl tuvidasana.cl tecnoblog.cl educablog.cl maqueros.cl Twitter datoblog.cl MercadoCapital.cl Erresese.cl Vaquelita.cl dokshor.com jbarahona.com Yukei.net Facebook
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SURVEY RESULTS
FIGURES ANNEX AND COMPARATIVE ANALYSIS
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The following pages gather the results of each questions asked on the survey, described qualitatively in order to support the analysis related to digital consumer experiences. You can find a high quality version of each of these graphs in AyerViernes’ Flickr. The content of this work has been created under a Creative Commons “Attribution-Noncommercial-No Derivative license”. So, feel free to copy, distribute and transmit it according to the license conditions.
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SURVEY RESULTS For the second consecutive year, Amazon.com takes the first place within the preferences of users who consider it as the store that offers the best digital consumer experience. Over the last year, Amazon.com had a considerable increase in its sales percentage, while Falabella kept the same percentage according to the user´s preferences. This trend demonstrates the leadership position of an international store compared to any other chilean actor and announces the clear strategic vision that this store has in relation to its other digital businesses. The following graph shows the changes in the percentage related to each of stores compared to year 2008.
33% 22.9%
YEAR 2009 YEAR 2008
AMAZON.COM
13.7% 13.6%
FALABELLA
8.4% 7.3%
2.2% 2.9%
PARIS
LAN
1.Which site offers the best shopping experience? 198
AMAZON.COM FALABELLA
82
EBAY
55
PARIS
44
PCFACTORY
37
MERCADOLIBRE
35
LAN
26
Z-MART
12
599 RECOMMENDATIONS
Figure 1 shows the undisputed leadership of Amazon according to consumer’s preferences
AMAZON.COM
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198
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198
FALABELLA
82
eBAY
55
PARIS
44
41
SURVEY RESULTS
2. Since when do you use the Internet? ears
6y 4 to
%
26.8 2
1%
rs 9.
yea to 4 1 to
7%
rs 1.
2 yea
Less
ear n1y
tha
n6 e tha
Mor
Preliminarily, the difference between the years 2008 and 2009 in the first 3 groups seems to be too small to establish a trend and confirms that the numbers of users have considerably grown, nevertheless, each year it is closer to the total of population.
1.1%
However, there is a second interpretation based on the thinking of a parallel development between the Internet (medium), the different industries(organizations) and the users; a place in where all of them have been able to perceive the changes as much in platforms and digital tools as in the rise of new social networks, digitization of brands and organizations in recent years.
years
%
61.3
1.333 CONTESTADAS 6 SIN CONTESTAR
Figure 02: The majority of the people polled have been users of the internet for over 6 years. 42
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3. Frequency of Internet accesst Several times a day 95,7% Once daily 3,1% Some times a week 1,0% A few times a month 0,2% Never or rarely 0,1%
Figure 03: 95.7% of all the internet users access Internet more than once daily
In this question, it is easy to see a bias because of the fact that 95.7% corresponds a group of intensive Internet users that have increased their participation and have become active users increasing their internet access several times daily regardless of the purpose(to work, search or interact with other people).
4. Activities carried out by people when they are connected to the Internet CHECK EMAIL
93.0%
INSTANT MESSAGING / CHAT
72.9%
GAMES
34.8%
SEARCH
91.1%
FILES DOWNLOADING
73.8%
VIDEO WATCHING
65.8%
COMMUNITIES / FORUMS
49.3%
WORK RELATED ACTIVITIES
52.5%
ACADEMIC ACTIVITIES
54.5%
WATCH PHOTOS
60.8%
BUY
35.2%
NEWS READING
81.0%
GENERATE CONTENT ( i.e. UPLOAD PHOTOS)
50.9%
SOCIALIZING NETWORKS (FACEBOOK, FOTOLOG, ETC)
79.2%
FIND A JOB
21.7%
BANK TRANSACTIONS
52.2%
CHECK BANK ACCOUNT
60.0%
BLOGS READING
60.0%
LISTEN TO MUSIC
57.9%
FEEDS READING (RSS)
35.7%
INVOICES PAYMENT
43.1%
JUEGOS
Figure 04: The 93% of people check their mail, as one of the most recurrent activities to connect to the Internet I’M DIGITAL 2010
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SURVEY RESULTS
The table above shows very well the intensity of the various internet uses between the people polled. Though activities like checking e-mails, searching information and reading the news are in the top of the ranking, one of the most important aspects is the intensity of social networks use; take notice that 79.2% of people polled declare to use the Internet to interact with other people. This percentage is important if it is considered that social networks have increased their presence in our country in these last 2 or 3 years focusing mainly on Facebook and Twitter. The level of penetration reached by these networks in a very short time is similar to the place taken by news sites and is not far from the use intensity level neither of emails nor of search engines. This trend was present in the same survey conducted in 2008 where the item “socializing� took the fifth place as one of the most requested activities carried out by users, and then, a year later would take the first place.
organizations and media have positioned themselves thanks to social networks which have probably helped to the democratization and their use.
5. Problems presented while people surf internet %
9.7
9% %
21,
%
8.5
%
3.4
% 4 le 3 s1 5.3 % ed 0.6 iality site eliab ss 5 s1 spe t 2.3 % % % ible not r xce .6% y 2 arrier fiden ion s t e t i % n r c 3.9 7.5 1.3 b e u on tising s 32 8.4 prehe es are ive 6 ng* 1 er ility 2 5 onn of sec uage k of c r e c s c i e M u g v us om Sour ws tib sh Ad Low Lack Lac Vir Intr SPA Lan Inc Phi Bro ompa inc
It gets interesting to know what is the level of presence and how brands, Figure 05: The first 3 points from a total of 12 are related to some kind of digital advertising. *Phishing 44
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Compared to year 2008, problems experienced by users are quite similar. Users continue detecting the presence of advertising quickly which impede to have a fluid navigation. Advertisers are looking for new instances of communication through new digital formats (multi • platforms) but still use the classic advertising features that pretending to be something else. Maybe the biggest problem is not creativity, but rather the need to generate stratified communication with the different types ofexisting users. This challenge was born in traditional media, but Internet has opened new doors thanks to its ability to create microsegments, though advertisers and media still maintain the relationship of massive communication centrated on many similar users not considering digital efforts.
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6. User perception of online advertising GIVES ME AN ANSWER TO WHAT I AM LOOKING FOR KEEPS ME INFORMED ON TIMELY PRODUCTOS OR SERVICES
I THINK IS NECESSARY
GENERALLY NOT RELATED TO THE CONTEXT OF WHAT AM I DOING ON THE WEB
Y DON’T SEE IT
I THINK ITS JUST TOO MUCH
2.7% 11.3% 23.6% 36.1% 36.5%
41.4%
Figure 06: User perception in relation to online advertising. Image Text
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SURVEY RESULTS
For most users, online advertising is just excessive and it is not related to the activity that they are doing. On the other hand, the 36.6% of people polled declared not see online advertising. These 3 points above show that online advertising begins to be rejected by people polled, and finally not reaches completely its purpose of informing, and even less to reduce the communication gap existing between audiences and advertisers. It is because of them that users declare to block pop-ups in order to avoid publicity which is in general boring and unremarkable, and for others the way it appears is simply “disrespectful”, comparing it to the “second 31 of a commercial” that just seeks to encourage, in a synthetic and inappropiate way, ads created for traditional media.
interrupted with new offers on every click that they do. Finally, a small group feels it is relevant and even positive. In general, they are agree with ads of the page where they are browsing while they inform about special promotions or discounts related to own products. Here, we turn to the initial problem what is the level of segmentation chosen for some types of promotions and how important can be for the users have a stratification so wide.
Others, however, recognize that online advertising is a “necessary pain” represented in this survey by 23% of people polled who selected this option. A “necessary pain” that is useless because makes people less receptive to online advertising who only want to continue shopping or informing themselves without being
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7. Activities carried out by people in social networks .4%
9 g) 3 6% % 38. taggin 9% 4.7 g 3 n 47. , i c ds ink orize , et n h % e t m i g 9 . % u fr or te 8.1 9% for my rks 31 ing on (ca % s5 . te, o o o i t % 6 t d s o i 0 o 6 s 2 w eb ph es t 45. at i’m sificat t 70. tion l net g, w deos, urc e e a ica a blo eso intern ay wh wn cl ntern .3% apl n soci vi r a , r 9 t s i o d n ith os1 .7% so rum ende os to nce a r my o os on ideos e e o d s f i te w 6 u e p , v t e v
ibu
a e o , id e gs t o und ind or c ts and abov s, v ites , ph blo eas on and photo st at l vorite ideos end s roups / uc f the t d g e n v o a o g m l f a r d me nag tch ecom in to k p one o d b ploa roadc Keed Ma Wa U Com N R Rea B Ran Jo tr con
The main activities undertaken by users in social networks are related to media like watching videos, uploading and downloading images and reading blogs known as the main Social Media formats. We should think that the intensive use of these social platforms is favourable because they provide a good place to put advertising, allowing in many cases to have a better knowlegde of the users’ preferences. This is the case of Facebook. Through its advertising system it allows to do segmentation using different variables as interests, activities and preferences, though it can not still be well used as it presents two main problems. (1) Not all users complete their profile, which makes difficult to choose correctly targets. (2) Many advertisers still prefer to gain wider audiences ensuring a big participation rather than being loyal to just one niche.
Figure 07: Represents the level of collaboration and use of social networks
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Another major advantage of social networks is that, as Figure 07 shows, many people use them to recommend
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SURVEY RESULTS
other sites to their friends, people with who they usually have common interests and where trust is important to validate the information before taking any decision.
8. Using the Internet to make a purchase decision
This effect, typical of the known as “Word of Mouth”, become a digital space more linked to “The Word of Mouse”, where users recommend, relate, validate, tag via Internet, a place where conversations are open and honest, but also, where many organizations still do not are willing to hear the dialogue of markets, increasing the distance between them and their users / consumers ignoring the convergence of multi-conversational platforms existing today, returning to one-way type of communication.
No 6.7%
%
.3 3 9 s Ye
Figure 08: 93.3% of users have made their purchase decision based on the information obtained in the internet
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Regarding the previous question, it virtually remains the same proportion than last year, increased slightly but not enough to claim that there is a substantial increase in the number of people who query, verify or get information online before buying. Comments, voting, rankings are some of the features that enhance purchase decisions on the Internet. As they develop better eCommerce services (including variety of inventories and better recommendation filters) experience will be enhanced. These services will probably lower their function as mere information channels to become totally transactional services, filling the big gap between product search and delivery.
9. Have you purchased online?
80.2% have bought something at least once
Figure 08: Shows the number of users who report having ever purchased on the Internet
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SURVEY RESULTS
In connection with purchases online the proportion is virtually unchanged from a year earlier, being a 80.2% the number of users who have ever shopped online. While this number should increase in coming years through the digitization of the buying process, the first impulse should come from the same stores to achieve a complete experience (based on the answers given by respondents).
10. Items that users value to make a purchase decision IN-SITE DESCRIPTION
41.1%
USER REVIEWS
77.5%
DESCRIPTION OF A BLOGGER OR INDEPENDENT MEAN
59.9%
COMPARISON WITH OTHER SIMILAR PRODUCTS
71.7%
VIDEOS
24.9%
IMAGES
51.7%
USER VOTES
43.4%
RANKING OF THE MORE DEMANDED PRODUCTS
24.1%
Figure 10: 77.5% of people value the comments of other users as references to make a purchase decision
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As we´ve seen in the qualitative analysis, the information held by customers on products is one of the most important variables to consider in assessing the online consumer experience that gives them a particular store. Again becomes relevant the views of their peers as a source of validation, given the sincerity with which itoperates.
better replicate the physical shopping experience that usually the consumer contemplates several alternatives and weigh their properties according to its own scale of assessment.
Most of the renouned international stores have promoted transparency by creating spaces for open conversation, voting systems, recommendations, ratings, among others initiatives with the goal of delivering tools, more real than a Focus Group, and even take more relevance to the stores —depending on the degree of commitment that exists in wanting to improve your shopping experience— but also helping to redirect business model of a store. This can be illustrated when a user generates a comparison with similar products, which some sites can do, delivering a simplified comparison chart. One functionality, that to the eyes of a user is minimal, could improve the experience because the system could cross more data of the purchase behavior through special filters - functionality that allows
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SURVEY RESULTS
11. Products purchased online 50.8%
AIRPLANE TICKET / BUS / TRAIN
7.5%
HOLIDAYS PACKAGES
39.0%
SHOWS TICKETS TECHNOLOGY
65.4%
APPLIANCE
15.7%
FURNITURE
12.0%
FLOWERS
12.5%
ONLINE HOTEL BOOKING
23.9%
MOVIE TICKETS
24.5%
MOVIE RENTAL
19.0% 4.8%
CAR RENTAL FINANCIAL PRODUCTS (i.e. CREDIT)
16.4%
FOOD
14.8%
GIFTS
31.5%
BOOKS / MAGAZINES
35.0%
CLOTHING
The ranking is virtually unchanged as in 2008, where technology and electronics products are the strongly leading the preferences, followed by plane fares and show tickets. This suggests to ask what’s the development status of each of these industries with the highest level of e-Commerce demand. In general, the products that require more details or a shopping experience more akin to the face-to-face (clothes, furniture, etc..) are less popular, though there is an important amount of users who have purchased these items through an e-Commerce site. Online stores such as Threadless.com are mentioned by users, as they felt it offered the best online consumer experience for their excellent inventory, level of customization, good prices and safe delivery.
3.5%
ELECTRONIC EQUIPMENT
55.4%
Figure 11: Technology, electronics and tickets are the items that most people buy. 52
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12. Number of online purchases in the last 3 months .5% % .5% .0% re 14 5.8% 3 . 22 -3 33 -5 14 or mo ne 1 ne o
O
2
4
6
13. Which one (s) of these transactions have you made by Internet? .1%
N
.1% 57 4% 51.
57 4% as) r, g 29. 8% ent ate ent w 10. , aym m t p y h on a s i g t i e p l c ( c i % ys 9% % nt nsa erv 9.0 me tra 76. Highwa 4.9 es pay 6% n6 rk 3 any hon . ons i s o o d p t i e 9 e e t c e w n ic r a ad Tel an1 lara sio erv ans ape tm le / ces k lo dec ic s k tr en’ al p Cab Bas Ban Con Tax Ban Hav Leg
244
Figure 12: 33.5% of people have made a purchase online in the last 3 months
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Figure 13: The largest percentage of transactions has to do with banking issues
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SURVEY RESULTS
14. Payment methods used by people CREDITS CARDS
66.8%
DEPARTMENT STORE CARDS
22.7%
ELECTRONIC TRANSFER
52.8%
ON DELIVERY
18.4%
DEPOSITS
29.1%
PAYMENT PLATFORM (SERVIPAG, WEBPAY, PAYPAL, ETC)
56.5%
Figure 14: Means of payment used by users
In this aspect there are strong changes versus 2008. The number of users that state use credit cards to buy grows 39.9% to 66.8%. The use of payment platforms is also elevated, possibly by a greater knowledge of the use thereof by the user and also the companies have promoted the online paymento, helping to relieve the crowded sotres and cashiers by automating the processes and decreasing maintenance costs associated with personnel, infrastructure, materials, among others. This change can be contrasted with the first version of the survey where 2008 was 23.5% and in 2009 growing at 56.5%. The electronic transfer also appears to have experienced a considerable increase, from 21.7% to 52.9% which is clearly a positive sign for the bank in its looking for digitizing their processes.
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15. Problems encountered when buying online. 8.2%
NOT RECEIVING THE PRODUCT OR SERVICE PRODUCT FEATURES DON’T MATCH REALITY
We can see that the main problems that users have are related to interface design, an item that totally depends on the services providers. This should be able to answer how a brand is projected through a good proposal interface allowing to create a positive shopping experience for users.
12.2% 5.6%
PRODUCT DAMAGED
29.1%
DELIVERY TIME EXCEEDED
CARD CHARGES HIGHER THAN THE ONE SHOWED BY THE SITE
4.8%
FRAUDULENT USE OF CREADIT CARD
1.2%
LACK OF SAFETY CONDITIONS
10.3%
LACK OF FEEDBACK ACOUT THE TRANSACTION
24.7% 4.5%
DOUBLE BILLING INCOMPATIBILITY WITH BROWSER OR OPERATING SYSTEM IN USE
26.1% 39.8%
HE HAD NO PROBLEMS
12.2%
CREDIT CARD WAS INCOMPATIBLE WITH THE SITE
Figure 15: Major problems encountered by users when shopping online
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In parallel, non-compliance deadlines, lack of feedback on the transaction, incompatibility of systems and the lack of truthful information of products, are the most frequent problems. All these are related to controllable aspects of the consumer experience, as the companies can and must invest time and resources to improve if their goal is to expand the online customer base. One of the most important fact-findings of this question is that security issues as the fraudulent use of credit cards, which a priori appears to be highly relevant, occur in only 1.4% of those who have made purchases online. This suggests that although the perception is that there is lack of security in online transactions, only a small percentage excperienced the problem.
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SURVEY RESULTS
Thus, the mission must be to break down this prejudice giving enough information to satisfy the user by telling him that the appropriate measures are taken to ensure the security of his transactions. Billing errors, though rare, do not represent a security issue or bank fraud, but internal problems of the information systems of each company.
16. Chilean site that offers the best Online Consumer Experience .8% % .4% olar 0 46.5 ley 2 P Rip asy LAN La
E
.8% % .3% % 4% 9.0 on’s 0 1.1% 21.2% ac 4. ella 37 o 7.2 23.0% m b b ns r one odi ala um aris ide Joh L
P
S
F
J
N
Figure 16: 23% of users believe that “None of the sites listed offer a good shopping experience online
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17. Reasons NOT to buy online 45.5%
5.8%
36.8% I need to see what I’m going to buy
I have not had the need
43.8% I feel it is unsafe, and it does not give me confidence
I’ve tried but have not succeded
9.1% I have heard of bad experiences
1.2% It’s more expensive
5.0% I don’t know how
Although most users said they do not buy online because they have not had the need to do it, the results show us how customers are living online experience. 43.8% are unsure, lacking confidence, attached to having to see what they are going to buy (36.8%). Thus, the small percentage (9,1%) representing the ones that have had a bad expriences, becomes highly relevant in orden to understand that it isn’t a problem about digital platforms, but there’s a lack of strategic encourrage towards the customers, reducing the mistrust (empowering the Word of Mouth) and also increse the purchase incentives for the users that don’t buy online.
Figure 17: Shows the reasons why the 6.7% of users have not purchased online
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18. Have you used the mobile Internet?
Yes 64.2% No 35.8%
19. What activities do you carry out when you connect to the mobile Internet? SEND / RECIEVE E-MAILS
70.2%
WRITE/UPDATE BLOGS
13.0%
SURFING THE WEB JUST FOR FUN
44.1%
INFORMATION SEARCH (WEATHER, NEWS, ETC.)
50.7%
MAP SEARCH (ADDRESSING, ROUTING)
49.6%
DOWNLOADING / LISTEN MUSIC
14.1%
UPLOAD AND SHARE PHOTOS
21.0%
CHAT
36.0%
VISIT SOCIAL NETWORKS (FACEBOOK, OTHERS)
57.4%
ONLINE GAMES
Figure 18: A 64.2% of respondents reported getting connected to the Mobile Internet
BANKING SERVICES
19.1%
MICROBLOGGING
28.0%
GEOLOCATION
32.8%
Figure 19: Shows the activities that mobile users carry out
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The popularization of mobile equipment has led to a Hyperconnectivity of users, where the undisputed leader in terms of activities is e-mail. Probably, what it has helped his bid has been the explosion in the market for Smartphones that allow greater responsiveness in their connectivity.
shows that in some cases are already accessing mobile internet plans to maintain its connection to their communities.
Mobile Internet remains primarily a tool of work and productivity for businesses and telecom companies have promoted the recruitment of their plans with dedicated advertising campaigns. Furthermore, it is noteworthy that the use of social networking via mobile Internet appears un second place, unlike what happens with the use of Internet search engines traditional, indicating that they prefer to socialize through their mobile equipment and do the search on the second screen (computer). If a make a cross-tabulation is made between users of mobile Internet and the age of the respondents we observe that 36% are between 18 and 24 years and 46% are between 24 and 32 years, the first of these most used social networks and also
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SURVEY RESULTS
20. Instances when users access mobile Internet 42.9%
Emergencies
41.7%
Apart from users who use mobile web connection in emergency contexts - who use it mainly to send e-mails we see a strong use of this service during the downtimes or idle (when people use the public transport, while they are waiting for someone).
38.4%
31.9%
When I have something important to say / review
Every tome I have planty of time
While I wait for something or someone
35.4%
When I’m transported from one place to another
14.7% At work / office
Interesting thought: how can a brand build entertaiment content for mobile users who are using their phones during idle time?
20.1%
I am always connected in any place
Figure 20: Represents the movement of mobile Internet connection with the navigation context
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21.Why don’t users access to mobile Internet? 43.1%
33.2% My cell phone isn’t capable
It’s too expensive
37.6% I don’t need it
The entry barrier remains the very high prices for consumers who want mobile Internet access (43.1%). This increases telecom companies’ efforts to gain new customers.
5.9% I did once but didn’t found it efficient
11.2%
2.5%
I tried but failed, I didn’t tried again
Don’t have cell phone
But you can clearly see that 37.7% don’t need a mobile web connection, making duplicate efforts of sales and marketing areas to provide more accessible plans, proving to be useful for those who do not see the need to be connected to the Web from the third screen.
Figure 21: Main reasons why users do not use the Mobile Internet
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22. What reason do you think would motivate you to access the Internet using your cell phone? 65.1%
CHEAPER FARES MOBILE SITES EASIER TO USE/MORE FRIENDLY
21.8%
FASTER INTERNET
34.3%
MORE MOBILE SOTES OF INTEREST
17.6%
NOTHING
24.4%
It is clear that for potential mobile Internet users, the price is the key variable to get started. A relevant aspect is that 39.2% of people polled, who are under 24 years, say that lowering mobile internet plans would motivate them to use it, which means there is a potential market waiting for this service. In parallel, another relevant point is that 24% of the people polled say that “Nothing can motivate them to access mobile Internet”, which means that in the market still exists a lack of digital and transversal maturity from users on this technology.
Figure 22: Motivations to increase the number of mobile Internet users
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23. Country of Residence
24. Please indicate your area of residence REGIÓN METROPOLITANA VALPARAÍSO BÍO-BÍO LA ARAUCANÍA ANTOFAGASTA MAULE
Figure 23: All the people polled who participated on this survey are Chilean
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61,2% 18,7% 5,1% 2,5% 2.1% 1,6%
Figure 24: The Metropolitan area concentrates the bulk of participants in this survey
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SURVEY RESULTS
25. Age
26. Sex
13-17
4.6%
18-24
35.1%
25-34
44.6%
35-49
12.0%
50-64
3.5%
65 OR MORE
0.1%
74.8% 25.2%
Figure 25: The largest range of users is between 25 and 34 years old Figure 26: The majority of participants are male
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74.8%
Report on consumer experience in Chile
SURVEY RESULTS
27. Education Level
28. Average income 3.7%
PRIMARY
10.6%
SECONDARY
8.3%
TECHNICAL DEGREE
4%
r le
0o
00 59.
1
6. ss 2
0-
00 60.
0 .00
400
1
1%
18.
0-
4
00 01.
0 .00
650
2%
17.
0-
6
00 51.
00 0.0
90
0%
12. 0-
9
00 01.
%
.2 0 9
00 00.
1.1
00
1.
.0 101
or
re mo
1%
17.
59.3%
COLLEGE PROFESSIONAL DEGREE
9.6%
MASTER
7.0%
DOCTOR
1.4% 1.265 ANSWERED
Figure 27: The 59.3% of people polled have higher education
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74 NO ANSWER
Figure 28: The 26.4% reported having a mean income equal to or less than $ 159,000 Chilean pesos
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TEAM WORK Jorge Barahona
Paulina Meyer
Digital Experience Designer. Professor of User-Centered Design, School of Architecture and Design, PUCV. Professor of Applied Communication Master of UDD.
Graphic designer PUCV. Expert generate communication throughout the design between brands and audiences in digital environments. Pablo Altamirano
Herbert Spencer Interaction Designer, Professor, School of Architecture and Design PUCV. MDes Interaction Design, Carnegie Mellon.
Industrial Engineer UAI. Executor of methodology and analyst in the interpretation of statistics. Estefanía Trisotti
Pedro Arellano AyerViernes Head of Research Area. Pyschologist in User Experience Research. MS in Consumer Behavior, UAI. Professor of Applied Communication Master of UDD.
Graphic designer PUCV. Expert in interface design and interpretation of statisticsoriented visual design. Robert Sharman Consultant modeling methodology and statistics. Industrial Engineer UAI.
Katherine Exss Information Architect and Research Experience Users. PUCV graphic designer. Rodrigo Frías Communicator expert in brand building in digital environments. Publicist, MS un Applied Communication, UDD. Professor of Digital Communication and Digital Media Marketing, UPA. 66
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ABOUT AYERVIERNES
AyerViernes is a strategy and design company dedicated to deliver digital solutions that foster better communication between brands and their audiences. Using a people-centered design methodology, we position our clients in new and valuable relationships with their audiences by promoting through design spaces where consumers can perceive succesful experiences of use in both web and mobile, intranet, social networks, among others. A fundamental part of our work involves understanding the behavior and usage trends in digital media, considering users as the articulators of our work; we are constantly researching and innovating, looking for solutions that can raise the return on investment (ROI) of our customers and the positions of their competitors.
For more information AyerViernes on the projects he has done or work areas, visit our website: www.ayerviernes.com or follow us through the following social media: • Blog:
www.erresese.com
• Twitter:
@ayerviernes
• Facebook: • Flickr:
www.facebook.com/ayerviernes
www.flickr.com/ayerviernes
(All graphics are avaliable in high resolution)
Contact Information ayer@ayerviernes.com Santiago, Chile: +56 - 2- 361 0505 Viña del Mar: +56 - 32 - 215 6588 AyerViernes a member of:
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