Zero Friction USA Report
Zero Friction USA Report
Zero Friction USA Report
FUTURE
Discover how improving customer
experiences can deliver new growth
opportunities for US businesses.
MEETING THE NEEDS OF THE
CONNECTED CONSUMER
The world is changing fast. Digital connectivity has improved
our lives for the better, and it has raised people’s expectations,
offering them every imaginable kind of choice. With mobile
devices in hand, consumers have more power, voice and access
to information than ever before. They’re engaging with brands
across multiple channels before making purchases and are less
willing to suffer any inconvenience or invest extra time to get
what they want. Once people make up their minds, they want
products and services immediately.
1“
Checkout Conversion Index Snapshot for Q2 2018,” PYMNTS.com, Nov 2018.
2
“Consumer Experience in the Retail Renaissance,” Salesforce and Deloitte Digital, Apr 2018.
IDENTIFYING FRICTION IN YOUR BUSINESS
Friction can occur offline and online, and can happen at all stages of the
purchase journey. It happens when people have to search for items in stores
or on an app, wait in long lines, enter excessive payment information or even
laboriously fill in details on physical or digital forms.
The more steps consumers have to take, the more opportunities there are for
friction. Across an omnichannel customer journey, friction can occur at multiple
touch points from discovery to purchase and even post-purchase. Online friction
can include slow website loading speeds, a nonintuitive user interface and poorly
designed search functionality.
Some businesses are already providing consumers with experiences that reduce
or eliminate pain points causing friction. These leaders are in turn resetting
consumer expectations, making them less tolerant of friction and more likely to
switch to another brand or abandon their purchases entirely.3 Businesses that lag
in optimizing their experiences stand to lose the trust of existing consumers, the
attention of prospective consumers and billions of dollars in potential revenue.
3
“Shifts for 2020: Mobile Service Economy,” Facebook IQ, Aug 2017.
REDUCING FRICTION IS A
$213 BILLION
OPPORTUNITY BUY NOW
Source: “40 Cart Abandonment Rate Statistics,” Baymard Institute, Jun 2018.
“Retail Ecommerce Sales, US 2018-2022,” eMarketer, Oct 2018
DISCOVERY THE JOURNEY TO
A ZERO FRICTION
FUTURE
Friction occurs during 3 distinct phases of the
consumer journey.
POST-PURCHASE
PURCHASE
DISCOVERY
Inspiration | Browsing
PURCHASE
Consideration | Checkout
POST-PURCHASE
Fulfillment | Post-delivery
DISCOVERY
FRICTION
Consumers expect a smooth experience and well-rounded support across
every stage of the purchase journey. It begins with them first finding out Hi! I have a question
about the brand, business, product or service. At this discovery stage,
about this dress.
consumers want to find clear, concise, relevant information easily across
channels. Any pain point that prevents a prospective consumer from doing
so is a cause of discovery friction. No problem.
How can I help?
Businesses should adequately raise brand awareness through online and
offline channels and provide comprehensive information that is easily
accessible, localized and relevant to each individual market. This can help
prevent customers from losing interest and dropping off before completing
purchases. In a Salesforce global study across 15 countries, half of customers
surveyed say tailored engagement based on past interactions is important to
winning their business.4
4
“State of the Connected Customer,” Salesforce, Apr 2018.
DISCOVERY FRICTION
INSPIRATION
People need relevant information about products and services—and how they
can address their needs. If ads are lacking, irrelevant or fail to target the right
audience across online and offline platforms, customers can’t discover what
they don’t come across or remain wholly unaware of.
BROWSING
Consumers can’t buy what they can’t find, and that includes if they
encounter difficulty accessing store locations, long website load times and
online or offline stock shortages that make it difficult to learn more about
the product.
DISCOVERY FRICTION
To find and attract new customers, the marketing team used Facebook’s
dynamic ads for broad audiences to reach people who may be interested
in the brand’s retail offerings, showing them ads for products relevant to
their activities and interests.
9.6x 88%
higher lift in decrease in cost per
incremental online incremental purchase
purchases
DISCOVERY FRICTION
DISCOVERY
PAIN POINTS
PURCHASE
Online only • Ads link to wrong page/product • Website doesn’t show which store carries products
• Website doesn’t show in-store stock availability
• Irrelevant ads/offers
• Content not mobile optimized
• Nonintuitive shopping app
• Too much personal information asked
• Long load times
• Bad search functionality
• Too few product images
• Product filters difficult to use
• Website lacks trust/legitimacy
• Retailer doesn’t verify seller’s legitimacy
• Store hard to locate/too far away
5
Jennifer King, “The Future of Checkout Lies with AI, Scan and Go,” eMarketer Retail, Mar 2018.
PURCHASE
FRICTION
Online Consumer Behavior: Optimizing the Journey for Today’s Multi-Tasking Shopper,” Namagoo, May 2018.
6“
PURCHASE FRICTION
ORDER NOW
CONSIDERATION
As consumers consider which products they want, problems can steer them
away from purchasing. These include missing prices, unclear delivery options
and costs, shopping carts that don’t save items and even a lack of click-and-
61% collect options that allow shoppers to pick up pre-purchased items in-store.
of US digital shoppers
have abandoned an online
shopping cart just because CHECKOUT
the site had errors.7
Consumers may experience pain points that make it difficult to buy their
selected products or services, including a lack of cross-device or channel
functionality, hidden charges, difficulty completing payment information
fields or extra steps to complete a purchase.
Online Consumer Behavior: Optimizing the Journey for Today’s Multi-Tasking Shopper,” Namagoo, May 2018.
7“
PURCHASE FRICTION
27M 2.4M
people reached store visits driven by
the 8-month campaign
PURCHASE FRICTION
PURCHASE
PAIN POINTS
Online and • No option to buy online and pick up in store • Too many steps to complete purchase
PURCHASE
Online only • Unclear delivery options and costs • Prospect doesn’t trust online payment platform
• Shopping cart doesn’t save items for • Difficult to input payment information
return sessions
• Forced account creation for purchase
• Hard to update shopping cart items • Hidden costs revealed at checkout
• Credit card checkout not mobile optimized
• Transaction/browsing history not saved
8
“Last Mile Delivery: What Shoppers Want and How to #SaveRetail,” Convey, 2018.
POST-PURCHASE
FRICTION
FULFILLMENT
No matter the industry, fulfillment, customer support and service are essential to any
successful business. Consumers might face difficulties with a newly purchased product
or service, such as struggling with delivery tracking, missing packages or even damaged
52% items. A bad customer service experience increases the likelihood of customers
switching to a competitor. Accenture research shows that 52% of consumers have
of consumers have switched brands because of poor customer service.9
switched brands because
of poor customer service
POST-DELIVERY
Just as it is important for consumers to shop and browse on their own terms, it is equally
vital for consumers to be able to return their purchases easily and be rewarded for their
loyalty. Returns not accepted in stores, delayed or slow reimbursements and a lack of a
loyalty rewards program disrupt their overall experience.
12“Digital
9
Disconnect
- Accenture, DigitalinDisconnect
Customer Engagement,” Accenture, 2017.
in Customer Engagement, 2017
POST-PURCHASE FRICTION
40% 5-point
increase in customer higher average Net
interactions with Promoter Score on
Messenger Messenger than goal
POST-PURCHASE FRICTION
POST-PURCHASE
PAIN POINTS
Online and • Long wait for customer support • In-store returns not accepted
• Unhelpful customer support • Poor returns redressal process
in-store (e.g. no updates on return status)
• Limited customer support channels
• Limited customer support hours
• Lack returns policy/process information
• Returns not free of charge
• Slow reimbursement post-return
• Hard to create return labels
POST-PURCHASE
1 2 3
MAP ANALYZE IMPLEMENT
Your top priority should be to know your consumers. Understand Once the results are in, examine the data and evaluate how Following the analysis, formulate a strategy that alleviates
who your consumers are and what has brought them to your these friction points affect your business. Dig deeper into the friction and improves the consumer experience.
business. Identify what steps they had to take to complete their findings to evaluate which friction point caused the biggest Find partners and experts who can work with you on this.
purchase journey and most importantly, what pain points they missed opportunity, most likely when most consumers While the process can seem challenging, continually testing and
encountered at each phase. dropped off. After determining which friction point caused learning will help you create better customer experiences.
the biggest revenue loss, calculate the projected business
Conduct a thorough review of your website and mobile data to growth if that were removed. Hold ideation sessions and
identify inefficiencies and where the biggest customer drop- workshops, and then prioritize areas that would have the
offs in your existing process occur. Consider customer surveys, most impact on your business.
ethnographic research and stakeholder interviews to supplement
those findings. When you understand what potential consumers
need and any obstacles they might encounter with your brand, you
can remove friction and make their experiences better.
CONCLUSION: HERE IS A CHECKLIST TO ASSESS FRICTION
A ZERO FRICTION FUTURE IN YOUR BUSINESS:
Do you observe a high percentage of drop-offs before purchase, but are
Now, more than ever before, businesses must take the necessary unable to identify the reasons?
steps to reduce and eliminate friction. Do you have a strong brand, but the market share or sales numbers do not
often reflect this?
Consumers who experience pain points are more likely to abandon
Do you see increasing complaints or negative feedback from your customers?
the purchase journey at every phase, or switch to a competitor that
promises a smoother, hassle-free experience. Simply put, multiple Are significant portions of your business processes manually driven?
sources of friction will negatively impact your bottom line. Ignoring Do you see your competitors offering more omni-channel and
these pain points can lead to higher marketing costs, loss of streamlined services?
customer loyalty and trust and a lower market share.