Amazon is currently dominating the online shopping experience, but here’s what retailers can do to keep customers loyal.
There’s been constant news of how Amazon is ruling the online shopping experience, causing retailers of all sizes to worry about their future in the e-commerce world. Since Amazon began booming, more and more retailers are filing for bankruptcy. According to a survey done by Smarter HQ, bankruptcies have been increasing year over year by 24%. Not to mention that shoppers are moving from shopping at brick-and-mortar stores to shopping online. But with Amazon as the leading online retailer, how can other retailers compete on the same turf as the online retail giant who has made $136 billion in US sales? Retailers must understand why shoppers prioritize Amazon above the rest.
Shipping is Key
As we well know, consumers look for free shipping when shopping online. According to Smarter HQ, 84% of shoppers demanded fast and free shipping. This is something that Amazon offers its shoppers with a Prime membership (50% of its customers). That’s why 310 million active Amazon shoppers flock to the e-commerce giant, for their fast and free shipping options. Without their iconic free, two-day shipping, Amazon would stand to lose 82% of their Prime members.