As seen originally on FierceRetail, "as many as 81% of shoppers report suffering from an unavailable product at a brick-and-mortar store in the past 12 months. This results in 55% of disappointed shoppers becoming lost sales," according to a GT Nexus study.
The survey that was conducted by YouGov, found that 65% of online shoppers have similarly been disappointed by out-of-stocks in the past 12 months. The consequences can be costly for retailers, as 57% of shoppers pointed fingers at the retailer or manufactuer when a product was unavailable.
"This study shines a spotlight on a global inventory crisis that is frustrating consumers, and impacting the bottom line of retailers," said Kurt Cavano, founder and chief strategy officer at GT Nexus. "In today's competitve environment it's hard enough to get the attention of consumers, but winning them and then losing them due to out-of-stock is very damaging. It raises the question to retailers that, if you can't execute well on omnichannel, maybe you shouldn't offer it at all."
- During the last 12 months, 75% of adults have suffered from an unavailable product in-store
- During the last 12 months, 63% of shoppers have experienced an unavailable product online
- 38% of shoppers have had this experience often or very often in the last year
- 26% have experienced online out-of-stocks often or very often in the last year
These kind of statistics are leaving shoppers frustrated, as 33% of in-store shoppers have been reported to blame the retailer for an unavilable product. 58% of frustrated shoppers became lost in-store sales and 65% became lost online sales.
Retailers need end-to-end supply chain visibilty to execute in this environment. This means connecting all of the players in the supply chain, inside and outside of the business, creating a true multi-enterprise supply chain. If this is done well, retailers can effectively and profitably meet consumer demands.
In total, IHL Group estimates that retailers are losing $1.75 trillion annually due to the cost of out-of-stock products, along with overstocks, and needless returns.
"81% of shoppers report suffering from an unavailable product at a brick-and-mortar store." Tweet this!
"65% of online shoppers have been disappointed by out-of-stocks in the past 12 months." Tweet this!
"58% of frustrated shoppers became lost in-store sales and 65% became lost online sales." Tweet this!
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