Google Cloud has released more data about the costs of search abandonment—when a consumer searches for a product on a retailer’s website but does not find what they are looking for—including its ongoing impact on brand loyalty. As found by a Google Cloud-commissioned Harris Poll survey of more than 10,000 consumers globally and 200 website managers in the United States, search abandonment costs retailers more than $300 billion annually in the United States alone.
Search abandonment is even more pertinent these days, as the pandemic has supercharged retailers’ shifts to meet rising consumer expectations through new personalised eCommerce and omnichannel experiences. According to McKinsey & Company, 75 per cent of consumers have recently tried a new shopping behaviour due to economic pressure, store closings, and changing priorities. Google data has also indicated that these sorts of omnichannel consumer behaviours persist, and in many ways are intensifying—as Google searches for the term “in stock” are up 800 per cent year-over-year. Simply put, shoppers expect to find what they are looking for with ease, with many of their searches starting on retailers’ websites even if they ultimately visit a physical store.
Search abandonment is high-risk and high-reward
Bad search experiences are costly, while good search experiences often result in higher purchase conversion, larger order sizes, and ongoing brand loyalty. According to Harris Poll research, three out of four U.S. consumers (76 per cent) report that an unsuccessful search resulted in a lost sale for the retail website, with 48 per cent purchasing the item elsewhere. In fact, more than half (52 per cent) say they typically abandon their entire cart and go elsewhere if there’s at least one item they can’t find.
On the other hand, 69 per cent of consumers say that after a successful search experience, they purchase additional items, and almost all consumers (99 per cent) agree that they are at least somewhat likely to return to a retail website if it has a good search function.
Retailers who make it easy for customers to find what they’re looking for see results. Macy’s saw a 2 per cent increase in conversion and a 1.3 per cent increase in revenue per visit in recent tests using Google Cloud Retail Search, which helps convert purchase intent across retailers’ own websites and mobile apps by understanding consumer intent and mapping it to product inventory.
Search is vital for a positive shopping experience; search abandonment costs brand loyalty
The search function is the most commonly used feature on retail websites, impacting outcomes beyond the initial purchase, the research results found. Nine in 10 consumers say a good search function is “very important” or “absolutely essential,” with 97 per cent agreeing that their favourite retail websites are ones where they can quickly find what they are looking for.
On the other hand, 77 per cent of U.S. consumers avoid websites where they’ve experienced search difficulties; 77 per cent of U.S. consumers view a brand differently after an unsuccessful search on their websites; and 75 per cent say they are less loyal to a brand when it’s hard to find what they want on a website. Seventy-four per cent agree that if a company won’t invest in improving its website, then they don’t want to give them their money.
Outside of the United States, consumers are even more likely to say they view brands differently following an unsuccessful search, particularly in Brazil (92 per cent), India (91 per cent), Mexico (89per cent), Australia (87 per cent), and the UK (86 per cent).
Search abandonment is pervasive
Consumers and website managers agree that search abandonment is pervasive. Ninety-four per cent of consumers globally report receiving irrelevant results while searching on a retailer’s website, and 88 per cent of U.S.-based retail website managers say abandoned searches are a problem at their company, with 84 per cent believing that consumers are less loyal to brands when they’ve had unsuccessful searches.
Share