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Why etailers are missing out on billions in sales: CEM Africa features latest SA Digital CX Report

Online shoppers comprise all ages and incomes now.
Why etailers are missing out on billions in sales: CEM Africa features latest SA Digital CX Report

From the ‘unboxing’ of a new purchase to the many abandoned transactions that are costing online retailers billions – the marketing gurus behind The 2021 South African Digital Customer Experience Report will unpack the compelling, and sometimes, surprising results from the survey during an exclusive panel at the upcoming CEM Africa, taking place from 10–11 November.
CEM = Customer Experience Management, CX = Customer Experience

It is the third major annual study undertaken by marketing and advertising agency Rogerwilco, market research company ovatoyou and certified customer experience professional Julia Ahlfeldt.

“Money left on the table”

The report states that “ecommerce has finally come of age in South Africa, one of the few sectors to find a silver lining in the Covid-19 cloud”. The data shows that income and age are no longer barriers for participation in online shopping. For example, the 50+ category is just as likely to be conducting research and making online purchases as their counterparts in their 20s and 30s, while 73% of those with a monthly household income of less than R10,000 per month are shopping online.

However, the report emphasises that basic flaws in the online experience for customers are costing etailers billions in potential turnover.

Cart abandonment, where a consumer adds a product to their cart but does not go through with the transaction, is high among South African online shoppers according to the report (76% of those surveyed), and is estimated to cost online retailers more than R20.4bn.

“Cart abandonment is money left on the table, plain and simple,” notes Julia Ahlfeldt. “A customer has invested the time to choose a retailer, investigate products, and then jumps ship because the experience falls short. This leaves a double whammy of lost revenue and an annoyed customer.”

‘Unboxing’ the purchase

Amanda Reekie, from ovatoyou, believes that even though the fulfilment landscape has matured, challenges remain, “It is going to take real creative thinking and collaboration to open up improved delivery options that are less expensive”.

Delivery, however, was surpassed in the report by the 34% who said unboxing their new purchase was the most memorable aspect of their online shopping experience (the balance spoke to the point at which they made the purchase (19%), the thrill of the research (10%) and the after sales support (4%)).

“Good UX minimizes frustration”

The report further reveals that Takealot is one of South Africa’s most loved and trustworthy brands, thanks to (among others) the user experience (UX) of the online customer.

According to Rogerwilco CEO Charlie Stewart, good UX minimises frustration, reduces second guessing and stops customers from switching across to a rival site: “Retailers need to recognise that consumers are becoming more loyal to the experience than they are to the brand. Anything that improves the experience creates stickiness”.

CEM Africa’s exclusive panel on The 2021 South African Digital Customer Experience Report will include the authors: Charlie Stewart, Amanda Reekie and Julia Ahlfeldt. Joining them are Joseph Sindaha from Nestlé, and Janine George from Carrol Boyes. The discussion will be streamed live on Day 2 from 09:30am–10:15am SAST on 11 November.

Honest retellings of CX experiences

The CEM Africa Summit has been around for a decade and has played a leading role in South Africa’s customer experience journey and has connected thousands of CX professionals over the years.

Confirmed event sponsors so far include Freshworks, Verint, Insider, Infobip, Rogerwilco, Simplify360 and Inquba.

CX experts from some of the most recognised and successful brands on the continent, including Multichoice, Woolworths, Shoprite, Superbalist, African Bank, DHL and Rand Merchant Bank, will share their successes, failures and lessons learnt during the event.

How to join them?

CEM Africa returns via a world-class virtual event platform offering access to the live keynotes, panel discussions and the agenda. Attendees will be able to engage with the speakers and participate in Q&A sessions, polls and surveys. They can also contact exhibitors via chat or video call, exchange business cards with other participants and download brochures. To register and access the full programme, click here.

About CEM Africa

CEM Africa is the largest online CX event on the continent and is organised by Kinetic Events, which is a partner of The Vuka Group (formerly Clarion Events Africa).

Dates and location:

Dates: 10–11 November 2021
Venue: Online


Media registration: You can register to attend for free here.

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