The recent EY Future Consumer Index (FCI) study has unveiled the enduring appeal of personal service in the retail sector, despite the growing influence of retail technology on online shopping. The survey, encompassing over 23,000 consumers from 30 countries, has disclosed that 32% of respondents yearn for the exclusive experience only found in traditional brick-and-mortar establishments.
The research has also highlighted the prevailing value consumers place on the ability to physically interact with products before making a purchase, with 68% expressing a desire for expert guidance, particularly in high-value transactions.
Despite the potential of artificial intelligence (AI) in enhancing the shopping experience, the study has indicated that 49% of consumers are dissatisfied with the effectiveness of AI-powered chatbots in addressing their queries, with 33% expressing concerns about biased product recommendations generated by AI.
According to Kristina Rogers, EY Global Consumer Leader, it is imperative for businesses to strike a balance between utilizing technology to identify and resolve consumer challenges, and providing responsive and empathetic customer service. Rogers asserts that companies should invest in both technology and personnel to ensure a successful consumer experience.
Additionally, the research has revealed a shift in consumer behaviour towards home-centered activities as a response to ongoing financial pressures, with individuals reassessing their expenditure and embracing more intimate and personal experiences at home, such as cooking and entertaining.
Rogers highlighted the need for consumer companies to adapt their strategies to engage with younger consumers, emphasizing the importance of striking a balance between digital and physical offerings to cater to evolving consumer preferences.
The study’s findings underscore the significance of integrating personal service with technology to meet the diverse needs of modern consumers. By recognizing the value of both digital convenience and tangible experiences, businesses can create new value propositions that foster meaningful connections with their customer base.
In conclusion, the EY research demonstrates the enduring appeal of personal service in the retail sector, even in the face of technological advancements. While AI and other innovations play a crucial role in enhancing the consumer experience, the human touch remains a key component in meeting the varied needs and expectations of today’s shoppers.