SOURCE: GT Nexus

GT Nexus

October 07, 2015 07:00 ET

81% of In-Store Shoppers Experienced Stock-Out in Past Year(1)

Global Study Shows 65% of Disappointed Online Shoppers Result in Lost Sales; 55% of Disappointed In-Store Shoppers Are Lost

OAKLAND, CA--(Marketwired - October 07, 2015) - GT Nexus announced today study results showing 81% of adults have suffered from an unavailable product in-store in the last 12 months. 65% of online shoppers have had the same experience. A survey of over 5,000 adults in the US, UK, Germany and France, conducted by YouGov and GT Nexus, shows there's a significant cost to pay for retailers. 30% of shoppers experienced in-store stock outs often or very often in the last year. 57% of disappointed in-store shoppers blamed the retailer or manufacturer when a product was unavailable.

Click here to view the full report: http://mktforms.gtnexus.com/rs/979-MCL-531/images/GTNexus-The-Global-Out-of-Stock-Crisis.pdf

Click here to view infographic: http://www.gtnexus.com/resources/blog-posts/out-of-stock-paradox-threatens-retailers

With the holiday seasons on the horizon, the survey shows a massive gap between consumer expectations and retailers' ability to fulfill those expectations. The inability to align supply with consumer demand is reflective of global supply chains that lack connectivity and true visibility into inventory. The study results indicate significant impact upon sales and retail brands.

"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 competitive environment it is hard enough to get the attention of consumers, but winning them and then losing them due to stock-out 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.' Retailers need end-to-end supply chain visibility to execute in this environment. This means connecting all of the players in your supply chain, inside and outside your four walls, creating a true multi-enterprise supply chain. Do this well and you can effectively and profitably meet consumer demands. Do this poorly and you won't be around much longer."

A Global Problem: Similar Results by Region

Consumers voiced strikingly similar replies regardless of geographic region. A breakout by region shows the following:

United States

  • 75% of all US adults have suffered from an unavailable product in-store in the last 12 months (63% online)
  • 38% of US shoppers experienced in-store stock outs often or very often in the last year
  • 26% of US shoppers experienced online stock outs often or very often in the last year
  • 33% of frustrated in-store shoppers blamed the retailer when a product was unavailable
  • 58% of frustrated in-store shoppers became lost sales -- where shoppers bought from another retailer or did not buy at all
  • 65% of frustrated online shoppers became lost sales

United Kingdom

  • 83% of UK adults have suffered from an unavailable product in-store in the last 12 months (70% online)
  • 21% of UK adults experienced in-store stock outs often or very often in the last year
  • 41% of disappointed in-store shoppers who remember what they were looking for blamed the retailer when the product was unavailable
  • 57% of disappointed in-store shoppers who remember what they were looking for became lost sales
  • 65% of disappointed online shoppers who remember what they were looking for became lost sales

Germany

  • 86% of consumers experienced stock-outs in stores in the last 12 months
  • More than one out of three (35%) customers experienced this often or very often in stores; 44% within age group 25-44
  • 63% of respondents who experienced a stock-out in store and recall what they were looking for ended up buying the product at a competitor or not at all
  • 54% of respondents who experienced a stock-out in store and recall what they were looking for blame the retailer or manufacturer
  • 63% of online shoppers who experienced a stock-out and remember what they were looking for became lost sales

France

  • 82% of shoppers in-store have experienced a stock out in the last year
  • 62% of online shoppers have experienced a stock out in the last year
  • 56% of shoppers in-store who experienced a stock out and remember what they were looking for resulted in a lost sale
  • 65% of shoppers online who experienced a stock out and remember what they were looking for resulted in a lost sale
  • 41% of in-store consumers who remember what they were looking for blame the retailer for the stock out issue

About GT Nexus

GT Nexus, an Infor company, operates the world's largest cloud-based business network and execution platform for global trade and supply chain management. Over 25,000 businesses across industry verticals, including adidas Group, Caterpillar, Citi, Columbia Sportswear, DHL, Electrolux, Levi Strauss & Co., Nestlé, and Sears share GT Nexus as their standard, multi-enterprise collaboration platform. This enables all network participants to operate against a core, real-time and always on set of information across multiple supply chain functions, allowing them to optimize the flow of goods, funds and trade information, from the point of order through final payment. For more information please visit us at www.gtnexus.com.

About the study

All figures, unless otherwise stated, are from YouGov Plc. Total sample size was 5,174 adults in US (1,097), UK (2,068), France (1,001) and Germany (1,008). Fieldwork was undertaken between July and September 2015. The survey was carried out online. The figures have been weighted and are representative of all adults in each country separately (aged 18+).

(1) Statistics for all countries are the average of percentages in the results in the four countries

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