Most consumers go online for information on the products and services of interest before purchasing
A study commissioned by the Malta Communications Authority (MCA) in July 2016 has revealed that more than three-quarters of consumers across all age cohorts in Malta and Gozo are using the Internet. Whilst a laptop/desktop persists as the main device for accessing the Internet by the majority of internet users, smartphones and tablets are growing in popularity with increases of 29% and 17% respectively over two years. Interestingly, the study shows that more and more consumers are resorting to the Internet during their purchasing journey. In fact, 70% of users resort to the Internet as the first port of call for searching for products and/ or retailers before purchasing, regardless whether the transaction is eventually completed online or in a brick ‘n’ mortar environment. Only 19% claim to physically visit shops to obtain information prior to buying a product or service. In addition, the study also shows that 66% of millenials who access the Internet on their mobile, are reaching for their smartphones whilst shopping in physical shops for further information on the products of interest and alternative prices.
The study also sheds light on consumer behaviour across social media channels. Consumers today are also using the Internet to engage with retailers across multiple and diverse channels. 87% of internet users are active on social media, especially Facebook. Apart from the traditional activities of status updates and the sharing of photos and videos which continue to rank high, consumers are also eagerly using social media channels in their purchasing decision-making process. Around 1 out of 6 consumers follow favourite brands and look-up peer and expert reviews prior to purchasing, whilst more than half of those active on social media, like and/or share a product, brand or retailer and expect to be informed of promotional offers. The study also found that 31% of those active on social media, post positive and/or negative comments about their experience with a product or retailer, and hence influence other consumers’ purchasing decisions.
One of the main reasons why a number of consumers are not purchasing online is the inability to see and try on items before buying. Other factors that inhibit digital purchases are mainly related to delivery and lack of familiarity with completing an online transaction, and these have, more or less, remained the same over the years. However, security issues and lack of interest seem to be declining year-on-year.
Additional information
The field-work for this study was undertaken in July 2016. The sample population was stratified proportionately according to the actual population, by gender and age. The instrument used in this study seeks to assess the digital capabilities whilst exploring attitudes and buying behaviour preferences by consumers in Malta & Gozo.
The full report may be accessed here: http://www.mca.org.mt/sites/default/files/InternetandeCommerceUsebyConsumers2017.pdf