Three-quarters of U.S. Consumers Still Shop Brick-and-Mortar

Washington, DC, September 28, 2017-The National Retail Federation’s first issue of its new Consumer View-a new quarterly report designed to gauge consumer behavior and shopping trends related to stores, online channels, customer loyalty, technology and other issues-finds that despite the growth of ecommerce, only about a fifth of U.S. consumers are primarily online shoppers; more than three-quarters are shopping at bricks-and-mortar stores just as much as or more than they did a year ago.

“This report shows that the bricks-and-mortar store is still the cornerstone of American retail and likely will be for many years to come, as consumers seek authentic interaction and experiences with retailers,” NRF President and CEO Matthew Shay said. “Despite the changes in our industry, there is an appeal to seeing and touching merchandise in person and being able to engage with fellow human beings that has yet to go away. Even younger shoppers see the value of the store.”

According to the report, only 21% of consumers surveyed are primarily online shoppers, defined as those who purchase more than half of their items online. By contrast, 79% said they purchase half or less of their items online. Among Millennials and Generation Z, 34% are primarily online shoppers, but the majority still make most of their purchases in stores.

Demographically, those who shop primarily online are younger, wealthier and more likely to live in a larger city. The survey found 49% are aged 18 to 34 compared with 72% of in-store shoppers aged 35 or older, while 53% of the online shoppers make $75,000 a year or more and 71% of in-store shoppers make less. And 53% of online shoppers live in a city of 50,000 people or more while 63% of store shoppers live in a smaller community.

Of those surveyed, 86% buy their groceries mostly or entirely in-store, as do 65% for home improvement items/tools, 64% for personal care/beauty products and 57% for home décor/furnishings. Clothing is split with 49% shopping in stores, 13% shopping online and 38% shopping equally in stores and online, with consumer electronics largely the same (43% in stores, 18% online and 39% shopping equally in stores and online). Books, music and video games were the only category where consumers purchase the majority or all their items online (37%), with 27% shopping mostly or entirely in stores and 36% split.

Among shoppers overall, 69% said they go to a store because they need something right away and 65% wanted to see an item before purchasing. Among Millennials, 55% go to stores as a social activity, 50% to pick up an item bought online and 44% to talk to a sales associate. In both groups, 66% said they go to stores simply because they prefer to shop in stores.

Compared with a year ago, 50% of all consumers said they shop in stores about the same amount, while 28% said they do so more often, for a total of 78%. Only 22% shopped in stores less often. Among Millennials, 34% are shopping in stores about the same but 49% are doing so more often and only 17% less often. Millennials said they go to stores more often because a new store had opened, for entertainment or food options or because they are picking up items bought online.