Canadian consumers
are ready. Are you?
KPMG’s 2017 Global Online Consumer Report –
The truth about online consumers research shows
that Canadian consumers are choosing to buy
online for convenience, price and selection.
This survey dives deeper by asking over 1000
Canadian consumers what they love, are looking for
and want to improve about their online experience.
Better understanding the online consumer helps
retailers to target their experience, prioritize
investments and create long term loyalty.
New competitors with strong online offerings
make it critical that Canadian retailers create
a customer experience – and supporting
infrastructure – that can win in the market.
81%
of Canadians have bought
something online in past
three months.
How online consumers shop
Tactics to increase online sales
Consumers have many choices when looking for
products online. Search engines are no longer the
most popular approach – 20% more individuals go
directly to a website. Also, many consumers are
accessing products through mobile apps, social
media feeds and/or utilizing QR codes.
There are specific tactics that retailers can use to
improve the consumer experience. Specifically
consumers are looking for a simpler process and
need to be encouraged to try new products.
Consumers are split on whether to buy in bulk or on
demand, possibly influenced by desire to minimize
shipping costs.
89%
Go directly to a website
they know and browse
69%
Search for a product or
brand on a search engine
1
2 59%
3 49%
41%
36%
23%
Go through an app on
their mobile phone
Click through
social media
Scan a QR code
© 2017 KPMG LLP, a Canadian limited liability partnership and a member firm of the KPMG network of independent member
firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
Provide a simpler process
of consumers agree that they would buy
%
60 more online if the process was easier
Offer incentives to try new products
are more likely to try new things in
stores than when shopping online
Provide delivery options
prefer to buy products when they
need them versus stocking up
Survey highlights
Online purchase rates by category
Canadians hesitant to pay for shipping
KPMG’s 2017 Global Online Consumer Report
research shows that Canadians are more
price sensitive than the average global
consumer and free shipping has quickly
become part of their base-level expectations.
46%
Books, music, videos
45%
41%
25%
19%
16%
8%
5%
Travel
Fashion
Home electronics
Household products
Cosmetics
Groceries
Alcohol
of Canadians did
%
69 not pay for shipping
on their last online
purchase.
Free shipping is the norm, particularly for grocery
and household products.
Grocery
Household
Cosmetics
Fashion
88% 72% 66% 65%
As part of the survey, KPMG looked deeper into four
categories: Grocery, Household, Cosmetics and Fashion.
Experimenting with different delivery models
Canadians primarily rely on home/work delivery, but are increasingly
experimenting with alternatives like click & collect, subscribe & save,
and subscription boxes.
2
Grocery
Household
Cosmetics
Fashion
Order online &
deliver to work/home
50%
77%
68%
82%
Click & collect
25%
13%
7%
10%
Subscribe & save deals
(delivered on a schedule)
12%
6%
7%
6%
Monthly subscription boxes
(delivered on a schedule)
9%
2%
16%
1%
Canadian consumer are ready. Are you?
© 2017 KPMG LLP, a Canadian limited liability partnership and a member firm of the KPMG network of independent member
firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
SAVE
Trends in online shopping
Flyers anyone?
Online shopping behaviours continue to evolve.
In the research, Canadian consumers said that they
expect to do the following in the next three months:
Although Canadians continue to value
printed store flyers, many also use online
tools to find out about sales or discounts.
BIG
Grocery Household Cosmetics Fashion
Shop online more than
in the past
Change how they find products online
(e.g. through apps, social media feeds)
Try different delivery options
(e.g. annual flat rates, subscribe & save)
Printed store
flyers
51%
Find promotions/deals differently
(e.g. flyer aggregator apps)
42%
35%
34%
Online store
flyers
E-mail coupons
and discounts
Flyer aggregator
apps
Online discount
codes
56%
42%
28%
18%
15%
43%
33%
27%
13%
20%
24%
22%
20%
9%
22%
The influence of social media
A few more interesting findings
The top 3 social media channels that are used for
inspiration or to research items across all age groups are:
Preferred devices to shop online:
Facebook
Pinterest
Computer
Phone
Tablet
77%
22%
15%
24%
25%
23%
6%
25%
Instagram
LIKE!
Organizations need to be conscientious and respectful
of social media dialogue and its impact. Nearly 1/5 of
Canadian consumers report that Facebook, for example,
plays a role in their online buying decisions today and
we expect this proportion to continue accelerating.
When looking specifically at Millennials, their top three
social media channels were: Facebook, Pinterest and
Twitter. Interestingly, Instagram and Snapchat came in
equally to fill the 4th and 5th spot.
© 2017 KPMG LLP, a Canadian limited liability partnership and a member firm of the KPMG network of independent member
firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
64%
of consumers agree that
loyalty programs impact
where they shop
46%
of consumers look for coupons
or discounts before making a
purchase (both online and in-store)
20%
of consumers would prefer to use
a digital wallet than a credit card
when purchasing online
3
About Consumer Markets
The retailers who succeed in today’s environment of vast consumer
choice will be defined by their ability to make focused decisions about
the markets in which they compete, the consumer that they serve and
the experiences that they deliver.
For more information, please contact us:
Andrea Baldwin
Partner, Customer & Strategy
T: 647 460 7018
E: [email protected]
Andrew Dooner
Partner, Customer & Strategy
T: 647 282 3078
E: [email protected]
Katie Bolla
Director, Customer & Strategy
T: 416 402 4697
E: [email protected]
Marie-Paule Giguere
Director, Customer & Strategy
T: 514 781 9170
E: [email protected]
kpmg.ca/consumermarkets
The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we
endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will
continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the
particular situation.
© 2017 KPMG LLP, a Canadian limited liability partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG
International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. 15629
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