National Jumio Survey Uncovers Challenges at Checkout –
Lost Revenue for Brands
PALO ALTO, Calif. – May 9, 2013 – Results from the 2013 Mobile Consumer Insights study released today by Jumio, Inc. and conducted online by Harris Interactive® identify why shopping cart abandonment continues to be a major issue among consumers. While the majority of smartphone and tablet owners (68%) have attempted to make a purchase on their device, two-thirds (66%) failed to complete a transaction due to obstacles encountered during checkout. Though consumers favor the convenience of shopping on-the-go, a number of barriers – from not being comfortable or feeling secure entering their credit card information to the checkout process being too difficult on their device – were cited as top reasons why respondents failed to complete a purchase on their smartphone or tablet.
This study was conducted online by Harris Interactive on behalf of Jumio, Inc. from March 22 – 26, 2013, among 2,130 U.S. online adults ages 18+.
Detailed findings from the Mobile Consumer Insights report include:
Cleanup at Checkout
Almost seven in 10 smartphone and tablet owners (68%) have attempted to make purchases on their device. However, problems during the payment process have forced two-thirds (66%) of that group to abandon their transactions. Nearly half (47%) said they failed to complete a purchase because the checkout process took too long.
Among those adults who failed to complete an attempted purchase on their smartphone or tablet…
- 41% said the checkout was too difficult on their device
- 23% said they failed to complete their purchase because it would not go through
Merchandising to Men
Women may be known for holding the purse strings, but when it comes to making a purchase on mobile devices, men are the most likely to pull out the credit card.
- 74% of men who are smartphone/tablet owners have attempted to make a mobile purchase, compared to only 62% of women
- Younger men most often shop on their mobile device, with 86% of 18 – 34 year old men reporting they’ve tried to purchase something on their smartphone or tablet
The majority of those respondents who failed to complete an attempted purchase on their smartphone/tablet said it was because they didn’t feel comfortable entering their credit card information (51%). Retailers may be missing the mark when it comes to communicating with customers about online security, and costing themselves heavily because of it.
- Women are more likely than men (56% vs. 47%) to say they didn’t feel secure entering their credit card information
- Age also plays a factor; 62% of those 55 or older have concerns over the security of their credit card information, as compared with 59% of those 45 – 54 and 45% of 18 – 34 year olds
“Consumers will continue to demand a simpler, more streamlined mobile payment process,” continued Mattes. “Until retailers address their important concerns – from providing faster checkout options to addressing the safety of credit card and account info – they’ll continue to see a large portion of their customers abandon their shopping carts instead of clicking ‘buy’.”
For more information on the findings, or to learn more about Jumio, the online verification and mobile payments platform company, go to: www.jumio.com/blog
This survey was conducted online within the United States by Harris Interactive on behalf of Jumio from March 22-March 26, 2013 among 2,130 adults ages 18 and older (of whom 1,261 are smartphone/tablet owners). This online survey is not based on a probability sample and therefore no estimate of theoretical sampling error can be calculated. For complete survey methodology, including weighting variables, please contact Jenny Davis.
Utilizing advanced computer vision technology, Jumio is a next generation credentials management company offering payments and ID scanning & validation products for mobile and web transactions. Designed to reduce fraud and increase revenue by minimizing friction in customer transactions, Jumio’s products integrate easily into mobile apps or websites and create great customer experiences. Jumio’s products are widely used by leading retailers, marketplaces and financial institutions.
Jumio’s Netswipe® enables customers to scan their cards in online and mobile checkout resulting in increased revenue and reduced fraud for the merchants. Netverify® supports real-time ID verification in over 60 countries to help clients meet a variety of know-your customer requirements. The company was founded in 2010 by CEO Daniel Mattes and is backed by top tier investors including Andreessen Horowitz, Citi Ventures and Facebook Co-Founder, Eduardo Saverin. Headquartered in Palo Alto, California Jumio operates globally with offices in the US, Europe and Asia.