UK consumers are increasingly demanding when it comes to technology provided by retailers, according to a new report from finance and payments firm Klarna. The report, titled Klarna’s Quarterly Shopping Pulse, found that 80% of UK shoppers believe that retailers need to continually invest in new technologies to meet their changing needs. This percentage is higher than any of the other 11 countries surveyed.
One of the top priorities for UK shoppers is frictionless payments, both online and in-store. Nearly half of respondents (48%) believe that retailers should focus on making payments as seamless as possible in physical stores, while 46% believe the same for online payments. This indicates that Britons are seeking to save time and avoid lengthy forms and queues.
Personalized services are also of great interest to UK shoppers. They are enthusiastic about technologies that offer better digital recognition and product recommendations. In fact, 40% of millennials feel that online retailers should invest in virtual and augmented reality technologies, such as virtual stores and dressing rooms.
The report also revealed that 57% of UK shoppers would prefer to do all of their shopping online if given the choice, setting the UK apart from other countries where physical stores are still preferred. The reasons cited for this preference include lower prices (76%), a wider range of products (74%), and time savings (78%). When it comes to finding inspiration and product information, UK shoppers primarily rely on search engines like Google (42%), and they prefer to begin their shopping journey in online stores (41%) rather than physical stores (32%).
Social media also has a significant impact on UK shoppers’ purchasing decisions. In the first quarter, 32% of respondents bought an item after seeing it on social media, with 50% making the purchase directly from the platform. Among Gen Z shoppers, TikTok (41%) and Instagram (53%) are the most popular platforms, while Instagram (52%) and Facebook (49%) are favored by millennials. Facebook is also the top choice for Gen X shoppers (61%) and baby boomers (78%) who made a purchase after seeing it on social media.
Viveka Söderbäck, Consumer Trend Expert at Klarna, highlighted that UK shoppers are tech-savvy and demonstrate a preference for online shopping compared to other countries. Söderbäck emphasized that Britons value digitalization and expect retailers to invest in new technologies that enhance their shopping experience, particularly in terms of faster checkouts and seamless payments.
In summary, the report underscores the increasing expectations of UK shoppers regarding technological advancements in the retail industry. Retailers must consider investing in new technologies, such as seamless payment systems and personalized services, to meet the evolving demands of UK consumers.
