Advertisement
09/17/2019

Survey: Brick-and-mortar, cash are alive and well

Digital transformation in retail is real, but traditional shopping methods aren’t going away just yet.

According to new research from global branded payments provider Blackhawk Network, 63% of consumers surveyed are purchasing in-store as often as in 2018. Twenty-eight percent of consumers surveyed said they are using retail stores more frequently, compared to only 9% who report using retail stores less often.

Seventy-six percent of consumers surveyed reported convenience as a leading motivation for shopping in-store, while another 56% cited speed of purchase as a top motivator. Ninety-two percent of shoppers surveyed report being somewhat or very satisfied with the in-store shopping experience, more than other purchasing options.

Physical retail stores also see a significant amount of repeat use, driven largely by the buying power of older generations. Eighty-two percent of baby boomers surveyed said they purchase from retail stores at least monthly.

However, especially among younger generations, digital and mobile shopping continue to grow. Nearly half (46%) of consumers surveyed currently use digital and mobile methods to shop at least monthly. Forty-nine percent of consumers surveyed purchase on a laptop or desktop computer at least monthly, and 41% purchase on their mobile phone.

Eighty-one percent of Gen Zers and 83% of millennials surveyed have used a mobile purchasing option, compared to just 69% of Gen Xers and 43% of baby boomers. Although credit cards are the most popular overall payment method, used by 52% of respondents, 43% are still using cash and 42% pay by debit card.

Furthermore, there is growing interest in points-based payments, especially among younger generations surveyed. Twenty-nine of respondents percent report paying with points more often than they did last year, while 70% said they are somewhat or very interested in paying with points.