Endless Aisles: Good or Bad?
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Endless Aisles: Good or Bad?

A good way to start this article is probably by mentioning that 45% of people will abandon an online purchase if they can’t find an answer to their question(s) quickly enough. This is according to a study by Forrester Consulting a few years ago. Likely, that number has increased as people are more time-starved than ever. Don’t get me wrong, customer service departments can also be overwhelmed by complex technologies offered in a call center, or the various procedures in place when dealing with return policies, delivery fees, and customers. But, some e-commerce sites are just way too overwhelming. More specifically, the amount of products that are being offered to the customer via e-commerce websites.

You see, when things become too complex or become overwhelming for the customer, they bail out. They abandon their purchase, and the will to continue shopping. There is research to support just that – Customers will buy more when they are given less options. The safest choice for the consumer is to not buy anything, especially when they cannot decide. Scientists call this “choice overload”.  So, how many products do you offer online? Where is the line between a broad assortment of products and an assortment that is too big?  We are still unsure when a large assortment benefits choice and when it can be detrimental to choice. Ultimately, in many product categories, reducing the number of choices you offer will improve the odds of making a sale. According to NewVoice, 50% of customers will use a company more frequently after a positive customer experience. When you offer less assortment, there is more of a chance that you can suggest 2-3 products that really satisfy the customers’ needs and he/she will not need to look elsewhere. This may not be possible when you have so many product alternatives to offer someone. Think about the level of customer service you’ve received when shopping at a smaller retailer with less assortment vs. the level of customer service you’ve received when shopping at a larger retailer with a massive assortment. Do they differ? Probably. Likely, it was easier for you to make a decision when there were fewer items brought to your attention!

With a wider assortment comes complexity, and with complexity comes cost. As a retailer, you’ll have to keep inventory of a bigger assortment. Web integration also comes into play which can be expensive as well. What IS the cost of complexity? A company as a whole cannot tell the cost savings upfront of cutting out products that are offered to customers. When there is a difference of 5 and 10 million offerings, it becomes a little bit more evident. Though, by removing a series of skus, vendors, dealers, etc., you have only eliminated one dimension of complexity.

So let’s recap the Pros and Cons of an endless aisle:

Pros:

  • Retailers are closer to a one-stop shop destination for customers
  • Customers can easily compare items
  • The same assortment for some products may not be offered elsewhere, so customers feel confident in that retailer

Cons:

  • Consumers may delay their purchasing because they’re overwhelmed
  • Consumers may abandon their purchase altogether
  • Service is not the retailers’ priority

All of this leads to wondering: What really is the point of having an “endless aisle”? A concept where retailers have to spend more, only for customers to spend less. Ultimately, a consumers buying decision can be influenced by many factors. It isn’t just about having the right variety and the right products that fit the consumers’ needs. Typically, their decision is also influenced by availability, cultural norms, time pressure, social settings and their existing level of expertise concerning their items of choice/preference. Speed and ease of finding products is essential. You don’t want your customer to have to repeat a search for a product, as they might have to do in-store.

As a customer, what do you prefer? How about as a retailer?

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