One third of shoppers abandon e-commerce purchases ‘due to poor search functionality’

Research by search-as-a-service platform Algolia, which helps companies better understand the needs of e-commerce users/customers, found that online retailers lose an average of £85 per customer due to poor online search functionality, leaving shoppers frustrated.

Censuswide’s May 2024 survey of a nationally representative sample of 2,001 UK respondents found that almost a third of shoppers abandon their purchases before checkout.

This figure rose to £113 among Gen Z shoppers and was £87 among Millennials.

The importance of search functionality​

Commenting on the findings, Algolia noted the importance of search functionality and stated that it believes retailers are losing out due to poor search functionality.

It highlighted that Generation Z and Millennials, who it says account for 25% of total UK retail spend, often abandon purchases due to search issues impacting revenues.

It also noted that the study found that social media trends were very important to British beauty consumers who search for products online, particularly for Gen Z and millennials.

The company has been singled out and online shoppers are demanding more and more personalized experiences and are turning to artificial intelligence rather than traditional in-person shoppers.

Of those surveyed, 42% said they were interested in AI-based personalization.

Products based on social media retail trends​

The study also found that Gen Z consumers were willing to pay 33% more for products based on social media retail trends, such as the “clean girl aesthetic” and “Y2K,” compared to the national average.