Local Corporation Unveils Results of Mobile Local Consumer Research Study
Product Shopping Research via Smartphone Accelerates 114 Percent
Shop.org Annual Summit 2013
IRVINE, Calif. -- September 30, 2013
Local Corporation (NASDAQ:LOCM), a leading online local media company, today
unveiled results from its highly anticipated mobile local consumer research
The latest installment of the annual study, commissioned by Local Corporation
and conducted by the e-tailing group, explores current mobile local shopper
usage trends, shopping strategies, and shopper dependence on key information
resources and customer conveniences accessed through various channels.
The study looks at the evolving role of the smartphone on the path to a local
purchase, when consumers are ultimately looking to buy a product at a nearby
retail store. It provides insights into actionable tactics for retail
marketers to better engage with connected consumers and drive sales along the
path-to-purchase within a geo-local context.
The research concludes that mobile consumers are multi-dimensional in how and
when they incorporate smartphones into local shopping activities. Smartphone
use for local shopping includes an array of activities associated with
pre-purchase research: accessing product information, checking competitive
prices, and finding digital coupons for redemption.
"Mobile usage continues to soar and has dramatically changed the local
shopping landscape, with 76 percent of consumers accessing store information
via their smartphones when researching local stores they want to visit,” said
Michael Sawtell, president and COO, Local Corporation.
“Today’s savvy shoppers are using their smartphones to research pricing and
product information to make informed shopping decisions, with the majority
also checking product availability, which is directly impacting their purchase
decisions,” added Sawtell. “As a result, retailers need to take notice and
adjust their engagement strategies to fit the evolving needs of the connected
The company will showcase the research findings and its patented Krillion®
local shopping platform, as a speaker, exhibitor (booth #326) and sponsor at
this week’s Shop.org Annual Summit, Sept. 30 to Oct. 2, in Chicago, Ill.
Sherry Thomas-Zon, Local Corporation’s vice president of local shopping, will
present the findings at Shop.org in a session titled “Mobile Local Shopper
Insights: Driving Engagement Along the Mobile Path-to-Purchase” at 10 a.m. on
Wednesday, Oct. 2.
The next generation Krillion local shopping platform provides dynamic
location-based product search data for connected, local consumers nationwide
via mobile and desktop. The Krillion local shopping data index, one of the
largest and most comprehensive in the industry, now includes over 75,000
retail stores, covering over 3,000 shopping categories and over 23,000 leading
consumer brands, representing millions of localized products.
The Krillion platform aggregates national retail shopping content, including
retail locations, brands, product categories, product images and inventory
availability data. The company offers aggregated data through a range of APIs
tailored for both online and mobile channels and devices. Retailers and brand
marketers included in the Krillion data index can reach more local consumers
and drive shopper engagement and sales, both online and in-store.
A white paper titled “Mobile Momentum: Spotlight on the Mobile Local Shopper”
that explores the study’s findings and what it means for retail and brand
marketers, is available for download at:
http://krillion.com/mobilelocalresearch. The following is a preview of the
study’s key findings:
RESEARCH KEY FINDINGS
Year-over-year interest and use of smartphones for shopping accelerates at an
*Product shopping research via smartphone grew from 34 percent in 2012 to
73 percent in 2013.
Smartphone users do their homework often in advance of local store visits:
*Overall, 67 percent of smartphone shoppers researched store-based needs
more over the past year and one-in-three researched significantly more.
*One-in-two shoppers research at least 50 percent of the time via
smartphone when intending to make a local purchase.
*60 percent of shoppers often think of using their smartphones when
researching local purchases.
*72 percent research online a lot, but often follow-up with a store visit.
*67 percent check to see if the store has inventory in a particular product
of interest before shopping trips.
*59 percent often buy online and pick up in store to avoid online shipping
Smartphones are multi-purpose shopping utilities, giving connected consumers
access to essential information that speeds purchase decision-making:
*76 percent use their smartphone to access information about a local store
they want to visit.
*68 percent think their smartphone is great for accessing coupons that they
typically redeem at local retail stores.
*67 percent use their smartphone to download apps that allow them to browse
their favorite retailers.
*65 percent like the ability to browse and preview their emails from
retailers and sometimes make a purchase directly on their smartphone.
Activities shoppers have done at least seven times in the last three months
have almost doubled in most instances from a year ago and include:
*Checked for sales and specials (59 percent)
*Browsed an online store for product of interest (58 percent)
*Looked for competitive pricing at Amazon (58 percent)
*Looked up store information (55 percent)
*Checked ratings and reviews for a product of interest (51 percent)
Top time-savers that make for more efficient shopping experiences:
*Total cost of product (65 percent)
*Customer reviews (64 percent)
*Coupon or promotional code for the product (61 percent)
*Comprehensive product information (59 percent)
*Price-matching guarantees (57 percent)
*Store location information (52 percent)
Methodology and Demographics
The online survey of 1,005 consumers was completed in August 2013 and was
evenly split across gender lines. All respondents were pre-qualified for
smartphone ownership and had shopped at least several times per month online
spending at least $250 annually. From a demographic standpoint, a
cross-section of consumers by age that aligned with the Internet population
was utilized where 45 percent earned $75,000 or more and 54 percent had at
least a college education while 54 percent had children in the household.
The e-tailing group is a Chicago-based consultancy that helps retailers
deliver the right customer experience across all channels, while assisting
technology companies create and execute go-to-market strategies that
simultaneously educate the retail community.
About Local Corporation
Local Corporation (NASDAQ:LOCM) is a leading online local media company that
connects brick-and-mortar businesses with over a million online and mobile
consumers each day using a variety of innovative digital marketing products.
To advertise, or for more information, visit: http://localcorporation.com.
Forward Looking Statements
This press release contains certain forward-looking statements that are based
upon current expectations and involve certain risks and uncertainties within
the meaning of the U.S. Private Securities Litigation Reform Act of 1995.
Words or expressions such as "anticipate," "plan," "will," "intend," "believe"
or "expect'" or variations of such words and similar expressions are intended
to identify such forward-looking statements. These forward-looking statements
are not guarantees of future performance and are subject to risks,
uncertainties, and other factors, some of which are beyond our control and
difficult to predict and could cause actual results to differ materially from
those expressed or forecasted in the forward-looking statements. Key risks are
described in the filings we make with the U.S. Securities and Exchange
Commission. The forward-looking statements in this release speak only as of
the date they are made. We undertake no obligation to revise or update
publicly any forward-looking statement for any reason. Unless otherwise
stated, all site traffic and usage statistics are from third-party service
providers engaged by the company. Traffic and our monetization of that traffic
combine to determine our revenues for any given period. Our traffic volume
alone for a period should not be viewed as demonstrative of our financial
results for such period.
Investor Relations and Media Relations Contact:
Cameron Triebwasser, 949-789-5223
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