.IE Tipping Point Report 2022

The Covid consumer [continued] .IE Tipping Point 2022: Irish e-commerce and digital business in the post-Covid era | 9 While 67% of consumers said a desire to support local businesses during Covid was their main reason for shopping online with Irish SMEs, this was a moderate decline on last year’s figure (74%). Irish SMEs continue to rank highly on more substantial factors when compared to international businesses. Irish shoppers rated native SMEs as more trustworthy, faster and more reliable, and as having better order tracking services. Among those who did the majority of their shopping with international retailers, the two clearest benefits were related to product affordability and product range. International retailers also ranked highly for their websites and online storefronts, with 29% citing these as a major factor in their preference for shopping outside Ireland. While the vast majority of Irish SMEs are not in a position to compete with major international retailers in a race to the bottom, they can consolidate some of their home advantages. Furthermore, the tools to build a modern, e-commerce-integrated website that is as functional and seamless as an international retailer’s are increasingly affordable, supported with comprehensive how-to guides and help content and designed with non-technical users in mind. SMEs with a dated or static website should prioritise an update in 2022. Consumer spending with Irish and international businesses % of online purchases Irish International 2022 2021 2020 55% 45% 49% 51% 53% 47% Why consumers have shopped mostly with Irish businesses since the pandemic 67% Want to support them during crisis 43% More trustworthy 38% Faster/more reliable 30% Better order/tracking delivery service 2021 2020 74% 67% 2021 2020 48% 41% 2021 2020 48% 48% 2021 2020 31% 30% 14% Cheaper 10% Better product range 9% Better websites/ online storefronts 2021 2020 17% 11% 2021 2020 16% 13% 2021 2020 10% 11% Base: 433, consumers who shopped mostly with Irish businesses Why consumers have shopped mostly with international businesses since the pandemic 67% Cheaper 61% Better product range 29% Better websites/online storefronts 2021 2020 72% 71% 2021 2020 67% 69% 2021 2020 35% 34% 28% Faster/more reliable 26% Better order/tracking delivery service 8% More trustworthy 2021 2020 26% 24% 2021 2020 23% 25% 2021 2020 9% 12% Base: 288, consumers who shopped mostly with international businesses