e-Commerce and Consumer Electronics: Online ... - NPD Group

AUTOMOTIVE 

BEAUTY 

COMMERCIAL TECHNOLOGY 

CONSUMER TECHNOLOGY 

ENTERTAINMENT 

FASHION 

FOOD & BEVERAGE 

FOODSERVICE 

HOME 

OFFICE SUPPLIES 

SOFTWARE 

SPORTS 

TOYS 

WIRELESS 

e-Commerce and Consumer Electronics: 

Online Shopping & Purchasing 

The NPD Group, Inc. 

September 2011 

Copyright © 2011 by The NPD Group, Inc. 

Proprietary and Confidential: This report and all information contained 

herein is the property of The NPD Group, Inc. and its affiliates, is provided 

for the confidential use of NPD clients only, and may not be disclosed in 

any manner, in whole or in part, to any third party without the express 

written consent of NPD.

Study Objectives & Methodology p. 3 

Introduction by Stephen Baker p. 5 

Study Results 

Online CE Shopping Overview p. 8 

Online Shopping/Product Research Incidence & Behaviors p. 16 

Online CE Purchasing Incidence & Behaviors p. 23 

Online CE Retailers: Shopping & Purchasing Incidence p. 32 

In-Store/Online Cross-Shopping Insights p. 42 

Past 12 Month Shopping/Purchasing Behaviors p. 47 

Online CE Shopping & Purchasing: Consumer Perceptions 

& Behaviors p.56 

Barriers to Online Shopping p.67 

Future Online Purchasing Intent p.71 

Retailer Website Perceptions p.77 

Appendix A: Demographic Profiles p. 83 

Appendix B: About the NPD Group p.84 

Table of Contents 

Proprietary and Confidential 

Source: The NPD Group / e-Commerce and Consumer Electronics: Online Shopping & Purchasing, June 2011

� Objective 

Objectives and Methodology 

– The overall objective of this report is to provide insights into consumers behaviors, attitudes and preferences 

when shopping and purchasing consumer electronics products online. 

� Methodology 

– An online survey was fielded June 22 nd , 2011 – June 29 th , 2011 to a US Representative sample from NPD’s 

Proprietary Online Registered Panel. Panel members were asked to visit the NPD Online Research Survey 

Site in order to complete and submit the survey. As an incentive to complete this survey, respondents were 

offered points that can be redeemed for prizes. 

Ending Sample Sizes 

Total: 

Total Respondents: 1,326 

18-34 year olds 408 

35-44 year olds 235 

45-54 256 

55+ 427 

Males 656 

Females 670 

Ever researched/shopped CE online 1,079 

Ever purchased CE online 655 


Source: The NPD Group / e-Commerce and Consumer Electronics: Online Shopping & Purchasing, June 2011 

3

e-Commerce and Consumer Electronics: Online Shopping & Purchasing 

Executive Summary 



An Industry Perspective 

by Stephen Baker 

The Relevancy of the Retail Storefront Nameplate 


Vice President, Industry Analysis 

The NPD Group, Inc 

NPD’s recent e-commerce topical report, “e-Commerce and Consumer Electronics: Online Shopping & 

Purchasing” provided some fascinating insights into the online and in-store shopping and buying activity 

of the US electronics consumer. Although many in the industry continue to believe that the whole world is 

coming online (and that they are doing it today), NPD’s latest data shows a much more nuanced level of 

activity. 

First and foremost the brick-and-mortar store is here to stay (shocking, isn’t it?). That’s because consumers derive distinct values 

from in-store shopping and browsing, and they display very specific product preferences favoring physical retailing environments. 

At the same time, they also value the retail nameplate, which makes the value of e-commerce very complementary to the value 

of the store and puts retailers in the driver’s seat long-term in exploiting the multi-channel experience that only they can bring to 

the table as the only multi-channel shopping and buying experience 

Yet the e-commerce channel is stealing share, mindshare, and product share from traditional brick-and-mortar and retailers, 

including manufacturers using the Web to sell direct to consumers, and online-only pure-play retailers offering retail and price 

advantages that even multichannel retailers cannot duplicate. Of course there are continued challenges to the relevancy of the 

store, plus younger consumers remain a concern as their propensity to research and shop online (although not to buy) remains 

considerably above the norm. In addition, areas that appeared to be a value for traditional off-line stores may not be as critical as 

was they were once commonly believed to be. The positive takeaway from this report is the one that smart marketers and 

retailers have preached for years: Consumers will shop multiple channels to satisfy their desires, and one type of shopping 

experience does not fit all types of consumers or products. 



5



Right from the start of this report, we observed that the retail store delivers a crucial portion of the shopping experience. One 

in five shoppers visits a search engine before shopping, making it the dominant way consumers look for CE product 

information, while browsing a retail store (12 percent) is a close third. While at first glance this might seem to bolster the view 

that we’re moving closer to retail stores acting primarily as online showrooms, it can also be viewed as a validation of the value 

of a physical presence for products in a convenient and comfortable atmosphere. 

Overall consumers prefer shopping a retailer’s Web site more than they do shopping at a manufacturer’s site or an online-only 

store. More than three quarters (77 percent) of all consumers say they have used a retailer’s website to shop for and purchase 

products, compared to just 63 percent for direct shoppers and 61 percent for online-only shoppers. 

The world may love to shop online, but they do want to do it with names that are familiar and comfortable. That is not to imply 

that e-commerce does not present a host of challenges to traditional brick-and-mortar stores, even if consumers trust those 

nameplates. Among those challenges, two stand out as critical. First, younger consumers are not as retail-store-centric as 

older consumers are. In fact 86 percent of younger buyers report shopping and researching online, compared to 81 percent of 

the entire populace -- a meaningful distinction topped only by the propensity for higher income consumers to use the store. 

While they ultimately buy as much at the retailers’ website as any other demographic group, younger consumers are distinctly 

less interested in seeing and touching a product prior to the purchase, less interested in talking to a sales associate, and less 

concerned about the difficulties of returning items. In the long term, all of those criteria could manifest in the consumer being 

less interested in physical stores and see less value in a multichannel retailer. 

Another concern for retailers is the convenience value proposition. While brick-and-mortar retailers tout the convenience of 

combining the retail storefront for shopping with a Web site for consummating the actual purchase (or of course the exact 

opposite sequence as well), the consumer does not yet appear to accept that entire premise. While the two most important 

reasons to shop online are free shipping and returns capability, those generic options don’t seem to translate as well when 

placed in a brick-and-mortar paradigm. Retailers love to tout the ease of buying from them online and picking up (or returning) 

in the store, yet these features are far down on the list in terms of persuading consumers to make a purchase. 



6



While 86 percent of consumers said free shipping was the most influential criterion in deciding where to buy online (and the 

leading consideration, as well), the ability to buy online and pick up in a store was cited by just 38 percent of consumers. 

Returning an online purchase in the store fared only slightly better, with 56 percent citing it as a key attribute in the purchase 

location decision-making process (while overall 85 percent cited the ability to make returns as a top criteria). These 

challenges are crucial ones retailers need to address, as the e-commerce channel for CE grows. 

Finally there is a product opportunity that favors the multichannel retailer over the online pure-play retailer. Consumers are 

extraordinarily reluctant to purchase certain traditional consumer electronics products over the Web. Part of this reluctance 

might be due to a lack of awareness of products being available online, while part might stem from the slow pace taken by 

many traditional CE companies when establishing a direct-to-consumer buying presence on the Web. Reluctance to 

purchase CE products online might also be inherent in the products themselves. Whatever the cause, the result is a badly 

skewed online sales mix relying heavily on traditional electronics products, and not some of the more exciting growth 

opportunities. 

For example televisions are the fourth most-likely item to research on online; however, it’s the absolute last item consumers 

cite as being likely to be actually purchased online. Just 19 percent of consumers reported they would be likely to buy a TV 

online. PCs were the second most likely item to be purchased online, cited by 34 percent of respondents. Also at the bottom 

of the list were Blu-ray Disc players and home-audio equipment. Smartphones too, showed a much higher level of 

researching versus buying online. While 52 percent of consumers would shop online for a smartphone, just 23% could see 

themselves buying one online. This finding represents a critical opportunity for brick-and-mortar retailers. Two of the largest 

CE categories -- TVs and smartphones -- reveal significant consumer reluctance to being purchased online, despite being 

heavily shopped online. Certainly the ability to convert a heavy shopper of one of these products into a retail buyer would 

be a key advantage that multichannel retailers can exploit better than can online only pure-plays. 

NPD’s data shows that the retail experience continues to be enhanced, and not replaced, by e-commerce buying. 

Consumers are shifting much of their research to the Internet, which creates challenges around the value proposition of the 

retail store, since the costs of retail inventory and hiring sales associates becomes increasingly burdensome. Yet after all 

that research, when a customer does decide to purchase, they look toward familiar nameplates that they drive by every day 

that offer them the ability to browse and see their items in action. As online sales continue to grow, the ability of the 

multichannel retailers to exploit this advantage will be critical to maintaining the sales lead that they enjoy today. 



7


Online CE Shopping Overview 



Consumers in the market for CE products are significantly more likely to consult a 

website than a retail store for information (81% vs. 61%). Furthermore, nearly two-inthree 

(63%) consider a website their first source of CE product information. 

Q1a. Which of the following sources do you ever consult for information when you are in the market for consumer electronics 

products such as TVs, DVD/Blu-ray players, home audio equipment, computers, MP3 players, computer accessories/peripherals, 

mobile phones, etc.? Which one of these places do you typically consult first when you are in the market for consumer electronics 

products? 

Sources Consulted for CE Product Information 

Go to website (NET) 

Internet search engine 

Retail website to browse products/read information 

Online-only store to browse products/read information 

Online-only store to read customer reviews 

MFTR's website to browse products/read information 

Retail website to read customer reviews 

Expert review website 

Go to retail store (NET) 

Browse products on my own 

Ask questions to sales associates 

Ask questions to friends/family 

Other 

4% 

6% 

6% 

4% 

9% 

8% 

7% 

10% 

12% 

18% 

15% 

20% 

Base = US Rep consumers 18+ (n=1326) 



31% 

37% 

38% 

45% 

44% 

42% 

47% 

48% 

53% 

52% 

55% 

63% 

61% 

Ever consult 

81% 

Typically consult first 

9

Younger consumers are significantly more likely to consult the web for CE product 

information. 




products? 

Sources Ever Consulted for CE Product Information – by Age 




Online-only store to browse products/read 

information 


MFTR's website to browse products/read 

information 







Other 

6% 

3% 

6% 

7% 

24% 

29% 

38% 

39% 

37% 

38% 

52% 

52% 

53% 

49% 

48% 

51% 

47% 

45% 

61% 

60% 

62% 

62% 

Base = US Rep consumers 18+ (n=1326), 18-34 (n=408), 35-54 (n=491), 55+ (n=427) 



36% 

35% 

35% 

35% 

31% 

34% 

34% 

37% 

38% 

43% 

45% 

46% 

44% 

44% 

47% 

56% 

51% 

42% 

48% 

44% 

44% 

53% 

54% 

54% 

53% 

63% 

71% 

81% 

82% 

Total 

18-34 

35-54 

55+ 

90% 

10

Males are significantly more likely to utilize the Internet for CE product information. 




products? 

Sources Ever Consulted for CE Product Information – by Gender 





Online-only store to browse products/read information 

MFTR's website to browse products/read information 







31% 

35% 

27% 

38% 

37% 

39% 

48% 

43% 

52% 

6% 

Other 5% 

6% 

Base = US Rep consumers 18+ (n=1326), Male (n=656), Female (n=670) 



37% 

37% 

37% 

44% 

44% 

44% 

45% 

47% 

42% 

42% 

43% 

42% 

47% 

49% 

46% 

53% 

55% 

51% 

52% 

52% 

51% 

61% 

61% 

62% 

81% 

84% 

77% 

Total 

Male 

Female 

11

Computers are the CE product most likely to be research/edshopped online, 

followed by digital cameras, tablets and televisions. 

Q4. If you were currently in the market for each of the products below, how likely would you be to research or shop for these 

products on the Internet? 

Computer 

Digital camera 

Tablet computer 

Television 

eReader 

Smartphone/mobile phone 

Computer software 

GPS/portable navigation device 

Printers 

Apple iPod/any MP3 player 

Camcorder 

Home audio products 

Blu-ray player 

DVD player 

Television/home theater cables/accessories 

Gaming console/handheld gaming device 

Computer accessories/peripherals 

DVD/Blu-ray movies 

Printing consumables 

Storage media 

Likelihood of Research/Shopping CE Online 

Top 2 Box = Extremely/Very Likely 

29% 

Base: Ever shopped CE online (n=1079) 

12 



32% 

34% 

44% 

44% 

43% 

43% 

49% 

49% 

48% 

47% 

51% 

50% 

50% 

52% 

52% 

57% 

56% 

56% 

66%

Computers and software are the items consumers say they would 

be most likely to purchase online if they were in the market. 

Q5. Now, how likely would you be to actually purchase these products on the Internet if you were in the market for each of these 

devices below? 


Computer 

eReader 








Storage media 

Printers 


DVD player 


Camcorder 




Television 

Likelihood of Purchasing CE Online 



34% 

34% 

32% 

30% 

30% 

30% 

29% 

29% 

27% 

26% 

24% 

24% 

23% 

23% 

22% 

21% 

Televisions, despite 

ranking among the top 3 

21% items consumers would 

21% shop for online, rank last in 

the number of consumers 

20% 

who say they would 

19% 

purchase online. 



13

While TVs are relatively likely to be researched/shopped online and less likely to be purchased via 

the Web, commodity products such as DVDs, printing consumables, and computer accessories are 

(relative to other products) less likely to be researched and more likely to be purchased online. 

Q4. How likely would you be to research or shop for these products on the Internet? 

Q5. How likely would you be to actually purchase these products on the Internet? 

Less likely to 

research device 

online 


Storage media 


Researching/Shopping Likelihood vs. Purchasing Likelihood 

Computer 

accessories/peripherals 

TV/HT cables/accessories 

DVD player 

Gaming device 

More likely to 

purchase 

online 



Camcorder 


eReader 

iPod/MP3 player 

GPS/portable navigation 

device 

Printers 

Less likely to 

purchase 

online 





Computer 



TV 

More likely to 

research device 

online 

14

More than eight in ten of those who would research DVD/Blu-Ray movies, storage media or printing 

consumables on the Web say they would also be likely to purchase these items on the web. 

Televisions, on the other hand, are relatively unlikely to be purchased online by shoppers. 

Q4. How likely would you be to research or shop for these products on the Internet? 

Q5. How likely would you be to actually purchase these products on the Internet? 

Conversion Chart: Researching/Shopping Likelihood to Purchasing Likelihood 


Storage media 




eReader 




DVD player 


Computer 



Printers 




Camcorder 

Television 




34% 


70% 

66% 

61% 

59% 

54% 

52% 

52% 

52% 

51% 

50% 

49% 

48% 

44% 

44% 

44% 

43% 

87% 

82% 

81% 

15


Online Shopping/Product Research 

Incidence & Behaviors 



Overall, approximately four-in-five consumers have shopped for or researched CE 

online. Males, younger consumers and those with incomes $75K+ are the most likely 

online CE shoppers. 

QS1. Have you ever used the Internet to research or shop for consumer electronics products such as those shown above? 

81% 

83% 

80% 

CE Internet Shopping/Researching Incidence 

86% 

83% 

Total Male Female 18-34 35-54 55+

More than half of those surveyed who said they ever shopped CE 

online report using the Internet to do so at least “most of the time”. 

Q2. Regardless of where you actually make your purchase, how often do you use the Internet when researching/shopping for 

consumer electronics? 

Frequency of Internet Usage for Researching/Shopping CE 

Gender 

Age 

Total 

Male 

Female 

18-34 

35-54 

55+ 

29% 

28% 

29% 

25% 

30% 

32% 

36% 

39% 

38% 

40% 

Base: Ever shopped CE online (n=1079), Male (n=542), Female (n=537), 18-34 (n=351), 35-54 (n=407), 55+ (n=321),

57% of consumers report having ever researched/shopped online for a 

computer. Televisions and digital cameras are the only other two CE products 

shopped for by at least half of consumers age 18+. 

Q6. Which consumer electronics products have you ever researched or shopped for on the Internet? 

Any (NET) 

Computer 

Television 



Printers 



Computer… 



eReader 


Television/home theater… 

Storage media 

Gaming console/handheld… 


DVD player 

Camcorder 



Other (NET) 

Incidence of Ever Researching/Shopping CE Online 

3% 

50% 

50% 

46% 

46% 

46% 

43% 

42% 

41% 

41% 

39% 

38% 

38% 

37% 

37% 

37% 

36% 

35% 

35% 

31% 

Base: US Rep consumers 18+ (n=1326) 



57% 

19 

81% 

19

Among US Rep consumers 18+ surveyed, eReaders and tablets are the only 

devices more likely to be researched/shopped online by females. 


Any (NET) 

Computer 


Television 


Printers 



Computer 




device 

eReader 

Incidence of Ever Researching/Shopping CE Online – by Gender 

46% 

51% 

42% 

46% 

47% 

46% 

46% 

46% 

46% 

43% 

44% 

42% 

42% 

46% 

37% 

41% 

42% 

40% 

41% 

43% 

38% 

39% 

36% 

41% 

57% 

59% 

55% 

50% 

51% 

49% 

50% 

53% 

48% 

81% 

82% 

80% 

Television/home theater 

cables/accessories 



Gaming console/handheld 

gaming device 

Storage media 

DVD player 


Camcorder 


Other (NET) 

Base: US Rep consumers 18+ (n=1326), Male (n=656), Female (n=670) 

3% 

4% 

3% 

38% 

44% 

33% 

38% 

37% 

38% 

37% 

39% 

36% 

37% 

38% 

36% 

37% 

40% 

33% 

36% 

38% 

34% 

35% 

39% 

32% 

35% 

36% 

34% 

31% 

35% 

27% 



20 

Total 

Male 

Female 

20

Not surprisingly, the younger age groups are most likely to report using 

the Internet to shop/research CE products online. 


Any (NET) 

Computer 


Television 


Printers 



Computer 




device 

eReader 

Incidence of Ever Researching/Shopping CE Online – by Age 

33% 

29% 

39% 

50% 

53% 

53% 

44% 

46% 

48% 

50% 

40% 

46% 

45% 

50% 

43% 

46% 

56% 

49% 

43% 

54% 

46% 

42% 

46% 

45% 

34% 

41% 

39% 

43% 

40% 

57% 

60% 

64% 

48% 

50% 

56% 

56% 

81% 

86% 

83% 

75% 





Gaming console/handheld gaming 

device 

Storage media 

DVD player 


Camcorder 

41% 

44% 

43% 

35% 


39% 

42% 

40% 

35% 

Other (NET) 

3% 

2% 

4% 

4% 

Base: US Rep consumers 18+ (n = 1326), 18-34 (n=408) 35-54 (n=491), 55+ (n=427), 

22% 

38% 

42% 

42% 

31% 

38% 

43% 

40% 

29% 

37% 

43% 

39% 

30% 

37% 

40% 

41% 

28% 

36% 

38% 

41% 

29% 

35% 

38% 

40% 

27% 

35% 

41% 

38% 

25% 

31% 

35% 

33% 

25% 

37% 

49% 

40% 



21 

Total 

18-34 

35-54 

55+ 

21

19% of respondents who have ever shopped CE products online have utilized a 

smartphone when in the store to do so. However, only 4% actually purchased 

electronics products on a smartphone while in the store. 

Q10. Which of the following have you ever done when shopping for consumer electronics? 

Smartphone Usage When Shopping CE Products 

Any in-store smartphone shopping (NET) 

While in a store shopping for consumer electronics, used a 

smartphone to research/shop online Websites of other stores 

While in a store shopping for consumer electronics, used a 

smartphone to research/shop the online Website of that store 

Utilized mobile phone applications such as Red Laser or 

Google Shopper to scan product barcodes in-store to research 

or compare prices online 

Purchased electronics products on my phone while in a store 

4% 

6% 

Base: Ever shopped CE products online (n=1079) 



10% 

22 

14% 

22 

19%


Online CE Purchasing Incidence & 

Behaviors 


Approximately half of the US consumers surveyed have ever 

purchased a CE product online. 

QS2. Have you ever used the Internet to purchase consumer electronics products such as those shown above? 

49% 

54% 

45% 

CE Internet Purchasing Incidence 

51% 

52% 


Only 1/3 of the respondents who have ever purchased CE online 

do so at least “most of the time.” 

Q3. When buying consumer electronics, how often do you make your purchases via the Internet? 

Gender 

Age 

Total 

Male 

Female 

18-34 

35-54 

55+ 

3% 

4% 

1% 

4% 

2% 

2% 

26% 

28% 

27% 

29% 

29% 

30% 

Frequency of Internet Usage for Purchasing CE 

Base: Ever purchased CE online (n = 655), Male (n=356), Female (n=299), 18-34 (n=208), 35-54 (n=256), 55+ (n=191) 

55% 

55% 

54% 

58% 

54% 

55% 

Always Most of the time Sometimes Rarely 



25 

14% 

18% 

11% 

15% 

11% 

15% 

25

Computers, software and accessories/peripherals comprise the three 

highest online purchasing incidences among CE devices. 

Q8. Which consumer electronics products have you ever purchased on the Internet? 

Any (NET) 

Computer 







Printers 


Storage media 

Television 

Television/HT cables/accessories 


Gaming console/device 

DVD player 


Camcorder 

eReader 



Incidence of Ever Purchasing CE Products Online 

9% 

9% 

12% 

12% 

12% 

11% 

11% 

14% 

14% 

14% 

17% 

17% 

17% 

20% 

19% 

21% 

20% 

22% 

26% 

25% 

Base: US Rep consumers 18+ (n = 1326) 



26 

49% 

26

Males have purchased more of each CE device online than 

females, except eReaders. 


Incidence of Ever Purchasing CE Products Online – by Gender 

Base: US Rep consumers 18+ (n = 1326), Male (n=656), Female (n=670) 



27 

27

While younger consumers are more likely to purchase most CE products online, printing 

consumables and GPS/portable navigation categories have stronger purchase incidence 

among those age 55+. 


Any (NET) 

Computer 


Computer 

accessories/periph… 


Printing 

consumables 


Smartphone/mobile 

phone 

Storage media 

Printers 

Incidence of Ever Purchasing CE Products Online – by Age 

22% 

23% 

22% 

20% 

21% 

25% 

19% 

18% 

20% 

17% 

20% 

24% 

20% 

19% 

21% 

18% 

17% 

16% 

19% 

17% 

17% 

17% 

16% 

20% 

26% 

26% 

29% 

22% 

25% 

25% 

25% 

24% 

19% 

23% 

21% 

12% 

49% 

51% 

52% 

45% 


Television 





gaming device 


DVD player 

Camcorder 

eReader 



Other (NET) 

Base = US Rep consumers 18+ (n=1326), 18-34 (n=408), 35-54 (n=491), 55+ (n=427) 

17% 

13% 

19% 

19% 

14% 

13% 

15% 

15% 

14% 

13% 

15% 

14% 

13% 

14% 

14% 

15% 

12% 

10% 

11% 

16% 

12% 

10% 

14% 

11% 

11% 

12% 

12% 

12% 

11% 

10% 

10% 

13% 

11% 

10% 

10% 

12% 

9% 

7% 

11% 

10% 

9% 

8% 

8% 

11% 

0% 

1% 

1% 

1% 



28 

Total 

18-34 

35-54 

55+ 

28

Just over six-in-ten consumers who have ever researched/shopped 

CE products online have also purchased CE products online. 

Q6. Which consumer electronics products have you ever researched/shopped for on the Internet? 


Conversion Chart: Ever Researched/Shopped CE online to Ever Purchased CE Online 

Any (NET) 





Storage media 

Computer 




Printers 

TV/home theater cables/accessories 



Gaming console/handheld gaming… 

DVD player 

Camcorder 


Television 

eReader 


24% 

29% 

28% 

28% 

33% 

32% 

32% 

31% 

36% 

34% 

39% 

37% 

40% 

40% 


45% 

49% 

47% 

53% 

52% 

55% 

61% 

While consumers appear 

relatively willing to shop for 

televisions online, they 

don’t often make their 

purchases on the Internet 



29 

29

More than one-third of online CE purchasers report having no 

retailer preference of where to make purchases. 

Q16a. When purchasing consumer electronics on the Internet, what type of website do you most prefer to purchase from? 

Gender 

Age 

Total 

Male 

Female 

18-34 

45-54 

55+ 

26% 

24% 

28% 

31% 

30% 

34% 

Preferred Retailer Type for Online CE Purchases 

23% 

25% 

21% 

24% 

30% 

22% 

Website of a retailer with physical stores Website of an online-only retailer Manufacturer's website Other N/A - I have no preference 

Base: Ever purchased CE online (n = 655), Male (n=356), Female (n=299), 18-34 (n=208), 35-54 (n=256), 55+ (n=191) 

10% 



7% 

9% 

3% 

10% 

10% 

7% 

5% 

2% 

1% 

30 

36% 

38% 

35% 

37% 

38% 

34% 

30

When purchasing CE online, customers place the highest importance on free 

shipping, the ability to make returns, the availability of a full product warranty 

and free return shipping. 

Q16b. How important are each of the following factors when you are deciding where to purchase consumer electronics online? 

Free shipping 

Ability to make returns 

Full product warranty available 

Free return shipping 

Ability to purchase online but 

make returns in-store 

Shipping timeframe (overnight, 

two-day, etc.) 

Ability to avoid paying sales tax 

Ability to purchase online but 

pick up from a store 

Retailer offers installation 

services 

Financing offers 

Layaway options 

Attributes Considered Important in Deciding Where to Purchase Online 

Top 2 Box = Extremely/Very Important 

13% 

25% 

23% 

38% 

Base: Ever purchased CE online (n = 655) 



52% 

51% 

56% 

31 

75% 

81% 

86% 

85% 

31


Online CE Retailers: Shopping & 

Purchasing Incidence 



32

It appears retailers with a physical brick-and-mortar presence have an advantage in 

attracting consumers to their Websites. These stores’ sites are significantly more 

likely to be visited for CE products than online-only or manufacturer sites. 

Q13a. Which online retailers have you ever visited to shop for or research electronics? 

76% 75% 

63% 

61% 

63% 64% 

CE Online Shopping/Research Incidence – by Retailer Type 

77% 

75% 76% 76% 

64% 63% 63% 

59% 60% 59% 

Gender Age 

HH Income 

56% 

65% 

74% 

58% 

55% 

77% 77% 

65% 

62% 


Overall, about four-in-ten report ever purchasing CE from a traditional retailer 

website or an online-only retail site. Manufacturer websites rank a distant third 

for purchase incidence. 

Q15a. From which online retailers have you ever purchased electronics products? 

39% 

40% 

27% 

41% 

45% 

30% 

37% 

34% 

CE Online Purchasing Incidence – by Retailer Type 

25% 

41% 41% 

42% 

41% 

26% 

32% 

36% 

28% 28% 

31% 

29% 

20% 

41% 

38% 

26% 

49% 

47% 


Best Buy, Walmart and Target are the leading online destinations for 

researching and purchasing CE products among traditional retailers with a 

brick-and-mortar presence. 



Any retailer website (NET) 

Bestbuy.com 

Walmart.com 

Target.com 

Kmart.com 

Barnesandnoble.com 

Sears.com 

Officedepot.com 

Verizonwireless.com 

Staples.com 

Radioshack.com 

Costco.com 

Officemax.com 

CE Online Shopping/Research Incidence – Retailer Websites 

7% 

9% 

8% 

8% 

10% 

7% 

7% 

8% 

6% 

18% 

18% 

12% 

31% 

31% 

31% 

28% 

28% 

27% 

26% 

26% 

39% 

40% 

35% 

54% 

51% 

76% 

Gamestop.com 

ATT.com 

Samsclub.com 

Frys.com 

Sprint.com 

HHGregg.com 

Bjs.com 

Microcenter.com 

Brandsmart.com 

Abt.com 

6ave.com 

Nebraskafurnituremart.com 

Other retailer website** 


8% 

9% 

6% 

17% 

5% 

16% 

6% 

14% 

4% 

13% 

4% 

10% 

4% 

9% 

4% 

9% 

4% 

9% 

4% 

8% 

4% 

3% 

1% 

25% 

25% 

20% 

Ever researched/ 

shopped CE online 

Ever purchased CE 

online 



35 

**Very low base: n

Consumers are more likely to report shopping or purchasing CE 

at Amazon.com than any traditional retailer’s Website. 



Any online-only retailer website (NET) 

Other online-only retailer website** 

CE Online Shopping/Research Incidence – Online-Only Websites 

Amazon.com 

Ebay.com 

Overstock.com 

TigerDirect.com 

Newegg.com 

Buy.com 

Circuitcity.com 

Crutchfield.com 

TechDepot.com 

9% 

4% 

3% 

1% 

8% 

6% 

6% 

11% 

10% 

10% 

13% 

19% 

21% 

20% 

19% 

18% 

31% 

33% 



40% 

42% 


56% 

65% 

Ever researched/shopped CE online 

Ever purchased CE online 

36 

**Very low base: n

Dell edges out Apple as the top destination for shopping and 

purchasing CE among manufacturer direct sites. 



Any manufacturer website 

Dell.com 

Apple.com 

HP.com 

Microsoft.com 

Sony.com 

Canon.com 

Samsung.com 

Kodak.com 

Logitech.com 

Bose.com 

Garmin.com 

Gateway.com 

LG.com 

Toshiba.com 

Panasonic.com 

CE Online Shopping/Research Incidence – Manufacturer Websites 

55% 

43% 

28% 

39% 

25% 

34% 

16% 

32% 

14% 

28% 

10% 

23% 

9% 

23% 

9% 

21% 

10% 

20% 

10% 

19% 

9% 

19% 

9% 

18% 

10% 

18% 

7% 

18% 

8% 

17% 

8% 

77% 

Nintendo.com 

Motorola.com 

Nikon.com 

Epson.com 

Vizio.com 

Seagate.com 

Philips.com 

WesternDigital.com 

RCA.com 

Tomtom.com 

Nokia.com 

Yamaha.com 

Fuji.com 

Casio.com 

Hitachi.com 

Klipsch.com 

Other manufacturer's… 

17% 

9% 

17% 

8% 

16% 

7% 

16% 

9% 

15% 

8% 

14% 

8% 

14% 

8% 

14% 

8% 

13% 

7% 

12% 

8% 

12% 

8% 

11% 

7% 

11% 

7% 

11% 

7% 

11% 

7% 

10% 

7% 

5% 

4% 



37 

Base: Ever shopped CE products online (n=1079), Ever purchased CE online (n=655) 

Ever researched/ 

shopped CE online 

Ever purchased CE 

online 

**Very low base: n

Online-only retailers are more successful than retailer websites and 

manufacturer websites at converting CE product shoppers/ researchers into 

purchasers. 

Q13a. Which online retailers have you ever visited to shop or research electronics? 


Any online-only retailer 

website (NET) 



(NET) 

Shopping/Researching to Purchasing Conversion 



44% 

38 


51% 

61% 

38

Regional retailers such as 6 th Avenue and Nebraska Furniture Mart enjoy the 

highest rates of converting CE shoppers to purchasers. 




6ave.com 

Nebraskafurnituremart.com 

Abt.com 

Brandsmart.com 

Microcenter.com 


ATT.com 

Sprint.com 

Walmart.com 

Bestbuy.com 

Gamestop.com 

Frys.com 

Costco.com 

Bjs.com 


Target.com 

Samsclub.com 

HHGregg.com 

Sears.com 


Staples.com 

Kmart.com 


Officemax.com 

Conversion Chart: Ever Research to Ever Purchase 

-Retailer Websites 

46% 

44% 

41% 

40% 

40% 

37% 

37% 

36% 

34% 

32% 

32% 

31% 

31% 

29% 

29% 

29% 

27% 

27% 

26% 

26% 

26% 

26% 

25% 

23% 




39 

51% 

39

Among Online-only retailers, Amazon.com leads the way, converting 56% 

of those who have ever researched/shopped the site for CE into 

purchasers. 



Any online-only retailer 

website (NET) 

Amazon.com 

Newegg.com 


Ebay.com 


Buy.com 

TechDepot.com 


Overstock.com 

Officemax.com 


-Online-Only Retailer Websites 

23% 



34% 

34% 

45% 

44% 

44% 

44% 

46% 

50% 

40 


56% 

61% 

40

Klipsch, Hitachi, Dell and TomTom are the manufacturer websites who 

convert shoppers into buyers at the highest rate. 



Any manufacturer website (NET) 

Klipsch.com 

Hitachi.com 

Dell.com 

Tomtom.com 

Fuji.com 

Casio.com 

Apple.com 

Nokia.com 

Yamaha.com 

Seagate.com 

WesternDigital.com 

RCA.com 

Philips.com 

Gateway.com 

Epson.com 

Vizio.com 

Nintendo.com 

Garmin.com 

Panasonic.com 

Logitech.com 

HP.com 

Kodak.com 

Bose.com 

Nikon.com 

Motorola.com 

Toshiba.com 

Microsoft.com 

LG.com 

Canon.com 

Samsung.com 

Officemax.com 

Sony.com 


-Manufacturer Websites 

21% 

41% 

40% 

40% 

39% 

39% 

38% 

37% 

36% 

36% 

36% 

35% 

35% 

34% 

34% 

32% 

31% 

30% 

30% 

30% 

29% 

29% 

28% 

28% 

28% 

27% 

26% 

25% 

23% 

23% 

23% 



41 


44% 

44% 

41


In-Store/Online Cross-Shopping 

Insights 



42

Lower prices are the leading driver for bringing in-store CE shoppers to 

ultimately make their purchase online. 

Q11. Which of the following are reasons why you have researched/shopped for electronics in-store but ultimately purchased the 

item(s) on the Internet in the past? 

Prices were lower on the Internet 

I like to see products in person prior to 

deciding what item/model to purchase 

I couldn't find the specific product I wanted 

in the store 

I can choose from a larger selection on the 

Internet 

I used promotions/coupons/discounts for 

"online only" purchases 

I was dissatisfied with the in-store 

selections where I shopped 

I received poor customer service while instore 

I have the ability to easily ship/send an 

item as a gift 

Reason for Shopping In-Store but Purchasing Online – by Gender 

Other 

2% 

2% 

1% 

20% 

25% 

14% 

17% 

19% 

15% 

31% 

33% 

28% 

45% 

46% 

45% 

43% 

45% 

41% 

37% 

33% 

42% 

51% 

46% 

57% 

Base: Shopped in-store/purchased online (n = 336), Male (n=178), Female (n=158) 

Total 

Male 

Female 

83% 

82% 

83% 



43 

43

While price is the top motivating factor for shopping in-store but purchasing 

online, older consumers are also likely to mention the importance of seeing the 

products in person and larger selections on the internet. 

Q11. Which of the following are reasons why you have researched/shopped for electronics in-store but ultimately purchased the 

item(s) on the Internet in the past? 

Prices were lower on the Internet 

I like to see products in person prior to 

deciding what item/model to purchase 

I couldn't find the specific product I wanted in 

the store 

I can choose from a larger selection on the 

Internet 

I used promotions/coupons/discounts for 

"online only" purchases 

I was dissatisfied with the in-store selections 

where I shopped 

I received poor customer service while instore 

I have the ability to easily ship/send an item 

as a gift 

Reason for Shopping In-Store but Purchasing Online – by Age 

20% 

21% 

19% 

22% 

17% 

19% 

16% 

16% 

31% 

35% 

26% 

33% 

2% 

Other 1% 

2% 

2% 

Base: Shopped in-store/purchased online (n = 336), 18-34 (n=116), 35-54 (n=143), 55+ (n=77) 

31% 

45% 

46% 

48% 

40% 

43% 

42% 

40% 

37% 

40% 

38% 

51% 

50% 

50% 

55% 

50% 

Total 

18-34 

35-54 

55+* 

83% 

82% 

83% 

84% 

*Low base: n

Shipping costs are the leading driver of consumers deciding to purchase instore 

after shopping online – especially among women. 

Q12. Which of the following are reasons why you have researched/shopped for electronics on the Internet but ultimately 

purchased the item(s) in-store in the past? 

Needed product right away/didn't want to wait for shipping 

I wanted to be able to ask questions to a sales associate 

I thought it would be difficult to return/exchange the item if 

purchased online 

Day and time of delivery was inconvenient if purchased 

online 

Felt uncomfortable entering personal info like my credit 

card number on website 

Previous experiences while purchasing electronics online 

were negative 

Reason for Shopping Online but Purchasing In-Store – by Gender 

I did not want to pay for shipping costs 

Wanted to see demo/product in person first 

Found a better price in-store 

I could not find the item I was looking for online 

The brand/model I wanted wasn't available online 

The selection online was overwhelming 

Dissatisfied with online selections where I shopped 

Other 

12% 

12% 

12% 

12% 

9% 

8% 

10% 

9% 

9% 

9% 

4% 

6% 

7% 

4% 

2% 

5% 

4% 

2% 

5% 

3% 

3% 

4% 

18% 

24% 

41% 

43% 

45% 

38% 

35% 

41% 

31% 

33% 

36% 

Base: Shopped online/purchased in-store (n = 655), Male (n=328), Female (n=328) 

55% 

53% 

56% 

59% 

56% 

56% 

56% 

Total 

Male 

62% 

Female 



45 

69% 

45

Older consumers are significantly more likely to say they want to see products 

in-person before purchasing as a reason for buying in-store after shopping 

online. 

Q12. Which of the following are reasons why you have researched/shopped for electronics on the Internet but ultimately 

purchased the item(s) in-store in the past? 

Needed product right away/didn't want to wait for shipping 

I thought it would be difficult to return/exchange the item if 

purchased online 

Day and time of delivery was inconvenient if purchased online 

Felt uncomfortable entering personal info like my credit card 

number on website 

Previous experiences while purchasing electronics online were 

negative 

Reason for Shopping Online but Purchasing In-Store – by Age 

I did not want to pay for shipping costs 

Wanted to see demo/product in person first 

I wanted to be able to ask questions to a sales associate 

Found a better price in-store 

I could not find the item I was looking for online 

The brand/model I wanted wasn't available online 

The selection online was overwhelming 

Dissatisfied with online selections where I shopped 

Other 

18% 

15% 

18% 

21% 

10% 

12% 

12% 

15% 

9% 

8% 

10% 

10% 

9% 

9% 

8% 

10% 

4% 

6% 

4% 

8% 

3% 

4% 

3% 

5% 

3% 

4% 

3% 

4% 

3% 

1% 

4% 

5% 

37% 

43% 

40% 

38% 

34% 

38% 

41% 

30% 

33% 

33% 

37% 

Base: Shopped online/purchased in-store (n = 655), 18-34 (n=211), 35-54 (n=261), 55+ (183) 

57% 

62% 

63% 

65% 

49% 

56% 

53% 

68% 

49% 

56% 

58% 

59% 

54% 

Total 

18-34 

35-54 



46 

55+ 

46


Past 12 Month 

Shopping/Purchasing Behaviors 



47

Overall, about four-in-ten report ever purchasing CE from a traditional retailer 

website or an online-only retail site. Manufacturer websites rank a distant third 

for purchase incidence. 


39% 

40% 

27% 

41% 

45% 

30% 

37% 

34% 

CE Online Purchasing Incidence – by Retailer Type 

25% 

41% 41% 

42% 

41% 

26% 

32% 

36% 

28% 28% 

31% 

29% 

20% 

41% 

38% 

26% 

49% 

47% 


Just under two-in-three consumers report shopping for CE online in the past 12 

months. Just over one-in-three report purchasing CE online during this time. 

Q7. Which consumer electronics products have you research or shopped for on the Internet during the past 12 months? 

Q9. Which consumer electronics products have you purchased on the Internet during the past 12 months? 

P12M CE Online Purchasing Incidence 

71% 

62% 

36% 

64% 

38% 

60% 

33% 

65% 65% 

35% 

37% 


At least two-in-ten US consumers shopped for computers, cell phones, software 

or televisions online during the past 12 months, though none of these devices 

were purchased online by more than one-in-ten. 

Q7. Which consumer electronics products have you researched or shopped for on the Internet during the past 12 months? 

Q9. Which consumer electronics products have you purchased on the Internet during the past 12 months? 

Any (NET) 

Computer 

Smartphone / mobile 

phone 


Television 

Printing 

consumables 



eReader 

Printers 

Apple iPod/any 

MP3 player 


5% 

4% 

5% 

3% 

7% 

6% 

6% 

9% 

9% 

17% 

10% 

9% 

19% 

19% 

17% 

17% 

17% 

16% 

16% 

16% 

P12M Internet Shopping/Purchasing by Product Category 

25% 

22% 

36% 

62% 



Storage media 




device 


DVD player 


Camcorder 

Other (NET) 

13% 

5% 

12% 

4% 

10% 

2% 

9% 

3% 

9% 

2% 

9% 

2% 

Base: US Rep consumers 18+ (n = 1326), Research/Shopped CE online P12M (n=822), Purchased CE online P12M (n=655) 

4% 

1% 

1% 

15% 

8% 

14% 

13% 

7% 

Researced/shopped CE online P12M 

Purchased CE online P12M 



50 

50

Past 12 month online CE shopping is relatively consistent across all 

demographics surveyed, with traditional retailer’s websites the leading 

destination for CE product information. 

Q13b. Which online retailers have you visited to shop or research electronics in the past 12 months? 

55% 

46% 

36% 

56% 

48% 

38% 

55% 

45% 

34% 

Online Retailers Shopped for CE P12M 

55% 

56% 

48% 48% 

55% 55% 56% 55% 

43% 

37% 36% 37% 


While retailer websites are more likely to have been shopped during the 

past 12 months, online-only websites such as Amazon are the top 

destination for online CE purchasing during this time period. 

Q15b. At which online retailers have you made purchases within the past 12 months? 

26% 

24% 

14% 

25% 

29% 

16% 

23% 23% 

12% 

Online Retailers Purchased From in P12M 

27% 

26% 26% 26% 

15% 

13% 

20% 

24% 

14% 

20% 

18% 


Walmart edges out Best Buy as a destination for CE shopping and 

purchasing during the past 12 months. 

Q13b. Which online retailers have you visited to shop for or research electronics in the past 12 months? 



Walmart.com 

Bestbuy.com 

Target.com 


Sears.com 


Costco.com 

ATT.com 

Staples.com 

Retailer Websites – Researched/Shopped in P12M and Purchased in P12M 

3% 

8% 

6% 

15% 

4% 

13% 

3% 

12% 

3% 

12% 

3% 

11% 

3% 

11% 

2% 

24% 

19% 

30% 

28% 

55% 

Kmart.com 


Gamestop.com 



Officemax.com 

Samsclub.com 

Sprint.com 

Frys.com 

HHGregg.com 

Bjs.com 

11% 

2% 

11% 

2% 

10% 

2% 

9% 

2% 

8% 

1% 

8% 

1% 

6% 

2% 

6% 

1% 

4% 

3% 

Researched/shopped CE 

online P12M 

Purchased CE online 

P12M 



53 

*Low base: n

Nearly one-in-five consumers age 18+ have made a CE related purchase 

on Amazon.com during the past 12 months. 



Online-Only Retailer Websites – Researched/Shopped in P12M and Purchased in P12M 

Any online-only retailer website (NET) 

Amazon.com 

Ebay.com 

Overstock.com 

Newegg.com* 

Buy.com* 

TigerDirect.com* 

Circuitcity.com** 

Crutchfield.com** 

3% 

7% 

3% 

7% 

2% 

7% 

2% 

4% 

1% 

2% 

1% 

10% 

14% 

20% 

26% 

24% 

37% 



46% 


54 

Researched/shopped 

CE online P12M 


P12M 

*Low base: n

About one in seven consumers shopped or researched a CE product at 

Apple.com during the past 12 months; just one in twenty made a purchase. 




(NET) 

Manufacturer Websites – Researched/Shopped in P12M and Purchased in P12M 

Apple.com 

Dell.com 

Microsoft.com 

HP.com 

Sony.com* 

Samsung.com* 

Kodak.com* 

Canon.com* 

LG.com* 

Garmin.com* 

14% 

5% 

13% 

4% 

11% 

2% 

10% 

2% 

7% 

1% 

6% 

1% 

6% 

1% 

5% 

1% 

4% 

4% 

1% 

14% 

36% 


Logitech.com* 

Nintendo.com** 

Nikon.com** 

Motorola.com** 

Toshiba.com** 

Bose.com** 

Panasonic.com** 

Epson.com** 

Vizio.com** 



4% 

1% 

4% 

1% 

3% 

3% 

3% 

3% 

1% 

3% 

3% 

1% 

3% 

1% 

55 

Researched/shopped 

CE online P12M 


P12M 

*Low base: n


Online CE Shopping & Purchasing: 

Consumer Perceptions & Behaviors 



Convenience and lower price points are the two most important advantages to 

purchasing CE online according to those who have ever done so. 

Q22. Which of the following do you believe to be the most important advantages when purchasing electronics on the Internet? 

It is convenient - I don't have to travel 

to a store to find the item I intend to 

purchase 

Prices tend to be lower on the Internet 

I can read user reviews before 

purchasing 

I can shop anytime that fits my 

schedule 

I can shop anytime day or night 

There are more options and a larger 

selection of products to choose from 

I can avoid having to pay sales tax 

Perceived Benefits of Purchasing CE Online – by Gender 

28% 

27% 

30% 

22% 

20% 

24% 

18% 

23% 

12% 

38% 

41% 

36% 

35% 

31% 

39% 

32% 

30% 

34% 

41% 

40% 

42% 

I can shop multiple sites at one time 

Promotions/coupons/discounts are 

better online 

I don't have to deal with salespeople 

I have the ability to send an item as 

a gift 

I can perform other tasks while 

shopping 

Other 

Base: Ever purchased CE online (n = 655), Male (n=356), Female (n=299) 

4% 

4% 

5% 

1% 

1% 

1% 

13% 

16% 

9% 

7% 

7% 

7% 

16% 

14% 

19% 

15% 

15% 

15% 

Total 

Male 

Female 



57 

57

The 35 to 54 age range perceives convenience as the key 

attribute to buying CE online. 


It is convenient - I don't have to travel 

to a store to find the item I intend to 

purchase 

Prices tend to be lower on the 

Internet 

I can read user reviews before 

purchasing 

I can shop anytime that fits my 

schedule 

I can shop anytime day or night 

There are more options and a larger 

selection of products to choose from 

I can avoid having to pay sales tax 

Perceived Benefits of Purchasing CE Online – by Age 

22% 

24% 

22% 

20% 

18% 

15% 

18% 

21% 

35% 

38% 

34% 

33% 

32% 

30% 

31% 

36% 

28% 

23% 

30% 

32% 

41% 

39% 

44% 

39% 

38% 

39% 

38% 

38% 

I can shop multiple sites at one 

time 

Promotions/coupons/discounts 

are better online 

I don't have to deal with 

salespeople 

I have the ability to send an item 

as a gift 

I can perform other tasks while 

shopping 

Other 

4% 

7% 

5% 

1% 

Base: Ever purchased CE online (n = 655), 18-34 (n=208), 35-54 (n=256), 55+ (n=191) 

1% 

1% 

1% 

7% 

8% 

5% 

9% 

16% 

18% 

15% 

15% 

15% 

16% 

15% 

14% 

13% 

10% 

15% 

13% 

Total 

18-34 

35-54 



58 

55+ 

58

Consumers who report purchasing CE from online-only retailers 

are more likely to say “prices tend to be lower on the Internet.” 


It is convenient - I don't 

have to travel to a store to 

find the item I intend to 

purchase 

Prices tend to be lower on 

the Internet 

I can read user reviews 

before purchasing 

I can shop anytime that 

fits my schedule 

I can shop anytime day or 

night 

There are more options 

and a larger selection of 

products to choose from 

Perceived Benefits of Purchasing CE Online – by Website Type 

22% 

22% 

23% 

23% 

35% 

37% 

36% 

31% 

32% 

31% 

31% 

33% 

28% 

29% 

28% 

28% 

41% 

39% 

41% 

43% 

38% 

37% 

43% 

39% 

I can avoid having to pay 

sales tax 

I can shop multiple sites 

at one time 

Promotions/coupons/disc 

ounts are better online 

I don't have to deal with 

salespeople 

I have the ability to send 

an item as a gift 

I can perform other tasks 

while shopping 

Other 

4% 

5% 

4% 

5% 

1% 

1% 

1% 

7% 

8% 

8% 

7% 

16% 

16% 

17% 

18% 

15% 

17% 

14% 

14% 

13% 

13% 

13% 

13% 

Base: Ever purchased CE online (n = 655), Retailer website (n=512), Online-only retailer website (n=525), 

Manufacturer website (n=363) 

18% 

19% 

18% 

18% 

Total 

Retailer website 

Online-only retailer 

website 

Manufacturer 

website 



59

While price tends to be a common motivating factor for deciding where to 

purchase CE online, loyalty also plays a leading role – 44% chose their most 

recent online purchase destination based on a previous “good experience.” 

Q18. Thinking back to your most recent electronics purchase at [INSERT Q17 RESPONSE], which of the following played a role in 

leading you to choose this online retailer for your purchase? 

Previously purchased from the site and had good experience 

Less expensive than I could find in-store 

Retailer offered item for better price than other sites 

Retailer had lower shipping costs than other sites 

Retailer offering special promotions, rebates, or sales 

Retailer made it easy to find the most popular/bestselling… 

User reviews at this site helped me decide what to buy 

The online retailer didn't charge sales tax 

Only online-retailer with item in stock 

Read positive reviews about particular website 

Received special offers from retailer via email or text 

Recommended by a friend or family member 

I had a gift card to the website 

I am a member of a loyalty program with this site 

Received special offers for retailer from other sites like… 

Advertisements seen on TV, billboards, or heard on radio 

Online Purchase Motivators 

Other 

4% 

3% 

7% 

8% 

10% 

10% 

13% 

12% 

15% 

15% 

Base: P12M Online CE purchaser (n = 423) 



21% 

23% 

27% 

26% 

60 

37% 

44% 

43% 

60

Online-only sites are slightly more likely to attract purchasers based on a 

previous good experience and being less expensive than in-store products. 

Q18. Thinking back to your most recent electronics purchase at [INSERT Q17 RESPONSE], which of the following played a role in 

leading you to choose this online retailer for your purchase? 

I previously made a purchase from 

the website and had a good 

experience 

Product was less expensive than I 

could find in-store 

Retailer offered the item for a better 

price than other websites 

The retailer had lower shipping 

costs than other websites 

Retailer was offering special 

promotions, rebates, or sales 

The retailer made it easy to find the 

most popular/bestselling products 

User reviews at this site helped me 

decide what to buy 

The online retailer didn't charge 

sales tax 

Online Purchase Motivators – By Retailer Type 

21% 

23% 

23% 

19% 

15% 

15% 

17% 

14% 

27% 

29% 

30% 

28% 

26% 

26% 

24% 

26% 

23% 

24% 

26% 

24% 

37% 

37% 

38% 

33% 

44% 

43% 

47% 

43% 

43% 

42% 

46% 

40% 

I read positive reviews about that 

particular website 

I received special offers from this 

retailer via email or text 

I had a gift card to the website 

It was recommended by a friend or 

family member 

I am a member of a loyalty program 

with this site 

I received special offers for this 

retailer from other sites like 

Ebates.com, Groupon.com, etc. 

Advertisements seen on TV, 

billboards, or heard on radio 

Base: P12M Online CE purchaser (n = 423), Retailer website (n=318), Online-only retailer website (n=339), 

Manufacturer website (n=182) 

61 Proprietary and Confidential 


Other 

7% 

8% 

8% 

6% 

4% 

3% 

3% 

4% 

3% 

4% 

3% 

4% 

13% 

13% 

14% 

12% 

12% 

12% 

12% 

13% 

10% 

10% 

11% 

8% 

10% 

9% 

10% 

12% 

8% 

9% 

9% 

10% 

Total 

Retailer website 

Online-only retailer 

website 

Manufacturer 

website 

61

Two-out-of-three leading motivators of those choosing a manufacturer’s 

website vs. a retailer’s website were brand-equity related - trust and good 

experience. 

Q19. you mentioned making your most recent online electronics purchase at Manufacturer Website . Why did you decide to 

purchase directly from the manufacturer’s website, rather than a retail outlet such as Bestbuy.com, Walmart.com, etc.? 

It is a manufacturer I trust 

Prices were cheaper when buying directly from 

the manufacturer 

Have had positive experiences with this 

manufacturer in the past 

It was easier to find the product I was looking 

for 

The manufacturer's website was well organized 

and easy to navigate 

Had a greater availability of products 

Had a greater selection to choose from 

I knew the product would carry a full warranty 

Accessories came with purchase from the 

manufacturer 

I thought I would receive better customer 

service 

Manufacturer offered installation 

Other 

Manufacturer Website Purchase Motivators* 

5% 

10% 

12% 

19% 

24% 

27% 

30% 

30% 

Base: Purchased CE MFTR website P12M (n = 93)* 

36% 

40% 

39% 

49% 

*(Low base size: n < 100) 



62 

62

It’s no surprise that the number one cited drawback among those who never 

purchased from a manufacturer’s website was the lack of a selection for 

comparison. 

Q20. You mentioned visiting a manufacturer’s website such as Sony.com, Samsung.com, or Apple.com to shop for electronics in 

the past, but you have not made a purchase at a manufacturer’s website. Which of the following have prevented you from 

purchasing electronics online direct from the manufacturer? 

I prefer to see a selection of different 

brands side-by-side when making my 

purchase 

I can find better prices at retail stores or 

websites 

I prefer to purchase from a retailer 

where I can get unbiased opinions 

regarding the products 

It's easier to buy multiple items from 

one place when shopping retailer stores 

or websites 

Retailer stores or websites have better 

return policies 

Retailer stores or websites offer 

installation services 

Reasons for Not Purchasing From Manufacturer’s Website 

Other 

9% 

8% 

9% 

11% 

18% 

21% 

14% 

19% 

11% 

14% 

10% 

10% 

17% 

18% 

16% 

19% 

29% 

28% 

25% 

25% 

33% 

41% 

37% 

43% 

39% 

53% 

55% 

Base: Visited/never purchased from MFTR site (n = 464), 18-34: (n=148), 35-54 (n=178), 55+ (n=128) 

64% 

Total 

18-34 

35-54 



63 

55+ 

63

The window to close an online sale of a CE product averages nearly 11 

days. Males push the “order button” a day earlier than females on average. 

Q21. Again thinking back to your most recent online electronics purchase, how much time elapsed between when you first started 

researching the device you ultimately purchased and the time you actually purchased it? 

25% 

27% 

38% 40% 

12% 10% 

Time Lapse Between Research and Ultimate Purchase 

Mean = 10.5 Mean = 9.9 Mean = 11.2 Mean = 10.9 Mean = 11.4 Mean = 9 

5% 

9% 

11% 

5% 

6% 

12% 

6% 

11% 

10% 

6% 

8% 

15% 

7% 

10% 

11% 

2% 

8% 

8% 

24% 23% 

34% 

15% 

37% 

11% 10% 

Base: P12M CE purchaser (n = 473), Male (n=252), Female (n=220), 18-34 (n=143), 35-54 (n=182), 55+ (n=147), 

$

No significant difference exists when comparing the period between 

research and purchase of a CE product across Website types. 

Q21. Again thinking back to your most recent online electronics purchase, how much time elapsed between when you first started 

researching the device you ultimately purchased and the time you actually purchased it? 

Mean = 10.5 days 

Time Lapse Between Research and Ultimate Purchase 

Mean = 10.5 days Mean = 10.4 days Mean = 10.5 days 

6% 5% 6% 5% 

9% 9% 8% 8% 

11% 11% 11% 11% 

25% 26% 26% 27% 

37% 37% 37% 36% 

12% 12% 12% 13% 

Total Retailer website Online-only retailer 

website 

Manufacturer website 

Don't know/not sure 

>1month 

3-4 weeks 

1-2 weeks 

1-6 days 

On average, nearly two-out-of-every-three consumers who have 

purchased CE products from a retailer website in the past 12 months 

have opted to have their purchase shipped. 

Q17b. The last time you purchased electronics online at [INSERT Q17 RESPONSE], did you pick up your purchase at the physical 

retail store, or did you have it shipped? 

Retailer Website Purchase Delivery Method: Pick-Up vs. Shipment 

64% 63% 65% 65% 

36% 37% 35% 35% 

70% 

30% 

54% 

46% 

64% 65% 65% 

36% 35% 35% 

Total Male* Female* 18-34** 45-54* 55+**


Barriers to Online Shopping 



TVs are by far the CE device consumers are most likely to say they are not 

willing to purchase on the Internet. Reluctance to online purchasing across all 

CE devices profiled is driven more strongly by females. 

Q27. Which of the following types of electronics would you not be willing to purchase on the Internet? 

Any (NET) 

Television 


Smartphone/mobile 

phone 

Camcorder 




Printers 

Computer 



CE Products Not Willing to Purchase on the Internet – by Gender 

28% 

23% 

32% 

27% 

25% 

29% 

26% 

22% 

31% 

25% 

21% 

29% 

25% 

21% 

29% 

25% 

21% 

29% 

25% 

20% 

30% 

25% 

18% 

32% 

24% 

21% 

28% 

40% 

34% 

46% 

60% 

53% 

66% 

DVD player 


gaming device 



device 

eReader 


Storage media 


Computer 



Other (NET) 

2% 

1% 

2% 

16% 

13% 

19% 

Base: US Rep consumers 18+ (n = 1326), Male (n=656), Female (n=670) 

24% 

20% 

28% 

23% 

20% 

26% 

22% 

20% 

25% 

22% 

18% 

26% 

21% 

21% 

21% 

21% 

18% 

24% 

21% 

18% 

25% 

20% 

18% 

21% 

19% 

16% 

22% 

Total 

Male 

Female 



68 

68

Older CE consumers are more resistant to purchasing product on 

the Internet than those of the younger demographic. 

Q27. Which of the following types of electronics would you not be willing to purchase on the Internet? 

Any (NET) 

Television 



Camcorder 



Computer 

Printers 




CE Products Not Willing to Purchase on the Internet – by Age 

28% 

21% 

25% 

27% 

19% 

23% 

26% 

22% 

24% 

32% 

25% 

22% 

22% 

31% 

40% 

32% 

38% 

25% 

20% 

23% 

32% 

25% 

19% 

24% 

32% 

37% 

25% 

22% 

22% 

33% 

25% 

20% 

23% 

33% 

25% 

17% 

24% 

33% 

38% 

49% 

60% 

54% 

59% 

66% 

DVD player 


device 




Storage media 

eReader 




Other (NET) 

2% 

0% 

3% 

1% 

Base: US Rep consumers 18+ (n = 1326), 18-34 (n=408), 35-54 (n=491), 55+ (n=427) 

24% 

20% 

22% 

30% 

23% 

17% 

22% 

31% 

22% 

19% 

20% 

28% 

22% 

17% 

20% 

28% 

21% 

17% 

18% 

30% 

21% 

17% 

20% 

27% 

21% 

16% 

19% 

28% 

20% 

15% 

17% 

27% 

19% 

14% 

17% 

27% 

16% 

13% 

13% 

22% 

Total 

18-34 

35-54 



69 

55+ 

69

Voice of the Consumer 

Q5b. You mentioned that you were not likely to purchase these products on the Internet. Why would you not be willing to do so? 

Barriers to Purchasing CE Products via the Internet 

- “If I didn’t like the item or it broke, I would have to go through the hassle of returning it by mail.” – 

Female, 55 

- “I like the immediate gratification and enjoy the in-store shopping experience.” – Female, 30 

- “I need to test all items in person before deciding to buy.” – Female, 20 

- “For the money these items cost, I want them NOW, not 3-10 days later.” – Female, 40 

- “I like to support the local economy” – Male, 47 

- “It’s not worth waiting for smaller items such as cables” – Male, 63 

- “These are things that are generally easy for me to pick up while I’m doing other shopping” – Female, 37 

- “Customer service [over the Internet] is a matter of weeks compared to minutes in-person” – Male, 57 

- “I am worried about paying over the Internet with my credit card.” – Male, 39 

- “Most of these items are pricey and I’m afraid they would arrive damaged.” – Female, 33 

Floating base: Not likely to purchase CE product online at Q5 



70 

70


Future Online Purchasing Intent 



The majority of consumers say their propensity to purchase CE 

online is “about the same” as it was one year ago. 

Q23. If you were in the market for a new electronics product, would you say you are currently more likely, less likely, or just as 

likely to purchase electronics on the Internet compared to one year ago? 

Gender 

Age 

Total 

Male 

Female 

18-34 

35-54 

55+ 

20% 

17% 

19% 

18% 

23% 

23% 

Current Online CE Purchasing Propensity vs. Last year 

64% 

62% 

63% 

62% 

60% 

67% 

More likely About the same Less likely 

Base: US Rep consumers 18+ (n=1326), Male (n=656), Female (n=670), 18-34 (n=408), 35-54 (n=491), 55+ (n=427), 


Q24. Why did you say you are currently more likely to purchase electronics on the Internet than you were on year ago? 

“I am more likely to purchase electronics on the Internet than I was one year ago because…” 

- Regular stores do not offer the variety of product selection or large Internet retailers.” – Male, 63 

- More companies are offering free shipping than before.” – Female, 29 

- Because they have made it easier to do so since one year ago.” – Female, 53 

- They are offering easier ways to exchange and return damaged or defective products when ordering 

online” – Female, 28 

- I can find deals easier now that I have shopped on the Internet more often.” – Male, 18 

- I live in a small community that has a very limited number of retailers.” – Male, 52 

- It’s easier. Especially having kids.” – Female, 24 

- It is becoming safer to do so and I like the ability to shop anytime I want through my computer.” 

Female, 60 

- Shopping in the physical stores just takes too much time. – Male, 60 

- More familiarity with the websites and more confident of a good experience with some sites.” - Male, 66 

Floating base: More likely to purchase CE product online at Q23 



73 

73


Q24. Why did you say you are currently less likely to purchase electronics on the Internet than you were on year ago? 

“I am less likely to purchase electronics on the Internet than I was one year ago because…” 

- I would rather see the product and have it in my hands to check it out and ask questions about. - 

Female, 48 

- More places are getting hacked so information could not be totally secure.” – Female, 24 

- I want to support the local economy.” – Male, 32 

- I’ve had problems in the past where I was not happy with my purchase.” – Male, 52 

- No reason. I just enjoy shopping more.” – Male, 65 

- I’ve had my credit card information compromised when using the Internet.” – Female, 71 

- The Economy is not well and I do not have the funds to purchase online as much.” – Male, 56 

- I tried it before and did not like what I ordered. Too hard to tell unless you see it in person.” – 

Female, 68 

- It appears that the “better buy” is now at the mall in the retail shops.” – Male, 54 

Floating base: Less likely to purchase CE product s online at Q23 



74 

74

Sixty-two percent of US consumers ages 18+ claim they will buy a CErelated 

product in the coming year - two-thirds of those are likely to make a 

CE purchase online. 

Q25. Which electronics products are you likely to purchase in the next 12 months? 

Q26. Below are the electronics you said you would be likely to purchase in the next 12 months. Which of the electronics products 

are you likely to purchase on the Internet? 

Likelihood of Purchasing CE Product in N12M and Doing So Online 

Any (NET) 




Computer 


eReader 



Storage media 


Television 



Printers 




Camcorder 


DVD player 

Other 

9% 

9% 13% 

9% 15% 

8% 15% 

6% 

6% 8% 

15% 

6% 10% 

5% 10% 

5% 12% 

5% 9% 

3% 14% 

3% 7% 

3% 6% 

2% 6% 

2% 6% 

2% 7% 

2% 5% 

2% 4% 

1% 

1% 3% 

1% 

6% 

21% 


42% 

Likely to purchase N12M 

Likely to purchase online 

N12M 



75 

62% 

75

eReaders are the CE product most likely to be purchased online among 

those who are likely to purchase them in the next year. 

Q25. Which electronics products are you likely to purchase in the next 12 months? 

Q26. Below are the electronics you said you would be likely to purchase in the next 12 months. Which of the electronics products 

are you likely to purchase on the Internet? 

Conversion Chart: Likelihood of Purchasing CE Product in N12M to Doing So Online 

eReader 





Computer 



Camcorder 



Storage media 



Printers 


DVD player 


Television 


17% 

21% 

29% 

33% 

33% 

33% 




42% 

40% 

40% 

43% 

43% 

50% 

50% 

50% 

76 

56% 

53% 

60% 

60% 

69% 

75% 

76


Retailer Website Perceptions 



Websites of retailers based solely online score the highest with just over half 

those who have ever visited one describing its navigation as “extremely easy”. 

Q14. Thinking back to the websites you have visited in the past 12 months, please rate how easy or difficult the website was to 

navigate. 

Ease of Website Navigation (P12M) 

51% 

32% 

13% 

35% 

40% 

20% 

3% 

1% 

4% 

1% 

4% 

1% 

Any online-only retailer website Any retailer website Any manufacturer website 

33% 

38% 

24% 

Base: Visited any retailer website P12M (n = 3097), Visited any online-only retailer website P12M (n = 1350), 

Visited any MFTR website P12M (n = 1672) 

Extremely easy 

Somewhat easy 

Neither easy nor 

difficult 

Somewhat difficult 

Extremely difficult 



78 

78

Staples edges out other traditional retailers by a percentage points when it 

comes to top-two box score for ease of navigation. 


navigate. 

Ease of Retailer Website Navigation (P12M) 

Staples.com 

Target.com 

Walmart.com 

Bestbuy.com 


Kmart.com 

Costco.com 

Mean = 75% 

Sears.com 


Gamestop.com* 


Bjs.com** 

Radioshack.com* 

HHGregg.com** 

Frys.com* 

Samsclub.com* 

Sprint.com* 

Officemax.com* 

ATT.com* 

Top 2 Box Summary: Extremely/Somewhat Easy 

Base: Visited any retailer website P12M (n = 3097) 

84% 

83% 

82% 

82% 

82% 

79% 

75% 

74% 

74% 

73% 

72% 

72% 

71% 

70% 

69% 

68% 

66% 

65% 

64% 


**(Very low base size: n < 50) 



79 

79

The high top-two box scores for ease of navigation among online-only retailers 

is driven strongly by Amazon.com. 


navigate. 

Ease of Online-Only Retailer Website Navigation 

Mean = 84% 

Amazon.com 

Overstock.com 

Ebay.com 

Newegg.com 



Buy.com 


TechDepot.com 


53% 

Base: Visited any online-only retailer website P12M (n = 1350) 



80 

72% 

77% 

75% 

80% 

78% 

82% 

82% 

91% 

80

Apple ranks #1 in terms of ease of navigation among 

manufacturers’ Websites. 


navigate. 

Ease of Manufacturer Website Navigation (P12M) 

Mean = 

71% 

Apple.com 

Garmin.com* 

Kodak.com* 

Toshiba.com* 

Nikon.com** 

Sony.com* 

Canon.com* 

HP.com 

WesternDigital.com* 

Dell.com 

Casio.com** 

Gateway.com* 

Samsung.com* 

Philips.com* 

Epson.com* 

Vizio.com* 


74% 

73% 

72% 

72% 

71% 

70% 

69% 

69% 

68% 

81% 

79% 

78% 

78% 

76% 

75% 

84% 

Bose.com* 

Nintendo.com* 

Klipsch.com** 

LG.com** 

Tomtom.com* 

Microsoft.com* 

Seagate.com* 

Logitech.com* 

Yamaha.com** 

Nokia.com** 

RCA.com** 

Panasonic.com* 

Motorola.com* 

Fuji.com** 

Hitachi.com** 

Base: Visited any MFTR website P12M (n = 1672) 

38% 

49% 

59% 

59% 

58% 

56% 

68% 

68% 

66% 

66% 

65% 

65% 

64% 

63% 

63% 


**(Very low base size: n < 50) 



81 

81

Demographic Profiles 



Gender 

54% 

50% 50% 

53% 51% 50% 50% 

46% 47% 49% 

Male Female 

Appendix A. Demographic Profile 

Income Distribution Presence of Children under 18 in 

Household 

Total 

Ever purchase CE online 

Ever shop CE online 

P12M CE Internet Purchaser 

P12M CE Internet Shopper 

38% 

31% 

36% 

31% 

32% 

24% 

24% 

23% 

24% 

24% 

Total 

Ever purchase CE 

online 

Ever shop CE online 

P12M CE Internet 

Purchaser 

P12M CE Internet 

Shopper 

38% 

45% 

41% 

45% 

44% 

Appendix B. About the NPD Group 

About The NPD Group, Inc. 

The NPD Group is the leading provider of reliable and comprehensive 

consumer and retail information for a wide range of industries. Today, more than 

1,800 manufacturers, retailers, and service companies rely on NPD to help 

them drive critical business decisions at the global, national, and local market 

levels. NPD helps our clients to identify new business opportunities and guide 

product development, marketing, sales, merchandising, and other functions. 

Information is available for the following industry sectors: automotive, beauty, 

commercial technology, consumer technology, entertainment, fashion, food and 

beverage, foodservice, home, office supplies, software, sports, toys, and 

wireless. For more information, contact us or visit http://www.npd.com/ and 

http://www.npdgroupblog.com. Follow us on Twitter: @npdtech and @npdgroup. 



84

e-Commerce and Consumer Electronics: Online ... - NPD Group

Create successful ePaper yourself

Delete template?

Save as template?