The relationship between online bill payers and online shoppers

The Relationship Between Online Bill Payers and Online Shoppers

MODASolutions has released the results of a new consumer eCommerce survey investigating the relationship between online bill payers and online shoppers. J.C. Williams Group, a global retail consulting firm, was empowered by MODASolutions to make the survey and analyze the implications for the industry.
A connection between heavy eCommerce shoppers and online banking users was revealed while conducting the survey; heavy online banking users spend an additional 34 percent more when making purchases online. This growth of eCommerce spending approves MODASolutions' online banking payment solution, eBillme(TM), as a key driver to growing sales and customer acquisition for merchants.

According to the survey results:

  • 80 percent of respondents said that the availability of "a safe and secure online payment option" was the most important factor when shopping online.
  • 76 percent were interested in alternative payment methods that allow them to pay for eCommerce purchases through their online bank accounts.
  • The total eCommerce average amount spent among those engaged in online banking in the previous six months was $1,060, approximately double the industry norms ($488) from a previous national survey conducted by J.C. Williams Group. In addition, heavy bill payers spent an additional 34 percent more over the same time period versus the study average ($1,423).
  • 50 percent of the U.S. online buyer population made at least one online bill payment in the previous six months at their primary financial institution or bill payment portal.

Jim Okamura, Senior Partner of J.C. Williams Group, which conducted the survey in March, said that the advantages of online banking-security, convenience, and speed became evident for the consumers. He added that the customers are now quite tech savvy to make purchases on-line as well as to pay bills and transfer money. The more consumers use on-line banking, the more profitable results can be received.
Marwan Forzley, President and CEO of MODASolutions, claimed that this survey helped to consumers' eCommerce habits. Online bill payers are more likely to become online shoppers. These customers trust their financial institutions, but they're still worried about their financial security during online retail. This means alternative payment options such as eBillme that allows consumers pay using their bank accounts, seem to the customers more trustworthy . Retailers, who offer alternative payment options, can count on the possibility of attracting more customers to their sites, increase in average spending, and converting more Web site visitors into sales.
The study surveyed 1,077 U.S. eCommerce buyers over 20 years old. The sample is representative of the U.S. online buyer population in apparel, home furnishings, consumer electronics, and computer hardware and software categories. 77 % of respondents were 25 to 54 years old, and two-thirds of the respondents reported household incomes over $49,999.

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