Online retailers up their game

Online retailers are upping their game as shoppers become increasingly savvy and demanding about their internet shopping experience.

Companies are making improvements to give customers a positive and more sophisticated online experience, according to a study of 150 retailers by Forrester Research and online retail network Shop.org.

It found that over the next year, internet retailers are focusing on site design and performance, improving the efficiency of online marketing and improving cross-channel integration.

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Executive director of Shop.org, Scott Silverman said companies are investing in new features to keep customers coming back with homepages everywhere getting major facelifts.

The vast majority of companies surveyed (88 per cent) said improving product detail pages will be a priority for the next year with better integrated customer ratings and reviews, images and photography.

On their homepages companies will focus on top sellers, 'what's new' sections and introduce more drop-down menus and roll-over lists in navigation areas.

Companies also aim to improve customer service, with 33 per cent planning to invest in live chat tools and 53 per cent looking to improve customer check-out facilities.

Forrester analyst Sucharita Mulpuru said it is encouraging so many companies are planning to integrate customer feedback as it will boost their ability to improve their service.

The survey also found email marketing is seen as the most effective tool for customer retention, with 51 per cent of retailers saying emails sent to customers about new products are very effective.

But many respondents feel web 2.0 and social networking tools are relatively unproven as they are still in their infancy as marketing tools.