Joe Farrell, vice president of international operations at PFS, a fulfilment services provider, says timely calls to action are part and parcel of retail – and a proven way to boost conversions. Retailers need to be careful when considering an extension on sales and uses of countdown timers as such practices may be construed as a tactical way to prolong fear-of-missing-out-induced buying.” “Countdown clocks can be used to communicate time-sensitive sales so long as they end as advertised. “Transparency is an essential part of the customer experience – from shopping through to delivery,” notes Bollard. Nevertheless, the ASA has worked with the group since in an attempt to keep its ad standards in check. On each occasion the time pressure was effectively false, although Boohoo said it was never its intention to mislead. The group was told by the ASA it was using time-limited promotions “in a way that was likely to mislead consumers”. Advertising Standards Authority (ASA) rules were broken, as a result.Īnd early in 2019, Boohoo-owned PrettyLittleThing had its knuckles rapped for displaying countdown clocks to trigger special buys when they were actually leading to an ongoing rotation of offers. There have been several examples of retailers arguably misusing the technology – one high profile instance is fast fashion house, Boohoo Group.Īt the end of 2018, the BBC’s investigative programme, Watchdog Live, recorded 14 promotional sales on Boohoo’s website that did not end after the countdown clock reached zero. “While there have been discussions in the past that consider countdown clocks a contributing factor to fast fashion or returns culture, the overriding consensus is that a countdown timer can be a method of communication for consumers as well as driving sales.”īollard adds: “There have been incidences over the years where retailers have abused its use – but so long as the clock is used to inform as opposed to mislead, ethical boundaries are easily obeyed.” “It’s important not to jeopardise this in order to boost sales in the short term as it may cost you loyal customers in the long run,” he notes. They help advertise sales events and promotions, and give shoppers real-time updates on special offer deadlines.īut are they overly assertive and do they also prompt panic buys that lead to higher returns rates? We put the debate to IMRG members, who – as ever – responded with a diverse range of views.Ĭiaran Bollard, CEO of Kooomo, an ecommerce platform provider, says when consumers visit a retailer’s website they often do so because of their previous experiences with that brand, and the relationship they have built with that company over time. Online countdown clocks – which the CMA inferred as a contributing factor to so-called “pressure selling” – have been a major part of the ecommerce experience for many years – not just on travel sites, but across the wider retail ecosystem. But assuming businesses return to some degree of normality in the coming months, some of the tactics scrutinised by the CMA are worthy of focus by IMRG. Issues such as pressure selling, misleading discount claims, and the effect commission has on how hotels are ordered on websites were all under scrutiny.įollowing developments in the UK and around the world in recent weeks, the probe seems like a lifetime ago and, to be honest, somewhat irrelevant right now in the face of a global pandemic and an industry on a knife edge. Yet just last September, the online travel retail sector found itself wrapped up in a serious Competition and Markets Authority (CMA) probe about the tactics it used when interacting with customers on the web. The virus and the accompanying government guidance for consumers to reduce social contact and avoid non-essential trips to help prevent the spread of the disease is going to have untold consequences on retail – perhaps none more so than the travel sector, which has already grounded thousands of flights, closed accommodation, and – in some cases – laid off staff altogether. That is only natural, and the fast-moving nature of it all, and how commerce and society is changing as a result, will continue to hold the focus for the months ahead. Right now, I would argue there can be no individual or business in the UK who is thinking much further than how the global health emergency, brought on by the ongoing spread of the coronavirus, Covid-19, will impact their immediate future. It’s amazing what an industry deems important can change so dramatically in just a matter of weeks and months.
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