Market Overview

Synchrony Study: Consumer Adoption of Retailer Mobile Apps Doubles

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67% of consumers have downloaded a retailer app on their phone

Consumers use four retailer apps on average on their phone, more than
double from last year

Buying through the app and securing personal information are key
features consumers seek in retailer mobile apps

As mobile shopping continues to grow, consumers are downloading
retailer's mobile apps at double the rate of years past and conducting
more in-app purchases, according to new
findings from Synchrony
(NYSE:SYF).

As the mobile channel becomes critical for retailers, more consumers are
leveraging the apps to buy, browse, read product reviews, access coupons
and find a local store.

According to new data from the Synchrony
2018 Digital Study
, 67 percent of consumers have downloaded a
retailer's app. More than half of those did so specifically for a coupon
or discount offer. Nearly half of consumers that have downloaded a
retailer's app use it for purchases.

"In today's competitive landscape, a mobile application is not just
another piece of technology for retailers, it is a vital tool to engage
shoppers with their brand. Done well, retail apps engage both in and out
of stores with personalized experiences and easy credit solutions," said
Maya Mikhailov, SVP, Chief Marketing Officer, GPShopper, a developer of
mobile apps acquired by Synchrony in 2017. "Consumers that use retail
mobile applications are a retailer's top shoppers. As such, they want
their apps to be tailored to their unique shopping experiences and
preferences."

As retailers develop mobile apps, Synchrony recommends the following to
help enhance the customer experience:

  1. Provide a consistent customer experience across all channels – mobile
    is the driver to bring together all the user experience opportunities.
  2. Engage with customers in a personalized manner by leveraging data and
    analytics -- provide unique offers and discounts via mobile to further
    extend brand loyalty.
  3. Offer simple and easy payment solutions that are seamless and secure;
    create an in-app frictionless mobile commerce experience.

The study comes as SyPI, Synchrony's native app plug-in, hit $1 billion
in credit card bill payments since the product's launch in 2016. SyPI is
embedded within a retailer's app and functions as a complete credit
experience - consumers can apply for credit, perform all servicing
functions, view available rewards certificates, and more, without
leaving the retailer's mobile app. The Synchrony Digital Study revealed
that 77 percent of consumers rated credit card features on an app as
very or extremely valuable, making SyPI a valuable feature for consumers.

Dozens of Synchrony partners are using SyPI including Belk, Chevron, Gap
Inc., and Lowe's.

Synchrony commissioned the 2018 Digital Study in order to gain insights
on consumer behavior and trends in digital shopping. It was a
self-administered online survey executed by Rothstein Tauber (RTi
Research) with a base of 1,255 respondents. The 2018 Digital Study is
the eighth annual survey that Synchrony has conducted on digital
shopping trends. All references to the population and consumers refers
to 2018 Synchrony Digital Study respondents.

About Synchrony

Synchrony (NYSE: SYF),
is a premier consumer financial services company delivering customized
financing programs across key industries including retail, health, auto,
travel and home, along with award-winning consumer banking products.
With more than $130 billion in sales financed and 74.5 million active
accounts, Synchrony brings deep industry expertise, actionable data
insights, innovative solutions and differentiated digital experiences to
improve the success of every business we serve and the quality of each
life we touch. More information can be found at www.synchrony.com and
through Twitter: @Synchrony.

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