Nearly 1 in 3 Consumers Find Paying Return Shipping More Annoying Than Jury Duty

GoDaddy survey reveals consumers willing to inconvenience themselves to save money

TEMPE, Ariz., Oct. 2, 2024 /PRNewswire/ — A new survey by GoDaddy set out to uncover how much convenience is worth to consumers. It turns out, the answer is not very much.

An overwhelming majority (80%) of 1,500 U.S. consumers surveyed in September say cost savings is more important than convenience, with 42% ranking saving money as their top priority. These cost-conscious consumers are prepared to endure inconveniences to save money this holiday season, highlighting a case for ecommerce businesses to adjust their approach to avoid potentially alienating customers.

Making returns is a bone of contention

Nearly 1 in 3 (30%) consumers find paying for return shipping more annoying than jury duty and going to the DMVThe vast majority (77%) of people often check a business’ return policy before making a purchase, with 1 in 3 Gen Z (31%) and Millennials (35%) doing so before every purchaseA difficult return policy was third among the top reasons why consumers wouldn’t purchase an item from a business via social media*

When consumers are willing to sacrifice convenience

Most (62%) people would rather pay with cash than pay a 3% surcharge to be able to purchase an item with their credit cardThe majority of consumers (69%) said they will still shop at a business even if it doesn’t offer the ability to “Buy Online, Pick Up In-Store”Consumers are more likely to drive themselves to a store (33%) to shop in-person vs. stay home and shop online (30%) this holiday season

There are still some cases when convenience wins out

The majority (63%) of survey respondents report never using personal checks, with only 21% feeling they are convenientAlmost 4 in 10 consumers (38%) would abandon an online purchase if the payment page takes longer than 10 seconds to load

“As holiday shopping begins to ramp up, small businesses need to take a look at the ways they could be inadvertently turning customers away,” said GoDaddy Trends Expert Amy Jennette. “Do you have an extended return policy during the holidays? Do you charge for return shipping? Can consumers buy items online and pick them up in your store to avoid shopping rushes? If not, there’s still time to make adjustments.”

When it comes to prioritizing cost savings above convenience, younger generations seem to be experiencing a notable shift in mindset.

Gen Z is the most likely to shop around if a business doesn’t offer the ease of in-store pickup. When asked if they have ever not shopped with a business because it didn’t offer Buy Online, Pick Up In-Store:

Gen Z – 41% said yesMillennials – 36% said yesGen X and Boomers – 25% said yes

Gen Z and Millennials are more likely to pay extra just to use a credit card. When asked if they’d be willing to pay a 3% surcharge to be able to purchase a product or service with a credit card:

Gen Z – 43% said yes Millennials – 45% said yesGen X and Boomers – 34% said yes

When asked about how long they would wait for a website to load before changing their mind about a purchase:

Gen Z – 47% would not wait 10 seconds Millennials – 45% would not wait 10 seconds Gen X and Boomers – 68% would wait 30 seconds

Gen Z and Millennials are more likely than older generations to shop online vs. in-person this holiday season: 

Gen Z – 32% said they’re more likely to shop online compared to 30% in-personMillennials – 31% said they’re more likely to shop online compared to 30% in-personGen X and Boomers– 36% said they’re more likely to shop in-person compared to 29% online

With some of the largest online shopping holidays like Black Friday and Cyber Monday quickly approaching, small businesses that cater to Gen Z and/or Millennials in particular should look for ways to provide convenient shopping experiences for consumers.

GoDaddy helps entrepreneurs run their business efficiently and offers smart point-of-sale terminals to meet consumer conveniences like Buy Online, Pick Up In-Store and Tap-to-Pay, while supporting streamlined small business capabilities like real-time inventory management across online and in-person sales.

To learn more about GoDaddy and its products, visit www.GoDaddy.com.

*The top two reasons people would not purchase an item on social media were uncertainty if a business was legitimate and high shipping costs.

About GoDaddy

GoDaddy (NYSE: GDDY) helps millions of entrepreneurs globally start, grow, and scale their businesses. People come to GoDaddy to name their idea, build a professional website, attract customers, sell their products and services, and accept payments online and in-person. GoDaddy’s easy-to-use tools help microbusiness owners manage everything in one place and its expert guides are available to provide assistance 24/7. To learn more about the company, visit www.GoDaddy.com.

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SOURCE GoDaddy Inc.