Retail Brands Lag Behind Consumer Expectations for Shopping in the Age of Mobile

NewStore Mobile Retail Report grades industry a C-minus for mobile consumer readiness

October 20, 2016

BOSTON, MA – October 20, 2016 – The future of retail is mobile. Yet, brands and retailers are failing to keep pace with consumer expectations. The inaugural NewStore 2016 Mobile Retail Report has taken a holistic research approach in the first in-depth analysis of 112 luxury, lifestyle and fashion brands to evaluate their mobile acuity online and offline. Achieving an overall grade of C-minus, the retailers showed mixed adoption and integration of key technologies connected to how today’s consumers want to shop.

To determine the industry’s mobile retail grade, NewStore sent a team of secret shoppers to New York City to follow the customer and store associate journey, from app to aisle.

“For each retailer, we analyzed as many as 500 data points. We wanted to experience a brand from start to finish through the eyes of a consumer, while also analyzing the tools made available to store employees to fulfill their expectations,“ said Michael Waldron, VP of Marketing, NewStore. “The grades may seem harsh, but this report is not intended to be fear mongering. What this data doesn’t show is the momentum of the industry in the area of mobile retail. Many industry players are still in the process of mobilizing their brands and over the next 18 months we expect to see significant improvements in each category.”

The NewStore 2016 Mobile Retail Report details the modern shopping experience for the consumer and the store associate experiences, including the integration of mobile technology in searching and shopping, while praising “Top of the Class” brands in each category, and providing expert guidance for brands on “How to Make the Grade.”

The comprehensive online and in-store analyses were divided into five categories based on a typical customer journey. Starting with the use of a native app or mobile website to search and share, continuing with the quality of personalization and engagement, tracing the path to purchase and fulfillment, and ending with the return and re-engagement process. The experiences were disappointing. Each category was scored on the level of technology implementation and mobile acuity found in that area. Aggregated category grades ranged from C-plus to D-minus:

  • Mobile Experience: C+
  • Search and Share: C
  • Personalization and Engagement: C-
  • Path to Purchase: D
  • Fulfillment: D-

“While consumers are living in a mobile-first world, the retail industry is stuck in the past. Brands know they must adopt a mobile mindset and incorporate mobile strategies to achieve the full potential of omnichannel commerce, yet few are doing so effectively,” said Stephan Schambach, CEO and founder of NewStore. “While technology solutions are readily available, many retailers are either not using them optimally or are still running on antiquated systems and processes. The only way to make omnichannel a reality is through mobile. The retail industry continues to buzz about mobile, but it lags in the implementation of such technologies in every aspect of the customer experience.”

Notable findings from the NewStore 2016 Mobile Retail Report:

  • Mobile Experience: Despite the fact that shoppers use a mobile device in the majority of purchase decisions, only 22 percent of brands and retailers offer mobile shopping apps.
  • Search and Share: A mere 1 in 5 store associates had visibility into real-time inventory through convenient mobile devices
  • Personalization and Engagement: None of the retailers are utilizing beacon technology.
  • Path to Purchase: Incredibly, purchase transactions require an average 21 fields to be completed, and only 14 percent of brands allow store associates to check a customer out on a mobile device.
  • Fulfillment: Only 22 percent offer in-store pickup through native apps. Even fewer, 13 percent accommodate in-store pickup of orders placed on a mobile site.

To learn how mature the industry is on adoption of mobile technology best practices in and out of the store, download the report for free:

About the Mobile Retail Report
The NewStore 2016 Mobile Retail Report documents comprehensive research conducted of 112 well-known brands and retailers. Conducted in Q2 2016, the study sent a team of secret shoppers on a mission to experience everything possible for a consumer to experience while interacting with and shopping with a brand – online, on mobile web, on a mobile app, and in-store. As many as 500 data points on each retailer were collected and results were compiled into five categories: Mobile Experience, Search and Share, Personalization and Engagement, Path to Purchase, and Fulfillment. Each category was scored on the level of technology adoption and mobile acuity found in that area.

About NewStore
The NewStore Mobile Retail Platform empowers brands to deliver an extraordinary end-to-end shopping experience for consumers. Built entirely from a mobile perspective, it integrates with existing ecommerce platforms such as Demandware, SAP Hybris, Oracle ATG, and Magento. NewStore raises the omnichannel bar with one-touch purchase, scalable clienteling, and on-demand delivery — all optimized for the small screen. Founded by Stephan Schambach, creator of Demandware, NewStore boosts conversion, promotes engagement, unifies online and offline, and modernizes fulfillment. NewStore is headquartered in Boston. For more information, visit

Media Contacts
Casey Antonelli
Director of Corporate Communications


Copyright © 2019 NewStore. All rights reserved.