Report: Canadian Marketers Should Look Beyond Their Core to Limit Showrooming 

March 11, 2013

Most Canadian shoppers using smartphones while in stores to look for better prices— a practice known as showrooming—will remain in the store unless the discount is considerable, according to a new report from GroupM Next, the innovation unit of media investment company GroupM, and search marketing innovation firm Catalyst.

When confronted with a 2.5 percent lower price online, 74 percent of consumers in Canada said they would remain in the store. When the online price represented a 5 percent discount, 63 percent of shoppers said they would stay in the store. At a 20 percent discount, however, only 23 percent of Canadians said they would remain in the store to make their purchase.

“There are a number of Canadian consumers—about 20 percent—who choose to complete the purchase in-store, regardless of the discount offered. This is encouraging for retailers, as a core customer base exists who appear unlikely to showroom,” according to the report’s authors. “The key for marketers is to identify the next 10 percent—the group of customers that are sensitive to price, but can be more easily swayed to purchase in-store.”