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Retail Trends

VML’s Future Shopper Report 2024: a global snapshot of the modern shopper

In its eighth edition, VML’s anticipated Future Shopper Report 2024 captures a global snapshot of the modern shopper.
Image supplied
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The report surveys 31,500 consumers across 20 countries, including South Africa, and reveals a dynamic retail landscape challenging established trends and ushering in new opportunities for brands.

This year’s report highlights new trends taking shape – consumers are becoming more open to physical shopping experiences again; marketplaces’ grip on their dominant position in the customer journey is weakening; and the impact of new technologies like AI is changing what we sell, how we sell it, and who we sell it to.

Beth Ann Kaminkow, global chief commerce officer at VML, says, “The new era of consumers is upon us. Demanding to be at the centre of their own immersive omnichannel universe, brands and retailers are still playing catch-up on the new rules of commerce. Through this report, VML continuously seeks to better understand our future shopper – uncovering what drives them to discover, engage and ultimately, purchase – to help marketers redefine how they drive brands and businesses.”

Parusha Partab, VML South Africa CSO, comments “In today's rapidly evolving retail landscape, the demands of South African consumers are clear: a seamless omnichannel experience is no longer a luxury but a necessity. As brands balance physical and digital shopping preferences, mobile optimisation remains a critical opportunity that too many are missing.

With 34% of online purchases in South Africa now made via mobile, and 67% of respondents intending to shop more through social media platforms in the future, it’s clear that the customer journey is increasingly intertwined with digital and social touchpoints.

“The data also shows a trend that suggests a rebalancing between online and physical shopping in the country. While online shopping has slightly declined, this presents a unique chance for forward-thinking brands to stand out by enhancing mobile experiences and delivering superior omni-channel journeys that meet consumers' needs for both speed and convenience.

As we move forward, South African businesses have an exciting opportunity to adapt, innovate, and lead in this space.”

VML’s Future Shopper Report 2024 highlights

1. As physical retail undergoes a resurgence, brands must embrace innovation and immersive experiences to compete in an omnichannel world.

Globally, online spending saw a 5% decline from 58% in 2023, suggesting shifts towards more balanced shopper activity across online and offline environments and a growing demand for real life experiences.

In South Africa, online spending declined 3% from 58% in 2023 to 55% in 2024.

While online shopping remains dominant, physical retail is experiencing a sharp resurgence among global consumers – more than half of whom prefer brands with both physical and online stores.

2. Mobile shopping dominates, but brands and retailers have been slow to adapt and excel, leading to frustrating user experiences.

Mobile devices are now the dominant force in online shopping, accounting for 36% of all online spending globally (up from 32% in 2023) and 34% in South Africa.

Despite consumer preference for mobile, 40% of global consumers find shopping on mobile phones “difficult,” and 66% believe brands and retailers should work harder at making their mobile experiences better.

3. South Africans still prefer to browse in store for product inspiration.

Respondents reported a preference for browsing in store when looking for inspiration or ideas for products to buy across nearly all categories.

One exception was luxury products (such as high-end clothing, watches, jewellery, bags, and art) where 38% of respondents said they browse brand websites.

Similarly, 38% of respondents reported looking at other marketplaces (e.g. Takealot) when needing inspiration for technology purchases (such as smartphones, tablets, computers, and headphones).

4. Consumers crave speed and convenience in all aspects of their shopping journeys. Delivery speed expectations reach new heights as consumers demand near-instant gratification.

Customer expectations are not only high, they’re growing at an exponential rate. Thirty-one percent of global consumers expect delivery of online orders within two hours – this is up from 23% in 2023 and 4%in 2021.

Research also indicates that across industries, consumer expected average wait time was just under two days.

In South Africa, 95% of respondents indicated that speed was important when purchasing online, and they expect delivery of online orders within three days across all categories.

But speed isn’t only about delivery. Sixty-three percent of consumers globally report that they want inspiration through search to purchase as quickly as possible.

Among South African respondents, 84% said free delivery was important, 97% said accurate product descriptions were important, and 96% said an easy returns process was important to them.

5. AI’s potential to improve efficiency and free time is an alluring prospect.

AI’s potential to improve efficiency and free up time offers consumer optimism. A majority of consumers are open to AI helping them and shopping for them, with 43% of South Africa respondents saying they would let an AI organise their life, including what things to buy and even what to do at the weekend (higher than the global 41%).

Consumers are more likely to embrace AI when they understand its benefits and have control over its use. Brands need to prioritise transparency, explain AI’s role clearly, and offer consumers choices in how they interact with AI-powered systems.

(South Africans are divided 50/50 over the statement “I believe the positives of AI outweigh the negatives” and 54% say they are less likely to buy from a business they know uses chatbots instead of real people to resolve customer service issues.)

Nevertheless, human interaction still holds value, with consumers expressing frustration with the lack of human interaction in customer service, in particular.

6. Social commerce continues to gain global traction.

Social commerce has shortened the gap between inspiration and conversion like never before – allowing consumers to buy as soon as they discover inspiring content in the places where they spend their time.

Seventy-eight percent of South African respondents say they have bought through social commerce and 62% of global shoppers say that they intend to shop more through social media in the future.

Fifty-three percent of shoppers globally indicate they have purchased via social live shopping events.

The reach of social commerce alongside the immediacy of purchase are just two of the reasons why it should be right at the top of the agenda for consumer brands.

7. The very definition of “consumer” is evolving, as digital avatars gain importance, and emerging technology and channels allow for interactions beyond the physical realm.

The blurring of the lines between the physical and digital consumer is evidenced by the rise of gaming commerce, with a staggering 89% of global consumers identifying as "gamers" and 60% of those spending money in-game.

Sixty-three percent of South African respondents say they would be interested in buying real-world items inside games. More than half of gamers believe that looking good in-game is as important as looking good in real life.

Blended realities extend to the afterlife, with 47% of global consumers expressing interest in "post-death consumerism.” South Africa sits above the global average at 51% (although that is down from 54% in 2023).

The Future Shopper 2024 report is a comprehensive survey of global shoppers, reaching consumer respondents in 20 countries including Argentina, Australia, Brazil, China, Colombia, France, Germany, India, Indonesia, Italy, Mexico, Netherlands, New Zealand, Peru, Saudi Arabia, South Africa, Thailand, UAE, UK, and US.

Download and view the full report here.

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