ICSC survey finds consumers weigh convenience against cost

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Reviewed by
Radhika SScanX News Team
Key Highlights

ICSC's 'Cost of Convenience' survey of 1,000 U.S. consumers reveals that 90% are willing to accept slower shipping for savings, while 70% have abandoned carts due to shipping costs. The study highlights generational divides, with Millennials and Gen Z more willing to pay for speed, and emphasizes the importance of transparency regarding return fees. Physical stores remain crucial for avoiding online friction.

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Consumers are increasingly weighing the cost of convenience against savings, according to a new survey by ICSC. The research indicates that while shoppers still value fast delivery and easy returns, rising fees are influencing purchase decisions and retailer loyalty. The findings highlight a shift in behavior where consumers are willing to make tradeoffs, such as accepting slower shipping, provided the value exchange is clear.

ICSC's "Cost of Convenience" survey was conducted online from May 13, 2026 to May 15, 2026, with a demographically representative U.S. sample of 1,000 respondents. The data explores consumer behaviors and preferences related to shipping, returns, and fulfillment strategies. Tom McGee, President & CEO of ICSC, noted that the cost of convenience has become a key part of the shopping decision, with consumers evaluating delivery fees and return policies alongside price.

Key Survey Findings

The study identified several critical trends regarding how consumers approach online shopping costs and physical retail experiences.

Cost vs. Convenience

A significant majority of shoppers are prioritizing savings over speed. The survey found that 90% of respondents would accept slower shipping in exchange for savings. Additionally, 61% stated that lower cost matters more than convenience when shopping online. Despite this preference for savings, 70% of respondents agree that retailers should offer shipping that is both free and fast, indicating an expectation for high standards even when they choose slower options.

Impact on Loyalty and Conversion

Shipping and return policies are major drivers of cart abandonment and retailer churn. The data shows that 70% of online shoppers have abandoned their cart because of shipping costs. Furthermore, 67% said return fees make them less likely to purchase online. A total of 65% have stopped, or would consider stopping, shopping with a retailer because of delivery fees, slow shipping, or inconvenient returns.

Generational and Income Divides

Age and income levels significantly shape how consumers value convenience. Millennials (78%) and Gen Z (74%) are the generations most willing to pay extra for faster shipping, compared to just 32% of Baby Boomers. Half of Gen Z consumers have already stopped shopping with a retailer due to slow delivery or inconvenient returns, compared with 25% of Baby Boomers. Higher-income consumers also show less tolerance for poor service; 76% of consumers with household incomes of $125,000-$249,999 are likely to stop shopping with a retailer due to delivery or return issues, compared to 65% overall.

The Role of Transparency and Physical Stores

Transparency regarding fees remains a critical factor for consumer trust. The survey revealed that 56% of consumers believe retailers are not upfront about return fees before purchase. However, 71% would be more accepting of return fees if they were disclosed upfront. Physical stores continue to provide value by mitigating online shopping friction, with 57% of respondents valuing stores for avoiding shipping fees and 63% valuing immediate access to products.

Metric Percentage
Accept slower shipping for savings 90%
Lower cost matters more than convenience 61%
Expect free and fast shipping 70%
Abandoned cart due to shipping costs 70%
Return fees reduce likelihood to purchase 67%
Stopped shopping due to delivery/return issues 65%
Millennials willing to pay for faster shipping 78%
Gen Z willing to pay for faster shipping 74%
Baby Boomers willing to pay for faster shipping 32%
Retailers not upfront about return fees 56%
More accepting of upfront return fees 71%
Value stores to avoid shipping fees 57%
Value immediate access to products 63%
Disclaimer: This article is AI-generated using data from ViewTrade. ScanX is not liable for any inaccuracies.

How will retailers adjust their fulfillment strategies to balance the high consumer demand for free and fast shipping with the rising cost of logistics?

Will the growing consumer intolerance for return fees accelerate the adoption of 'try before you buy' models or augmented reality tools to reduce return rates?

As Millennials and Gen Z show a higher willingness to pay for speed, how will brands segment their loyalty programs to cater to these specific demographics?

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US workers expect to retire with half the savings they need

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Reviewed by
Radhika SScanX News Team
Key Highlights

A Clever Real Estate report reveals American workers expect to retire with $515,000, half the recommended $1.03 million. The typical worker has saved only $210,000, with 38% reducing contributions recently. Homeowners possess significantly higher savings than non-homeowners, though 87% cite housing costs as a barrier to saving more.

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American workers expect to retire with just $515,000, roughly half of the million-plus figure financial experts recommend, according to a new report from Clever Real Estate. The typical worker currently has only $210,000 set aside, and nearly two-thirds (65%) acknowledge they are already behind on their savings goals. This shortfall creates significant financial anxiety, with 54% of working Americans worried they will outlive their savings.

The report indicates that a worker earning the median salary of $64,220 would need about $1.03 million for a 20-year retirement. Despite this need, many Americans are saving less than in previous years. More than a third of workers (38%) have reduced their retirement contributions in the past 12 months, including 46% of Gen Z and 42% of millennials. Nearly 1 in 5 workers (18%) have never saved for retirement at all, citing high living costs (48%) and low income (38%) as the primary barriers.

Savings and Homeownership Disparities

Homeownership significantly impacts retirement readiness. The vast majority of homeowners (89%) are currently saving for retirement, compared to just 63% of non-homeowners. Working homeowners have accumulated $285,000 in savings, six times more than non-homeowners who have saved $45,000. Homeowners expect to retire with $600,000 in total savings, while non-homeowners anticipate only $170,000.

Category Homeowners Non-Homeowners
Currently Saving 89% 63%
Current Savings $285,000 $45,000
Expected Retirement Savings $600,000 $170,000

Reliance on Social Security and Regrets

Social Security remains a focal point of uncertainty, with 66% of working Americans worried it will run out before they retire, yet 63% plan to rely on it. The vast majority of workers (86%) express regrets about their retirement savings, most frequently citing starting to save too late (35%). Nearly two-thirds (63%) did not begin saving until they were at least 30 years old, and 31% waited until they were 40 or older.

While 83% of workers worry they will have to lower their standard of living in retirement, most are unwilling to cut current discretionary spending. The majority will not give up subscription services (69%), travel (67%), or nonessential shopping (65%) even if it would improve their financial security in retirement.

Disclaimer: This article is AI-generated using data from ViewTrade. ScanX is not liable for any inaccuracies.

How might the widening gap between expected and recommended retirement savings impact the demand for social safety net programs in the coming decades?

Could the disparity in retirement readiness between homeowners and non-homeowners influence future housing policy or rental market dynamics?

What potential shifts in consumer spending behavior could occur if current workers are forced to significantly reduce discretionary expenses upon retirement?

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