Ever thought that showing your competitors’ prices on your site was a bad idea? Well, a recent study by the E-Tailing Group found that,”…63% of online consumers who comparison shop like to see competitors’ prices while shopping on a retailer’s web site, and 39% say such a display would make them more loyal to that retailer even if its rivals prices were lower.” While price comparison is easier than ever, with potential buyers being able to pull up multiple sites in minutes, customers don’t always go with the lowest price — even though price is the initial subject of comparison.

The study goes on to indicate that a significant percentage (53%) of online shoppers would be less inclined to comparison shop elsewhere, after having already shipped on a site that revealed competitors’ prices — suggesting that, this this type of openness can lead to a heightened sense of loyalty. A further 78% of those polled said they’d return to a site that revealed competitors’ prices.

This study also found that:

* 36% of shoppers spend more than half an hour comparison shopping, and 65% spend at least sometime comparison shopping, before making a purchase decision.

* 95% of shoppers visit at least two web sites when comparison shopping, and 51% check four or more sites, prior to making a purchase decision.

* 57% of respondents said it’s important to have comparison pricing on a retailer’s product pages; over 40% said this would save time and money.

* 58% of respondents expect retailers of commodity products to offer comparison pricing on their e-commerce site.

This illustrates the case for price openness for internet retailers, even those which are not “comparison shopping” sites. Additionally, it helps disprove the myth that price is the determining factor for where consumers make their purchases.

via Internet Retailer