Posts filed under 'omnichannel'

The Biggest Threat To Success In Omni-Channel Marketing

For retailers the omni-channel approach is to let the customer decide how they want to shop – whether it be online or in store, mobile or desktop, or any other combination – and then accommodate those preferences in the most frictionless way possible.

The biggest reason an organization struggles with developing an omni-channel approach isn’t as much about technology but misalignment with incentives within the organization.

The ecommerce team is incentivized to reach a revenue target within it’s allocated budget. Therefore, it’s also incentivized not to promote omni-channel behavior from it’s customers. Any visitor that the ecommerce team spends money on driving to the site is considered a waste of money if they don’t buy on the web site. The revenue targets that the team is held to are completely derived from sales on the website only. So they have every reason to not promote the idea that the customer could go in the store. The same goes for the retail marketing team. Their advertising efforts are designed to draw visitors to the store. Every sale that happens online is one that doesn’t happen in the store and affects their bottom line.

As a result, many marketing tactics are left unrealized – especially the efforts of using the internet to drive in-store sales. This is why no online marketing department wants to spend money on search ads on mobile – those people aren’t buying on the website, their buying in the store. Hence Google’s preoccupation of educating advertisers about all the different ways that customers use Google to decide to buy – instead of just focusing on when customers decide to buy on their desktop computers.

The solution here is to put both offline and online store teams on the same budget and revenue target. Easier said than done.

Add comment August 13th, 2015

Omni Channel Check List

What it is that defines a retailer as an “omni-channel” retailer is a little difficult to pin down, something about web, mobile, and brick-and-mortar “integrating” into a  “seamless” customer experience. The fuzziness of the definition is what causes “omni-channel” to be such a buzzword that executive leaders, gurus and CEOs like to throw around with little reprise because no one really knows what it means.

To make the buzzword mean anything I think it helps to define the tactics that make it up. The following is a checklist of tactics that would make the web, mobile, and brick-and-mortar “integrate” into a “seamless” customer experience. When a retailer does these things they would be “omni-channel”.

 

  • Order online and pick up in store
  • See instore product inventory online
  • The ability to filter products online for only products available in your local store
  • Access information about products in the store using mobile (for example: qr codes on products lead to online reviews)
  • The ability to recognize an offline shopper when they are shopping on your site to personalize their shopping experience
  • Measure the influence of online paid media to offline purchases
  • all shopping channels work from the same database of products, prices, promotions, etc
  • Offers are customized to the customer’s purchase patterns, social network affinities, website visits, in-store visits, loyalty programs, etc.
  • The item in the mobile shopping basket persists in the basket when the shopper logs on to their account with the same retailer using their laptop, or any other device
  • A relevant, targeted single marketing message across all channels and touchpoints
  • Drive customers to stores with advertising on mobile to customers within a certain distance from stores
  • Store associates can have access to inventory online if items are out of stock in store
  • Individual Facebook pages and other social media sites for each store
  • Each store has its own localized page on the website
  • Buy in store and get incentives to join email or social groups online

I’ll add more as I come across them.

Add comment February 25th, 2013

The Key To Omni-Channel Retailing

All retailers are talking about is “omni-channel” retailing – where the “web, mobile, and brick-and-mortar integrate into a truly seamless customer experience”.  Customers expect the experience to be the same and accommodating on al touch points – the site, their phone and the store. When right, customers are more satisfied (and hopefully more inclined to loyalty) and it gives retailers more visibility into customer behavior, allowing the retailer to understand and influence the customer journey across all channels.

The key to succeeding in omni-channel retailing is data – the ability to collect it, aggregate it and make decisions with it. If you have the data that shows how online influences offline, how mobile influences shoppers in store or how social media is used on mobile, desktop and in store – then your channels can work with each other instead of against each other in providing the experience the customer expects.

All departments need to have aligned incentives. The ecommerce team most likely has their own online revenue targets apart from the targets of the stores. This give ecomm no incentive to appeal to in-store shoppers, because any shopper that doesn’t convert on the site is a lost sale – even if that customer was just there to gather information before going into the store. If they had the data that lead to the insight that X% of offline shoppers are referred from online they could do more to becoming more “omni-channel”. But without the data why bother becoming more seamless for the customer? It only makes your channel look bad.

If you want something to count, it helps to figure out a way to count it. To put it another way, “You manage what you measure.” Until Omni-Channel is measurable, it will be more of a buzzword with good intentions rather than a force for becoming more customer centric.

Add comment February 18th, 2013


Hi, my name is Zach Olsen, internet marketing professional, web entrepreneur & proud dad. Read more...

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