Showing posts with label retail. Show all posts
Showing posts with label retail. Show all posts

Monday, 26 November 2012

High Street to 'e'- Street




HMV store




Comet store

The BBC recently reported on the ongoing struggles of some the UK most recognisable High Street brands.



With a list of brands that include Habitat, Comet, HMV, GAME, JJB Sports and Thorntons, it doesn't make happy reading.

Habitat storeReasons for the decline range from the current economic climate, to bad customer services, to the impact of competition.

And yet there is 'e'-hope for some of these brands.

Take Comet for example. Management Today reported that Appliances Online has made a bid for Comet's online operation. Appliances Online claim that Comet lost out because of  

‘a poor attitude to is customers, deficient delivery service and inadequate after-sales offers'.

And if having a good attitude to customers is reflected by Facebook 'Likes' then we have a clear winner in those terms






Appliances Online 582k Likes vs

Comet 35k















But this is not the only business model that potentially works better online after a poor bricks and mortar story

That High Street favourite Woolworths is now trading successfully on line. Habitat kept only a few stores after the purchase by Homebase but again has maintained their online store . And the list has many more including Hawkin's Bazaar as well as HMV who are launching an online ecommerce site to combat their nemesis Amazon


But as I've talked about before, it's not one way traffic.  By being more Customer Centric both High Street stores such as M&S and John Lewis, as well as ebay, Amazon and Ocado see that often playing out both channels can be to their advantage. Rumours persist about Amazon and a high street presence and ebay had a UK store ( for about 5 days admittedly) 

It's not about Physical versus Digital. It's about doing what's right for the customer


BBC report can be found here High Street retailers: Who has been hit hardest?

Thursday, 23 August 2012

The One About QR Codes, Paypal and Retail

Of course we live in a digitally fuelled e-commerce world


But actually sometimes the idea of wandering down the aisles of a book store is appealing - especially if you are a fresher at college and the lecturer has just given you your reading list.

Now that causes an issue when in the first week of the new academic year all the students are rushing down to the campus book store.

So what about using QR codes of the most popular titles in the book store window to allow students to order as they walk past and before they've spent all their allowance on beer and pizza!



As soon as I do my book tour, I'll be sure to have QR codes promoting my book sales as the audience leave the auditorium

Perhaps we could see

Coffee shops sell their coffee beans for home delivery
Theatres promote their next production,
Museums remind visitors about their o-nline gift shops
Churches suggest Bible scriptures for the week

Wednesday, 22 August 2012

Amazon Set To Deliver Via Newsagents..


 

So what?


The Daily Mail flagged this as a newsworthy item, and I can only assume it was because it was Amazon that it got the headline

I've been using my local Spar with the CollectPlus service with House of Fraser, Music Magpie to name but two for months now.

As you can see from Figure 1, taken from Royal Mail's 'All you need to know about changes in multi channel retailing', how the product is delivered can play a very important role in determining if the final purchase takes place.
Figure 1 : Importance of Delivery In Basket Abandonment
Although the report is now 2 years old, it has some great take outs in terms of whats important to the consumer..and that's what counts after all...

- 8 out of 10 shoppers like to be kept informed as to what stage the delivery is at
- 92% of customers are likely to buy again from an on-line retailer if they are happy with the delivery
- There are many prompts to buying on-line, including an off line catalogue
- 66% of customers actively seek out free delivery

The full report from the Royal Mail ' All you need to know about changes in multi channel retailing' can be downloaded here

Thursday, 26 July 2012

IKEA Takes Its Catalogue To The 'App' Level

IKEA's new Catalogue App attempts 'reverse showrooming'

IKEA is one of those success stories that is based on old fashioned bricks and mortar. Much of that success is as a result of one of the most read books on the plant, the IKEA Catalogue.


First published in 1951, it now has a run of over 200 million per annum.


It has a 'shelf life' of about 2 weeks,  so the challenge for IKEA was to be able to extend that period and to take the showroom out of the showroom and into people's homes

''Every year, the IKEA Catalog inspires people around the world to create homes they love. Now, IKEA is taking the inspiration one step further. This year, the IKEA Catalog is alive with smart ideas, fun stories and beautiful products. Download the IKEA Catalog App for your smartphone or tablet, and scan select pages to unlock films, interactive experiences, photo galleries and more home furnishing inspiration. With this year's IKEA Catalog, there are endless possibilities to make your life at home better.'' IKEA USA



According to McCann Vice Chairman/Global Deputy Chief Creative Officer Andreas Dahlqvist, a key goal was to extend the life of the catalogue in consumers' homes. With the digital element, content can be added and updated regularly, making the catalogue relevant for longer


This of course comes at a time when 'showrooming' is seen as a real threat to the bricks and mortar environment and where personalisation of the shopping experience is seen a key to combating that threat - ( see Personalisation In Store post)



Read more about the IKEA app here

Monday, 23 July 2012

The QR Code Campaign That Might Work 10 Days A Year in the UK

For obvious reasons.....






Although, this week's weather forecast might prove me wrong...


Thursday, 28 June 2012

Habit Forming in Online Grocery Shopping

This email was brought to my attention by the Alchemy Worx Favourite email article, so I won't go into detail about the email itself but focus on the mechanism they have to create a shopping habit.



As you can see , Tesco are offering a saving of £20 on your groceries.

This is how it works though, you actually have to make 3 individual shops and spend £40 each time to get the money off. So essentially spend £120 and get £20 off.

Then logic behind this is quite simple. As we all know in online shopping , the second purchase is sometimes harder than the first - which may have been prompted by another offer..( see Ocado examples).

I'm guessing that for Tesco, getting the 3rd shop is also a key tipping point as you are now getting into the habit of shopping with them.


Below we see how Ocado focused on the second shop a couple of years ago
Another grocery retailer I worked with actually established that 5 was the magic number.

So Alchemy Worx were right to place the email in the Strategy Award.. but Tesco only get my vote if they have targeted the email at a segment of their base that need nudging from the odd shop or two , to much more of a habitual Tesco online shop.


It does seem to be going to existing customers, because of the personlization of the products, but I feel that perhaps the introductory copy could have been more explicit about how these customers have tried the service already


One very complicated way of doing this is highlighted by the way that Waitrose promoted their home shopping in their in-store publication Waitrose Weekend  .








I prefer the Waitrose mechanism as it rewards each individual shop with the reward increasing as the relationship grows, and it equates to a 20% discount in comparison to Tesco's 16%. You could argue that Waitrose have more margin to play with.

Maybe we'll see that mechanism appear at some point in email, although it would greatly simplify things for the customer if they only had to enter 1 code at the start of the series of shops and the e-commerce system just gave the ever increasing discount each time they shopped!

It's interesting to note the difference in the spend target each retailer is aiming for - a reflection of the average basket value for the majority of their customers and their cut off point for ensuring a profit on the service




Friday, 1 June 2012

Combating 'Showrooming'

'Showrooming' has become commonplace in particular with retailers with high ticket value items on sale.


'Showrooming' refers to the way in which consumers are going into bricks and mortar stores to look at products  but then looking for a deal online, possibly with another retailer.


Wikipedia defines it as


Showrooming is the act of examining merchandise in a brick and mortar retail store without purchasing it there, then shopping online to find a lower price for the same item. Online stores often offer lower prices than brick and mortar stores because they do not have the overhead cost


I recently talked about a report that highlighted the fact that 53% of store purchases are not completed because of mobile phones. The New York Times ran a report that claimed 39% of Amazon book buyers had actually checked out the book in store first ( guilty!)


This is an interesting graphic from the Wall Street Journal on some retailer responses


SHOWROOM


It would seem that the Walmart idea of encouraging store staff to suggest customers look at Walmart.com for items they can't find in store is one worthy tactic. Conversely, as I highlighted in my post about Burton ( We've made shopping easier for you ) the other day, the e-commerce site actually tries to find stock in a local store for you if they don't have it online!


There is an interesting piece on Mobile Commerce Daily about how London Drugs ( in Canada, not London) are fitting Pads into their stores and providing free wi-fi to encourage cosumers to both find product reviews as well as check prices.


Their spokesman said, 


“If customers want to do a price comparison, we are inviting store associates to help them with that. We feel pretty confident about our price position.”


Whats obvious is that where price cannot be matched, the the retailer needs to provide a unique experience that also provides some value.


This may very well be in the form of unique products made specifically for them by the manufacturer, or free deliver for in-store purchases etc


There is an interesting interview in Adweek which talks about this with Laura Davis-Taylor from Shopwork and in particular this Q and A


How are marketers transferring the principles of physical retail into digital and mobile environments?
It’s the opposite. It’s about how are we bringing the mobile and digital into physical? As a shopper if I’m used to going to ‘x’ brand online and it says ‘Hi Laura, Here are some things for you, some prices and promotions just for you. And hey, thanks for your loyalty—here’s a little gimme.’ I want that in the physical store too.



Of course helping the customer with their decision making is another key tool in retailers armoury, whether that be with the provision of product information, ratings and reviews, or even digital fitting rooms if the real ones are busy, possibly with Social share capability ( nice little article in the Daily Mail a while back on this)


Although, at some point soon we'll never have to leave the living room

Thursday, 17 May 2012

In-store Purchases Stopped because of Mobiles

A new study from the Interactive Advertising Bureau in the US says that 53pc of mobile users stop an in-store purchase because of their phone.



The stat was lifted from www.mobilecommercedaily.com and although US centric I'm sure it's a factor here in the UK.  Indeed I can say that Foyles at St. Pancras Station in London loses most of my book purchases because of my Amazon app.


But it strengthens my belief that a multi-channel experience is key or retailers  . This is not something that will go away, so retailers need to face up to it and think about the reasons why the purchase was stopped


38 percent have done because they found a better price in another store,  
30 percent because they found a better price on line, 
- obvious pricing needs to be competitive but how can the overall shopping experience be improved or even tailored to the individual. What do you need to do to get that sale?


21 percent because they found a better item on line, 
- why don't you have that item in store or available on your e-commerce site?

11 percent because they saw a negative review,
- so surely you knew about the negative reviews? and what about offering alternatives?


11 percent because they could not find information on the product they were planning to purchase.
 - ever thought of QR codes on your shelves to facilitate research?







Thursday, 10 May 2012

Multi-Channel Expectations

Customers more likely to become loyal where the multi-channel shopping experience is integrated.


A recent whitepaper  (registration required) from Hybris highlighted how this was particularly relevant for the in-store experience where 19% of customers said they browsed on their mobile device. this was mainly to compare prices, 66% but also to compare products, 27%. Only 7% did as I did today when shopping for tile cleaning solutions, and read online reviews

It was interesting to note how the online purchase mirrored the experience in-store, with customer highlighting Easy Navigation and being able to see product (images) being key.

Buying online didn't mean they all wanted to return items via the post or by courier. Almost half wanted the option to return items to the store - a service which more and more of the UK retailers are already providing, M&S, House of Fraser, Reiss, Ted Baker all do this.

The report highlights the fact that customers who use more than one channel show greater brand loyalty and spend 30% more where they are offered an integrated multi-channel experience. None more so than me who will even get items delivered to a store in a city i'm visiting for the day on business. So I'm more likely to stick with retailers such as John Lewis and House of Fraser where I can order today at home but pick up after a meeting in London tomorrow.

Of course what tops the experience off is the level of communication I get from all these brands via email and SMS letting me know at what stage the order is. None get much better than ASOS at this who even let you cancel the order if it is yet to be processed ( especially useful if you've forgotten to use your 15% off code first time round!)

The need to integrate the experience through web and offline has never been greater!

Funnily enough, shipping costs (48%) was more likely to prevent a sales than the item being out of stock (Interesting!)


Monday, 16 April 2012

eCRM Muppets

Assuming that the target market was milk purchasers with children in the family that love the Muppets then the latest packaging promotion / eCRM program by Arla for Cravendale milk certainly hit the mark with us.

The promotion that ties in with the recent Disney release of the Muppets Movie, encourages you to collect 20 unique codes and get an 'awesome' ( a little too American?) Kermit backpack as well as enjoying Muppet games and content at Cravendale's milkmatters website .

Of course the website they direct you to via the packaging is milkmatters.co.uk/muppets. But as the promotion has ended as I write this, there is a holding page with some contact details.

 One negative comment to make is that when I actually entered all my codes in ..yes 20..and we now have 12 litres of milk in the fridge!..the copy suggested that I could still collect and claim as long as I saw the special labels in store. Well this morning they were still visible in my local supermarket but the holding page suggests the promotion is over.

But I digress.

I am actually writing in praise of this program despite a few niggles ( although so far as I am yet to receive any follow up communications or indeed my Kermit backpack - do I really need to wait up to 28 days??) .

To start its a a simple mechanic, and I'll assume that the number of codes I need to collect is not just a random number but some how ties in with the business/marketing objectives for the programme - is Cravendale trying  to increase usage?..gain new customers?..increase web traffic?..boost Facebook likes?..

Even if you don't go straight to the muppets page, milkmatters.co.uk offers an option as to whether you want to go to the main website or the promotion ( compare with comparethemarket vs comparethemeerkat) .











Voucher entry is relatively simple ( as long as you can read the code printed on the inside of the label)and in fact you are given a bonus code if you share the promotion on your Facebook page..nice little exchange going on there








As your code is validated,  a new character enters the gallery and after every 5 codes, you unlock a surprise and delight element to keep you excited about the next 5


This is shown both on screen 


















and via an email, ensuring I get the reminder next time I go to my inbox






Once I've created my Gonzo toy out of the pdf and a bottle, I'll be sure to share with you.

One more niggle. There is a help section ( great!), but when I emailed saying that 2 of my codes were un readable and hence could not be entered, I didn't get a reply. I know it was Friday afternoon and the promotion ended the next day..but if you're going to offer to help then do!



I was congratulated on collecting my 20 codes




..and the data collections wasn't too much, just enough to get me my backpack and an opportunity to receive Disney emails..not Arla which was surprising. Makes you wonder who had the real clout in pulling together the promotion?



And of course this was confirmed via email.

So I guess I can now sit back and wait for my Disney emails and my lovely Kermit backpack.

Of course while enjoying the odd game at milkmatters, and enjoying the Muppet Movie.

ps..x3


  1. why are emails not optimised for image blocking?
  2. the confirmation email actually has no links what so ever to get me back to your website? Do you not want me back now that I've bought all that milk?
  3. why no Twitter ?. 








....someone else has even hijacked the promo to sell voucher codes using Twitter and eBay!

Wednesday, 30 November 2011

A Bird in the Hand...


The Retail environment in the UK is a very competitive one, and no more so than the competition between the Supermarkets.

The main players are very keen to show that they are no more expensive than the competition. They do this is in different ways

ASDA for example have their Price Guarantee

If the total cost of the comparable items in your shopping isn't 10% cheaper than the above competitors, we'll give you the difference'

What they ask you to do is to either go to the website or the actual ASDA Price Guarantee site no sooner than 6am the day after your shop and enter your receipt details.


Sainsbury's on the other hand, have their Brand Watch as part of their Live Well For Less standing.


They even have a nice little video to watch




And having shopped in one of their supermarkets the other day I received this at the till


Now setting aside which is the best deal for the consumer, I can't help think that Sainsbury's mechanic is better than ASDA's.

And this is purely because there and then, the consumer is given some re-assurance that they have got the best deal. They don't have to remember to hit the web the next day , with the receipt and do some work.( Perhaps that's the point, ASDA don't want them to do that)

The Sainsbury's version doesn't use a fancy widget, doesn't have a website. All it does is make use of the data they have collected about the competition and presented that to the consumer with respect to the shopping they have just done.

Simple everywhereCRM that tries to make the customer experience easier.


Monday, 28 November 2011

A Small Town in the UK Talks Multi Channel

A report this morning on the BBC News ( captured here on BBC.com ) gave a small snap shot of how this year’s Christmas shopping even in Newark, will be multi channel. The report highlights how one estimate puts the number of orders per minute today in the UK at 3,300 with over 25% of all sales this Christmas going on line (Centre for Retail Research), and a fair chunk of that being via Mobile.

In fact, Chris Simpson, chief marketing officer at Kelkoo , said: “Online spending is showing no signs of abating, and is mounting a real challenge to the dominance of the high street which, for third year running, is expected to see a decline. Internet sales across the UK are set to be more important than ever, with consumers spending record amounts online, and online commerce acting as the primary driving force for overall retail growth during the festive season.”

Some of those interviewed in the BBC piece talk about the convenience experience of shopping at how, especially during bad weather, or for those with more pressing duties e.g.: looking after small children. Part of this convenience of course is about being given relevant messages, through email and on the website. Hopefully reflecting the consumer’s demographic profile, as well as their transactional and behavioural profiles. Indeed, as John Lewis is now showing these messages can be given as shoppers walk past the store with their clever use of QR codes

Experience goes all the way though the buying process

But that’s only the beginning. Experience goes all the way though the buying process. Gerry McGovern, one of the great speakers at Fusion this year talks about the importance of Ease of Use in this blog post.

And of course he is spot on. We spend so much advertising money on the message and content that we sometimes forget about the consumer and who they really are. Normal people with children in the room who want feeding, entertaining, nappies changing! These are real Tasks we have to contend with.

Gerry talks about Content. Well we as marketers in this Social World always want to view Content as amazingly tailored emails, entertaining videos that everyone will want to share, photos of our products for us to post.

I would argue that content that makes consumers easier is just as important.

- The Ratings and Reviews content on our website that consumer decision making easier and more confident

- The content of the confirmation email telling consumers that they have bought something and it’s on its way

- The text content from the delivery company confirming that the delivery will take place between 9.34am and 10.34am ( he actually turned up at 9.55am)

And that delivery slot information is important, because as the BBC report highlights, some people actually want to go out into the real world to enjoy the atmosphere of Christmas shopping, and see the products themselves ( as discussed by the CEO of Dixons ) If I know the delivery is taking place at that time, that means time for lunch and some afternoon shopping out in the cold where I’ll probably use my mobile to shop even more!

Monday, 7 November 2011

Best Buy CRM? eCRM? Retail Experience? All 3 and more?

The retail experience is still alive an kicking.

There are still many of us who research on line but then still want to touch and feel the product before buying.

But of course a large proportion of purchase decisions are still made in the store - 40% I hear. And many potential customers walk out of the store without even buying or registering an interest.

This 'Phygital' experience developed for Best Buy shows how the retail experience can be used to cover the continued need for product information in store as well providing peer ratings and reviews by employing a Digital Blue Shirt - Blue Shirts obviously referring to the in store advisors who provide the service that Best Buy are famous for in the US.  .

This is all then capped with the opportunity to capture customer information when they leave the store allowing follow up at a later stage through email for example.


Digital Blue Shirt from Modern Climate on Vimeo.

It is a shame that Best Buy announced today that they would be closing all their UK stores.

Saturday, 5 November 2011

N.dulge in a Conversation

N.dulge is the name of the Space NK rewards scheme.

For the unitiated Space NK is a retailer ( both off and online) who offer a carefully edited selection of high quality and original  beauty products from innovators and specialists around the world. They are a favourite of mine even though there isn't one near me.


This morning I bought a Tom Ford fragrance ( now you know what I smell like) from their Harrogate store and was tempted to sign up for N.dulge ( love the name by the way). 1 point for every £ spent and the promise of special privileges like exclusive invitations, new product previews and birthday treats.


I signed up at the till, no forms to fill out, the sales advisor entering my details directly into the POS system. I got my temporary card number with the promise of a card in the post. This was at 11-45am


Now of course with most of the schemes I sign up for that would be it until my card arrived . But no. Look what arrived in my inbox at exactly 11-45am




In this world of 'real time' CRM, Space NK had continued the conversation with me straight away by sending me a welcome email immediately encouraging me to go to the N.dulge website to complete my registration. They got the essentials from me in the store without wasting too much of my time using the email to try and get more information from me. Hats off to the CRM / Membership team.


Of course it's not perfect. They had not used my name which would have been a nice touch, and the whole email is an image so actually I didn't see any of this until I unblocked content. My details page online didn't know that I was male, but I think it's a good start. 


I'm looking forward to seeing what else I get my way an in particular if my offers and in particular my Birthday present is tailored to me being male.


By the way, the Tom Ford Grey Vetiver makes even me smell lovely

Friday, 4 November 2011

Amazon Lockers are Here

Amazon's Lockers are here in London at One New Change in the City. So if you don't want it delivered to your home, office or pick it up from the local Royal Mail sorting office, there is another option. ( If you don't want to pop to the shops that is)