digital marketing strategies to catch the omin-channel customer

Netcomm eCommerce Forum,

Milano 20 Maggio 2014

Federico Gasparotto

Marketing strategies to

catch the ominchannel

customer.

Copyright © 2014 Accenture All rights reserved. 2

The consumer is evolving. eCommerce does not exists anymore. It doesn’t make sense to talk about mobile or social: it only exists the «Commerce» handled through different tools, in different contexts. The adoption of new tools, new formats and new strategies becomes essential to be more relevant and excel in the market.


What are we talking about?

2 1

3


Re-orienting Our Business

1 1

3


The retail models that we knew …

Source: Business Insider, Belus Capital Advisor


The retail models that we knew

Source: Business Insider, Belus Capital Advisor

… fall into crisis


Product retail format positioning and lifecycle map

Sources: GFK, Popai, - QUE. F1A : WHERE WOULD YOU POSITION EACH FORMAT IN TERMS OF ITS STAGE IN THE LIFE CYCLE, ASSUMING A

SIMILAR LIFE CYCLE FOR RETAIL FORMATS AS FOR PRODUCTS, I.E. DEVELOPMENT PHASE (-2), INTRODUCTION PHASE (-1), GROWTH PHASE

(0), MATURITY PHASE (+1) AND DECLINE PHASE (+2)?

S U

C C

E S

S

T I M E

Development Introduction Growth Maturity Decline

Mobile retail

Smartphone Scan shop

Social media retail (run

by social media

platform)

Social media retail

(shop run by

retailer)

Internet market places

(shop in shop)

Multichannel (former

internet pureplayer)

Full service shop

run by a retailer

Experience-design

Style-stories

Long-tail

e-retailers

Couponing

On-line shopping club /

communities

Pure internet players

Shopping

centers mall

Category killers

Mono brand

shops

Full service shops


order traditionals)


stationary traditionals)

Pure traditional players

Tv sales

Door to door sales

1

2 3


How mix channel in a “commerce” strategy

1 3

Off-line

On-line

Retail Wholesale

Multi-brand

Retail chain

(Dixons, John Lewis, Tesco)

Control

Potential

Customer

satisfaction

Direct eCommerce

(mysite.com)

Control

Potential

Customer

satisfaction

Mono brand store

(My brand)

Control

Potential

Customer

satisfaction

2 4 Wholesale

Mono-brand

Outlet

Site managed by third party

(paesi gestiti da distributori)

Marketplace

(eBay, Amazon, Ozon, Asos)

Stock clearance/Flash-sales

(Yoox,Vente-Privee, Privalia)

Franchising

(franchisee, dept stores corner)

Outlet

(factory outlet, barters,…)

Control

Potential

Customer

satisfaction

Control

Potential

Customer

satisfaction

Control

Potential

Customer

satisfaction

Control

Potential

Customer

satisfaction

Control

Potential

Customer

satisfaction

Customer satisfaction: mean Customer

Satisfaction Rate for channel

Potential: Business potential compared with

the positioning and mapping of retail format

lyfecycle

Control: capability to influence all the business levers as brand protection, brand, price.

Source: Accenture benchmark Source: Accenture analysis on GFK, Forrester, Source: Accenture analysis on Netcomm,

European e-Commerce Association


Customer

Lifetime Value Relation

Reactivation

The Digital-Marketing model applied to omnichannel commerce … (1/2)

Customer

Thrust

KPI Customer Journey

Adressable market

Brand

awareness

Business lever

Consider

Turnover

Channeling

Store eStore

Profitability

Convert

Conversion

Visitors

Commercial

Levers

User

Experience Acquire

ATL Display, …

Click

Through

Natural

& Organic Direct

Marketing

Customer

relation Engage

Reach


$1.609 $1.574 $1.547 $1.494 $1.470 $1.437

$1.164 $1.290 $1.412 $1.551 $1.667 $1.796

$231 $261

$290 $319

$345 $371

$0

$500

$1.000

$1.500

$2.000

$2.500

$3.000

$3.500

$4.000

2012 2013 2014 2015 2016 2017

Non-Web Influenced Offline Sales Web-Influenced Offline Sales Online Sales

Source: “The Future of Retail: 2014”, BI Intelligence da Forrester

In USA, Web-Influenced

Sales represents the 52%

of retail total sales !

The Digital-Marketing model applied to omnichannel commerce … and its outstanding results (2/2)

http://www.businessinsider.com/the-future-of-retail-2014-slide-deck-sai-2014-3?op=1


The «Internet of everything» and «wearable computing» will lead the next revolution

Source: “The Future of Retail: 2014”, Business Insider, *BII estimates, Forrester

› Devices are evolving, revealing

new scenarios and experiences

never imagined before.







› «Internet of everything» and

«wearable computing» are the

next big things that will

empower the customer for a

continuous data exchange. This

capability will make the real-

time-messages received by the

customer more contextualized

and relevant.







› «Internet of everything» and

«wearable computing» are the

next big things that will

empower the customer for a

continuous data exchange. This

capability will make the real-

time-messages received by the

customer more contextualized

and relevant.

› “In 2017 the «internet of

everything» data will overtake

the one of PC, tablet e mobile”*


Case-History: customize the in-store experience

La nuova tecnologia

Bluethooth-Low-Energy

simile al NFC ma touch less



La nuova tecnologia




Reconceiving our platforms

2 2

3


Digital-Marketing evolution in 2014

Source: Smart Insights User Survey 2013 , analisi comparativa Accenture su Forrester 2013, eMarketer

› The most growing areas of

2014 follow two trends:

› The creation of emotional

contents able to engage the

customer

› The automation of tools that

leverage the customer

experience’s relevance and

personalization.








customer




personalization.

› The decline of other areas is

due to the natural decrease that

follows the maturity’s peak








customer




personalization.

› The decline of other areas is

due to the natural decrease that

follows the maturity’s peak

› Mobile-marketing is integrated

in every campaign and solution.


From automation to contextual customization

Source: Adobe research on targeting & personalization

› The most innnovative and

«smartest» technologies are

marketing-automation based.

› The first step concerns the

detection of a data set (not so

«BIG») able to support the

customer behaviour

comprehension

› Matching the information with

algorithms that synthesize sales

strategies it is possible to

anticipate the needs of the

customers with customized

and contextual Digital

Marketing Campaigns.


Campaign orchestration coordinate strategy and execution

Source: Oracle research on marketing orchestration

› The new Digital-Marketing way is

based on several tools:

› Internal Platoforms (CMS,

CRM, eCommerce)

› Assets (Contents, DAM)

› External Services (AD-Server,

social, Adv, sms-s…)

› The secrets of a successful

campaign are:

› Strategies’ variety

› Fast coordination

› Relevancy of the offer

› Managing a campaign with

different tools is a serious barrier.

«Marketing orchestration» can

harmonize all the fragmented

scenarios


Automate advertising in the new digital ecosystem

Source: *analisi Accenture su dati Emarketer, TechCrunch, WPP

› Digital advertising’s growth faced

some slowdowns but the trend is

unequivocal: a continuous

growth in every market, even in

the emergent ones








the emergent ones

› In 2018 the 25% of global

advertising will be Digital and

the 10-13% automated* (Real-

Time-Bidding, Retargeting,…)








the emergent ones

› In 2018 the 25% of global

advertising will be Digital and

the 10-13% automated* (Real-

Time-Bidding, Retargeting,…)

› The real innovation was the

switch from a static planning to a

real time auction that optimize

the outcomes.

› The next step is the integration

with external environment and

customized sales strategies


Continuous direct-marketing planning (PULL)

CUSTOMER

4

CART

7

IS IT AVAILABLE?

B

KEYWORD

3

PRODUCTS’

CATALOG

1

PRODUCT

INFORMATION

2

LANDING-PAGE

5

CUSTOMER

4

COMPARISON

3

SMARTPHONE

4

PRODUCTS’

CATALOG

1

PRODUCT

INFORMATION

2

PRODUCT-PAGE

5

PRODUCT ID

4

PRODUCT-PAGE

6

IS THE PATH

OPTIMAL?

A

AVAILABILITY

2

PURCHASE

7

STORE INFO

6

BENCHMARK

2

ARE THE INFORMATION

RELEVANT?

D

IS IT COMPETITIVE?

C


Traditional campaign digitalization (PUSH)

NEWSPAPER

4

PURCHASE

7

STORE

6

CUSTOMER

5

CUSTOMER

5

CUSTOMER

5

MARKETING

PLAN

3

BUSINESS

PLAN

1

LEADING PRODUCT

2

IS THE PRODUCT

FOR EVERYONE?

A

SOMEONE ALREADY

BOUGHT IT?

B

WHERE I WILL

DISPLAY IT?

D

TARGET:

SHARE-OF-MIND

3

NEWSLETTER

x 4

DISPLAY ADV

4

CUSTOMER

5

CUSTOMER

5

CART

9

CUSTOMER

5

ADAPTIVE-SITE

8

IF THE CUSTOMER

DO NOT RECEIVE THE EMAIL?

C


The integration of a Real-time campaing with contextualization and the Digital-Consumer behavior

CLIENTE

1

SUBMIT BID

3

TABLET

x

ADV PLANNING

2

PERSONAL

DATA

3

AVAYABLE

CREATIVES

3

WIN THE BID

3

PLANNED

BUDGET

3

RILEVATION

5

MAPS

5

METEO

5

TIME

5

DYNAMIC

ASSET

5

STRATEGY

0

DAILY

BEHAVIOUR

4

SOCIAL

INFO ?

4

CAMPAING

ACTUAL

RESULTS

4

INTERACTION

HYSTORY

4

CYNAMIC

PLANNING

4

DATA SPREAD IN

DIFFERENT SYSTEMS

D

Real-Time

Bidding

camaping

Consumer

Behaviour

Contextualization


How Contextualization should enable personalization

CUSTOMER

1

SMARTPHONE

2

STRATEGY

0

DETECTION

5

INTERACTION

TIME

5

MAPS

5

WEATHER

5

PURCHASE

HYSTORY

3

CRM

3

MOMENTUM

5

SOCIAL

INFO

3

TARGET

4

CONSUMER

PROFILATA

6

TARGET

4

PRODUCT

CATALOGUE

7

PRODUCT 2

PRODUCT-1

PRODUCT3

PERSONALIZED

CROSS-SELLING

9

PURCHASE

HYSTORY

3

SOCIAL

INFO

3

PERSONALIZED

LANDING-PAGE

8

PRODUCT

INFORMATION

2


How contextualization should work for a fashion consumer interacting through mobile

Context 1 Context 2 Context 3


Delighting the Customers

1 2

3


1

2

Case-History: ShopMACK, an expectional set

Case-History: Stories.com eCommerce curation


Case-History: the eCommerce at Coach starts with a a selfie


Case-History: Like a Magazine? Digital-to-print


Case-History: never leave the cart twice


Case-History: Selfriges, everything for customization


Case-History: great return to advocacy-campaign


Case-hystory: consistent personalization across channels

Case-History: Michael Kors’ super-targeted campaign

Case-History: Nordstrom showrooming

Case-History: TESCO brings on shelves the rating-6-review

Case-History: Neiman Marcus doesn’t matter about channel. Just the customer experience


Three ingredients for a digital success

1 2

3


“So what ?”

1 Successful Strategies design experiences that activate

simultaneously all the channels necessary for the customers’

needs satisfaction, in an articulated experiential system.

Different digital channels could be synergistic.

2 The new paradigms of Digital-Marketing are far from the

traditional ones. A fantastic experience, dedicated to a

customer, managed homogeneously on every platform is the

aim of these new paradigms.

3 The customer engaging experience is more and more rich of

emotional and informative contents (photos, videos, copy,

UX).

The elements of success of one channel should contaminate

the entire system for the customer journey enrichment.


Federico Gasparotto eCommerce Strategy Lead

Accenture Interactive

Cell: +39-331-7550490

@: [email protected]

Blog: www.gasparotto.biz

IM: federico.gasparotto

Thank you!

digital marketing strategies to catch the omin-channel customer

Marketing

business potential

ominchannel customer

channel potential

retail wholesale

retail formats

retail models

accenture analysis

accenture benchmark