multi channel strategy individual presentation

Benchmark Practices The Ultimate Store Of The Future

Worldwide Best Benchmarking Practices Over 50 Companies Studied 12 Different Industry Sectors Paradigm shift from Traditional to Digital World Because in 2017 Customer will Shop Anytime, Anywhere,

Anyhow and with Anydevice Because Consumers are be SOcial, LOcal, and Mobile Because the Profits of your Company will be higher if

these benchmarking policies are followed Industry Category : Retail Task 1 : Multi-Channel Strategy

Created By Saket Toshniwal :- Master in digital Marketing and CRM, IESEG – 2015-16

Created By Saket Toshniwal

CATEGORY

CUSTOMER PRODUCT SELECTION


ADIDAS -Body Scanner lets you try clothes on virtually

• ”BodyKinectizer“ is a body scanner based on Microsoft Kinect which enables customers to determine the right size of a product and allows them to dress their virtual body – whether you in a shop or at home.

• A 3D environment automatically puts the customer into a virtual world directly linked to the product the customer brought into the fitting room.

https://youtu.be/9ItscpgGdMw https://youtu.be/4HuAqKkzpp0

The EBay logged mirror the changing room makeover

It begins by recognizing, through RFID tags, clothes that go into the fitting room. The product sheets articles are displayed on the touch mirror. The customer can see if other sizes and other colors exist, and if they are in stock

https://youtu.be/7QmiXz_Xs1M


Findbox3D scanner that helps shoppers find an item

• Findbox identifies objects carried by customers and then suggest suitable matching products available on the store’s shelf or in stock.

• https://youtu.be/pwQ-vNTl6xM


CATEGORY : DEALING WITH SHOWROOMERS

• Price Matching Strategy- Their promise is that they will always give the lowest price, Always.

• Customers want Personalized Experience*a) 55% want their retailer to use prior purchasing to offer new promotionsb) 45% want their prior purchases to result in new recommendationsc) 43% want their retailer to invite them to eventd) 36% want their retailers to involve them in new product ideas* Source: IBM Institute of Business Value. Surveyed 26737 Shoppers in 14 Different Countries.

• Exclusivity of Brands-Having exclusive products and exclusive brands only in your store does not leave showroomers (showroom-hopper-customers) an room to try for lower price somewhere else

Customers are Interested in New Retail Concepts that Improve Shopping Experiencea) Use in-store digital devices

( e.g. Kiosks, PDA’s in Shopping cart)

b) Mobile App to support in-store shopping(Store map,

c) Receive Inspirational Videos ( How-To videos, recipes)

d) Find out about new products via social media, blog and aided channel


Category

Augmented Reality

AudiVirtual Reality Helmets To Try Cars

before you buy your next Audi.

https://youtu.be/5dF3oY28Tb0

Video Link :

• "Virtual Reality Audi experience", the customer can see virtually driving his Audi future and observe all options (color, equipment, leather interior ...) he has chosen. To make the illusion perfect, the helmet is equipped with speakers signed Bang & Olufsen, for example to hear the sound made by closing the door.

• This virtual reality experience is intended "to high-growth markets," says the brand (Asia, North America). It complements the network "Audi City" concessions that are similar to digital showrooms, with interactive wall displays including giants


Thomas Cook

TRAVEL OFFERS TO TEST BEFORE BUYING YOUR TRAVEL

• The idea is to offer customers to experience a part of the trip before you buy. The virtual reality helmet allows for example to immerse themselves in flight over Manhattan by helicopter or visit a hotel on the island of Rhodes, rooms at the pool, going to the beach.

• Customers become more convinced to buy the right travel package.


CATEGORY

CUSTOMER EXPERIENCE

OMNI Channel Customer Experience

Example: ZARA - practices this Shift From Cross Channel to Omni Channel

https://www.youtube.com/watch?v=4udQ4P4E8OM

Example of Connected Store : https://www.youtube.com/watch?v=FHc8oxOu-ow

Seamless Customer Experience

• Order by scanning bar-code

• Find Best Prices and Promotions

• Find recipes to cook your meal

• Get Predictive Data on what you purchase

• Mobile Integration to guide you in store

• On-the-move , In-the-house, In-the-store , Everywhere

IBM is interested in facial recognition to pierce the emotions of customers

• IBM’S facial recognition as a means to gather information on consumer perceptions facing shelf products.

• Do they Look Surprised? Charmed? Sad? The IBM camera discreetly filmed consumers. This prototype is able not only to identify the sex and age of a customer, but also to break his emotions based on facial expressions.


CATEGORY

MOBILE INTEGRATION IN-STORE


INVEST ON DIGITAL – MOBILE INTEGRATION


RETAILER: ‘GAMESTOP’ – USABeacons are new followers

• It imagines use both simple and very effective beacons, approaching its smartphone a video game set on a display, the customer sees appear on the screen additional content, such as video presentation, opinions of players , screenshots of the games etc ...

• The experience is very fluid. No need to take a picture of a QR code. You just have downloaded the app GameStop. The information then appear simply by bringing the phone's display.

• A mobile app for customers to be detected by the beacon sensor located into the branch

• Alerts staff in real time that a customer has arrived and the reason of the meeting


iBeacon as an opportunity to add another dimension to customer service

• Special offers and other incentives sent to customers when they are in or walk past a store

• Alerts staff that a customer has arrived for a pre-ordered item and can remind the customer that they are in a place that has an item on their digital shopping list.

• Customers who want faster recognition can upload their photo onto the mobile application (iBeacon is an opt-in service)

In-Store Customer Experience

• Augmented Reality ( as described earlier)• Customer can just click a picture of their

house upload it in the software and they can see the alternative products as per their needs

• Gamification Marketing • Retailer in clothing for face recognition to

make the customer choose the right product that suits the personality of the customer

• Technology Identify the tastes/preferences of customer and record in data warehouse for further upselling and cross-selling

• Guide to nearest store – With the phones• Ease of Selection of right product at the right

price





CATEGORY

TECHNOLOGY IN FAST FOOD RETAIL


Restaurant replaces waiters with iPads• Eatsa – restaurant in San Francisco that has no

waiters. The customer orders on an iPad and when their name comes up on a transparent LCD screen box, they pull out the dish from the box.

• Company Saves Cost and Improved Customer Experience by Being Fast with Digital Media

• Co-founder Tim Young said, “Eatsa’s really all about bringing the speed and affordability you might find in fast food with the nutrition in fast casual,”

Order Ahead on mobile at Starbucks

• Using the mobile app, customers will select the items and the location for pickup and the app will show the approximate wait time before the order is placed.

• When the order is placed, payment is made from the customer’s registered Starbucks Card.

• The customer then simply walks into the coffee shop, identify themselves and then collect the order.

https://youtube/bwk7zmSBg9w

HardeeBuild your own burger

on a kiosk

US burger chain, Hardee’s, have launched self service kiosks in their fast food restaurants. The kiosks allow customers to customise and order a burger before collecting it at the counter. The kiosks use e-commerce techniques such as cross-sell to ultimately increase average order size as well as reduce waiting times and let the staff focus on preparing the food. https://youtu.be/IyeK_iouRdM


CATEGORY

OMNI CHANNEL PRODUCT RETAIL

Single View Of Customer And Data For World-class Customer Management

Just Remember to K.I.S.S. - “Keep It Simple, Stupid” – Steve Jobs


Omni Channel Matrix for Technology


CATEGORY

SUPPLY CHAIN MANAGEMENT


Walmart Inventory Management

Cross Docking As Inventory Tactic - It means the direct transfer of products from inbound or outbound truck trailers without extra storage, by unloading items from an incoming semi-trailer truck or railroad car and loading these materials directly into outbound trucks, trailers, or rail cars (and vice versa), with no storage in between.

Predicting the right inventory- state-of-the-art technology and network design allow Walmart to accurately forecast demand, track and predict inventory levels, create highly efficient transportation routes, and manage customer relationships and service response logistics.

Using smart tags, read by a handheld scanner

https://www.tradegecko.com/what-is-inventory-forecasting

Best Benchmark Practices• Investment in supply chain infrastructure and systems will enable real-time

inventory visibility, forecast accuracy, and flexible returns• Data-centric supply chain with focus on digital era metrics need to be adopted

by retailers so that Online costs need to be measured or else this might amplify inefficiencies in both offline and online models

• five functional areas: Inventory, Warehouse, Suppliers, Transportation, People• Supplier collaboration and recycling initiatives with reverse logistics and top

sustainability initiatives.• Supply chain transformation to enable omnichannel delivery• Same-day delivery to customers and installation• Omni Channer Distribution• Set Up Distributed Order Management ( DOM ) Technology• Setup Miniature Warehouse Management Systems so that stores become a

mini distribution center for online orders • Train Al Associates with their “NEW” roles


Asda – Non Manned Store for Pick and Delivery

•

Customers order their products online then drive to the unmanned store where they will be able to collect the order from the automated locker. The customer will activate the locker using their mobile; one of the ways to do this will be via scanning a QR code using the Asda mobile app. The locker will then collect the trays containing the customer order and present to the customer who can then load into their car.The 24/7 unmanned store, located just outside Liverpool will pick it’s orders from a nearby/neighbouring store.

Hardis GroupA drone is responsible for inventory

Another amazing innovation presented at the Retail Big Show: a drone that can take inventory in stores. The device was developed by an Indian company, Wipro. Equipped with a camera, the UAV travels rays, scans the shelves, identifies missing goods and real-time warning of shortages.


CATEGORY

MARKETING MIX


Integrating 8P’s of Marketing In Channels

Complete Integration OfMarketing Matrix

See Next Slide for this


Pyramid Of Success for SEO

Basics

Customers Reach Your Store Faster

Customers Become Brand Advocates – You

Reach Virally

Encourages Customer To Love Your Brand and

Come Back

CATEGORY

Payment

Apple PayMarks & Spencer, Waitrose and Boots are among the first UK retailers to adopt ApplePay in the UK for it’s launch.The NFC sensor on device means you can tap them on the Chip & PIN terminal to make a purchase. Users of the iPhone 6 will authenticate using their fingerprint, whilst Apple Watch users will enter a secure PIN when they put on the watch which then locks the watch again when it is removed from the body.

Tesco Convenience Purchases Can Be

Really Quick With MobileUK based PowaTag and Tesco joined forces to offer shoppers at a Tesco Metro branch in London to take the Meal Deal Express 30 Second Challenge.In this proof of concept exercise, customers paid for their Meal Deals with PowaTag and were in and out of the store in 30 seconds leaving more time to enjoy their lunch breaks.The idea behind PowaTag is that customers download the PowaTag app, register their details and then using the app, scan a QR code identifying the product they want to purchase and then leave the store with purchase in hand. In the background the app ensures money is transferred from your account via one of your payment cards that it has remembered. Customers can then go on and use the app at participating retailers. Beacons and NFC also provide other physical ways for people to scan the product.The other use of PowaTag is to scan a code on a website, printed media or even digital sign and the product will be paid for and then despatched to your default delivery address.


CATEGORY

EMPLOYEE TRAINING


• Well-defined training plan; mandatory to attend training of at least 80 hours per year. Eg : UCAA

• Make it memorable and situational e.g. Tatahttps://www.youtube.com/watch?v=IVxN99KLU1A • Make it interactive and feedback oriented e.g. Keller

Williams Realty, Inc.• Enforce the ethics hotline with proper code of conduct

e.g. Wequassett Resort and Golf Club• Repeat It – It improves commitment and efficiency. • Train Your Suppliers and Marketplace Venders E.g.

Flipkart Pvt Ltdhttps://www.youtube.com/watch?v=QrC_ThzikCM

https://www.youtube.com/watch?v=IVxN99KLU1A

https://www.youtube.com/watch?v=QrC_ThzikCM

CONCLUSION / RECOMMENDATIONS• Application Problems- The technology available in one country may not be feasible

for some other country due to people, costs and culture-behavioral issues.• Creating Omni-Channel Experience is the future of Retail. The Web-To-Store

approach has been successful in the past and will continue in future.• Customer-First Approach is necessary to build customer retention and build long

term profitability. User Experience is both In-Store and Out-Of-Store. Thus, connected stores becomes important.

• Augmented reality is the ‘Next Big Thing’ for customer-experience.• Ambient and Focused Lighting in a store helps to engage customer, make the store

look exceptional and drive sales for the store.• Using of Data and Technology to Drive Sales –Predictive Demand Analysis• Supply Chain Management is overlooked by most of the stores. But those leverage

technology to support their stores, Succeed. • Employee Training is extremely crucial in the connected world. • Payment options and methods should be easy and quick.• The Most Successful Companies make things/interfaces that is Simple to Use, Easy to

Understand and Create high utility for its customers.

Saket Toshniwal


Some of the Companies Studied


References• http://retail-innovation.com/walmarts-drive-through-format/• https://www.youtube.com/watch?v=IVxN99KLU1A • https://www.youtube.com/watch?v=QrC_ThzikCM• Saatchi & Saatchi Blog – Asda to launch unmanned click and col

lect sites

The Telegraph – Asda looks to Click and Collect to crack the South East

Interactive Investor – Asda unveils £600m investment in stores• http://retail-innovation.com/• http://walmart.com/shipping• http://starbucks/shipping

http://retail-innovation.com/walmarts-drive-through-format/

http://retail-innovation.com/walmarts-drive-through-format/

https://www.youtube.com/watch?v=IVxN99KLU1A



https://saatchixlondon.wordpress.com/2014/12/02/asda-to-launch-unmanned-click-and-collect-sites/

https://saatchixlondon.wordpress.com/2014/12/02/asda-to-launch-unmanned-click-and-collect-sites/

http://www.telegraph.co.uk/finance/newsbysector/retailandconsumer/11082327/Asda-looks-to-Click-and-Collect-to-crack-the-South-East.html

http://www.telegraph.co.uk/finance/newsbysector/retailandconsumer/11082327/Asda-looks-to-Click-and-Collect-to-crack-the-South-East.html

http://www.iii.co.uk/stockmarketwire/224805/asda-unveils-%C2%A3600m-investment-stores

‘The Ultimate Store Of The Future’

”Please Visit Again ! Thank You”

Saket ToshniwalMDM-CRM – IESEG 2015-16