Tag Archives: e-commerce

Creating strategic friction through experiential to harness sales

The in-store shopping experience has emerged as a critical differentiator for physical retail, where shoppers have increasingly high expectations. Creating an enhanced in-store experience is standard practice within many retailers, in particular with the considered purchase sector.

Exceptional customer service remains high on the list for customers, with knowledgeable, friendly, and proactive staff playing a crucial role in guiding and assisting shoppers. Our own research has shown what matters to shoppers with 60 per cent wanting a pleasant retail environment, while 42 per cent of people want to speak to knowledgeable staff. However, it may come as a surprise to many of you that consider your store to be the best customer experience for your customers; whilst 75 per cent of us prefer to shop in person, it’s shocking to realise that only 9 per cent are usually happy with their in-store experience. 

Audiences today are demanding more from their in-store experience, and for good reason, because 73 per cent of consumers consider experience as an important factor in their purchasing decisions, behind price and product quality. It’s not just the experience in-store that counts either, because getting your brands involved to support you to help enhance the shopper journey could help you tap into the 91 per cent of consumers who confirmed they would feel more optimistic about a brand’s product or service after actively participating in a brand activation or experience.

When you consider that your opportunity to grab the attention of shoppers is between 5-180 seconds, your displays and how visitors are greeted and served is essential in converting browsers into shoppers. 

Retailers that offer immersive experiences can see a significant increase in dwell time and average basket size, particularly in consumer electronics and home appliances. So creating strategic friction to not make the customer feel rushed, is becoming increasingly welcomed, as is personalisation, as two-thirds of shoppers are more likely to spend with brands that offer personalised in-store experiences, using data and relevant content that relates to them. 

Experiential marketing has a profound impact on consumer purchasing behaviour, with 85 per cent of consumers more inclined to buy after attending a live marketing event. It not only attracts new customers but also fosters loyalty, with 70 per cent of consumers becoming regular customers after an experiential marketing event. A significant 65 per cent of brands acknowledge that experiential marketing events are directly related to sales success, underscoring the strategy’s effectiveness in driving revenue. 

At the intersection of where retail meets experiential, the lines are often blurred and occasionally the term experiential is referenced when in reality there has been zero positive impact to the consumer based on their experience. The need to create retail theatre that is proportionate to your audience and outlets where you sell your products is critical to your experiential success. The online experience therefore needs to match the experience in-store and seamlessly connect, as this may be the customer’s starting point. At the point of purchase, the moment the consumer steps in, the experience begins, not merely when they begin to browse, look, touch, or listen. The customer journey should reflect you and the brand’s advertising and create a pleasurable experience, which reflects positively on both retailer and brand to create buyers and long-term advocates of your brands and repeat customers to your store.

The experience should include real-life user scenarios, not the dream glossy lifestyle magazine, because we don’t live that way. We inhabit homes that have clutter and move at the pace of a growing family and therefore the customer relates to the achievable and not the unobtainable. It’s great to instill aspiration and keeping up with the Joneses but keep it real and relatable so that it resonates with the customer. This creates an experience worthy of their hard-earned cash, because when it comes to the considered purchase sector, there is no greater enemy to a brand than a poor customer experience.

To read the published article by Dan Todaro, Gekko Group CEO, please visit ERT

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How retailers can thrive by connecting with their communities

The UK retail landscape is undergoing a rapid transformation; while e-commerce continues its growth, physical stores still hold a significant appeal. However, simply having a presence on the high street is no longer enough. Large retail chains often demonstrate a disconnect from the needs and wants of local communities, frequently using financial difficulties as justification for store closures, and neglecting the potential for community engagement to drive growth and brand loyalty.

This echoes a broader trend where many retailers have lost the innovative spirit that once defined the industry, failing to understand why customers are choosing to shop elsewhere. Offering a dull, unengaging experience simply won’t cut it in today’s market, where consumers crave experiential retail to capture their imaginations. A recent Shopify study found that 35 per cent of shoppers prefer this type of experience, yet many retailers fail to even engage with basic strategies like embracing seasonality.

Local marketing in a digital age

So, how can local independent retailers succeed where large corporations have failed? Local businesses have the opportunity to connect with their communities in a unique and resonant way; this is crucial because consumers are actively seeking local connections. Data highlights the importance of online visibility and strong customer reviews:

  • Around 80 per cent of consumers search for local businesses on Google
  • 76 per cent of “near me” searchers visit a store within a day
  • 88 per cent of smartphone users searching for local businesses visit one within a week (Backlinko)
  • 96 per cent of small businesses use social media for marketing and 78 per cent depending on it for revenue (Cropink, Synup)
  • 78 per cent of shoppers research products on social media before purchasing (Synup)
  • 98 per cent of consumers read reviews about a product before purchasing (Forbes).

These statistics underscore the vital role of a strong online presence, positive reviews, and active social media engagement. Comments and likes can drive online traffic and influence purchasing choices.

Today, local marketing matters more than ever. And several factors contribute to its increasing importance:

  • “Near me”: The rise of location-based searches indicates high purchase intent, making local SEO optimisation crucial
  • Personalisation: Local marketing allows retailers to tailor their offerings to the specific needs of their community
  • Connections: Becoming an active part of the community through sponsorships and partnerships enhances brand reputation
  • Competition: Local retailers can differentiate themselves by offering a personal touch and community connection that online giants struggle to replicate
  • “Shop local”: Consumers are increasingly aware of the importance of supporting local businesses, creating an opportunity for retailers who actively engage with this sentiment.

Implementing effective strategies

There isn’t a one-size-fits-all approach; retailers need to develop marketing strategies that align with their specific business goals and target audience.

So a tailored approach is essential, but here are some key tactics:

  • Optimise your Google My Business profile: Ensure accuracy and completeness, encourage reviews, and respond promptly
  • Local SEO optimisation: Use location-based keywords in website content and build local citations
  • Run targeted social media campaigns to reach local customers
  • Engage with local influencers: Partner with local figures to expand reach and build credibility
  • Community involvement: Participate in local events and support local causes
  • Offer in-store exclusives: Drive foot traffic with exclusive deals
  • Share news and community initiatives with local publications.

In an increasingly digital world, local marketing provides a critical link between retailers and their communities. By embracing these strategies, UK retailers can not only survive – but thrive. Local marketing is not a fleeting trend; it represents a fundamental shift in how businesses connect with customers. Retailers who prioritise local engagement, personalise the customer experience, and build strong community connections will be the ones who succeed in the evolving retail landscape, understanding that in the age of global commerce, local is the new global.

To read the published article by Dan Todaro, Gekko Group CEO, please visit ERT

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Why digital shelf analysis is the key to Black Friday success

After another year of squeezed personal finances and lacklustre sales, retailers and brands are hoping for the biggest Black Friday ever to boost sales and profitability.

Last year, consumers spent £3.45bn over the Black Friday weekend, with 66% of purchases estimated to have taken place online. With fierce competition for a share of the Black Friday pie, brands need to ensure that their digital footprint is shipshape before the frenzy begins.

Getting your house in order

While pricing is important, it is not the only thing that brands need to consider – particularly if they have big-ticket items on offer. For brands that work with multiple third-party retailers, the chaos surrounding Black Friday means that ideal positioning, product descriptions and images can fall by the wayside – but this can lead to a disjointed experience for consumers.

When consumers are faced with multiple deals and a wide range of product options across multiple retailers, consistent presentation in digital merchandising is critical for avoiding confusion. Trying to compare different but similar products – or the same products across different websites – becomes much more challenging when descriptions, specifications and images are inconsistent, potentially losing sales to brands or products which are better aligned across platforms.

Certain elements, particularly description and images, are also critical for search, so it is important to ensure that your digital merchandising is on point so that potential customers find your product in the first place.

But, for brands working with multiple retailers, reviewing and tracking how products are presented manually can be a huge – arguably impossible – undertaking, so finding a digital shelf analysis or web-scraping service that can automate part of the process can significantly help when it comes to getting your house in order.

By tracking, collating and analysing data on your products, brands can identify where standards may have slipped or information vital for consistency and searchability is missing, and approach their account managers in good time – before the Black Friday chaos begins in earnest.

Thinking beyond the self to the wider shelf

During this discounting period, competition is fierce. When it comes to analysing your brand’s digital merchandising performance, it is critical that you think beyond consistency, stock levels and presentation, and consider the whole shelf.

If you are already undertaking analysis of your brand’s positioning, consider the value of analysing the whole shelf. How do your products stack up against your competitors? Maintaining your own marketing strategy is critical, but at a time when prices are constantly changing, it is important to know where you stand.

This is where digital shelf analysis that tracks not only your own products, but the competitors can really come into its own, helping you to create a real-time competitor strategy. Combining data from web-scraping with retail expertise will enable you to respond to competitors’ activity with your own at the right time and across the right platforms.

Staying one step ahead

Third-party retailers are juggling data from all their brands, and relying on their feedback could leave you behind the pack. Everyone wants a piece of the Black Friday pie and when the chaos hits, you’ll want to be armed with real-time and past data that can help you stay consistent and searchable and reactive to competitors.

Based on an analysis of data from GWS, our proprietary analysis tool, retailers started discounting from mid-November last year – and some of the biggest deals for consumers hit before the Black Friday weekend started. Equipping yourself with actionable information will allow you to be competitive when it counts, allowing you to cut through in an increasingly fragmented and challenging environment. 

To read the published article by Toby Stupples, Client Delivery Director please visit PMW

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Digital shelf analysis: The secret weapon for brands this golden quarter

In Britain, 67% of consumers plan to spend the same or more than last year during the 2024 golden quarter1 so brands will need to pull out all the stops to get their slice of the pie, particularly when it comes to sales and marketing strategies.

With huge retail events like Black Friday and Cyber Monday on the horizon, plus the flurry of activity surrounding Christmas gifting, having clear visibility of online activities and transaction success has never been more crucial for brands and retailers.

Smart shelf analysis with Gekko’s GWS

Maintaining a clear overview of inventory online has become harder due to capacity and sheer volume of points of sale. Online, data analytics is transforming the ways brands monitor data about both their own products and the others on the shelf, providing insights that help improve performance and the overall customer experience.

Digital shelf analysis is a secret weapon in helping brands understand what’s working, and what’s not. New tools and enhancements like GWS from retail experts Gekko provides brands with clearer visibility of metrics from retailers such as share of voice, pricing, stock availability plus ratings and reviews, providing visual and actionable insights to enable brands to maintain market share and execute strategic marketing objectives.

GWS helps brands to monitor, manage and review e-commerce performance across selected retail platforms, gathering digital shelf data from specific retailers and presenting it back in an easy to digest dashboard. In turn, this data helps brands to understand their performance against the competition, including monitoring and reporting on sponsored positions to understand which brands are investing with which retail partners, providing crucial information to better manage strategies, partners and product listings.

By monitoring how products are presented, these tools also help to enhance the customer purchasing experience online, as it allows brands to ensure that descriptions, images and positioning is consistent across third-party retail sites. Additionally, with customer reviews and star ratings of products being some of the biggest factors in converting sales online, web-scraping assists in constantly checking and maintaining the display of this information to enhance the purchase experience, and ultimately help to gain market share over competitors.

Maintaining the competitive edge

Despite Black Friday maintaining its position as the most anticipated retail event of the year, it is becoming more diluted than ever before. Coupled with high inflation and the continuing cost-of-living crisis, brands need to secure a competitive edge.

As many consumers are now making split-second purchasing decisions based on price rather than brand preference, retailers also need to consider how they respond. Unlike other web-scraping tools, GWS offers analysis of the full digital shelf, allowing brands to track real-time competitor activity and establish a strategy to maintain competitiveness, particularly at this time of year, when costs fluctuate so frequently.

Price monitoring via e-commerce platforms can provide last minute insights for brands to track prices and share of shelf against competitors to ensure they are offering the most compelling deals and packages; a clear advantage amid the deals battles of Black Friday and Cyber Monday, and across the omnichannel strategy.

Analysing the full spectrum of shelf availability provides a great overview of stock requirements in line with demand. Additionally, it provides clear and precise predictions many months in advance of seasonal discount days, like Amazon Prime Days, Black Friday, Cyber Monday and the Christmas gifting season.

Stamping out the competition for success

With this in mind, the best way to get ahead is to plan ahead. Having a full view of a product’s retail landscape and that of its competition provides brands with the information needed to negotiate with retailers for better pricing and placement throughout the year – but it is vital during the golden quarter.

Competition from other retailers and brands limits how successful traditional calendar events like Black Friday can be. So, brands need to get a leg up on the competition by taking a holistic view of the entire shelf, and adjusting their activity and pricing accordingly. This way, they can secure a higher return on investment, along with a wider understanding of consumer behaviours and the ever-changing market.

To read the published article by Toby Stupples, Client Delivery Director please visit Retail Sector

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Reaching the Peak

The Golden Quarter for retail is upon us and hopefully, by the end of the year, the figures will be reporting a successful Christmas period for retailers and pointing towards an even rosier outlook for 2025. Since the last retail peak season we have had a change in government and there is noise that the intention is to introduce economic policies designed to boost disposable income, including raising the minimum wage and public sector salaries. The potential increase in spending power for some is offset by the worry for many that increased taxation will mean the cost of living crisis will continue to leave its unwelcome mark.

Alongside this Labour has also pledged to reform the business rates system, which is a major burden for physical retailers. Their proposed new system of business property taxation aims to reduce costs for high-street shops, levelling the playing field between brick-and-mortar stores and online retailers. This is expected to reduce operational costs, allowing businesses to invest more in customer experience and competitive pricing.​

Focus on revitalising the High Streets will be very much welcomed, whether through the aforementioned reduced taxation for brick-and-mortar stores or measures like introducing banking hubs and cracking down on shoplifting by increasing police presence. These efforts are designed to create safer, more vibrant shopping environments, which could attract more foot traffic and increase sales for local businesses​.

The reality though is that it’s too early to say what impact the new government will have on the fortunes of the retail sector in the UK, so retailers need to focus on maximising the opportunities that the peak season presents, seeking wherever possible to boost sales and leave a positive lasting impression with customers. The challenge is tough. While high inflation is perhaps not the worry of 12 months ago, rising living costs are still very much having an impact and then there are factors such as staffing challenges and store closures. To ensure a successful golden quarter, retailers must take a strategic approach. By prioritising adaptability, customer engagement and operational efficiency, retailers can stand out and remain competitive, even as consumers potentially cut back on spending.

Success during this time also demands careful planning, strategic insight, and perfect execution. Without proper preparation, retailers risk missed opportunities and unhappy customers. To make the most of the peak season, it’s essential to start planning early. This involves setting pricing strategies, organising promotions, staffing, launching marketing campaigns, and making any necessary operational adjustments, such as embracing digital transformations or strengthening supply chain resilience.

First and foremost, adopting an omni-channel approach that seamlessly blends online and offline shopping experiences is essential. Offering customers the flexibility to research, purchase and receive products across multiple channels ensures a smooth and convenient shopping experience. This should be viewed as a long-term strategy, not a short-term solution, as it creates a strong foundation for attracting, converting, and retaining customers. 

Another overlooked strategy which has caused a lot of customer irritation for many retailers and online stores during a Black Friday or an event is website load capacity. We’ve seen it countless times where websites have crashed on the customer due to an overwhelming amount of traffic to the site, this in turn can cause a spiral of negatives, ranging from loss of sales, loss of customers and negative reviews. It’s 2024, there shouldn’t be a situation where the website is overloaded and subsequently crashes due to traffic load, this is a recurring theme for many businesses and sites and needs to be taken seriously in the planning stage. 

Investing in technology is key to enhancing the online shopping experience for your customers and it can also provide a significant advantage for retailers. Improved website functionality and optimised mobile responsiveness can help create the seamless omni-channel experience retailers aim for. This combined with the website reliability/stability that comes from investment, will set your website apart from the crowd. Additionally, emerging technologies like AI-powered assistance, virtual try-ons, and AR options can further elevate the experience by allowing consumers to visualise products in their own homes.

Offering targeted promotions and discounts to drive sales during the golden quarter is a proven strategy, but it’s crucial to know when and when not to discount. Retailers might consider bundling products, offering exclusive deals, and leveraging loyalty programmes to encourage repeat business, these promotions are by far the most common ones implemented, however, there’s been a rise in alternative promotional discount incentives such as tiered discounts, which are seen more and more with the basic concept being progressive discounts to entice customers to spend more, e.g. 10% off for £50 spent, 20% off for £100 spent. Another seemingly popular promotion is the flash sale. These limited-time discounts create a sense of urgency, which can generate excitement and increase traffic. You’ll see a lot of these flash sales with Amazon and their Prime Day, where offers can last up to an hour or until stock runs out. However, as much as these promotions can boost demand, it is essential to plan ahead and ensure a strong, stable supply chain to avoid disruptions. Building supply chain resilience is key to meeting customer demand, so where possible, consider diversifying suppliers to safeguard product availability.

Retailers offering online sales will have already put careful thought into their delivery and returns policies. However, as peak season approaches, it may be time to reassess. Were there any lessons from last year? Free returns are highly valued by many shoppers and could give you an edge over competitors. As we’ve seen recently, there are countless businesses that are charging for returns now, usually in the form of passing the postage cost over to the customer, which re-emphasises how much customers value free returns and the edge it can give you over your competitors. However, managing the increase in orders can strain customer service teams. Whatever approach you take, it must be clearly communicated to customers and streamlined to ensure a smooth, integrated returns process.

Effective customer service is essential, and it’s crucial to equip staff with the skills needed to deliver outstanding service both in-store and online. Well-trained employees can significantly improve the shopping experience and foster lasting customer relationships. In the world of the internet where all information is at your fingertips many shoppers will have already researched before entering stores, so simply repeating what’s on the display POS won’t be enough. Empower sales advisors to impress customers with their expertise, advice, and recommendations, making the customer feel like they’ve made the correct decision in coming into the store. Moreover, taking care of your team and ensuring they feel valued at work will not only improve retention but also lead to more positive customer interactions, enhancing the overall shopping journey and encouraging repeat business.

Finally, retailers should explore the support their suppliers can offer. Many brands are keen to assist with a range of activities such as product training, promotional efforts, or additional brand ambassador staffing, in-turn it not only boosts sales of their products but also benefits your business in the process.

As we know, consumers will have no shortage of options for where to spend their money, so it is pivotal that retailers go the extra mile to stand out. Whether this is through engaging marketing— through store representatives, training, or merchandising— all of which can help ensure customers know who you are and why they should choose your products. Once you’ve captured their attention, loyalty and long-term success will follow, extending well beyond the holiday season.

To read the published article by Dan Todaro, Gekko Group CEO please visit ERT

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How data underpins e-commerce effectiveness

During the pandemic, the volume of online shopping doubled due to necessity. According to the Office of National Statistics (ONS), e-commerce represented 38% of all retail sales in January 2021, in comparison to 19% in February 2020. This sudden shift forced brands to think about their omnichannel customer journey, particularly when it came to considering purchase items.

This was already the direction of travel, and while online sales proportions have dropped back to the mid-twenties (hitting 26%in January 2023), the acceleration of brands’ e-commerce plans has started a race to enhance operational agility to remain competitive and appealing.

The size of the drop indicates the ongoing power of in-store shopping and the importance of the omnichannel experience. However, we can expect the online share to return to a stable growth in the months to come.

It is not enough to present consumers with a transactional website, a well-considered data stack is needed to provide the customer experience they expect. The right set-up will help to identify consumers’ needs at each touchpoint, which is where performance marketing comes in.

Understanding the customer journey

As Google has now started the process of third-party cookie deprecation, brands are less able to track a user’s activity across multiple websites. This impacts business’ ability to recognise the full extent of the customer journey, and personalise and deliver targeted ads to support a better experience.

We can predict how certain factors will play a role in changing consumer behaviours through different kinds of tracking and experience. For example, we know that the consideration phase is likely to lengthen due to squeezed budgets as people take more care over how they spend their money. We can also expect that as the volume of retailers doing business online grows, the consideration phase will extend further as consumers look at their options across multiple touchpoints.

Trends like these need to be considered at every point of the journey, both online and in-store. Identifying changes like these is not always easy, and data should be at the heart of your strategy for enhancing audience engagement and discoverability, giving your brand the operational agility to succeed amid uncertain market factors.

Harnessing the potential of dashboarding

Without cookies, brands are working to optimise their consented first-party data, and work more closely with third-party sites and stores, so that they can gain an in-depth understanding of their customers that can shape their marketing activity accordingly. The current reality is that there is low metric transparency from third-party websites to the brands, as they, in turn, seek to monetise their proposition.

As many brands find themselves working with more third-party retailers, data and insight models become more important if they want to better serve their customers in a trustworthy way. Rather than relying on shared data, an end-to-end web scraping solution could help to marry e-commerce intelligence with insights from bricks-and-mortar retailing to provide visual and actionable trends.

This type of service provides a dashboard that consolidates insights from different websites, allowing brands to track other measurables, like share of voice, availability, pricing, promotion and reviews, and use the data to build more informed strategies.

Unlocking retail media potential

Retail media is a rapidly growing form of advertising, with global revenue from retailer e-commerce sites expected to exceed television revenue by 2028. For brands, the potential boon of reaching target consumers while they are already browsing or shopping in the category cannot be ignored.

Combining this type of digital advertising with physical shopping environments ensures that brands are showing up in the right places and times across relevant channels. When this is done well, relying on insights from data and human expertise ensures continuity within the purchase journey alongside consistent brand messaging, which will ultimately bring the consumer closer to making a purchase.

However, brands should be careful that they do not de-prioritise data and insight in their rush to play in the retail media space. As retail media supply increases, brands will have to manage campaigns across multiple networks, and it will be those with campaign control and strong insight reporting that will unlock the potential of the data to truly drive innovation in the space.

Building data into the digital shelf

Using data to understand consumers’ needs is the first step, but brands still need to think about what their insights mean for the digital shelf. Browsing the digital shelf is the equivalent of exploring products in-store, but they need to be discoverable quickly on listing pages and under relevant search terms.

Benchmarking against competitors for pricing, promotions and presence is critical and this data, along with on-site performance metrics, are incredibly valuable to brands. This can be a time-consuming process, but with an automated solution like web scraping, brands gain the same knowledge that can be used to form campaigns, and free up time for sales and marketing teams to focus on other priorities.

So, with the deprecation of cookies and the continued evolution of how we track and manage consumer data, brands should be prepared to optimise their own tracking data and work more closely with third-party retailers.

As retail media grows in years to come, keeping track of metrics across the board will become vital for brands if they are to maintain consistency, manage campaigns and influence presence and performance on e-commerce partner sites.

To read the published article written by Dan Todaro, Managing Director please visit Performance Marketing World

Photo by Negative Space

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Gekko launches new retail web-scraping solution GWS

Today customer experience agency Gekko has launched a new retail web scraping solution, GWS, enabling sales and marketing teams to better understand their brand’s e-commerce performance. GWS is an end-to-end solution for brands which integrates real-time e-commerce data and Gekko’s own brick-and-mortar intelligence to boost effectiveness and identify sales opportunities.

With in-house developer capabilities and Gekko’s market knowledge of brands, categories, retail and consumers it’s developed a powerful, cost-effective tool. Providing brands with visual and actionable e-commerce trends that marries e-commerce intelligence with that from bricks and mortar retailing giving a whole market view.

This is an end-to-end service with Gekko consulting, building and managing this customisable and flexible service and providing brands with the data and insight outputs via an intuitive dashboard. GWS is capable of extracting hundreds of thousands of data points across multiple retailers in a matter of minutes each day, allowing unrivalled up-to-date information and insight. The service enables brands to track share of voice, availability, pricing and promotion, ratings as well as shopper reviews. Brands can consolidate their online product space into one insightful clear and concise dashboard that will enable them to make more effective data-driven commercial and marketing decisions.

Daniel Todaro, Gekko MD comments: “The GWS solution enables us to combine real-time performance data with our in-depth understanding of shopping and shoppers, to help brands enhance product performance. It’s a very competitive landscape and intuitive brands often succeed using as much insight as possible to fuel their decision making. GWS from Gekko enables a brand’s sales and go-to-market teams to look at a myriad of layered scenarios, from how competitor products and new launches may have affected a brand’s market share to showing the relationship between promotions and Share of Voice (Share of Shelf).”

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Good CX cannot exist without good staffing

The recent Centre for Retail Research figures showed that around 120,000 retail jobs were lost last year. While some job losses could not be avoided as behemoths of the UK’s high street collapsed, other retailers are reducing staff numbers to cut overhead costs and align with reduced footfall. But what does this mean for customer experience? And how could that impact retailers’ ambitions?  

The truth is that cutting staff overheads requires a careful balance to maintain good experience for the customer, whatever sector(s) you’re working in. If you have too many staff members, then revenue will struggle to cover operational costs, which is devastating in a sector with increasingly tight margins. At the same time, with too few staff you will struggle to deliver against expectations, in terms of customer experience, sales volumes or both. 

There are issues for companies either way, but having too few staff could be catastrophic for businesses that are already precariously close to the edge. From managing staff morale and turnover, to making big-ticket sales and generating loyalty, there’s a lot to consider. Furthermore, the human interaction that physical retail offers is one its principal USPs over the online shopping experience.

Burnout and lose out

In a global survey by McKinsey, an average of one in four employees were experiencing signs of burnout, resulting in cynicism, exhaustion, and emotional distance. Understaffing, resulting in overwork and poor working conditions, can often be a significant factor in burnout, often affecting multiple team members who are left to pick up the slack. 

Not only can undervalued and demotivated staff have the obvious impact on customer service, long-term understaffing is likely to lead to higher turnover, and the resulting loss of knowledge and skills that can help drive sales and deliver a more engaging customer experience.  It is not just the experience (and its impact on sales) to consider though. 

A little encouragement goes a long way

When it comes to considered purchases, consumers are unlikely to part with a sizeable proportion of their monthly budget on products and services based merely on a snap impulsive decision. When it comes to ‘big-ticket’ items or other considered purchases, particularly in the retail sector, our own research reveals that around one in five (18%) of consumers will head to a physical store to seek expert advice. But what happens when they get to the store, and the experience isn’t quite what they had hoped based on a lack of service, attentiveness, knowledge or customer journey.

Of course, staffing is always about balance, whatever sector you work in, but having too few staff or poorly trained team members could result in lost sales, your customer heading to a competitor or worse, not buying into a brand at all based upon their experience. When we’re talking about products like TVs, white goods, sofas etc. developing the customer journey is essential to secure sales. In the current climate, making cuts is inevitable but if you are reducing staff levels to the point where you can no longer fulfil customer needs, your customers may just stop shopping with you all together.

Innovation only increases staffing needs 

Looking at some of the products coming out of CES – LG’s transparent OLED TV, virtual reality headsets and microwaves in handbags – and thinking about our general societal shift towards smart devices and products, the need for knowledgeable staff will be essential for providing a good customer experience, and ultimately developing new and existing categories through sales.

Products are becoming more complex every year, and there is more choice. For many consumers, the wide array of brands, products and features can be overwhelming, and that is where customer experience becomes even more important. While they will research products online, many people like to head into a physical store to see the products in person and get some guidance, support as well as reassurance before making a considered purchasing decision.

Investment in training is essential to develop the customer journey and brand experience, which enhances staff retention due to personal development and job satisfaction. In many cases, brands are taking things into their own hands, as they have done for many years, by installing trained staff into stores to ensure that their products are well-explained to customers seeking help, owning the customer journey. 

Work smarter, as well as leaner

The brands and retailers that get it right and enable customers to get the support they need – whether that is in-person or online – will ultimately win out. Once consumers feel an affinity with a particular store or brand, they will return if they receive consistency and service that they enjoy and can trust. 

To read the published article written by Dan Todaro, Managing Director please visit CXM

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Keeping Pace with the Evolving Consumer

Shopping online became the de facto route to market for consumers in 2020 driven by necessity due to store closures. The ONS reported the proportion of online retail sales peaked at 38% in January 2021 vs 20% the year previous. While the average sales split has returned to 26% since this peak, the manner that both experienced and less experienced online consumers engage with brands and retailers, across multiple channels, has rapidly evolved. With considered purchases, in particular technology but not limited to this, it has sparked a greater importance for a brand’s omni-channel customer journey. This in turn has encouraged a race for retailers to enhance their operational agility in e-commerce to remain competitive and appealing. To play in the e-commerce space is not to simply offer a transactional site online but a well-considered data stack that ultimately understands the customers’ needs at each touchpoint and marries them up to the retailer’s unique proposition.

Further market uncertainty in 2023 continued to drive evolving consumer behaviour. This will continue in 2024 as retailers brands adapt their strategies to convert on the now normal, lengthening online consideration phase due to squeezed budgets. Retail website traffic is increasing year on year, and mobile as a share of that is also increasing. The purchase cycle is likely to lengthen, becoming normal, as consumers sit in the consideration stage for longer across multiple touch points. This is likely to increase as we shop on mobile devices cluttered  with a multitude of content at their fingertips, from social media, bloggers and reviews.

Offsite and onsite content needs to meet the demands of the consumer, wherever they are on their route to purchase. Here we have highlighted three key elements brands can focus on to drive audience engagement and discoverability on partner retail e-commerce, increasing operational agility to succeed amid uncertain market factors.

The potential of data in e-commerce

As known, Google will in a bid to make the web more private, phase out all third-party cookies by the end of 2024, currently deprecated for 1% of Chrome users as of January 2023, which represents approximately 30 million users. This move restricts the ability to track a user’s activity across multiple websites and in turn, the major resource for marketing and sales teams to personalise and deliver targeted ads. The implication for retailers and advertisers alike that rely on paid media via 3rd party cookies to target consumers and measure brand and sales impact, is about to reshape how marketing and advertising works online.

Retailers are looking to harness and better optimise their consented 1st party data to offer better solutions. The potential is positive due to the relevance of data and the control retailers will have to improve the quality of ads and personalised experiences. To realise the full potential, retailers using data as a platform to form stronger partnerships with brands and suppliers will likely uncover a better understanding of their customers and shape the narrative.

Whether it be brand-building initiatives or first-party cookies direct from transactional sites, retailers will be mindful to sensitively use the data they have on their customer’s behaviour. The current reality is low metric transparency from retail websites to the brands as retailers increasingly look to monetise their online store to brands. This highlights the importance of growing data and insight models in synergy with a brands growing media portfolio, to ensure brands see their platform as a viable solution to learn from the consumer, in a trustworthy way, to better serve their customers.

Data unlocking Retail media potential

Retail media is a rapidly growing medium of advertising on retailer e-commerce sites. Global advertising revenue is forecast to exceed television revenue by 2028 and account for 15.4% of total ad revenue. Brands are following the consumer shift to digital commerce with the added appeal of reaching consumers with personalised advertising within the category. Retailers enable varied promotional formats and tools on their owned channels and sell inventory to brands and in turn boost profitability. The benefit to brands is to show up across multiple touchpoints in both physical and digital shopping environments. The ever important omni channel journey demands content that strikes the right chord, wherever the brand is consumed. Continuity of the consumer’s purchase journey with consistent brand messaging, is proven to likely lead to increased trust and confidence to bring the consumer closer to a purchase.

Retail media networks sit in the transactional channel and so appeal to bring brand messaging closer to the point of sale. An ideal touchpoint for brands to engage with their prospective customers and brand awareness amongst the target audience since visits to a retailer’s website or store is not solely to purchase but also to research the products available to them. Tech stack will drive improved accessibility and likely standardise as the shift to retail media grows. Unlike traditional TV, which retail media is set to surpass, the measures and ROI reporting available from purchase behaviour and browsing trends will in turn elevate the brands demands for transparency in metrics and insight.

The race to play in the retail media network space and maximise inventory can potentially de-prioritise the partnership of data and insight to brands. This should be guarded with caution, as retail media supply increases so will the standardised retail media and brands expectation to manage campaigns across multiple networks. Retailers with considered campaign control and insight reporting will unlock the potential of the data to truly drive innovation in the space and grow brand partnerships.

Digital shelf analytics to track e-commerce on site performance

Understanding the full potential of data and highlighting channels in e-commerce to understand consumer needs and trends only stand up with considerable thought into the digital shelf. Brands need to be discoverable quickly on listing pages and relevant search terms, showing up with accurate and consistent content across multiple retailers, customer reviews and how their pricing and promotion strategy stacks up against competitors.

While physical retail has evolved into finely tuned budgets to drive in-store presence, in-store advocacy and inventory management, e-commerce is a lesser-known channel. The digital shelf is the equivalent of someone exploring products in a physical store, the digital experience on a retail site in which consumers discover, learn, compare and purchase products. By first identifying the elements of the consumer experience available with physical retail that e-commerce is unable to match, for example, trained sales colleagues to assist the customer’s purchase decision, we can then identify digital shelf assets to compliment the omni-channel journey. Ratings and reviews from like-minded consumers as well as engaging, informative ‘top features’ videos on product pages will all help close down the sale successfully and are elements that consumers expect to see on e-commerce platforms.

On-site performance metrics are key to measuring impact and shaping activity in the future of marketing campaigns and content to name a few. Along with benchmarking vs competitors on pricing and presence on product listing pages. The valuable source of data on retail sites is a vital cog to brands. Brands should consider investing in a web scraping solution to automate this process and enable their sales and marketing teams to better understand their e-commerce performance both in isolation and against the competition. Like media channels, clear insight reporting of the digital shelf drives understanding of a customer’s interactions and partner retail opportunities. 

So as 2024 begins to take shape, brands should be prepared to work closely with 3rd-party retail partners to adapt to the changes coming to cookies and shopper data, as well as exploring retail media opportunities. Keeping track of on-site metrics is also vital, keeping e-commerce managers informed and enabling them to influence their brands’ presence and performance on partner sites.

To read the published article written by Dan Todaro, Managing Director please visit PCR Magazine

Photo from PCR Magazine

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