Tag Archives: Marketing

Jul 15 2024
Leave a comment
Posts

How can retail recruitment face down the gig economy threat?

With consumer finances feeling squeezed amid high inflation and a stalling economy, the retail sector has faced a difficult year – with an average of 39 bricks-and-mortar stores closing every day. This, along with increasing product choice, particularly when it comes to big-ticket items, is making it more challenging for brands to stand out from competitors, with customer experience becoming a focus for driving differentiation.

One way of achieving that customer experience is to play to the strengths of physical retail, offering something that the online world will struggle with: the human touch. People buy from people, and the use of brand ambassadors to focus on positive customer experiences, is a win for brand, retailer and shopper alike. A successful campaign of this nature very much hinges on the team you put in place, which means finding candidates with the personalities, skills, attitude, and experience to work in the retail sector.

In an ideal world, you will be bringing in trained experts with experience of working in the sector – but the talent pool is shrinking with the rise of the gig economy. That, compounded with low awareness of the opportunities available, means that retail recruitment is becoming increasingly difficult. So, what can brands do to draw in their ideal talent?

Competing with the appeal of the gig economy

According to research by the CIPD in 2023, just under 500,000 people are part of the gig economy, from private hire driving and food delivery to web development or translation, and with the rise of platforms like Taskrabbit and Fiverr, workers have even more opportunities.

Despite some significant downsides, workers are being drawn to the flexibility and autonomy offered by these platforms, and as a result there are fewer people willing to work on temporary retail campaigns. With a smaller talent pool to draw from, making it harder for brands to find workers with the skills and experience they need.

How to attract the right people

To compete with the appeal of the gig economy, brands should take a targeted approach, focusing both on their recruitment strategy and their value proposition.

  1. Know your talent pool
    Each brand needs to understand the job market to stand the best chance of attracting qualified candidates who can represent your brand and enhance the customer experience. This means understanding priorities, pressure points and how to reach the right people, and tailoring your approach to appeal to them, including using the right language or tone of voice, creating employee profiles, and highlighting brand values.
  2. Get your timing right
    Anticipating future needs and employing data tools to model demand is essential, especially in industries with variable requirements. Recruitment efforts need to align with job availability to prevent negative impressions and bolster the perceived suitability of the work for potential candidates.
  3. Highlight the benefits
    In a market where many desirable candidates are turning to the gig economy, highlighting how campaign work differs and addresses some of the downsides, can appeal to qualified candidates.

    Despite the flexibility and autonomy offered by gig economy work, there is a lack of security that can lead to work-related anxiety and financial vulnerability. Gig workers do not receive the same benefits as those on PAYE, such as sick pay and paid holiday, and they also face the additional hassle of completing tax returns. When it comes to pay itself, gig workers often find that they earn less than minimum wage after overheads, when campaign recruitment would pay more.

    By focusing on the additional pay, increased security, other benefits, and flexibility (if it’s on offer) brands can show the value of campaign work and draw in employees who would otherwise turn to gig work.
  4. Increase visibility
    Most campaign work offers similar flexibility to gig work, but it languishes in relative obscurity. Put simply, the right candidates simply don’t know it exists. Opening up discussions and promoting this type of work as an alternative to the gig economy will help to net top talent.

The challenge of finding the right team for campaign work is a burden for many brands, which are also juggling other complex priorities. Working with a company, like Gekko, which can draw on a pool of readily trained experts to create promotional teams that can be dropped into stores and immediately deliver results for brands.

To read the published article by Lizzie Street, Recruitment Executive, please visit Retail Sector

Photo from Pexels

Tagged , , , , , , , , , ,
Jun 06 2024
Leave a comment
Posts

Gekko recruits Rob Holmes as UK and Ireland Sales Manager to head up Reze partnership

17th May 2024: Gekko, the retail sales and marketing agency, has appointed Rob Holmes as UK and Ireland Sales Manager to head up its new Reze partnership, bringing new consumer technology brands to the UK and Ireland.

Rob is a highly experienced Commercial, Go-to-Market & Premium brand-building professional. He has managed and developed premium global CE and tech brands including Google & Panasonic, where he spent over 11 years in senior National Account roles. Of particular note is his role in establishing & growing Fitbit from a start-up to the category dominant & market leading brand.

Working alongside Daniel Todaro, Gekko Group CEO, Rob will be responsible for identifying suitable brands and their product portfolios, identifying sales opportunities and defining the GTM planning. In addition, he will provide ongoing management and continued support to develop emerging partner brands into category leading brands.

Through the partnership, brands represented by Reze internationally will work with Gekko Group as their sales and marketing partner to secure their first footholds in the UK market with retailers and distributors. With product categories from personal care to small domestic appliances as well as sound and vision, Gekko will be aiming to establish and develop these new and innovative brands in the UK retail channel, offering retailers high-quality alternatives to some of the most exciting new consumer tech products.

Commenting on the appointment, Daniel Todaro, Group CEO, Gekko said: “Rob’s impeccable sales credentials and our retail marketing and customer experience is a brilliant combination to ensure our Gekko x Reze partnership flourishes. There’s so many exciting brands and products that want to assist in launching in the UK and Irish market by providing a 360 service from distribution to marketing.”

Rob Holmes, UK and Ireland Sales Manager comments: “This is an exciting time to be joining Gekko to lead the Reze collaboration. The consumer technology market is constantly evolving and there’s an array of fantastic brands and high-quality products, not yet available in the UK and Ireland, that consumers and retailers alike are going to love.”

Tagged , , , ,
Jun 03 2024
Leave a comment
Posts

Retail therapy: The health & beauty brands delivering the best in-store experiences

Lush keeps it simple on the High Street

Physical retailers have faced immense challenges in recent years as shoppers have taken their purchases online, Covid closed shop doors for months and the global cost of living crisis has forced a decline in footfall and, as a result, sales.

This means that traditional brick-and-mortar retailers now have to fight harder and think more creatively than ever before to deliver seamless customer experiences in their stores. So, which brands are doing it the best in the eyes of marketers?

We continue the Retail Therapy series by looking at health and beauty retailers.

Daniel Todaro, group CEO, Gekko: “Without a doubt Lush, started in 1994 and still rocking it on the High Street. It’s not about tech or gimmicks; it’s about knowing and staying true to who it is, what its customers want and how to deliver it. And the fact that it doesn’t sell online means it has constantly evolved and prioritized its physical environment. The smell of a Lush store teases the senses and invites you in. Once in, it’s a playground of discovery for all ages, full of affordable products accessible to everyone’s pocket. Greeted by friendly staff who encourage you to play immediately, testing products in sinks and enabling you to try before you buy, or not, but still immersing you into the brand and its ethical range of products. Clever at retail and culturally on-point, the Saltburn bath bomb was genius reactive marketing. Bravo Lush.”

Clare Cryer, EMEA vice-president of growth, Outform: “Shoppers flock to Charlotte Tilbury, the luxury beauty brand, for newness, bestsellers and incredible advice. Its phenomenal success has led to growth across the makeup segment at its parent company, Puig. CT concessions have made the beauty counter a place to ‘play’ and feel part of a community getting better and repeatable experiences. They are a destination. The human element is paramount. Products are showcased with clear navigation and messaging. In-store ‘zones of learning’ inform, inspire and drive sales brilliantly, explaining complex product features and formulations in terms of how to use and product benefits, all brought to life by authentic content and reviews.”

Sara Parrish, experience strategy director, Imagination: “It’s clear retail experiences are changing. The Korean eyeglass brand Gentle Monster offers an escapist atmosphere akin to a surreal avant-garde gallery, while House of Vans in London has successfully created an entertainment space that features a skate park along with rotating art, music, and cinematic installations. Experiential retail stores serve as a powerful tool for building understanding around a brand’s products. Dyson understood its technology was innovative in its category, so it took a leap and created the Dyson Demo Store. These pop-ups offer customers space to learn, demo and use their technology. This blend of educational and aesthetic elements creates an immersive space for consumers to interact in a meaningful way and increases the likelihood of customer retention, building loyalty through experience.”

Lee LeFeuvre, chief commercial officer, SMG: “Boots has revamped 170 beauty halls and launched its first beauty-only store in Battersea, creating a ‘beauty destination’ with over 250 brands. Offering services from LED light treatments to Dyson hair styling stations, the digital-first store features over 10 screens for an engaging experience, including a trending pillar for influencer and TikTok content. Boots regularly hosts free experiential events, like the Braun IPL launch with Frankie Bridge and a gamified campaign with Fenty, giving customers a chance to spin to win. This immersive approach leaves customers informed, entertained and more knowledgeable about their beauty regimes, offering a unique experience that online shopping can’t match.”

James Barnes, co-founder, Backlash: “Beauty is a hyper-competitive retail sector. It probably has the greatest number of new products and new brand launches of any category to contend with. The multi-brand beauty retailer Space NK appreciates that social hype and experiences excite beauty audiences. As a result, it has built a regular program of in-store and out-of-store beauty experiences with immersive, experiential pop-ups. These experiences generate anticipation for consumers, encouraging them to engage with the brand to find out when the latest launches and pop experiences are happening. In addition, the in-store experience is exciting and ever-changing, with areas dedicated to pop-ups and exclusive promotional offers from the brand. In the past 12 months, we have created an immersive, 4D-sensorial Japanese Zen Garden experience in Covent Garden for Space NK X Tatcha and highly themed, in-store pop-ups for Ilia Beauty and Caudalie, with many more brands activating on an almost weekly basis.”

Vic Drabicky, CEO and founder, January Digital: “We have found the best retail store experiences combine elements of curation, community and ease. One of the best examples is Kendra Scott. It has an incredibly well-curated assortment, each store is tied into the local community, and the shopping experience is virtually frictionless. While there are many retailers who nail one or potentially two of these elements, executing all three greatly accelerates the retail experience and sales.”

To read the published article featuring a comment by Dan Todaro, Gekko Group CEO, please visit The Drum

Photo from The Drum

Tagged , , , ,
Apr 29 2024
Leave a comment
Posts

Let’s take this outdoors

As the great British weather improves our attention moves to making the most of every moment we can enjoy outdoors, in our gardens, balconies or public spaces with friends, family and pets. We do so at home with a view to bring the indoors outdoors and live alfresco to eat, drink, play, listen and watch. As a result, this change in habits opens up new trends for the consumer electronics industry and opportunities across many categories for all retailers.

With the advent of the bifold door, the garden as an additional room to your house is now common and therefore with more families spilling out into the garden, it’s not that unusual to see an outdoor kitchen combined with dining and living spaces which convert into entertaining and cinemas spaces at dusk.

So let’s start with cooking outdoors and the new appliances appearing on the wish lists of would-be chefs looking beyond traditional BBQs and wanting to offer their guests more than the usual fare of burgers, bangers and cremated chicken drumsticks. Peaking into the world of Grilling opens up a plethora of options for homeowners with buying decisions being made for a variety of reasons including their culinary ambitions, the desire to impress guests, the outdoor space available and of course budget.

The Grilling category includes portable grills, smokers and outdoor ovens and in the UK is estimated to be worth around £177 million currently and is expected to reach almost £200 million within 5 years, growing at a CAGR of 3.70% during the forecast period (2024-2029).

One brand leading the way here is Shark Ninja, which offers a range of innovative outdoor cooking appliances to meet the needs of many consumers and in doing so, enhancing their culinary experiences. The Ninja outdoor range, which has been marketed heavily over recent months, includes the Woodfire Electric Outdoor Oven, Ninja Woodfire Electric BBQ Grill & Smoker & the Woodfire Pro Connect XL Electric BBQ Grill & Smoker, which as the name suggests, features smart connectivity allowing the user to control their BBQ & monitor cooking progress on their phone.

Another area for growth is the outdoor Pizza oven market which is anticipated to grow at a considerable rate over the next 5 years. A number of brands are making their mark including Gozny, Ooni and Witt, all of whom offer a modern, convenient, user-friendly take on the pizza oven.  Together with outdoor electric grills, pizza ovens are something home appliance retailers should certainly consider ranging, opening up sales opportunities in other areas of the home.

One step on from the outdoor appliances are actual outdoor kitchens, something that frequently makes me envious. Imagine having an outdoor kitchen equipped with built-in appliances like refrigerators and sinks. Standard in smart Mediterranean villas for decades but now popping up in Acacia Avenue across Britain, this is a trend that for many who sell kitchens, may see their business evolve over time. Believe it or not, the outdoor kitchen category grew globally from $6.3 billion last year to $6.7 billion in 2024 and is estimated to grow to almost $9 billion by 2033.  

So once you’ve whipped up a culinary feast in your outdoor kitchen, what’s next? Well perhaps kick back and set the mood with a smart outdoor lighting system allowing homes to control and customise their setups with ease. These app controlled solutions, from the likes of Philips Hue, can be programmed to change colours, adjust brightness levels and can be combined with your music via an outdoor audio system to enhance the outdoor living experience. We all know that music adds ambience to outdoor spaces and all-weather solutions are becoming increasingly popular, with weatherproof speakers and sound systems specifically designed for outdoor use that are wireless and Bluetooth-enabled, allowing users to stream music from their smartphones or other devices.

To complete the indoors outdoors experience, CE retailers should be adding some outdoor TV options to their ranges, offering their customers the opportunity of immersive outdoor cinema experiences, day or night. The category is starting to build momentum and unsurprisingly Samsung is at the forefront with The Terrace which comes in both 65” and 75” screen sizes and is specifically designed for open-air use. Another brand to watch is Sylvox which has a much larger range of outdoor TVs. Aside from being weatherproof, they are also more durable and resistant to extreme temperatures and feature exceptionally bright, anti-reflection screens so you can enjoy your favourite content even on the sunniest of days.  Bearing in mind the high price points, the large screen sizes and the intended setting for these TVs, I would suggest that offering an installation service would be a real benefit to your customers.

So, British weather permitting, it is entirely possible to create a new heart of the home, outdoors. By transforming your garden into a living, dining and entertainment space, homeowners can truly embrace an al fresco lifestyle. As we head towards summer, retailers can capitalise upon the opportunity by complementing their usual in-store offering with something different, where your customers can let their imaginations run wild!

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

Photo From Brown Jordan Outdoor Kitchens

Tagged , , , , , , , , ,
Mar 28 2024
Leave a comment
Posts

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

Tagged , , , ,
Mar 13 2024
Leave a comment
Posts

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).”

Tagged , , , , , , ,
Mar 01 2024
Leave a comment
Posts

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

Tagged , , , ,
Feb 14 2024
Leave a comment
Posts

Love is not all around for retailers: 24 million will skip Valentine’s gifting

  • 54% of UK adults aren’t going to buy gifts this Valentine’s Day
  • Under 35s are more than twice as likely to buy cards, gifts and experiences
  • Limited spend and a growing focus on experience-based gifts should be cause for concern for retailers

New research from customer experience marketing agency Gekko suggests that Valentine’s Day is no longer the retail bonanza of old, with over half of UK adults (54%) not bothering to buy any gifts for their significant others, friends or family members.    

Of the 46 per cent UK adults that will buy gifts, only 13% plan to spend more than £50 on a gift, with consumers most likely to spend up to £20 on a gift (34%), so not great news for those big-ticket retailers. In fact, people are likely to spend less on significant others than they would on family and friends, which is perhaps due to the changing relationship dynamics in society.

Young love still drives Valentine’s Day with nearly three in five (58%) of those aged between 18 and 35 agreeing that it is important to mark the day with those you love, including friends and family. This age group are more than twice as likely to buy cards, gifts and experiences for loved ones as over 55s (65% v 31%).  

Another trend that was evident in the research is that experiences are becoming far more popular as a Valentine’s Day gift preference, with 37 per cent of adults saying they prefer to give experiences over physical gifts. This includes taking a significant other to dinner (27%) or gifting an experience like gig tickets and wine tasting (6%). 

This shift towards experiences suggests that retailers may need to reframe their strategy to rely less on the gifting moments throughout the year. More than two-thirds (67%) dislike the consumerism associated with gifting days and moments, with nearly three-quarters agreeing that retailers put too much focus on Valentine’s Day.

With most consumers inclined to purchase fewer, less expensive physical gifts, retailers are left trying to entice a smaller share of the market. A quarter (25%) of consumers agreed that discounts would encourage them to buy physical gifts, but ideas that would help make a gift ‘extra-special’ also appealed to consumers, particularly 18-34-year-olds. 15 per cent of UK adults agreed that product personalisation would encourage them to spend, and 12 per cent liked the idea of limited-edition products, increasing to 22 per cent and 20 per cent respectively amongst under 35s.

Daniel Todaro, MD at Gekko, said: “With consumers’ focusing more on experiences and creating memories with their loved ones, amongst growing disaffection with commercialised gifting moments, retailers will have to reinvent their strategies so that they can get a larger piece of the shrinking heart-shaped pie. And while offering discounts is one way to go, it would be best for competing retailers to avoid a race to the bottom. Instead, setting your offer apart can help to drive differentiation, with personalisation, limited editions and even customer service itself all helping to make Valentine’s Day work harder.”

Tagged , , , , , , , , , ,
Feb 07 2024
Leave a comment
Posts

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

Tagged , , , , , , ,
Jan 19 2024
Leave a comment
Posts

CES 2024 – The Weird and Wonderful

Source: IGN

Each year, CES arrives to inaugurate the year with awe-inspiring technology that leaves us amazed. Yet, amidst the spotlight, there’s also the eccentric, under-the-radar technology that captures the hearts and minds of onlookers. This blog post aims to highlight some of the peculiar and fascinating technologies featured at CES 2024.

  1. Starting off, we have one of the more unique products unveiled at this year’s CES – ‘Flappie,’ designed to prevent cats from bringing unexpected “gifts” inside. Conceived by Swiss brothers, their innovative cat flap was inspired by their mother’s challenges in deterring family cats from bringing mice into the house. The flap includes a manual locking system with a chip detection feature, ensuring it opens only for the specific owner’s microchipped pet. Additionally, it boasts internet connectivity, enabling users to operate the door and review camera footage via a smartphone app. This device operates through AI, detecting when the cat is carrying something in its mouth and withholding unlocking the cat flap until the “gift” is dropped. This groundbreaking cat flap is set to retail for £310.
 Source: Flappie
  1. Introducing the Rabbit R1, a standout product from CES 2024 that has sold out twice within just 48 hours. The Rabbit R1, measuring half the size of an iPhone 15, boasts impressive features such as 4GB of memory, 128GB of storage, and a powerful 2.3GHz MediaTek processor. Unlike traditional devices, the Rabbit R1 does not host conventional apps; instead, it operates entirely on an AI platform, specifically the Large Action Model.

    This innovative device is designed to offer users a more focused and less intrusive digital experience. Responding to voice commands, the Rabbit R1 can perform a wide range of activities, including booking rides, managing household tasks, and providing answers to queries. As an AI-centric device, it has the capability to be trained and taught to execute specific commands.

    Currently priced at £159, the Rabbit R1 redefines the user experience by combining compact design, powerful performance, and AI-driven functionality.
Source: Rabbit R1
  1. Introducing the AX Visio by Swarovski Optik. While they may resemble ordinary binoculars, these boast sophisticated internal technology. Gone are the days of lugging around wildlife identification books during your wilderness adventures. These binoculars feature an ingenious capability that lets you identify up to 9,000 species by simply observing them through the lenses. Priced at £3,820, this product caters to a niche market, likely targeting professionals or passionate wildlife enthusiasts, given its premium cost.
Source: Swarovski Optik
  1. Now, let’s explore Visage, a contender in the realm of smart door locks. Departing from the conventional models that rely on Bluetooth or phone taps, Visage elevates the experience by introducing biometric authentication and secure access. Simply allow the built-in camera to scan your face for a hands-free unlocking process. This innovative door lock supports up to 100 profiles, enabling every family member to effortlessly access the front door using facial recognition. It’s especially convenient for moments like returning from a grocery run with hands full. Lockly’s Visage is slated to hit the market this summer with a retail price of around £275.
Source: Lockly
  1. Introducing the Vasco Translator E1 – an AI earpiece paired with a connected app, seamlessly translating 49 languages in real time. Say goodbye to the struggles of inaccurate translations and clunky language apps. This innovative device eradicates language barriers, facilitating fluid conversations in real time for up to 10 participants. As the icing on the cake, enjoy free lifetime connectivity for translations wherever you go. Anticipated to launch in Q2 2024, pricing details are currently unavailable. Get ready to experience a new era of effortless communication. 
Source: Vasco Translator

Concluding our showcase of 5 Weird and Wonderful gadgets emerging from CES 2024. This year once again brought forth astonishing technology, spanning from Transparent TVs to AI Cat Flaps. Until next year!

Tagged , , , , , , , , , , ,
← Older posts
Newer posts →