Tag Archives: Technology

Can the new tranche of Chinese tech brands take the UK by storm?

drum blog

In recent years, more Chinese brands than ever have broken new ground in Europe and continued to develop outside of their established Asian markets. One of the most immediately recognisable Chinese brands is Huawei and possibly Hisense but have you heard of Haier, Oppo or Xiaomi? Chinese consumer electronics brands have recently launched in the UK and are fast gaining traction in their respective categories since being made available on the UK high street.

We live in a society where global brands are the norm. Whilst we are, or at least believe we are, familiar with many of the brands we are exposed to, there are others that we don’t know so much about even if we buy-into them as consumers. Do we care about a brand’s origins and heritage? Or are consumer purchase decisions driven by a products’ look, functionality, usage, price point and status? If this new tranche of Chinese tech brands doesn’t focus enough on building their brands and resonance with the UK audience, will they be able to compete with their Californian cousins and achieve their full potential in the UK market?

Cleverly Haier, the world’s number one major appliance brand in terms of volume bought Hoover Candy, a traditional stalwart of the Major Domestic Appliance market in the EU which enables Haier to tap into the trust associated with a familiar European brand. Now listed in John Lewis stores, there’s brand reassurance of Haier is being established among shoppers.

Oppo, China’s leading 4G smartphone manufacturer, launched its range of mobile phones into Dixons Carphone earlier this year. With flagship models coming in at under £800 SIM free, the brand offers premium and innovative features at a fraction of the price other brands may charge. Time will tell if the brand has done enough to resonate and take a big enough market share and see a return on investment on their ICC Cricket World Cup and Wimbledon sponsorship.

Xiaomi, pronounced ‘ShwowMee’, is actually the world’s most valuable privately held company, and the third biggest smartphone maker, selling 61 million handsets last year. Xiaomi has been bold with its UK launch strategy and has opened a great new Mi store at Westfield White City. The store is familiar looking, sharing many similarities, all be it on a smaller budget, to that of its Californian cousins.

It sells a variety of products from mobile phones, TVs, smart kettles, electric scooters and other accessories in an environment where you are encouraged to play and explore. Its pricing is competitive and it’s certainly within the budgets of a far wider demographic than other brands but what it lacks is star quality. Star quality on build, packaging and its ability to give consumers that ‘feel good’ factor from an anonymous brand is essential if it’s to mean more to consumers. All possible if its proud heritage and brand storytelling was more obvious.

Tell me what Mi means to the technology industry and I may be persuaded to purchase some of today’s most competitively priced technology and become a brand advocate. Hide from me what Mi is and I may react a bit more suspiciously and feel the brand isn’t the best fit for me. Brands, wherever they are from, should be proud of their heritage and success. A confident, honest and ethical brand will help instil the necessary confidence in consumers to help a brand to gain traction and ‘win’ in a new market.

To read the full article please visit The Drum.

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Could Game of Thrones’ dark cinematography style boost TV sales?

tv blog

We’ve been warned time and time again that the night is dark and full of terrors, but I don’t think we realised just how dark things were going to get…

Episode 3 of season 8 of Game of Thrones aired this weekend, and it was quite the spectacle. Without writing a bunch of spoilers, let’s just say it was 82 minutes of genius writing and acting. I laughed, I cried, I cheered, and I squinted… I squinted a lot.

Set at night-time, and in amongst an abundance of fog, there was no doubt that it was going to be dark and mysterious. But along with the 70,000 other fans who complained on Twitter, I was unable to see a damn thing during certain scenes.

I found myself pausing the show and desperately fiddling about with image settings on my TV. I checked my internet connection, I turned all the lights off, I closed the blinds, but it didn’t matter what I did, there seemed to be some problem with the cinematography.

Or was there?

“No, it wasn’t a technical hitch, it was intentional, as the showrunners and director wanted the episode to be dark and forgot to tell viewers that it should be watched in a dark environment,” Dan Todaro, MD of Gekko Field Marketing told PCR.

Sure enough Fabian Wagner, the show’s cinematographer, insisted that his filming wasn’t to blame for the issues and HBO’s compression of the episode was to the problem. However, despite all the back and fourth finger pointing, it’s not really any one group’s fault.

“The GoT cinematographer is claiming that the pixelation and muddy dark colours that fans encountered on their TVs and mobile devices were due to HBO’s compression of the episode, made worse if being viewed on a streaming service with a weak connection,” said Todaro.

“However, is this more a case of technology overtaking consumer demand? Not everyone has the technology to view in UHD either on a device or TV yet flagship ‘big budget’ productions are using today’s technology. Compound this with a splash of creative licence and run the risk of upsetting die-hard fans, as happened with this episode.”

This is the same conclusion that I came to. My TV is almost 7 years old. Is it technically MY fault that I don’t have the right technology in my home to enjoy such advanced cinematography? And if so, how many other people are having their entertainment ruined by simply continuing to use their current devices?

“Interestingly, over half of British consumers buying a new TV are doing so because they are replacing an existing, working set (44%) or buying an additional set (16%),” pointed out Todaro. “The HDR feature is particularly important to those upgrading or buying an additional product indicating that not everyone has the capability to enjoy content as intended by producers.”

If that’s the case, Game of Thrones’ dark cinematography style could possibly contribute to a boost in TV sales – something retailers should be taking advantage of.

“When purchasing a new TV, bricks and mortar stores are still a dominant influence in the final decision making process. Analysts expect to see more 65 – 80 inch models and the first 8k sets from several brands become standard ranging in 2019,” explained Todaro.

“Was this episode a rare example of content overtaking technology and consumer demand? Maybe, but for those savvy brands and retailers, it’s an opportunity.”

To read the full article please visit PCR.

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Why Google’s launch of Stadia is a game-changer for the gaming industry

Stadia Blog

Google’s launch of Stadia is a game-changer, and a move that will have Nintendo, Microsoft and Sony quite concerned. No downloads, no patches and no console makes this the cloud gamers dream, and Google is delivering this incredible service without compromising on graphics quality. With 2.3bn active gamers globally and 46 per cent of those (1.1bn) spending, the financial impact to the establishment is significant. More so with the forecasted growth of gaming from $137.9bn (£105.3bn) in 2018 to more than $180.1bn by 2021.

Generational changes in consumers have seen Millennials identify with nostalgia, and they recapture their youth through console gaming, just as they have been doing for over 20 years. Back in 1994 PlayStation appeared on the market and having sold 525m consoles. It’s by far the most successful gaming platform ever.

Sony, together with Nintendo and Microsoft, has attempted to evolve the proposition and gaming to a digital platform with some degree of success. The most successful here is again PlayStation, with 80m active users on its PlayStation Network, up from 70m only a year ago.

However, PlayStation 4 Sony’s most up-to-date platform, is now six years old and accounts for a third of the total Sony turnover and profit. It’s no understatement to describe PlayStation as the jewel in Sony’s portfolio and that may just be about to be disrupted.

“A new generation platform”
Enter Google with its Stadia solution. As Phil Harrison VP and general manager at Google stated when launching Stadia: “It’s a new generation platform, rather than a next generation platform” which is what perhaps Sony, Microsoft and Nintendo have failed to achieve. Instead they’re merely evolving the concept of their platforms, rather than recreating them. Stadia will be a tough act to follow, with sharing options via YouTube, which has 63m daily viewers worldwide, Google Assistant built in, 4K resolution games at 60 frames per second with HDR (High Dynamic Range), and a plan to support 8K resolution in the future.

It may be game over for the business of selling hardware and encouraging gamers to ‘upgrade’ to a new console. This is not great for retailers who make a good margin on selling the hardware to eager gamers needing to upgrade to access the dream being sold by the platforms. For the platforms, success relies heavily on the hardware sales as the portal to the business end of the operation, the games themselves. Much like the print industry, brands sell the hardware at little or no margin to acquire users to the platform, tying them in to facilitate access to the gaming titles which deliver the true spoils and profit to the platforms.

Now with Stadia the internet is your store, with the network and data centre as your platform. So perhaps the paradigm is about to shift and the gaming industry will see a new emperor wear the clothes.

Generation Alpha

Consider Generation Alpha, the generation born after 2012, who as future consumers have been born into an era where minimalism in hardware drives digital innovation. This is the generation whom Stadia speaks to in volumes, and it may well turn out to be the only gaming platform this generation ever knows. Given that many 10 year olds become avid gamers, mobile phone, tablet and computer users, with no concept of physical media, this seismic shift could make the gaming establishment obsolete, unless their platforms evolve quickly.

To read the full article please visit Mobile Marketing.

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Happy 20th birthday Bluetooth, my haven’t you grown!

Lovely Mobile Blog

Two decades ago, in 1998, the concept of Bluetooth was born, and little did we realise that this oddly named wireless technology would rapidly become one of the greatest technology enablers of all time.

When the first commercial products started to roll out at the turn of the millennium, I was working at Orange creating training material for the network’s third party retailers and Bluetooth was, like WAP and Wildfire one of many exciting new developments that we hoped to enthuse the channel about. I was lucky to receive from Ericsson a limited edition Bluetooth kit containing a HBH-10 headset and adapter to enable my T28 to hook up to it.

However, despite being impressed at how clever it all was, I was just too self-conscious to go full geek and use it in public!  And whilst those behind the technology probably had a vision for where it could lead, I certainly didn’t think far beyond the wireless Bluetooth headset…how wrong was I?

If you don’t know the history behind the development of Bluetooth, it’s incredibly interesting. The germ of the idea was first pioneered more than half a century before its official launch. Like so many technological breakthroughs, war proved the catalyst. The pioneer was Hollywood actress and part time inventor Hedy Lamarr.

Her war-time invention was for radio communications to ‘hop’ from one frequency to another, so that Allied torpedoes couldn’t be detected by the enemy. Despite not being able to bring it to market, her idea paved the way for both Bluetooth and Wifi.

Fast forward to 1989 and a meeting between Nils Rydbeck, CTO at Ericsson Mobile in Lund, Sweden and Johan Ullman paved the way for the realisation of Lamarr’s vision. The meeting was to establish a mobile specific solution for hands-free headsets.

The development of the “short-link” radio technology, uniting the PC and cellular industries, later named Bluetooth, was initiated in December 1996 where a series of companies got together to form the Bluetooth Special Interest Group (SIG), finally established in 1998.

What the companies (thankfully) understood was that a standardized protocol had to be created so that Bluetooth would seamlessly work across several devices from a multitude of companies. SIG, which started with five companies (Ericsson, Intel, Nokia, IBM, and Toshiba) and 400 members now has more than 30,000.

Most of us don’t think about whether a product is Bluetooth enabled we just expect it to be built in allowing our smartphones to connect seamlessly to all manner of devices such as headphones, wireless speakers and voice enabled assistants.

Eighty-Six per cent of new vehicles now come with integrated Bluetooth, allowing drivers to enjoy their personal streaming services such as Spotify and helping to reduce the number of motorists spotted with a mobile phone clamped to their ear. Without Bluetooth there wouldn’t be voice control in Sky Q remotes, wireless gaming controllers, PC connectivity and devices and whole new categories such as Wearable technology.

It is a great democratising force in technology. And what about the future? The SIG’s Developer Centre provides the opportunity for companies and individuals to create Bluetooth products and take them to market. A whole host of exciting developments are powering new possibilities for the technology.

  • Point-to-point is a network topology used for establishing one-to-one (1:1) device communications. This enables all your devices to talk to each other. It provides optimized data transfers and is ideal for connected device products, such as fitness trackers and health monitors.
  • Meanwhile Mesh is a network topology used for establishing many-to-many device communications. The mesh system enables the creation of large-scale device networks with the ability to connect thousands of devices reliably and securely communicating with one another.

In retail this presents some great opportunities. With traditional retail under enormous pressure, pioneering retailers are already leveraging Bluetooth to enable personalised promotions and way-finding services that connect to smart shelves. Increased customer-centricity enabled by Bluetooth could include Smart pricing, tailored offers, real time data-led category management, all the while creating better shopper experiences for the customer. This in turn will enable retailers to increase sales, boost profit and reduce operating costs.

Bluetooth can play a vital role in enabling planners to connect city infrastructures in ways never before imagined and gather data to guide informed policy making.  As the population grows exponentially, there will be increased pressure on resources, utilities, and council budgets. Smart homes and cities can provide ongoing real time feedback to provide evidence-based decisions based on human need. From where to plan schools, doctors’ surgeries or free bike stations.

As the demands of the Internet of Things (IoT) continue to grow, Bluetooth continues to expand its capabilities. This most strangely named of technologies is set to remain an ongoing but invisible feature in all our lives. Happy birthday Bluetooth! My haven’t you grown.

To read the full article please visit Lovely Mobile.

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The glue that connects all communities

ert blog

By riding a crest of goodwill, utilising new digital channels and tapping into the networks of big brands independent retailers can punch above their weight, boosting sales and awareness.

Independent retailers have long faced competition on multiple fronts. The big threat for many years were the big chains gobbling up the high Street. Now that threat has moved online with digital pure play sites like Amazon eroding market share. The truth is not many customers are particularly sentimental about the plight of some of the bigger chains in trouble. However, the threat to local stores from the likes of Amazon and Omni Channel retailers has been met with much more concern from the public and big brands.

A series of initiatives have sprung up in defense of these traditional bastions of the high street, from independent record store day to independent retailer month. Additionally, reports from organisations like the New Economic Foundation have highlighted the benefits to local communities from spending in independent shops versus bigger stores or online. These messages have cut through. A survey last year by Pure 360 found that consumers are three times more likely to shop in independent stores than large shops in the next five years.

This approach has been noted by large brands who have started to latch onto this trend to boost their own credentials and bottom line by supporting local independent retail. Visa chose to focus its Christmas campaign on local heroes and independent stores. Visa’s focus was on switching the focus of the traditional format of a Christmas marketing campaign, from what people are buying or who they are buying for, to where they are buying things from. American Express did their bit too, with a ‘Shop Local’ campaign that rewarded AMEX customers with a £5 statement credit for shopping in local independent stores.

The digital revolution may represent a major threat to independent retailers in terms of competition, it also represents a huge opportunity in terms of marketing. Independent retailers have always had an intuitive understanding of their customers and this can be bolstered by digital channels. While local newspapers may be closing, local newspaper websites are seeing more growth than ever in readers. The explosion of SMART phones has also led to a huge increase in the figures accessing local radio and content, another great route for independents to get their messages out. This is not to mention social media, both paid and organic with the ability to offer a micro-targeting strategy and hyper local personalisation, enabled by both Facebook and Google. Clued up retailers are seeing the benefit of connecting with increasingly online communities springing up.

In electronics particularly, many product brands are wising up to the opportunity and skill local independents possess. A great example of this is Freeview. The Freeview Retail Development Team are a strategic field team, supporting independent retailers across the UK. The team are unique in that they do not sell a specific product for a specific brand. Instead, the team supports all Freeview (including Freeview, Freeview HD and Freeview Play) enabled products across all brands and stores.

Where some brand teams are selective in their retail support, the RDE team’s brand independence means they can offer the best possible service for independent retailers, cooperating with OEM brands such as Panasonic, Humax, LG and Toshiba to deliver up-to-date training on all products and services.

As well as assisting retailers through training, the Freeview team also supports independents with local marketing campaigns, in the past having managed localised radio, press and social media campaigns supporting selected retailers with a Freeview focus.

Through long-term training support, local marketing campaigns, and regular visits to ensure all staff are knowledgeable on all aspect of the brand, they help to ensure that independents are the destination of choice for Freeview customers. They understand the fact that independents can provide the glue that connects local communities.

By focusing on their strengths, connecting with these bigger brands and tapping into the needs of their customers through targeted local advertising, independent retailers can grow as a destination of choice for customers and become their local hero.

To read the full article please visit ERT Online

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Grab your piece of the action

ERT Blog

With Smart Home product sales set to boom over the coming years now is the time to get in on the action and here, Rupert Cook, Sales and Marketing Director at Gekko, looks at how this can be done.

Here at Gekko we’ve been talking about the Smart Home for over four years now. Back in 2014, we commissioned research into ‘the connected home’ and asked consumers what they thought of having digitally connected devices in their homes. The vibe coming back from the 2,000 respondents wasn’t exactly positive.  When asked about what kind of product they would consider, smart thermostats came top of the list with 44% expressing an interest. Over a quarter said they wouldn’t be interested in any form of smart device.   The principal concerns cited were expense and the technology being deemed as not necessary.

Thankfully for us all, things have moved on from then and the numbers speak for themselves. Analysis by PWC The global market for smart home is expected to be worth $50bn by 2022. Around 30% of people are planning to purchase a smart home device for the home in the next two years and looking at just one product category in the smart home arena, Smart Speakers, further illustrates the potential. In 2017 Amazon sold 33m Echo devices whilst Google dominated selling more than one Home device per second from its launch in October 2017 to mid-2018.

Consumers aren’t only purchasing smart home products; they’re also discussing the merits online. A study by Crimson Hexagon indicates that positive sentiment is growing from 60% to 80% in the last year, another sign that smart home technology sales are poised for blockbuster growth.

So what will 2019 bring for the smart home. Well CES, the annual consumer electronics trade show in Las Vegas, is only just around the corner and a quick search for the subject on their website schedule brings up roughly 100 talks, seminars and events on the topic. Smart home is without a doubt going to be one of the lead stories for many journalists and the category will become more diverse, with new innovations and services coming to the mainstream. Looking beyond just the smart home, it’s worth noting that 5G technology is on it’s way in 2019 as it’s rolled out to certain cities in across the UK. With speeds 20 times faster than 4G, the advance is only going to hasten the Internet of Things and connectivity in general and will in future open up new possibilities for consumers. Everything from refrigerators and window shades to your family car will be linked, while housekeeping robots and next generation digital assistants facilitate day to day activities.

The potential is there for CE retailers to capitalise on the opportunities and as indicated by the ERT Turning Point survey back in October, 45% of respondents have been looking at the Smart Home as a new area for their businesses. There are however challenges that have meant slow consumer adoption. To be successful at selling smart home solutions, retailers need to acknowledge and overcome these barriers.

The perceived complexity of systems is one of the principal hurdles for consumers, so it’s essential that the sales approach simplifies the options available and doesn’t overwhelm the shopper. It’s easy to get carried away and attempt to impress by reeling off the endless possibilities of what can be done; ‘if you buy this, install these, connect it to that, then you’ll be able to get Alexa to run the household…’   The chances are that you’re going to elicit the response ‘Great but I’m never going to do that’.

Our Smart Shopper research from earlier in the year showed that 21% of people love the idea of the smart home tech but were intimidated by the complexities.  Look to address this and you can have these types of customer eating from the palm of your hand.

The idea of complexity isn’t helped by the challenges of market fragmentation. On a typical shop floor, product groups tend to be disconnected – smart lighting, smart speakers, thermostats, security, home appliances etc. all displayed in separate areas. This makes it hard for consumer picture the totality of what’s actually possible within their home. All the shopper can see is competing brands, competing products and competing technologies. There is a general fear that if you buy into a particular brand then you’re on a committed pathway as there is no guarantee you’ll be able to integrate with other devices or solutions.

Retailers must plan, order and merchandise to overcome these inconsistencies and create a conducive sales experience. As an example, the Google Smart Tables in some multiple retailers bring together their devices with compatible third party products such a Philips Hue and in doing so bring the category to life.

Intrinsically linked to the above points is the need for the human touch. For all the great interactive displays that can be installed to bring the concept and possibilities alive in-store, there needs to and effective sales person on hand to guide and advise the customer. Otherwise, what will happen? The shopper will do their own research from the comfort of home before making an online purchase.

In creating effective sales people, the approach to training is obviously fundamental. For retailers, sales teams should be able to present an agnostic solution, understanding the bigger smart home picture rather than focusing on specific product types. Retailers should also tap into the product training on offer from suppliers and take up any offers of seeded or loaned kit, creating users and thus advocates of the products.

Consumer education is the key to expanding the use of smart technology into the modern home and retailers sit on the front lines of that effort. For all the pessimistic talk surrounding physical retailing it should be remembered that it still accounts for 80% of consumer sales in the UK. There’s an opportunity for bricks and mortar retailers to demystify the smart home and become the shop of choice for consumers looking to invest in the tech. And our recently published study shows how shoppers desire great retail experiences, with 81%  claiming the personal touch has disappeared from customer service in modern British retailing. Moreover, a third said that the personal touch is more likely to make a repeat purchase, with a fifth saying it would make them spend more. By offering up a great experience, education, advice, opinions and added value services such as installation, the smart home is certainly a category where you can battle against online retailers.

To read the full article please visit ERT

For more information on our research please visit Gekko.

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Customers want service not sci-fi from high street retailers

Blog

We all know the 2019 outlook for brick and mortar retail looks troubled and indeed it’s barely a month into the year and we’ve already seen Patisserie Valerie collapse into administration. Are we surprised? You only need to look at the makeup of the high street to see the extraordinary amount of competition facing a business like this coupled with the fact that the business hadn’t changed much since its launch. It needed to adapt and if brick and mortar retailers focus on aligning their strategies to current market conditions and take on board what customers say, a one size fits all decline isn’t inevitable.

We recently conducted a survey ‘Service, not Sci-Fi’ that looked at the reasons people were turning away from retailers but also how they might turn back. While cost cutting and staff consolidation might be the first response to disappointing figures, our survey showed this could have an immediate detrimental impact on sales. Our study found that 81% of UK shoppers felt that personal touch had disappeared from retail customer service in modern Britain. Almost a third (32%) blamed an over-reliance on technology for this decline. And half of those polled thought that companies in the UK use technology to save money, rather than improve customer experience.

Despite living in a world driven by technology, most people don’t want technology to sacrifice human opinion and experience. Only 30% said they would like to see ‘smart pricing’ initiatives adopted by retailers, where prices change in real time depending on demand, 22% would like to see smart mirrors that show a 360 view of themselves, 16% desire a VR changing room, while 14% want AR for visualise products at home and 9% seek a talking robotic assistant.

When asked what makes a great brick and mortar shopping experience, half of those polled said it was down to having good staff on the shop floor; staff that know the products (49%) and staff that go the extra mile (47%). Coupled with this, 61% of the nation would prefer to deal with someone face-to-face when complaining, while 59% liked a human interaction when enquiring or trying to find out more about a product and 73% wanted to see someone when being issued with a refund.

And back to the impact on the bottom line – a third of Brits say that the personal touch is more likely to encourage them make a repeat purchase, and more than a fifth (22%) claim they always spend more money in a shop if they are served by a good assistant, incrementally adding to sales. Over a third (34%) of shoppers stated that a poor experience has driven them to buy from another retailer.

The research also highlights the impact of the decline of local retailers, with a quarter of Brits saying they miss shopping somewhere where people recognise them and 16% confessing to preferring talking through a purchase with someone in-store, while a quarter reveal that online shopping is less fun than buying something in a real shop. The convenience of a store’s location is also important according to 43% of respondents which means that retailers should consolidate their estates. Many will notice immediate effects. This only emphasises the need to carefully consider the experience provided in-store and whether their staff can deliver the expected experience.

With traditional retail under more pressure than ever and an astonishing 81% of people feeling that the personal touch has disappeared from shopping, businesses need to focus on their customer experience strategies to keep people coming back for more.

To read the article please visit The Drum.

To read more about our Service not Sci-fi research please visit the Gekko website.

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Let’s give retail its pride back

rs blog

Whilst technology can provide speed, convenience and even a wow factor, people are still the key to successful retailing and good sales people give shoppers a reason to visit

Looking at all the analysis and commentary relating to the ‘golden’ quarter trading figures, published in January by the UK’s major retailers, it’s clear that after a dismal November, retailers had to play a game of catch up in the closing stages of 2018. Whilst there were some positive stories such as the ‘very strong’ Christmas eve sales at John Lewis, it was less rosy for many other retailers and in 2019 it will continue to be a tricky path to success.
As we are constantly hearing, UK high street retail is taking quite a bashing but are we really surprised? How long could retail sustain so much online competition?

Everywhere you look another coffee shop or restaurant is opening to fill the empty nests left by retailers of old. We’ve seen changing retail patterns before for example during recessionary times, but this feels very different, almost like self-harm. We’re seeing a complete transition in retail in the UK. Brexit uncertainty is damaging consumer confidence and the media isn’t helping the plight of retail when all you hear is doom and gloom. The notion, right or wrong, sinks into the public psyche. Businesses are going bust, estates are shrinking, and consumers are opting to head online. It’s not a pretty picture and there needs to be a considerable amount of effort into halting the slide.

Whilst some retailers are taking an innovative approach to how they engage with their customers on the high street, many appear to need additional inspiration. I’ve read many articles lately that talk about how technology and innovation will transform the in-store shopping experience and save the high street; self-service checkouts; robot assistants; augmented and virtual reality.
However, a recent study we conducted, titled ‘Service not Sci-fi’ revealed that despite living in a world driven by technology, most people don’t want technology at the sacrifice of humans’ opinions and experience. Only 30% said they would like to see ‘smart pricing’ initiatives adopted by retailers, where prices change in real time depending on demand, 22% smart mirrors that show a 360 view of themselves, 16% a virtual reality changing room, 14% augmented reality to help visualise products in the home and 9% a talking robot assistant.

An astonishing 81% of UK shoppers claim the personal touch has disappeared from retail customer service in modern Britain, with almost a third (32%) blaming an over reliance on technology for this decline. And when asked what makes a great bricks and mortar shopping experience, 49% of those polled said it was down to having good staff on the shop floor, staff that know the products (49%) and staff that go the extra mile (47%).

Consumers want to do business with real people and have real conversations. And businesses take heed – a third of Brits say that the personal touch is more likely to make a repeat purchase, and more than a fifth (22%) claim they always spend more money in a shop if they are served by a good assistant, imagine converting that to sales? Over a third (34%) of shoppers stated that a poor experience has driven them to buy from another retailer, not great in the current climate.

So perhaps retailers have got their strategy wrong? Whilst technology can provide speed, convenience and even a wow factor, people are still the key to successful retailing and good sales people give shoppers a reason to visit. If bricks-and-mortar retailing is to thrive it needs to recognise that there is a changing role for stores. There needs to be a shift from transactional retailing to experiential. There needs to shift from till operator to sales consultant. This requires good teams on the shop floor and with all the negative commentary surrounding the high street it is difficult to attract talent but perhaps this is where retailers should focus their efforts?

Retail remains a rewarding career where those involved take pride in the service they provide. This culture should be representative of all retailers, however that’s about culture not proposition. With a change in mindset for both the retailers and their store teams, then it’s possible to bring back the pride in delivering the optimum customer journey and in doing so enhance the experience for all.

To read the full article visit Retail Sector.

For more information on Gekko’s recent ‘Service not Sci-Fi’ study please visit our Research Page.

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Consumers want ‘real people not robots’ from retailers

ert blog

A study launched this week by Gekko, a marketing agency, titled – ‘Service not Sci-fi’ reveals that UK shoppers would rather deal with real people not robots or artificial intelligence when it comes to shopping.

The study found that 81 per cent of UK shoppers claim the personal touch has disappeared from retail customer service in modern Britain, with almost a third (32 per cent) blaming an over reliance on technology for this decline. And half of those polled think that companies in the UK are using technology to save money, rather than improve customer experience.

Despite living in a world driven by technology, most people don’t want technology at the sacrifice of humans’ opinions and experience. Only 30 per cent said they would like to see ‘smart pricing’ initiatives adopted by retailers, where prices change in real time depending on demand, 22 per cent smart mirrors that show a 360 view of themselves, 16 per cent a virtual reality changing room, 14 per cent augmented reality to help visualise products in the home and nine per cent a talking robot assistant.

When it comes to buying online, 43 per cent of UK shoppers have had their screen freeze while trying to make a purchase, so when asked what makes a great bricks and mortar shopping experience, 49 per cent of those polled said it was down to having good staff on the shop floor, staff that know the products (49 per cent) and staff that go the extra mile (47 per cent). Coupled with this, 61 per cent of the nation would prefer to deal face-to-face when complaining, 59 per cent when enquiring or trying to find out more about a product and 73 per cent when getting a refund.

And businesses take heed – a third of Brits say that the personal touch is more likely to make a repeat purchase, and more than a fifth (22 per cent) claim they always spend more money in a shop if they are served by a good assistant, incrementally adding to sales. Over a third (34 per cent) of shoppers stated that a poor experience has driven them to buy from another retailer.

The research also highlights the impact of the decline of the local shop, with a quarter of Brits saying they miss shopping somewhere where people recognise them, 16 per cent confessing they preferred the days when they could talk through a purchase with a someone in-store, and a quarter saying online shopping is less fun than buying something in a real shop. The convenience of a store’s location is also stated as important by 43 per cent of respondents, which means that as retailers consolidate their estates, many will notice the effects, further emphasising the need to carefully consider the experience being provided in-store and the staff needed to deliver the experience.

According to the research we waste almost an hour and a half a month interacting with automated technology, only for a human to have to step in and help. In addition, 47 per cent of shoppers have experienced self-service checkout failure that’s had to be rectified by a shop assistant.

In fact, more than three quarters (77 per cent) of UK shoppers admit they’d much rather use a checkout with a person on it, rather than taking the self-service option.

Daniel Todaro, MD of Gekko, said: “Everyone is talking about technology and innovation within retail, but our research clearly shows that what consumers really want is the human touch. With traditional retail under more pressure than ever and an astonishing 81 per cent of people feeling that the personal touch has disappeared from shopping, businesses need to focus on the customer experience in these tough trading times to help keep the high street alive.”

To read the full article visit ERTonline.

To find out more about our ‘Service not Sci-fi’ research please visit our Research page.

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Brits want ‘service over sci-fi’ from retailers: Gekko study

A study published by marketing agency Gekko – ‘Service not Sci-fi’ – reveals that UK shoppers would rather deal with real people over robots or artificial intelligence when it comes to shopping.

The study finds that 81% of UK shoppers claim the personal touch has disappeared from retail customer service in modern Britain, with almost a third (32%) blaming an over reliance on technology for this decline. Half of those polled believe that companies in the UK are using technology to save money, rather than improve customer experience.

Only 30% said they would like to see ‘smart pricing’ initiatives adopted by retailers, where prices change in real time depending on demand, 22% smart mirrors that show a 360 view of themselves, 16% a virtual reality changing room, 14% augmented reality to help visualise products in the home and only 9% in favour of a talking robot assistant.

When it comes to buying online, 43% of UK shoppers have had their screen freeze while trying to make a purchase. When asked what makes a great bricks-and-mortar shopping experience, 49% of those polled said it was down to having good staff on the shop floor, staff that know the products and staff that go the extra mile (47%). Coupled with this, 61% of the nation would prefer to deal face-to-face when complaining, 59% when enquiring or trying to find out more about a product and 73% when getting a refund.

A third of Brits say that the personal touch is more likely to make a repeat purchase, and more than a fifth (22%) claim they always spend more money in a shop if they are served by a good assistant, incrementally adding to sales. Over a third (34%) of shoppers stated that a poor experience has driven them to buy from another retailer.

The research also highlights the impact of the decline of the local shop, with a quarter of Brits saying they miss shopping somewhere where people recognise them, 16% confessing they preferred the days when they could talk through a purchase with a someone in-store, and a quarter saying online shopping is less fun than buying something in a real shop. The convenience of a store’s location is also stated as important by 43% of respondents which means that as retailers consolidate their estates, many will notice the effects, further emphasising the need to carefully consider the experience being provided in-store and the staff needed to deliver the experience.

According to the research we waste almost an hour and a half a month – which is 17 hours a year, the equivalent of more than two days at work – interacting with automated technology, only for a human to have to step in and help. Bug bears include getting someone to rectify a problem with the self-service checkout, and ringing customer services and dealing with a recorded voice, only to repeat the details to the person you end up talking to.

Little wonder, then, that 51% of Brits have slammed the phone down during an automated call, as the system didn’t recognise what they were saying. And 47% of shoppers have experienced self-service checkout failure that’s had to be rectified by a shop assistant.

In fact, more than three quarters (77%) of UK shoppers admit they’d much rather use a checkout with a person on it, rather than taking the self-service option. More than 4 in ten (43%) British shoppers would rather speak to a person than an automated system when making a phone enquiry, with almost a quarter (23%) ending up having to complain on social media when their query hasn’t been responded to via the automated service.

Daniel Todaro, managing director of Gekko said: “Everyone is talking about technology and innovation within retail, but our research clearly shows that what consumers really want is the human touch. With traditional retail under more pressure than ever and an astonishing 81% of people feeling that the personal touch has disappeared from shopping, businesses need to focus on the customer experience in these tough trading times to help keep the high street alive.”

The survey was conducted by Ginger Comms in December 2018, speaking to a sample of 1,500 shoppers aged 18+ and representative of the UK population.

Article published on Marketing Industry News

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