To continue fulfilling the evolving needs and expectations of the modern consumer, retailers need to meet them across all channels. Omnichannel retailing is no longer ‘nice-to-have’ – it’s a must-have for any online retailer.
It goes without saying that customers’ number one demand is having a great buying experience, regardless of the channel. Gone are the days when the ability to win customers lie solely in the quality of products or services. Customer experience can be “make or break” within just a few clicks or of a few seconds of meeting a customer service representative.
Australians in particular, tend to be very diverse in their channel preferences when shopping. According to a recent KPMG survey, one in two consumers made their last purchase online from a traditional retailer rather than a pureplay online store, suggesting that maintaining an omnichannel approach to retail is still critical for retailers. To continue fulfilling the evolving needs and expectations of the modern consumer, retailers need to meet them across all channels. Omnichannel retailing is no longer ‘nice-to-have’ – it’s a must-have for any online retailer.
Multichannel Vs Omnichannel
While both multichannel and omnichannel offer multiple touchpoints for consumers to access, the omnichannel approach enables consumers to navigate between each and recognises the consumer’s inclination to explore various channels, and places them, their lifestyle, problems, needs and desires, at the centre of the strategy. The aim is for the matrix of channels is to work seamlessly together, to provide a positive brand experience and to drive purchasing behaviour.
Ultimately, omnichannel retail creates a more positive sentiment for the brand, leading to better word of mouth marketing and sales across multiple channels. It might be a complex exercise for those just beginning to offer omnichannel, but in amongst the plethora of information out there, here are four statistics that could help better understand your customer’s journey.
1: An omnichannel customer engagement strategy can result in an 89 percent customer retention rate
On average, 33 percent of customers will be retained if a company chooses to operate without adopting an omnichannel approach.
Moreover, according to research, omnichannel consumers are likely to spend up to 25 percent more. This increase comes as a result of optimised cross-selling and upselling achieved only by capturing information that tracks the customers in real-time across all channels.
2. People spend an average of 1 hour per day surfing on the web on their smartphones
The increasing smartphone adoption has resulted in more hours spent on the web. According to an IAB Australia survey, Australians spend more time browsing websites and apps on their smartphones than any other device (more than 28 hours per person per month).
So it’s inevitable that more and more moments across the customer journey are happening right there. Whether it’s performing a search, opening an app, visiting a website or watching a video, people turn to their phone to get answers and, increasingly, to take action. The savviest retailers consider the personalised experience of smartphones, and thus offer a more customised, mobile optimised experience.
Not delivering a seamless mobile experience is unforgivable, and a customer’s journey may come to an end if your mobile site isn’t optimised.
3. 75 percent of customers online will share their details with a retailer enabling them to better understand their shopping habits
Retailers who have an omnichannel strategy often receive relevant information from their customers and take advantage of it. They know who the customer is and what makes them tick, allowing for the holy grail: bespoke, tailored, personalised marketing. Customers are regularly asked for postcodes, emails, birthdays and other information, and this data can be compiled along with customer preferences.
Retailers need to use insights to drive specific objectives for each customer across all touchpoints, giving them what they want, when they want it. For instance, there’s navigational personalisation, based on browse behaviour and predictive personalisation: the “if you like this, you might also like…” route.
4. 25 percent of shoppers buy on their mobile device whilst shopping in store
Those consumers who choose to buy on mobile whilst browsing in-store do so in the following circumstances:
- when products aren’t in stock,
- when a size is currently unavailable in a specific store,
- or, and most painfully perhaps, when browsing a competitors’ website where the customer finds the same or similar item at a better price and wishes to try the product in store first.
Not surprisingly, 75 percent of shoppers use their mobile phone while shopping in-store. In fact, even for those customers for whom the lure of the high-street still holds true, technology, especially mobile, is changing their store experience. Retailers now know their biggest challenge is to merge the digital and physical selling worlds into one seamless customer experience.