retail Archives - Omnichannel Personalization SaaS Solution

12 Feb
2019

Increase eCommerce Conversion this Holiday Season with Personalization

3 key strategies to make more sales on your website with personalization strategies

Did you know that 72% of consumers find that online gift shopping has made life easier during the holiday season?

As a retailer, you can’t afford to ignore the various ways that eCommerce can boost your online sales.

In particular, personalized marketing technologies allow brands to engage with consumers online and increase conversion rates. Here are three effective strategies to increase your eCommerce conversion rate this holiday season:

1. Optimize website user experience with personalization

Shoppers that engage with personalized website content are more likely to convert. Research found that even though visitors who clicked on product recommendations accounted for only 5% of clicks, those clicks represented 30% of Cyber Week revenue.

You can deliver a personalized experience by displaying relevant content based on a customer’s preferences, browsing behaviors, and purchasing history while augmenting the shopping experience with features such as wishlist, past purchases list, and personalized gift guide.

In addition, you should leverage existing customer data to streamline the checkout experience, reduce cart abandonment, and optimize conversion rate. For example, by pre-selecting options based on customers’ past preferences, providing one-click checkout using existing customer data, and pre-filling forms using information from customer profiles.

2. Promote personalized offers with Email Marketing

Email marketing is a great way to engage with your email subscribers and customers who are already familiar with your brand and therefore, more likely to make a purchase.

Leverage your customer database and segment your email list to send emails with offers tailored to specific groups based on their past purchases, customer lifecycle stages, or other data such as preferences, interests, geographic location, and demographic data.

You can set up behavior-triggered workflows, which are initiated by how recipients respond to your previous emails. You should also leverage email retargeting — which can help eCommerce websites increase their revenue by as much as 400% — to re-engage visitors who came to your site but didn’t take action.

3. Implement an Omnichannel Personalization Strategy

While 86% of consumers would make an in-store purchase, 75% also order gifts online. Instead of engaging with a brand on one specific channel, consumers do so via a variety of touchpoints — whenever and wherever that’s most convenient for them.

Multichannel shoppers tend to spend more per transaction, so it’s important for retailers to be present in multiple customer touchpoints so they can engage with shoppers at the right place and in the right time.

To increase the effectiveness of your omnichannel marketing strategy, use a customer data management tool that collects customer information so you can understand how shoppers engage with your brand. You can then generate insights on how to deliver the most relevant offers through each channel based on customers’ real-time interactions with your business.

Implement your eCommerce personalization strategy at scale

Personalization marketing is a proven way to increase eCommerce conversion rates. In order to implement this strategy at scale, you need the ability to fully leverage all customer data so you can deliver the most relevant content and offers.

Our customer data management platform and its syndication layers, which enables real-time acitiviation of content and offers on multiple channels, allow you to effectvely engage your customers by leveraging the power of personalized marketing.

Request a demo today to see how our solution can help you increase eCommerce conversion this holiday season.

13 Mar
2018

Leverage Mobile as a Gateway to Omnichannel Retail

In the immortal words of Bob Dylan, “The time’s they are a-changin,” and the average customer’s buying journey looks much different than it did in years past. Mobile commerce, or m-commerce, is one of the primary drivers of this evolution. Customers are often introduced to brands on their mobile devices – whether that happens through social media, peer recommendations, or search engine results. Simply put, mobile is the way of the future. Google reports that 53 percent of all teens and 43 percent of 25 to 34-year olds prefer to make purchases via mobile device and this number is only expected to rise.

Statista projects that mobile sales will reach 669 billion dollars in revenue this year, but even customers who don’t make their final purchases via mobile still use their devices as an essential touchpoint along their path-to-purchase. As a result, retailers have to build their websites, marketing plans, and social media accounts in way that engages customers with their brand. This is much less difficult to do than it sounds, so let’s go over three ways that retailers can create a mobile presence that encourages customers to continue their product research – functioning as a gateway to a profitable omnichannel experience with their brand.

Impact sales with multiple digital touchpoints

In a 2017 study by Forrester and NRF, digital touchpoints were found to impact 49 percent of retail sales. It’s then safe to surmise that if a retailer provides a mobile experience that customers find unsavory, up to 49 percent of that company’s profits can be lost. Even if a retailer has a presence on multiple channels, however, if that presence is inconsistent or differs greatly from platform to platform it can result in customers dropping off at each phase of the browsing journey. Because of this, consistency is key when working with multiple touchpoints. This refers not only to consistent branding initiatives including logos, background colors, the brand voice, etc.; but to consistent marketing initiatives which reflect a customer’s product preferences and past purchases, as well as instantly registering and updating product selections to reflect only what is available for purchase.

Measure omnichannel success by customer experience

The word “omnichannel” refers to a seamless purchasing journey. As soon as digital technology begins to detract from the individual customer’s experience, the purpose of that technology has been negated. Murph Krajewski got it right when he wrote in Forbes that, “The purpose of omnichannel begins with a customer.” This means retailers should have a strong presence wherever their customers want to browse, it does not suggest, however, that retailers indiscriminately invest in all of the newest tech that hits the show floor. The usefulness of most retail technologies can be measured by each customer. By measuring each customer’s click path, engagement rate and whether or not they make a purchase, retailers can get a birds eye view of where their store is excelling and where they may need to buff up their current operations.

Increase browsing through mobile recommendations

Sales made on mobile are beginning to eclipse those on desktop for many top-tier retailers. According to Shopify, during Black Friday and Cyber Monday 2017 mobile sales accounted for 30 percent of total sales and 46 percent of total sales came from a mobile device. In the current market, there is a big opportunity for retailers to reel in customers through sending personalized product and loyalty messages to customers via their mobile devices. Whether that messaging is most beneficial through text, email, or social media depends on how that individual customer prefers to receive information, as well as where they are in their consumer lifecycle with a particular company. NectarOM gives retailers the opportunity to send personalized recommendations through one centralized database to each individual customer though their browsing platform of choice. With NectarOM, retailers can provide customers with a data-based omnichannel journey which truly mirrors their unique path-to-purchase.

20 Feb
2018

Omnichannel Retail Is the Key To Delivering Outstanding Customer Experience

Increase engagement and conversion with these 5 essential omnichannel retail components

As a “click-and-mortar” retail business, you’re uniquely positioned to take advantage of the omnichannel retail trend, deliver a seamless online/offline experience, and meet the expectations of today’s consumers who prefer to use both traditional and digital channels simultaneously while shopping.

Whether customers are interacting with your brand via an eCommerce website, mobile app, print catalog, call center, or physical store, they want to have the ability of pausing and resuming their shopping experience at any point and across all channels without interruption.

An omnichannel shopping experience is customer-centric. It focuses on shoppers’ holistic interaction with a brand instead of disparate channels within the brand.

Here’s how you can deliver a highly engaging and personalized experience across all channels to create a seamless customer experience:

1. Set up a 360-degree customer profile

A single customer view is the foundation of an effective omnichannel retail strategy.

It allows you to leverage the information you have gathered about a customer from all his interactions with your brand across different channels so that you can deliver the most compelling and relevant experience, such as targeted content or special offers, to drive conversion and increase loyalty.

Image source

2. Store all customer data on a centralized platform

A unified backend system is the key to harnessing the power of the single-customer view.

A robust centralized system allows you to manage and extract insights from your customer data while making sure all employees have access to all pertinent information, such as a customer habits, location, preferences, and purchasing history, so that they can deliver a seamless shopping experience no matter when and where they’re interacting with the customers.

3. Offer different fulfillment options

Shoppers want to order and receive merchandise through the channels of their choice; sometimes they want the products delivered to their doorstep while at other times they need an item right away and prefer to pick it up at the store.

As a brick-and-mortar merchant, you have the unique advantage of meeting the various fulfillment needs of your customers through various options, such as buy online and pick up in-store, ship from store, buy in-store and ship to the doorstep.

4. Integrate mobile technology with in-store experience

Consumers are inseparable from their mobile devices, which provides a great opportunity for delivering a seamless online/offline experience via a mobile app to augment their in-store experience.

For instance, with the geofencing technology, you can drive traffic to your store by using push notifications to deliver special offers to customers who are in the area.

In addition, store associates can use mobile technologies to access customer’s purchase history, preferences, and profile information to deliver a personal and engaging experience.

5. Deliver a unified omnichannel brand experience

An outstanding customer experience is consistent, cohesive, and reliable. This implies that every single touch point needs to meet the highest standard and deliver an on-brand experience.

From brand identity and visual designs to user experience and customer service, you need to ensure that shoppers are interacting with your brand consistently across all channels.

Omnichannel experience: the future of retail

A customer-centric experience is the key to brand engagement and conversion.

The expectation of a seamless omnichannel shopping experience is the new normal and brands are realizing the need to stay ahead by making sure that they meet their customers where they are.

Thankfully, with the help of advanced customer data management technologies, building a solid foundation for your omnichannel retail strategy is easier now than ever.

Request a demo to see how you can harness the power of omnichannel personalization in the retail industry.

Sources

//www.mytotalretail.com/resource/top-10-best-practices-for-omnichannel-retail-success/file/

https://nectarom.com/2017/08/17/single-customer-view-increases-effectiveness-omnichannel-marketing/

https://www.r2integrated.com/r2insights/be-customer-centric-not-brand-centric

//www.ibmbigdatahub.com/blog/using-retail-mobile-apps-enhance-store-shopping-experience

07 Nov
2017

Increase Revenue by Tailoring Offerings for the Next Generation

Much of the information going around regarding generational buying preferences is based on alternative facts. Millennials and Generation Z for instance, are often said to be harkening the death of physical retail with their online shopping habits; when in actuality, both generations make the majority of their purchases in brick and mortar stores after omnichannel browsing. As a result of this informational disparity, many retailers get lost in the details of trying to build their presence across channels.

It will come as no surprise that a targeted omnichannel presence is paramount to a company’s ability to reach and convert next generation customers. However, when retailers research how to bridge the gap between their traditionally-run businesses and their Millennial or Generation Z target customer they are met with a barrage of false information.

To cut through the confusion, Nectarom consulted with leading retail analysts to find data-backed actionable insights on how retailers can construct their omnichannel presence in order to increase traction with a Millennial and Generation Z audience. The following guide will demystify the methods being used by successful retailers to build their revenue by offering their young customers a targeted, personalized omnichannel experience.

“One thing we know for sure, is that Gen Z inherently understands the new retail landscape, which sounds like this: ‘We don’t have to go to stores anymore, we have to want to go to stores.’ So if a retailer has stores they’d like to market to 80 million young people with expendable income, it’s time to think about why they would want to visit one of these stores. If they can’t answer that, or the answer is something lame like, ‘we’re cheap,’ it’s time for that company to rethink the reason they even have a brick and mortar store. Retailers need to think about what the term ‘omnichannel’ actually means. Omni-channel should be based on the brand, especially where Gen Z is concerned. For example, XXI’s web site is not made for ecommerce and Urban Outfitters has bands in their Spaces concepts. THAT’S omni-channel being done right, opposed to just opening mall kiosks and bad smartphone apps. Doing what’s right for the brand is more important.” – Lee Peterson, Executive VP of Brand Strategy and Design, WD Partners

Brick and Mortar Is Still a Priority

As we discussed earlier, physical stores are still a priority for next generation customers. According to a 2017 report by IBM/NRF, 98 percent of Gen Z customers still make their purchases in stores. This is especially true for the Generation Z customer, who uses brick and mortar stores as a place to meet up with friends and to test products before making a purchase. Big box stores are awakening to the possibilities of opening small, experiential retail concepts. Nordstrom recently debuted their first test concept of an inventory-less store in LA, called Nordstrom Local.

Although Gen Z has an affinity for the in-store experience, the path to purchase for the Gen Z customer takes place on multiple devices. But retailers take heed: Gen Z customers have a 6-second attention span and they won’t waste time waiting for slow apps or websites to load. According to IBM/NRF, over 60 percent of Gen Z customers will abandon apps and websites if they take too long to load, so businesses can lose out on potential next generation customers if their omnichannel experience isn’t up to par. Paradoxically, this means that retailers need to be equipped with a fast and personalized brand presence across channels in order to lead the Gen Z customer into their physical stores.

“By 2020, Gen Z will make up one-third of the US population. 77% of Gen Z prefers to shop in-store. When it comes to marketing, Gen Z does not trust what brands say about themselves. They trust what friends, family, and other customers say about a brand. So, positive reviews are a crucial factor in the Gen Z path to purchase. Because they trust the recommendations and endorsements of others, influencer marketing is one of the most effective ways of targeting this age group. Gen Z also prioritizes the interactions they have with store associates, so having knowledgeable and friendly employees who can offer personalized advice is a must. Overall, Gen Z is loyal to the experience they have purchasing products, not necessarily the products themselves.” – Meaghan Brophy, Managing Editor, Independent Retailer

Philanthropy and Individuality Define the Brand

Generation Z-ers have often been dubbed “Millennials on Steroids.” This is because Gen Z customers take Millennial values to new extremes. While for years Millennials have been hailed as the most eco-conscious generation of consumers to date, Generation Z shoppers are even more sustainability-minded than their predecessors. According to Forbes, 76 percent of Gen Z customers are concerned about how people are impacting the planet. This makes having a great mission statement is a necessity for brands, since Gen Z customers expect every purchase they make to go towards aiding the greater good. This might even include a publicized sustainability report, or donating a part of every purchase towards a charitable cause.

Creativity is also a core value for many Gen Z customers. This generation not only appreciates the opportunity to have their voice heard, but they also want to take part in the creation process. Retailers such like Target are jumping aboard the crowdsourcing trend by enlisting Generation Z influencers to have a hand in creating their new lines. Target’s Art Class, their new clothing line geared towards Gen Z, lets young people get creative with their apparel with original, influencer-created pieces they can mix and match. Since Gen Z favors being collaborated with over being sold to, so retailers that offer them the opportunity to construct their own unique looks will be the first to win their favor.

“Many analysts believe GenZ are the most advertising-immune generation in history and favor value-driven brands who are pioneers in corporate social responsibility such as having a voice in sustainability, inclusion and making the world a better place with social entrepreneurship and value-add on products. GenZ mobile natives appear to favour retail experiences that are human-centric, interactive and bring people together. GenZ are both instant gratification natives and in-store experience natives, and this is shaping the entire future of E-commerce discovery and how retail brands create a scene in physical stores.” – Michael Spencer, Futurist & LinkedIn Top Voice

Capture Customers on Social Media

This is no time to procrastinate evolution. Brands need to evolve to have staying power and doing things the way they’ve always been done is a death sentence in the current retail landscape. This means that companies need to meet young customers where they are, through advertising methods which appeal to them. Generation Z prefers video to text, which means it’s futile to try to appeal to next generation customers with long-form textual advertising. According to a recent Adweek infographic, 50 percent of Generation Z “can’t live without Youtube.”

Now, more factors than just a customer’s age determine how they navigate their shopping journey. In fact, in the aforementioned Adweek infographic a small number of Gen Z-ers also listed Snapchat, Instagram and even Facebook as their “can’t live without it” platform. More on this in a minute. Regardless of what social channel a young customer prefers to be reached on, one factor remains a constant: they demand a personalized omnichannel shopping journey tailored to their own unique buying preferences.

“If you want to reach GenZ, you need to advertise where we are on YouTube, Instagram, and/or SnapChat. You are wasting your advertising dollars trying to reach Generation Z on Facebook and Twitter. Make sure your ads give us something to engage with and share.

If you want to convert Gen Zer’s on your website, you have a 6-second delivery window to show us real people using your product with pictures and videos – and less words. Also, design your website mobile first and then transform the page to larger screens – I call that reverse responsive design.” – Sky Rota, 13 Year Old Founder of Gen Z Insider

Here’s where we need to start to talk about the importance of segmentation. Generation Z customers have a shorter attention span than any generation which came before them and they expect immediate, intuitive customer service based on their individual buying preferences. Segmenting customers based on generational demographics alone doesn’t provide marketers with enough data to personalize their shopping journey. To create relevant offers, companies also need to tailor their campaigns to suit their target customer’s buying history, location data and online behavior.

“From a marketing standpoint, I don’t think that starting with demographics is all that helpful. It’s way too high level. The best marketing treats different customers differently and is therefore more personalized. Just saying someone is from Generation Z or a Millennial doesn’t result in sufficiently actionable insights and targeting. For instance, it’s hard to say ‘We are the fashion brand for the Millennial professional,’ when so much of that individual’s preferences are determined by factors like location, profession, and lifestyle. Take it down to individual data for relevant and useful insights.” – Steve Dennis, Forbes Contributor, President & Founder of SageBerry Consulting

That’s a Wrap

This isn’t to discount the importance of understanding your customer’s path-to-purchase. While demographical data can be helpful in providing a general understanding of a specific age group’s buying preferences, it is only once companies whittle their this down to an individual level that they provide actionable results. It all comes back to using data to create a single view of each unique customer. Even as our world becomes increasingly technological, companies should still focus their efforts on understanding each individual customer.

Do we need a closing to round this all out?

17 Feb
2017

How 3 Top Brands are Using Personalization

These days, customers want to feel that they’re being heard and understood by their favorite brands. In fact, 73% of consumers want a more personalized shopping experience. Personalization allows brands to create a unique experience for their customers — in turn, demonstrating that they are being heard, and hopefully contribute to increased sales volume.

And, it is working. According to a study done by Infosys, 86% of consumers are influenced by personalization when making shopping decisions. Consumers are motivated to purchase more when they are made to feel relevant.

Thus, personalization has become increasingly important for brands and their success. Let’s take a look at three brands that are succeeding by bringing personalization into the consumer journey.

Burberry

This 156-year-old brand has pioneered a different kind of personalization for customers. Partnering up with Pinterest, Burberry has given customers a way to build personalized boards with product content provided by Burberry.

The “Cat Lashes” promo initiative offers a personalized experience for customers based on their makeup preferences. Users take a quick questionnaire and get personalized makeup looks and tips through a personalized Pinterest board. Burberry promotes their Cat Lashes Mascara through the Pinterest boards. The personalized boards also offer tips on how to create relevant looks for each customer while also using the Cat Lashes Mascara.

According to an internal study, 42% of consumers have bought products based on promoted pins they saw on Pinterest. Burberry’s “Cat Lashes” initiative is, therefore, capitalizing on Pinterest’s broad consumer base. The personalized boards serve as a promotional hub for the Cat Lashes Mascara, as well as related and relevant Burberry products.

GILT

Gilt.com was listed in Fast Company’s Top 25 Innovative Companies in 2010and ranked first in fashion that year. How did a company, which launched in 2007, garner so much success in just five years? The reason is that the online retailer personalizes sales and promotions for each customer and app user.

The luxury flash sales site has installed a personalized user page online and on the mobile app. This personalization feature is called “Your Personal Sale,” and goes beyond the daily e-mails a shopper receives. The personalized sales, generated by an algorithm, takes into consideration a customer’s entire shopping experience. Based on factors such as purchase history, geographic location, browsing behavior, and personal preferences, “Your Personal Sale” finds fresh items and deals daily. Personalization goes one step further, with Gilt.com also considering size, categories, and brands that customers frequently engage with. Each personalized sale lasts 24 hours, after which a new set of deals and sales are presented. According to CIO Steve Jacobs, personalized sales are “the next phase of the flash sale model.” The company leverages the sense of discovery the app provides, “tailoring [the] shopping experience just for them.”

Gilt.com brings personalization to the online fashion and retail platform and makes a conscious effort to tailor products to its customers. According to Jacobs, “people are coming back more frequently, and they’re excited to see what’s in their sale tomorrow.” Personalized sales pushed the online retailer to be valued at roughly $1 billion just after five years of launching. Gilt’s personalization strategy has propelled the e-commerce company to enormous success.

Spotify

The online music platform Spotify is the leading music streaming host, despite competitors like iTunes and Google Play.

The introduction of personalized playlists has distinguished Spotify from other streaming sources.

One of these personalized playlist functions is “Discover Weekly.” Discover Weekly is a service which personalizes to each listener’s taste across a variety of genres. A personal playlist of 30 songs is curated and released each Monday based on listening habits. The music streaming service has also launched the “Release Radar” feature. Every Friday, the two-hour playlist is updated with newly released music from artists and bands a listener frequents. In addition, listeners who curate their playlists receive personalized suggestions on their playlists as well. The streaming service learns from personal preferences, songs skipped and replayed, and even looks at micro-genre music preferences to curate the best suggestions for each listener.

Spotify’s lead engineer and algorithm creator Edward Newett says, “we’re trying to show that Spotify understands users better than anyone else.” Within the first 10 months of launching, Discover Weekly saw 5 billion song plays. Senior product owner Matt Ogle says Discover Weekly’s success has “completely changed” the way Spotify interacts with consumers. The great success with user personalization has also increased consumer loyalty. Spotify boasts 40 million paid subscribers, compared to Apple Music’s 20 million paid subscribers.

Personalization is key to a brand’s success and transforms the customer experience. The focus on personalization allows many of these companies to grow as customers engage with brands more and more. With personalization on the rise, it will be interesting to see how industries implement various personalization tactics into their customers’ experiences.

09 Feb
2017

Kohl’s is Winning With Omnichannel Strategies

combining digital and in-store

As the retail industry is changing, many brick-and-mortar retailers are employing omnichannel marketing strategies to fend off digital giants like Amazon. When it comes to successful omnichannel, a complementary relationship between brick-and-mortar and digital assures companies greater success.

In this third and final retail installment, let’s take a look at how Kohl’s is using omnichannel strategies to create a customer-centric approach.

MOBILE APP

According to STORES Media Editor Susan Reda, “retail’s balance of power resides firmly in the hands of the consumer.” With e-commerce gaining more momentum, many consumers have shifted toward online shopping. The Kohl’s Mobile app is playing a key role in helping the retailer keep up with tech-savvy consumers. Kohl’s effectively leverages the mobile app as an in-store partner and offers a customized shopping experience.

App users who walk into a Kohl’s store have the option of using a feature of the app that tailors to that specific store. The ‘Store Mode’ function personalizes to each customer’s store location and allows shoppers to search for store inventory and see in-store promotions while shopping. Customers can also check the price of store items and see other related goods. The Store Mode function gives Kohl’s a synthesized digital and in-store landscape.

Kohl’s also offers enhanced payment capabilities through the mobile app. Customers can pay with Apple Pay, a one-tap checkout option, in the brick-and-mortar stores and mobile app. Shoppers also have the choice of adding a Kohl’s credit card as a form of payment within Apple Pay. Consumers further have the option of scanning and saving gift cards to the Kohl’s mobile wallet.

Thus, paying for items in the brick-and-mortar stores blends seamlessly with mobile payment features, and customers are provided with a convenient shopping experience. Kohl’s gives shoppers more online and offline purchasing choices, thereby increasing the traffic to stores. The Kohl’s mobile app is a powerful tool which encourages online browsing and in-store sales. The app infuses digital into the in-store experience, creating a smooth customer experience.

STORES AS WAREHOUSES

Kohl’s continues to leverage its physical stores with the implementation of click-and-collect. Shoppers can make purchases online or through the mobile app, and pick them up at a convenient Kohl’s location. The company utilizes the brick-and-click concept, to make the brick-and-mortar stores act like warehouses for online orders. In turn, Click and Collect makes customer shopping more convenient. Click and Collect provides flexibility and ‘real time’ fulfillment for consumers. With consumers coming in store to pick up items, foot traffic to brick-and-mortar facilities is increasing.

The retailer is also using inventory at its brick-and-mortar stores to fulfill online shopping demands. Using local inventory, Kohl’s moves goods that are not selling in stores. Consequently, this speeds up fulfillment since the stores are closer to customers’ homes.
Kohl’s is creatively using its brick-and-mortar stores to make online and offline more connected. As consumers shop online, the retailer uses brick-and-mortar stores as makeshift warehouses, and in turn, makes the shopper’s experience easier and more convenient.

Kohl’s adapted the mobile and brick-and-mortar stores to become highly leveraged and synchronized units. The retailer has used the mobile app and brick-and-mortar adaptations to boost sales and create an inclusive customer experience. Previously, we looked at the successful omnichannel strategies implemented by Nordstrom and Neiman Marcus. We have finally rounded off our omnichannel trilogy by taking a look at Kohl’s and how this retailer has implemented omnichannel successfully. While these three retailers are ahead of the curve with omnichannel marketing, it will be exciting to see where other retailers take omnichannel.

25 Jan
2017

Nordstrom’s Omnichannel Success

Culture of Innovation

Innovation is risky business, but not innovating is even riskier. In a world where technologies are rapidly changing, companies must be willing to evolve in stride. Several companies are doing so by shifting to an omnichannel marketing strategy. Omnichannel approaches are synchronizing the shopping experience across mediums for retailers.

Some retailers have successfully incorporated omnichannel strategy into their marketing strategy. Over the next few weeks, we will examine a trilogy of retailers and the wins they have achieved through an omnichannel approach. Today, we are going to focus on one of the most popular luxury retailers- Nordstrom.

Part I: Nordstrom

Nordstrom worked to reinvent itself around the omnichannel shopper. According to the President of Stores, James Nordstrom, retailers need to focus more on the total experience than strategy for specific channels; “[At Nordstrom, we] don’t think the customer is loyal to channels. We don’t hear customers talk about channels very much. Customers value experiences.” Consequently, this belief is guiding Nordstrom’s omnichannel strategy towards creating a synchronized and seamless customer experience.

Rewards Program

The omnichannel focus of the Nordstrom Rewards loyalty program gives customers a chance to gain points regardless of which channel they purchase items.These loyalty members can also then track their activity from anywhere. Shoppers can use their mobile number as identification instead of memorizing a loyalty account number. An omnichannel approach to the rewards program has given Nordstrom a more open policy focus. The open policy focus allows shoppers to pay in whichever method they choose, shop whichever way suits them and still gain more loyalty points and rewards. Nordstrom shoppers are winning more, ensuring customer loyalty.

Social Media Influence

The luxury retailer is also approaching shopping from a multichannel perspective, and one of their innovative initiatives has been integrating with the mobile application, Instagram, and social media/organization platform, Pinterest. Nordstrom has made it possible to buy items from Instagram and find items based on Pinterest favorites. Instagram has been a modeling platform for retail items. However, a grievance shoppers have, is the inability to locate and buy the items presented on Nordstrom’s Instagram account. The retailer’s Instagram account now features a link which directs customers to Like2Buy, a platform that makes Instagram shopping easy. All of the items available for sale from the retailer’s feed are displayed as an elegant grid of photos. Shoppers can then scroll and “like” items, which are curated into a personal wishlist or shopping cart.

Pinterest is a social media platform which allows users to “pin” things they like or want to “boards” for later reference. It indexes all the different items, ideas, and interests we come across online. Pinterest gives Nordstrom insight of which items are popular among shoppers. Nordstrom has brought these “pinned” items to their physical stores. Stores display commonly tagged or “pinned” items from Pinterest. The luxury retailer also adopted that feature on their website. Shoppers can now see a “Top Pinned” landing page on the site. Nordstrom doesn’t limit themselves to a single channel. The retailer has effectively leveraged their social media user base to enhance the shoppers’ experience by including the favorite and trendy items on Instagram and Pinterest in their stores. Not only do customers see more products, but they are buying more at one time and are coming back for more of the items they love.

Nordstrom had experienced success by understanding that customers value an enhanced experience. Nordstrom has provided its customers with a retail experience that spans online, offline, and social media outlets. Shopping has become a synchronized and seamless experience – Customers can easily find the products they love and find them from anywhere. Tune in next week as we take a closer look at Neiman Marcus and how they are using omnichannel marketing to benefit their shoppers.

07 Dec
2016

How Omnichannel Retailers Are Changing the Marketing Game

Starbucks, Sephora, and Disney’s Omnichannel Approach

The good old days of customers coming from one channel are over. With the rapid rise of social and mobile channels as valuable marketing platforms, omnichannel business strategy has become necessary approach for a successful brand. While it is easy to understand “Why?” the “How?” is less clear.

Before we can discuss what techniques are being used to optimize omnichannel marketing, we need to take a look at what omnichannel marketing really means. Omnichannel is an approach to sales that utilizes multiple channels and outlets of shopping. The primary goal is to create a seamless customer shopping experience, whether the individual is shopping on a mobile device, desktop, or in a physical store.

Now that we have established a what omnichannel is, let’s take a look at how three companies use it to their advantage.

Starbucks

The Starbucks Rewards program is a perfect example of omnichannel marketing in practice. Starbucks is one of the biggest coffee retailers in the world. Their market reach is incredible, and they have harnessed the power of omnichannel to leverage that huge customer base. The Starbucks Rewards system uses an omnichannel approach to make the coffee buying experience more convenient for customers. Customers can use the rewards card to make purchases without taking out their wallets and to also reload the rewards balance online, in-store, by telephone, or by mobile app. All changes to rewards accounts immediately update across all channels. Thanks to the omnichannel approach, Starbucks customers can satisfy their caffeine cravings at any time, on any channel.

Sephora

The makeup retailer has also changed the way consumers interact with products. Sephora utilizes the omnichannel shopping process to create an enjoyable experience for customers. Sephora has implemented the “My Beauty Bag” program to allow customers to manage their beauty products and see purchase history. The “My Beauty Bag” program makes it easy and accessible for Sephora customers to add items to their shopping carts, peruse their browsing history, make savings on purchases, and re-order items. Sephora’s rewards program also allows members to use their Beauty Bags on their mobile device, computer, and send digital gifts.

While making in-store purchases, customers can use the Sephora app to complement the brick and mortar shopping experience. Sephora is also changing the in-store experience as well, by introducing the Beauty Tip Workshop. Customers now have the opportunity to access their Beauty Bags, see recommended items and looks, and make purchases based on the items shown in the store. Sephora is expertly using omnichannel to revolutionize the cosmetic shopping experience.

Disney

Disney brings omnichannel to the world on tourism and retail. The magic of Disney is brought to multiple channels thanks to their approach. Disney’s process pays attention to even the smallest of details to make a flawless and consistent shopping environment across channels. When booking a trip through Disney’s website or app, customers have access to the My Disney Experience tool to help plan the logistics of the trip. From dining options, to park attractions, to securing passes, the My Disney tool helps customers plan for the entire trip. Once customers get to the amusement park, the Disney mobile app can locate the attractions and performances across the park and gives an estimated waiting time for each attraction and show.

Disney takes the magic even further with the implementation of the Magic Band program. These wristbands not only act as theme park entrance passes, but also act as hotel room keys, Fast Pass check in, food ordering tools, and photo storage devices. These wristbands also include personalized surprises for each band holder. Disney uses omnichannel to make traveling a connected, all-in-one experience.

Omnichannel initiatives like these enable brands to create the ideal customer experience across all channels. Starbucks, Sephora, and Disney approaches are great examples of brand’s solving for the ever-evolving needs of the digital age.

22 Apr
2016

The Business Imperative: Personalization

This Wednesday, the DFW-Retail Executives Association ended its season on a timely topic for retailers: Personalization. If you missed out on this panel or are one of the 77 percent of companies saying, “In 2016 we need to be doing personalization,” have no fear we have the panel highlights for you.

Cover Photo Amrit Speaking at REA Personalization Panel — *DFW REA Personalization Panel*

The panel consisted of three experts,

Jeff Rosenfeld-Vice President of Customer Insights & Analytics at The Neiman Marcus Group
Veeral Rathod- Chief Executive Officer & Co-Founder at J. Hilburn Clothiers
And NectarOM’s very own Chief Executive Officer & Founder Amrit Kirpalani.

Panel Moderator Steve Dennis kicked off the panel discussion setting the stage for why personalization is quickly becoming a business imperative. Explaining that personalization is “an imperative because the battle has shifted from market share to share of attention- and it’s increasingly difficult to be the signal amidst the noise.”

The rest of the discussion focused on how personalization is changing their marketing efforts, what challenges they faced when launching their personalization efforts, how it is changing marketing, and finally discussed how other companies could successfully launch their own personalization efforts.

Here are a few of our favorite topics from the panel,

Test and Learn

Don’t start off trying to personalize every message coming from every channel. Amrit suggested that the clients with the most success started off small. Start off testing a few channels and messages at a time, learn what worked and then test some more.

Be Prepared to Think About Marketing Differently

Personalization fundamentally changes how marketing has been done for years. Instead of a one size fits all strategy, personalization shifts the focus to marketing on a one-to-one level. Jeff and Amrit agreed that culture change was one of the biggest challenges when companies started discussing personalization.

Not a One Size Fits All Solution.

Take the time to figure out how personalization fits into your company’s structure and into what your customers want. The Neiman Marcus Group and J. Hilburn Clothiers both used personalization in the retail space, however they each had a unique approach that fit their customer and business model’s needs.

Have the right partners in place

Not everyone can afford to have a team of data scientists creating custom algorithms. However, personalization is something that is becoming more realistic for companies of all shapes and sizes to start adding to their marketing efforts. All you need to do is find the right partner.

If you are interested in learning more about sending tailored messages to your customers in real-time across all your owned channels let us know and schedule a demo to see the NectarSuite in action.

07 Feb
2016

Omnichannel Today: Week of February 8

Omnichannel Today

Retailers are starting to thrive again thanks to eCommerce. Which retailers will survive?

The Rise and Demise of Ecommerce

Since the end of the 1990s, ecommerce has gone from minor curiosity to full-blown economic powerhouse. Amazon started out selling books by mail and then took over the e-book market with its Kindle devices and AZW e-book format. A few years ago, most people still thought of Amazon as a book seller, and they probably spent as much time or more shopping for books at Barnes and Noble as they did browsing online retailers. Today, most people know that Amazon is the biggest online retailer and that it sells everything from electronics and kitchen gadgets to auto parts.

How To Connect With Website Visitors in an Authentic Way

At the core of content marketing – and much of the rest of modern web marketing tactics – sits a single concept: connecting with visitors. It’s all too common for companies to lose sight of this core issue, pumping out meaningless, worthless, inauthentic content to fill space on their blogs, YouTube channels, and social media accounts. Or, even worse, to make genuine attempts to connect and nonetheless fall short due to a perceived lack of authenticity.

3 Things Entrepreneurs Can Learn From Successful Ecommerce Brands

Whether you run a brick-and-mortar business or are thinking of starting a digital-based company, there is much to learn from the success of large ecommerce firms around the world. No matter what the industry, online businesses have shaken up the way people buy and sell, communicate, share and learn in all corners of the globe.

10 Tech Tasks Small Businesses Should Outsource

Outsourcing can be a great way for small businesses and startups to take care of tedious tasks while also boosting productivity and saving money. By outsourcing technology-related necessities, small business owners and employees can focus on more important responsibilities, like sales, customer service and more, without hiring more in-house employees.

Tag: retail