Listening to customers in a multi channel world

Understanding customer’s in-store and online shopping preferences

Whilst researching key customer needs and trends in the multi channel world, I came across this white paper published by Sterling commerce. They have produced a report full of compelling analysis and with very insightful statistics that is and will continue to affect Multi Channel retail.

Sterling Commerce conducted an online survey of 5,000 consumers to understand consumer preferences and attitudes when shopping online and in traditional retail channels. With some surprising results, the responses provide tremendous insight into the consumer’s expectations for selling and fulfilment.

Some highlights

1. Three statistics customers rated the most important when shopping across channels.

1. 72% of customers wanted notification of filling/shipping delays
   
2. 69% of customers wanted the store to locate an out-of–stock product at a different location.
   
3. 68% of customers wanted notification throughout ordering/shipping process
   

2. Three statistics customers said would affect their willingness to shop at a retail store

1. 74% of customers said no pricing on the item or shelf
   
2. 72% of customers said sale items out of stock
   
3. 65% of customers said unhelpful sales associates
   

3. 57% of consumers stating that it is important for them to be able to monitor the status of their order via the Web, free phone number, or through customer service in a store, regardless of whether that order was placed online, through the catalogue, or as a special order in a store.

4. Consumers are becoming more familiar with the experience of a single retailer offering products across multiple channels. They expect the communication and service options related to these products to be seamlessly merged. Retailers who do not provide a single face to their consumers with cross-channel execution will begin losing customers to retailers that do.

Retailers who create a customer centric seamless experience for their customers can expect increased customer loyalty, increased same-store sales, and improved margins.

I could keep writing and plagiarise the report.......


Check it out: Sterling Commerce

Leveraging existing multi channel assets

Retailers under Pressure

John Lewis this week announced a 27% fall in first half year profits, largely attributed to price cuts and increased marketing spend. With the uncertainty the credit crunch has created, retailers will increasingly have to innovate to create the seamless Multi Channel experience that we all crave. Without the luxury of profit growth and flexible budgets, retailers need low cost / high benefit customer propositions.

Use what you have

Leveraging existing assets is one way retailers can do this. I wonder how many retailers take stock of all their multi channel assets, and attempt to link them together to create value add services for their customers.

One Example

The 3 main channels a retailer uses are the store, web and a call centre. Once a customer has saved their address and credit card details on the web, the checkout process is normally fairly seamless. So why not use this data in the call centre and store so customers only have to enter a password and a PIN number. Thus creating a seamless checkout process through all channels and creating customer value add propositions in the process.

Creating customer centric services are essential as exemplified by recent McKinsey research. They found that only 15% of loyalty is gained from perceived product quality and promotional strategies, leaving 85% to the actual purchasing and post-sales experiences of customers.

(Originally posted by me on the Charteris Business Blog)