Selling online is relatively new for luxury retail but is growing quickly as technologies have allowed retailers to reflect online the personalized service lux shoppers experience in-store.
Omnichannel strategies for luxury are considering continuity of in-store and online elements in a customer’s journey to draw on strengths from either channel for a more holistic, seamless experience.
Give your sales associates quick access to a customer’s profile and shopping history in Retail Pro Prism so they can be better informed when making recommendations.
Look up inventory at other store locations to see whether they have the particular size or color the customer wants with full inventory availability visible in Retail Pro POS.
Always say YES
Digital lookbook
Use inventory images in your Retail Pro mobile POS as an endless aisle lookbook to help your customer pick out and order items you don’t carry in store.
Tie your purchasing journey and communications together across channels by integrating all your customer-facing tools on the Retail Pro POS software platform.
Ecommerce got an enormous boost during the last 18 months, as shoppers’ health-related concerns ramped up online sales as they took to shopping from the safety of their homes. But with vaccinations rising and people feeling more confident in being able to safely leave their homes, customers are headed back to brick and mortars.
However, customers’ expectations have been heightened during the past 18 months.
In August, Mastercard Spending Pulse reported that U.S. retail sales excluding automotive and gasoline increased 8.1% year-over-year, and 7.7% compared with August 2019.
Clearly, customers still want an in-store experience for certain items.
Retail Pro Prism is a modern and easy to use POS software and retail management system that makes the last impression, at the point of purchase – the most consistent thing across the board – an easy, flexible interaction.
Using Retail Pro Prism on mobile devices enables your sales associates to complete a sale at any spot in your store, making for a more personal and meaningful exchange.
Omnichannel Expectations and Inventory
However, they also want some of the retail enhancements that came about due to COVID protocols. For example, customers want to find stock availability in store when on a retailer’s website. Driving out to the store without inventory knowledge is unnecessary and frustrating.
Having omnichannel operations that allow customers to purchase items on their own terms is key to gaining their loyalty. Retail Pro Prism sets up retailers for omnichannel operations they can personalize to their own business needs.
Receiving inventory information is the ticket to admission customers want.
Enhanced inventory visibility allows associates to know where any product is at any time, and also provides the customer with real-time inventory views across all store outlets.
With Retail Pro Prism POS associates have visibility across stores and channels, and can go further in helping customers if they’re unable to find a certain color or size in one store.
Inventory Visibility Benefits for All
While associates can see stock location within warehouses and the supply chain, customers can use the insight to determine the best available fulfillment option of their orders, including-ship to-store, BOPIS, curbside pickup, or delivery.
Why do customers prefer in-store purchasing then, when an online purchase is in many ways easier? Because customers want:
Immediate fulfillment
To verify the product is what it appears to be – dimensions, color, etc.
To support local merchants
According to enVista’s 2019 survey, 67% of consumers consider inventory visibility across stores, online and mobile is an important service to offer. An optimized supply chain and POS solution are imperative to obtain accurate physical inventory counts that reconcile with the data that reflects what’s on the floor.
Innovations and Customer Experience
Having enjoyed the innovations retailers came up with to entice and satisfy customers during the lockdown, shoppers are eager to continue – and enjoy enhancements to — many of the new conveniences.
As retailers recover from the restrictive lockdowns of the past year, sales associates are focused on delivering a superior customer experience.
That includes providing real-time product availability to avoid the disappointment of customers arriving at the physical store who find that the website’s promise of product availability was not kept.
Omnichannel inventory management eliminates any hesitation consumers have around the purchase relating to stock levels, timing and convenience, enabling customers to purchase with confidence.
Going to the
2022 Retail Technology Show?
26-27 April 2022 | Olympia, London | Stand 6e28
About Pinnaca Retail & IT Solutions
Founded in 2015, Pinnaca Retail & IT Solutions is a family-run business offering retail solutions, specialist management consultancy and IT services. Our company is UK based, with offices in London, and a client base across the globe.
We work with all levels of business to define and develop strategies focused on our clients’ needs and objectives. Our tailored solutions are developed and optimised to fulfil your key business demands.
Over time we have added to our 20 years’ experience in the field and built up a team of experts, with a wide range of experience and in-depth knowledge, who are eager to help your business succeed and grow.
About DataScan Retail Systems
Datascan Retail Systems are a leading UK and European supplier of solutions to the retail sector, from small businesses through to mid-tier and international enterprises. We have vast experience in the analysis and design of retail IT and the implementation of EPOS and Stock Control Systems and provide all the services required to plan, implement and maintain an effective Retail Management System. We are committed to match the Retail Pro System to the exact needs of the retailer, utilising our development, training and help desk teams.
About RIOT
RIOT is turning traditional RFID solutions for retail on their head with RIOT Insight. Insight is RIOT’s real-time inventory accuracy service offered as a simple but powerful add-on to a retailer’s existing systems. 100% inventory accuracy to support Omni-channel is now yours on demand.
About PAR
PAR Technology Corporation provides industry leading software and hardware solutions that are always there when you need them but never in your way.
State of the Art Point of Sale Systems.
Tablets and Portable Devices.
About XRetail
XRETAIL is a Global leader in Unified Commerce solutions, with a prime mission to empower enterprise retailers by helping to boost their sales and retain their clients. Through state-of-the-art technologies, integrations, and solutions, the XRETAIL platform creates unified sales channels including eCommerce, Mobile commerce, and Social commerce. XRETAIL’s Cloud-based platform creates seamless end-to-end solutions allowing enterprise retailers to blend brick-and-mortar and digital retailing into one unified platform, with notably enhanced customer experience both online and offline.
About Loqate
Combining leading technology with the richest data, Loqate provides several solutions to help bring businesses across the globe closer to their customers:
Address Validation A faster, easier way to capture and verify addresses in real-time for your online forms and checkouts.
Email validation Increase email delivery rates, boost customer marketing and reduce bogus registration when you verify email addresses upfront.
Mobile & phone validation Take the guesswork out of reaching customers. Capture the right phone number, mobile or landline at the point of entry.
Data maintenance The foundation of any customer management strategy, Loqate’s cleansing and maintenance software helps build lasting customer relationships.
Building a clientele is tough. It requires understanding who the customer is, what their tastes are and how to serve them: a simple plan, but not easy to execute. A retailer needs inventory tools that luckily, omnichannel POS and retail management platform Retail Pro Prism provides, to efficiently accomplish this feat.
Sometimes, customers aren’t sure of what they want, and when they guess incorrectly, the dreaded return process begins.
The global COVID-19 pandemic has caused many retailers to institute extended return periods that go beyond the traditional 30-day window. And, with many brick and mortar stores operating at reduced schedules, many shoppers turned toward ecommerce for everything from toilet paper to jigsaw puzzles to exercise clothing.
But with that change came an increase in returns, particularly with clothing, because online shoppers can’t be certain of fit and quality.
Making it easy for customers to not only find products but to also make returns if necessary, creates a frictionless experience that shoppers are comfortable repeating. An easy return process for customers doesn’t mean the same for retailers.
With Retail Pro Prism, e-Commerce and POS at every location can be seamlessly integrated to the Retail Pro platform so they can share transactional data in real time (or whatever interval is optimal for your operations) with the inventory management tools in Retail Pro.
Providing ease-of-doing-business is a way to improve loyalty, because customers can purchase knowing the return process will be hassle free.
Retailer’s Challenges in Simplifying Returns
Creating a smooth, simple customer experience is, ironically, somewhat complicated.
The omnichannel shopper’s journey starts with the product research phase either online or, for those wanting a tangible experience, in-store.
The item might be purchased at that time or later, through the same – or different – channel. Finally, the product fulfillment phase includes several options: in-store pickup, home delivery shipped from the online or physical store or from the warehouse; a drop shipment directly from the vendor; or ship to store from the warehouse or another store.
Those logistics are transparent to the customer who, in most case, wants the product immediately or within a day or two. And then, sometimes, the product just isn’t right, and a return is initiated.
While inventory visibility is often thought of as useful for marketing products and pre-sales activities, it can be helpful for “smart returns.”
Returns and Inventory Visibility
Visibility can help managers at physical locations “see” where products are, and move them between stores according to customer demand.
In a return scenario, a retailer has a connected network of inventory visibility, and an understanding of predicted demand. When customers initiate returns, a shipping label is generated but instead of the shipment getting sent back to a warehouse, it is shipped to a retail location where there is demand for the product.
Accurate stock counts make the most efficient use of existing inventory and provide valuable insight about trending products. Technology such as RFID helps retailers quickly and affordably track inventory, and avoid human errors that occur with manual counting processes.
Inventory disparities can cost retailers money in lost sales or the added expense of keeping too much inventory in stock. Unified data processes are critical for proper order management, fulfillment and restocking of returned items.
Retail Pro has partnered with RIOT to offer easy integration at an affordable price, which hasn’t been attainable in the past. Among its many benefits, with RIOT for Retail Pro you can increase stock accuracy to 98%+ to better support online sales and pickup in store, and reduce stock management labor costs associated with restocking, receiving, etc.
Going to the
2022 Retail Technology Show?
26-27 April 2022 | Olympia, London | Stand 6e28
About Pinnaca Retail & IT Solutions
Founded in 2015, Pinnaca Retail & IT Solutions is a family-run business offering retail solutions, specialist management consultancy and IT services. Our company is UK based, with offices in London, and a client base across the globe.
We work with all levels of business to define and develop strategies focused on our clients’ needs and objectives. Our tailored solutions are developed and optimised to fulfil your key business demands.
Over time we have added to our 20 years’ experience in the field and built up a team of experts, with a wide range of experience and in-depth knowledge, who are eager to help your business succeed and grow.
About DataScan Retail Systems
Datascan Retail Systems are a leading UK and European supplier of solutions to the retail sector, from small businesses through to mid-tier and international enterprises. We have vast experience in the analysis and design of retail IT and the implementation of EPOS and Stock Control Systems and provide all the services required to plan, implement and maintain an effective Retail Management System. We are committed to match the Retail Pro System to the exact needs of the retailer, utilising our development, training and help desk teams.
About RIOT
RIOT is turning traditional RFID solutions for retail on their head with RIOT Insight. Insight is RIOT’s real-time inventory accuracy service offered as a simple but powerful add-on to a retailer’s existing systems. 100% inventory accuracy to support Omni-channel is now yours on demand.
About PAR
PAR Technology Corporation provides industry leading software and hardware solutions that are always there when you need them but never in your way.
State of the Art Point of Sale Systems.
Tablets and Portable Devices.
About XRetail
XRETAIL is a Global leader in Unified Commerce solutions, with a prime mission to empower enterprise retailers by helping to boost their sales and retain their clients. Through state-of-the-art technologies, integrations, and solutions, the XRETAIL platform creates unified sales channels including eCommerce, Mobile commerce, and Social commerce. XRETAIL’s Cloud-based platform creates seamless end-to-end solutions allowing enterprise retailers to blend brick-and-mortar and digital retailing into one unified platform, with notably enhanced customer experience both online and offline.
About Loqate
Combining leading technology with the richest data, Loqate provides several solutions to help bring businesses across the globe closer to their customers:
Address Validation A faster, easier way to capture and verify addresses in real-time for your online forms and checkouts.
Email validation Increase email delivery rates, boost customer marketing and reduce bogus registration when you verify email addresses upfront.
Mobile & phone validation Take the guesswork out of reaching customers. Capture the right phone number, mobile or landline at the point of entry.
Data maintenance The foundation of any customer management strategy, Loqate’s cleansing and maintenance software helps build lasting customer relationships.
The struggle is real for customers hoping to take some of the legwork out of shopping by researching products online before heading to a store – only to make the drive and discover the product they decided on isn’t available, as it is in omnichannel experiences they have at other stores.
For retailers, such deflating experiences can mean a loss of loyal customers as well as a damaged reputation.
As shoppers become more strapped for leisure time and less willing to browse for hours just for fun, connecting a physical and digital store experience is increasingly critical for retail longevity.
It’s all about what some refer to as Retail FOMO: That is, customers’ fear of missing out on things they want, and retailers’ fear of missing a sale.
Here are 6 ways you can connect your physical and digital store experiences with Retail Pro Prism POS and retail management software to remove some of the friction shoppers are experiencing while retailers are building their omnichannel strategies.
1. Show in-store stock availability online
Research suggests that roughly a quarter of customers won’t visit a store if they aren’t sure what they are looking for is available. In addition, more than half will leave a store disappointed if they can’t find the item they had in mind.
One way to avoid that is by showing customers stock availability online. That way e-window shoppers can be assured that what they are looking for is available when they visit.
And, in the unfortunate case that a particular item is sold moments before a shopper arrives, enabling in-store ordering for free home delivery is one way to compensate the customer.
Retail Pro Prism has accessible APIs and hundreds of Plugins and integrations on the Retail Pro App Market to help retailers connect their ecommerce with inventory information in Retail Pro.
The ability to straightforwardly integrate any technology retailers already use (or might choose to use in the future) gives retailers control over decisions like which platform will be the data master through which they’ll reference and report on stock availability and needs across all their store locations, including ecommerce.
2. Show off your full selection with endless aisle
Endless aisle can accommodate retailers that, often because of a small physical footprint, can’t stock a wide range of products.
The technology lets customers virtually browse or order a wide range of products that are either out of stock or not sold in-store and have them shipped to the store or their home.
Because Retail Pro Prism is browser-based software and not solely a mobile or desktop app, retailers can run Retail Pro both on their desktop computer or laptop at the till – or on an iPad or other mobile device so that sales associates can access inventory information when helping customers on the sales floor.
So when a product is not available at this store, sales associates can easily show customers the item images for the product they want and place an order for them, saving the sale.
In addition to providing a better customer experience, providing inventory information drives customers into stores, opening the door to additional purchases.
Impulse buys are more common for shoppers at brick-and-mortar retailers, because those stores can influence customer shopping experiences by tailoring layout and staffing decisions based on their clientele.
According to A.T. Kearney, 40 percent of customers make unplanned purchases at physical stores and spend more money, compared to 25 percent of online shoppers.
4. Reward their loyalty across channels
Aligning physical and digital stores also means ensuring that shopping benefits are equivalent.
Loyalty rewards should be earned in the same manner, for example, and coupons should be valid online and in-person. Being a rewards member should be the ultimate frictionless experience.
Using an integrated loyalty platform like AppCard or OptCulture with Retail Pro Prism not only saves your associates and customers time at checkout when handling loyalty, but also ties in the POS transaction data with your loyalty platform so you can run campaigns based on actual purchase data.
Despite the best intentions of retailers and customers, sometimes merchandise must be returned. How a retailer handles this onerous process with the customer is reflective of its overall commitment to customer service.
By working through the kinks for in-store returns of online purchases, retailers can offer their shoppers a less stressful initial purchasing experience, because they are assured that if they are unsatisfied, returning is a simple process.
Because all inventory items (whether online or in-store) would have been created in Retail Pro Prism and then used to populate a retailer’s online inventory when integrated, retailers will be able to accept the online inventory without the backend hassle of accounting for online versus in-store purchase origin.
Once the item is returned, it can be assimilated into the physical store inventory, accounted for and ready to be resold.
6. Help your store staff get to know your omnichannel shoppers
When a customer begins a journey online, or has a history of shopping through a retailer’s online channel, that data can and should be used to personalize the in-store shopping experience.
By analyzing and connecting transactional data from their Retail Pro POS into one holistic view, retailers can learn how often a customer shops, what they purchased, where they are from, how much they spend across different channels, and whether they are new or repeat buyers.
That can help inform associates in the physical store as they engage with shoppers, as well as help form future decisions for an omnichannel product and customer engagement strategy, especially when retailers use an integrated business intelligence and visual analytics solution with the rich data they collect at the Retail Pro Prism point of sale.
The information conduit flows both ways now, not just as a funnel into one channel or another, so retailers can fix broken customer journeys and convert more sales, improve efficiency and increase loyalty.
Bringing both worlds together – digital and physical – will mean some parts of the journey will still have bumps along the way.
But addressing the operational challenges in each of these areas will help retailers smooth some of the friction that arises as they build their omnichannel strategy.
Going to the
2022 Retail Technology Show?
26-27 April 2022 | Olympia, London | Stand 6e28
About Pinnaca Retail & IT Solutions
Founded in 2015, Pinnaca Retail & IT Solutions is a family-run business offering retail solutions, specialist management consultancy and IT services. Our company is UK based, with offices in London, and a client base across the globe.
We work with all levels of business to define and develop strategies focused on our clients’ needs and objectives. Our tailored solutions are developed and optimised to fulfil your key business demands.
Over time we have added to our 20 years’ experience in the field and built up a team of experts, with a wide range of experience and in-depth knowledge, who are eager to help your business succeed and grow.
About DataScan Retail Systems
Datascan Retail Systems are a leading UK and European supplier of solutions to the retail sector, from small businesses through to mid-tier and international enterprises. We have vast experience in the analysis and design of retail IT and the implementation of EPOS and Stock Control Systems and provide all the services required to plan, implement and maintain an effective Retail Management System. We are committed to match the Retail Pro System to the exact needs of the retailer, utilising our development, training and help desk teams.
About RIOT
RIOT is turning traditional RFID solutions for retail on their head with RIOT Insight. Insight is RIOT’s real-time inventory accuracy service offered as a simple but powerful add-on to a retailer’s existing systems. 100% inventory accuracy to support Omni-channel is now yours on demand.
About PAR
PAR Technology Corporation provides industry leading software and hardware solutions that are always there when you need them but never in your way.
State of the Art Point of Sale Systems.
Tablets and Portable Devices.
About XRetail
XRETAIL is a Global leader in Unified Commerce solutions, with a prime mission to empower enterprise retailers by helping to boost their sales and retain their clients. Through state-of-the-art technologies, integrations, and solutions, the XRETAIL platform creates unified sales channels including eCommerce, Mobile commerce, and Social commerce. XRETAIL’s Cloud-based platform creates seamless end-to-end solutions allowing enterprise retailers to blend brick-and-mortar and digital retailing into one unified platform, with notably enhanced customer experience both online and offline.
About Loqate
Combining leading technology with the richest data, Loqate provides several solutions to help bring businesses across the globe closer to their customers:
Address Validation A faster, easier way to capture and verify addresses in real-time for your online forms and checkouts.
Email validation Increase email delivery rates, boost customer marketing and reduce bogus registration when you verify email addresses upfront.
Mobile & phone validation Take the guesswork out of reaching customers. Capture the right phone number, mobile or landline at the point of entry.
Data maintenance The foundation of any customer management strategy, Loqate’s cleansing and maintenance software helps build lasting customer relationships.
In the aftermath of COVID-19 restrictions, even luxury brands have ventured into the world of e-commerce.
Many leading brands are taking the best of their existing bricks-and-mortar customer service and applying that to enhance their online offerings — as well as using digital tools to enhance the in-store experience.
Drivers of luxury shopping
The luxury shopper of yesterday embraced conspicuous consumption and fashion, often incorporating a brand’s name overtly into its design.
Today, a company’s commitment to sustainability and social awareness are more important to the new generation of these shoppers than a particular brand name.
However, one thing has remained the same: Luxury doesn’t have to be rational. It can be pure fun with little or no practicality.
Luxury shoppers tend to make a purchase to make themselves or others feel good, rather than because they require the item.
Their purchases can be impulsive or for gift-giving; a Deloitte study found that 20.5% of millennials bought a high-end item for a particular occasion and 18.5% bought one as a “treat.”
Take the Louis Vuitton skate shoe for instance – or the diamond and ruby studded Victoria’s Secret bra. How could any data support creating such items? But even if only a handful are ever produced — that rarity is part of what makes them luxurious.
Luxury is about a vision that totally transcends data.
Luxury is fantastic at cultivating extraordinary customer experiences beyond the product and making people feel good about their purchases.
With COVID, many luxury retailers began selling online for the first time in their history. Luxury has sat out from the ecommerce game for years, since a major part of what makes a luxury experience luxurious is the personal, human touch that surrounds the client with readiness to anticipate and exceed expectations.
Now, with nearly two years of online selling under their hand-crafted cowhide belts, luxury retailers are applying their creativity in reinventing digital experiences both online and in-store.
Bootmaker and Retail Pro user Lucchese is an example of a luxury brand offering clienteling online to replicate the personal nature of in-person shopping.
The company offers chat – “live shopping” – that enables a customer to connect with an in-store associate for virtual personal shopping, fit advice and style recommendations.
For a shoemaker that makes every pair by hand, having one-on-one help helps ease concerns, particularly about fit.
To a large degree, success will be dependent on luxury brands taking the opportunity to extend the personal touch to both the online and in-store experiences, based on previous interactions and reflecting the quality of interaction their high-profile customers experience in-store.
It’s omnichannel taken to the next level: Offering that personal touch regardless of where the purchase is made.
In this arena, there’s a valuable opportunity to use technology to recognize enthusiasts and online customers when they come to pick up or tailor their online luxury purchase in-store, and provide exemplary service that’s personalized, relevant and unique.
As much as customer engagement strategy differs between brands, one thing is consistent across the board: the POS is still the one thing that never fails to bring sales associate and customer together.
And last impressions matter.
Using Retail Pro Prism on mobile devices frees your sales associates from the cash wrap so they can more meaningfully engage with shoppers on your sales floor and learn about them.
There is no better way to personalize a customer’s experience than by actually getting personal and asking questions. What are they looking for? What’s the occasion? Can we help you find something to go along with the item you’re trying on?
That kind of human connection through clienteling makes customers feel like they’re shopping with a friend, and it builds emotional attachment to a luxury brand.
Clienteling data not only enhances the shopping experience for those in physical stores but is also used by associates to reach out to customers between visits.
Associates with access to customers’ spouses’ birthdates, for example, might place a well-timed call detailing the latest merchandise that would make a great gift.
Such focused, one-to-one outreach is extraordinarily effective in attracting high-value customers.
Going to the
2022 Retail Technology Show?
26-27 April 2022 | Olympia, London | Stand 6e28
About Pinnaca Retail & IT Solutions
Founded in 2015, Pinnaca Retail & IT Solutions is a family-run business offering retail solutions, specialist management consultancy and IT services. Our company is UK based, with offices in London, and a client base across the globe.
We work with all levels of business to define and develop strategies focused on our clients’ needs and objectives. Our tailored solutions are developed and optimised to fulfil your key business demands.
Over time we have added to our 20 years’ experience in the field and built up a team of experts, with a wide range of experience and in-depth knowledge, who are eager to help your business succeed and grow.
About DataScan Retail Systems
Datascan Retail Systems are a leading UK and European supplier of solutions to the retail sector, from small businesses through to mid-tier and international enterprises. We have vast experience in the analysis and design of retail IT and the implementation of EPOS and Stock Control Systems and provide all the services required to plan, implement and maintain an effective Retail Management System. We are committed to match the Retail Pro System to the exact needs of the retailer, utilising our development, training and help desk teams.
About RIOT
RIOT is turning traditional RFID solutions for retail on their head with RIOT Insight. Insight is RIOT’s real-time inventory accuracy service offered as a simple but powerful add-on to a retailer’s existing systems. 100% inventory accuracy to support Omni-channel is now yours on demand.
About PAR
PAR Technology Corporation provides industry leading software and hardware solutions that are always there when you need them but never in your way.
State of the Art Point of Sale Systems.
Tablets and Portable Devices.
About XRetail
XRETAIL is a Global leader in Unified Commerce solutions, with a prime mission to empower enterprise retailers by helping to boost their sales and retain their clients. Through state-of-the-art technologies, integrations, and solutions, the XRETAIL platform creates unified sales channels including eCommerce, Mobile commerce, and Social commerce. XRETAIL’s Cloud-based platform creates seamless end-to-end solutions allowing enterprise retailers to blend brick-and-mortar and digital retailing into one unified platform, with notably enhanced customer experience both online and offline.
About Loqate
Combining leading technology with the richest data, Loqate provides several solutions to help bring businesses across the globe closer to their customers:
Address Validation A faster, easier way to capture and verify addresses in real-time for your online forms and checkouts.
Email validation Increase email delivery rates, boost customer marketing and reduce bogus registration when you verify email addresses upfront.
Mobile & phone validation Take the guesswork out of reaching customers. Capture the right phone number, mobile or landline at the point of entry.
Data maintenance The foundation of any customer management strategy, Loqate’s cleansing and maintenance software helps build lasting customer relationships.
Today’s customers are looking for a seamless purchasing experience, whether that’s in-store, online, or a combination of both. But the so-called “last mile” — the time it takes for a shipment to reach a customer —can be a thorn in the side of a retailer. Enter in-store fulfillment.
Benefits of in-store fulfillment
Mounting shipping costs are costly for retailers who are reluctant to pass them along to customers who are looking for the best price for every item, as well as free shipping.
By offering in-store fulfillment, the delivery process can be seamless as customers choose from curbside delivery, click and collect, and buy online/return in-store options.
Employees can address customer requests in real-time, monitor inventory, and deliver attentive service.
In-store fulfillment means retailers no longer have to route products exclusively to a warehouse.
Nordstrom and Kohl’s are excellent examples of putting the strategy into practice.
They can fulfill orders from the store closest to the customer’s location, leveraging their stores as fulfillment centers and shipping orders directly to customers, reducing costs and speeding up deliveries.
Ship-from-store, ship-to-store, and in-store pickup can then be handled with one solution that optimizes in-store inventory usage and reduces the time and cost for fulfilling online orders.
Perhaps the most daunting part of the process is getting a 360° view of inventory by connecting data from e-commerce sales with in-store transactions.
Determining the correct timing for syncing online data and orders with in-store POS is vital; solutions can be configured to sync data at any interval, including real-time, hourly, nightly, or at other intervals that make sense for a retailer’s operations and network capacity.
If syncing lags, inventory can fall behind, and there’s a risk of selling out of products that have already been committed to online orders.
With seamlessly connected channels, shoppers can buy products online and pick them up in the store that same day.
Store associates can receive pick lists to select and package the products ordered online.
Selecting off-the-shelf products increases inventory turn and decreases the duplication that comes with holding a separate online order inventory.
In-store fulfillment completes the frictionless purchasing experience.
Customers get quick, free delivery — often receiving their items even faster than ordering online.
Retailers, in turn, move inventory more rapidly, helping to maintain price stability.
Both shoppers and retailers benefit from a more efficient customer experience.
In-store promotions are designed to attract customers to brick-and-mortar stores, build brand or product awareness and provide benefits that online shopping simply just cannot give them. If customers are not visiting the store they might be missing out on special promotions, discounts or free giveaways.
Also when customers shop at a local business, they are strengthening the local economy as well.
In order to compete with eCommerce, loyalty programs for physical stores have to be more than just membership cards. Creating a loyalty program is a great way to effectively strengthen your brand image, connect with your customers, improve your retention and drive more in-store sales. Following the pandemic touchless solutions are playing an essential role in the in-store experience. It is crucial that retailers show customers that they are invested in their safety as stores reopen.
Enroll Customers Into Your Loyalty Program In-Store In a Fun Way
Show customers how your in-store location is just as enjoyable as shopping online by:
Vivifying the thrills of shopping in person via allowing your customers to browse your online shop in your physical location
Making sure your physical and digital stores work together
Letting your customers interact with your products
Also, reward your returning customers with a loyalty program by offering discounts after a certain amount of visits, access to special in-store events and other perks. If they like the program they are more likely to recommend your store to friends and their families. Special offers by push notifications, personalized offers will help you enhance brand experience.
Bridge the gap between offline and online customer interactions with digital loyalty cards, which is an effective solution to boost in-store engagement and reach more customers through location-based messages, thereby driving multiple business KPIs.
Experiential Retail
According to a study by Deloitte experience has become the differentiating factor for businesses. Over 50 percent of customers say that the overall enjoyment of the shopping experience was important when making their final decision. When customers visit a store and are offered experiences such as large video display walls, a cafe, kids’ corner, virtual reality they will want to return. All these create a memorable experience and soar customer expectations.
Retailers can engage with in-store customers by enriching the offline customer journey, by offering them fun, easy and convenient ways to interact with gamified features. For instance, an offline treasure hunt, where customers need to find marked treasures or products inside the store, then use their mobile to scan the item’s barcode for a reward. You can prompt customers to thoroughly inspect the whole store, ensuring that they discover products or sections they would have overlooked otherwise. Send customers a push notification inviting them to play a fun game and win rewards. A Prize Wheel is ideal for mobile apps if you prefer touchless engagement for in-store devices. Showcase the prize wheel on an in-store device to instantly catch customers’ attention. Customers can approach the wheel and take a spin, giving you a new way to engage them.
After spinning the wheel and landing on a reward, customers are asked to log in or enroll in the loyalty program to redeem it. This ensures that they identify themselves while shopping.
QR Codes
Implementing a touch-free solution like QR codes on brochures or on signages in different areas of the shop, on the counter or in the dressing rooms, is a great way to make customers aware of your loyalty program. You might consider putting a QR code on the tags of your most popular products, so customers can scan it with their phone and receive a reward in return such as a small gift at the counter or a sum of loyalty points. Make sure to let the customer know that upon scanning the QR code they get rewarded.
DSW, the American branded footwear and accessories retailer featured QR codes on their magazine ads to engage customers. When customers scan the QR code they are taken to the DSW’s mobile site, where they can find the store nearest to them to view the products in person, check their order status, view DSW’s rewards program, and redeem their loyalty points, or make a purchase then pick up their order curbside, completely contactless.
The NFC technology helped Timberland increase customer engagement. The store could track, analyze and interpret their shoppers’ behavior
NFC Technology
NFC technology is a great way to spice up in-store customer engagement. With its help, you can create novel in-store experiences. It allows retailers to connect quickly and easily with customers at every step of the customer journey. In a loyalty program, NFC enables people to use their smartphones to interact with store-exclusive loyalty program features.
In Timberland’s Manhattan flagship store around 50 percent of the store’s inventory had been equipped with NFC tags. Upon tapping information about the product came up on the screen. The NFC tag was integrated to collect data from the customer. The store started adding credit for customers who signed in on the tablets, adding an extra touch to the customized shopping experience.
Beacon Technology
Beacon technology boosts customer experience by increasing efficiency, providing money savings, convenience, inspiration, and personalization. With targeted ads and brand offers, notifications and greetings on special occasions, you can add value while increasing trust. With just a single beacon near the entrance of a store, you could send a promotional notification to the user whenever they enter it or track how many users come to the store in a specific timeframe.
Target, the American retail corporation, is using beacon technology to help in-store customers to use Target’s app to create shopping lists, and then see where items are located in-store. As they move, their location changes in real-time, showing them whether they’re getting farther or closer to the product.
The new Target application will actually show your own location on the map, as indicated by a blinking dot. As you move through the store, your location will update, too. (Source: TechCrunch
Introduce a Kiosk In-store
Self-service kiosks are a rising component of in-store technology. It gives customers the possibility to shop for both the physical and online product offerings. They help shoppers gather information and speed up the shopping process. In-store kiosks are also a great way to promote a loyalty program. You can either set up a kiosk where waiting customers typically gather or offer priority lanes as a members-only feature. It is also an excellent solution to make sure customers are entertained while standing in line.
In order to help the customer as much as possible in finding products and to prevent lost sales, the ANWB, a travelers’ association in the Netherlands, needed a new solution to offer customers products that are not yet in stock. The kiosk has almost the same performance as the webshop on a PC, but the navigation especially works in terms of visual language and icons. By adding NFC technology to the kiosk retailers can ensure contactless touch screens for the customers making in-store shopping even safer in the post-pandemic world.
With the in-store kiosk ANWB makes sure that their full online catalog is accessible. (Source: Kega)
Sales Associates
Obviously, human interaction has a great impact on a customer’s emotional connection to a retailer. It will be especially of outstanding significance following the pandemic when everyone is craving a return to normal face-to-face communication. Well-trained sales associates can help boost loyalty program membership rates, as one of the easiest ways to inform your customers about your loyalty program and how their today’s transaction will get them closer to earning exciting rewards.
The Douglas perfumery chain’s loyalty card, called the Beauty Card, makes it possible for the company to serve their customers in a much more personalized way both online and offline. Besides offering several benefits, such as birthday surprises, product samples and invitations to exclusive events. They also offer makeup refreshing, skincare services, and beauty tips in-store.
In Douglas stores, customers can collect Beauty Points on their Beauty Card with each purchase, regardless of where it takes place, at the brick-and-mortar store, online or via their smartphone. (Source: ixtenso)
Brick-and-Mortars Coming Back to Life
Following COVID-19 face-to-face interactions will be receiving an even greater emphasis, as customers are hungry for communication. As shopping has evolved dramatically over the past several decades, the competition between retailers is fiercer than ever. Customer buying behavior is constantly shifting, not only when it comes to in-store shopping but online shops have also joined the race for customers, providing them with more choice and convenience.
Nevertheless, it is important not to overlook your stores as a crucial touchpoint in generating long-term customer loyalty. While customers are growing more comfortable with online shopping every day, the in-store experience isn’t going away anytime soon.
One of the big reveals during the past 13 months is that people need (and want) to shop, and that e-commerce filled that desire both for necessities and luxuries.
Small, neighborhood businesses with no online presence had the toughest time surviving, while online stores with brand recognition — ironically, often due to a brick-and-mortar presence — fared the best.
Most strikingly, big, traditional shopping mall “anchor” stores felt the sting of greatly reduced foot traffic, while also enjoying a significant uptick in e-commerce revenue.
For example, Nordstrom forecasts sales to increase more than 25% this year, with digital accounting for roughly half of all revenue. Malls have been losing foot traffic for years. Moody’s industry research arm Real Estate Solutions (REIS) forecasts that malls vacancy rates will reach 14.6% by the end of the year as retailers regroup post-pandemic and reconsider their store locations.
And yet, customers consistently report enjoying an in-person shopping experience. Nothing truly can replace an experience of being able to touch and feel merchandise.
A case in point is the venerable Macy’s department store, a 162-year-old retail institution, which announced a year ago it would be closing 125 stores in “lower-end” malls during the next three years.
Macy’s strategy was to focus on locations with stronger sales as well as online operations. Then came lockdown and the pandemic era, and as shoppers tried to avoid malls, stores found ways to adapt.
Macy’s mall exodus is not unique; Dillard’s, J.C.Penney, Kohl’s, and Belk are also reportedly looking at freestanding and strip center locations.
Nordstrom, too, has been successful with its small format stores and intends to continue expanding those outlets along with its digital presence as part of its “Closer to You” long-term growth strategy.
Small stores, customer-forward strategies
Photo by Taras Chaban
According to reports, the stores will have full-service and possibly self-checkouts as well as same-day deliveries.
In addition, they will offer “buy-on line, pick-up in store” or “click and collect” service, which often comes with curbside pickup.
Such smaller stores are embracing the concept of offering a curated product selection, a characteristic more often associated with luxury stores. It provides these large retailers an opportunity to be flexible, react more quickly to buying trends and become more relevant to today’s clientele.
By showing a willingness to experiment with innovative merchandising ideas, these prominent retailers may not only rediscover their place in the industry, but also once again become leaders.
How quickly goods get from a warehouse to a customer depends on what’s called the “last mile” of the supply chain.
The efficiency of that final leg ultimately determines the customer’s satisfaction with the buying journey.
The Last-Mile challenge
Retailers face the challenge of managing their supply chains to keep delivery times short while keeping costs low.
Customers overwhelmingly opt for fast, free delivery when placing orders, which has led to a growing need for a broad distribution network, including warehouses.
Logically, such distribution centers should be in close proximity to the customers they serve.
CBRE Research analyzed the 15 largest U.S. metro areas and found that distances range from six miles in the San Francisco Bay Area to nine miles in the “Inland Empire,” a region east of Los Angeles County.
Not surprisingly, highly urbanized and dense population centers tend to be closer to last-mile facilities, while more suburban locations were farther away.
Proximity is important because customers expect fast delivery.
As Amazon continues to push the limits of logistics by offering same-day delivery, other retailers are expected to provide two-day delivery — at the latest. That final step in the delivery process is the most expensive and complex.
Gather and analyze logistics data
Companies collect so much data that it’s easy to suffer from information overload.
Gathering data is only the first step in understanding what is happening.
The real valuable information only comes to light after the analysis.
Put all of the “last leg” data in one centralized visual analytics tool, crunch the numbers to better understand the ins and outs of the last mile delivery process, and make regular adjustments as needed.
Offer Real-Time Delivery Tracking
Static tracking numbers are so last decade.
Invest in building or sourcing an app for your customers that tracks driver locations live and provides accurate ETAs, like the Uber of last-mile deliveries.
In addition, text messaging customers with updates on the delivery process creates a transparent process that supports a frictionless buying experience.
Many challenges associated with last mile delivery are outside of the retailer’s control, for example:
The number of orders picked and packed daily
The frequency that orders are picked up by the carrier
The proximity of the warehouse to the customers
The number of deliveries made daily
Many retail businesses partner with external fleets and use multiple carriers.
But there are ways to improve the “last mile,” and retailers can take more control of their business’s last mile logistics to identify inefficiencies quickly and improve their customers’ experience in a delivery-first world.
For retailers, a unified commerce strategy is built on the foundation of integrated retail technology for an efficient, frictionless customer experience across channels.
Unified commerce gives retailers a smooth, efficient means of transacting business, because inventory, sales, e-commerce, and fulfillment system data is integrated to regularly and automatically keep inventory availability and customer details synced and up to date.
From Point of Sale to e-commerce, from CRM to inventory management, all these technologies need to be connected so retailers have a clear picture of who their customers are and how to provide what they want.
Interaction with customers
Each time a customer enters the retail store, they leave behind a wealth of data for any retailer who can measure their interactions within the store:
What was bought?
What was picked up but not purchased in the end?
What was the dwell time near products that were not purchased?
How long was the customer in-store?
Was this an online pickup?
Did they purchase other items along with their online pickup?
Those answers, when documented with technology, inform a retailer’s back-end systems, so inventory can keep pace with demand, and so marketing teams can keep pace with customer needs.
To collate and analyze that information, retail processes and tools must be intelligently integrated in a retail management platform like Retail Pro to enable sharing of relevant data across both customer-facing systems and those that integrate with backend vendor systems.
Applications from the point-of-sale report on purchases, inventory, and customer data. Sharing this data with an integrated warehouse management system allows warehouse staff to have insight into stock levels currently on the shelves, and to place orders with suppliers as supplies diminish.
Sharing the data with a loyalty and personalized marketing platform like AppCard for Retail Pro allows marketing teams to create targeted campaigns around a customer’s purchase history.
Consistent data across channels
That principle also applies to in-store sales staff—they should have the same product information available as retailers’ online channels.
Integrating your ecommerce software with your POS can give store staff the visibility they need to serve customers who call in to verify stock availability before coming in.
Customers who started their retail journey at home but then switch “channels” to come into the brick-and-mortar store must be certain that inventory is in sync: Surprises such as realizing that products aren’t in stock when the web site said they were there are unacceptable.
Retailers that use disparate, unintegrated systems risk delays in communication because data is manually updated at the end of the day, causing inventory counts to become out of sync and unreliable.
There are a number of technologies that retailers can put in place to provide a seamless customer-facing experience.
Shelf labels and cameras can map consumers’ movements within the store. That helps in product layout for future products, and in product forecasting. They can also indicate where is the heaviest foot traffic within the store.
Beacons can communicate with an app on the customer’s phone to notify them of product sales when customers are in the store’s vicinity, enticing them to stop in.
When integrated with the POS as well, interactions in the app which originated from a beacon trigger and resulted in the ultimate purchase can be properly attributed to track the efficacy of the tools and campaigns put in place.
The connected data then provides insight also on unvoiced customer needs which are nevertheless discernable through their interactions with a retailer’s various channels.
Integrating data in retail technologies provides the foundation for retailers to more effectively determine and act on customer needs for a better customer experience.
