In our 24/7-connected world, traditional retailers need to adapt to a new and even more competitive market. Consumer behavior is becoming smartphone-centric before, during and after purchase. Consumers can choose, at the last minute, amongst multiple online and nearby local retailers for the vast majority of their needs. They search an item and brand and engage via mobile first, whether it's outside of the home or in a physical store. They engage in real time, locally near a store and in the store itself. They monitor changing prices, special deals and coupons, new product availability, and more.
The physical store itself is becoming like a showroom where consumers come to see, touch and try products, as well as compare them with alternative solutions in real time. They then check to see if any special offers exist online and, as a result, oftentimes decide to postpone their transaction to make their purchase online. Furthermore, the physical store itself is increasingly becoming like a website, with smartphones being used like mouses to select and drill down into specific product information.
The in-store usage of smartphones is starting to resemble a personal shopping assistant, guiding the consumer through their "showroom" experience. The consumer sees something they like and, similar to the click of a mouse, reach for their mobile device to look up more information — e.g., customer reviews and competitive pricing.
That said, the smartphone user experience outside and inside of stores hasn't been well defined. New technologies are emerging that help retailers understand consumer in-store behavior and personalize their physical experience through apps, tracking codes on products, etc., but transacting via a smartphone is very different from a desktop or tablet. Desktops and tablets are in many ways close form factors when it comes to usage. With the smartphone, we have a personal device and a small screen that's with us 24/7 that will likely continue to become the center of our online usage.
Hence, retailers have to learn to engage on all digital touchpoints, especially the smartphone, in light of the fact that consumers can make their purchase decisions at any moment, regardless of whether they're at home or in-store. The retailer's job now is to attract attention in-store with additional services and ways to focus the consumer.
In 2014, retailers should consider some tactical steps to deliver a true omnichannel retailing experience that melds the key advantages of physical stores with the information-rich experience of online shopping. Here are seven ways how:
1. Maximize product choice and availability by enabling items to be reserved online prior to visit, making store inventory available on a visitor's mobile phone via free Wi-Fi or extending a store's product availability by placing online orders in-store.
2. Engage in real time with mobile chat on high-value purchases or for high-value customers.
3. Monitor and understand detailed in-store navigation and store performance, such as smartphone Mac ID tracking from store windows to checkout.
4. Engage individuals near the physical store via proactive geo-localization with specific, relevant local timely information and benefits, mobile search, mobile website and apps.
5. Adjust prices in real time in-store in coordinated fashion with your online presence.
6. Serve up exclusive branded content on interactive touchscreens and self-service tablets in fitting rooms and on the shop floor as well as via mobile Wi-Fi, delivering personalized product information with the customer's purchase history, sizing information, staff assistance and checkout on the go.
7. Better engage consumers through all digital touchpoints by offering special deals via apps, checkout receipts and real-time emails, social connectedness and updates, and more to engage and grow the relationship after the visit.
All in all, retailers must be ready to engage immediately as consumers visit them on their desktop, tablet, smartphone or in-store. Free Wi-Fi and personalized content should be available as soon as shopper enters a physical location. Start with a pilot store to test engaging consumers in these new ways and evaluate what strategies and tactics are working best with your product type and market vertical. A pleasant store experience isn't enough anymore. Consumers have adapted to the opportunities and challenges (and data!) that our new media world has to offer.
George Skaff is the senior vice president of marketing at TouchCommerce, a provider of custom online engagement solutions.