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Omnichannel
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Among the highlights of the first Sears Holdings shareholder meeting since Edward Lampert became chairman and CEO were details on the company's progress in combining its brick-and-mortar and online businesses. Sears, which operates the Kmart mass merchandise chain, uses the term "integrated retail" to refer to the integration of its businesses, noting half of its online business comes from customers buying online and picking up in-store or ordering in-store to have it shipped home.
In the heart of Silicon Valley, Amazon.com veterans are trying to disrupt the experience of shopping in a store. Former Amazon supply chain Vice President Nadia Shouraboura, who launched the Hointer Inc. clothing company in Seattle last year, is set to open a store in Palo Alto, Calif., on May 1. But there's a digital twist: The new store, like all Hointer shops, will have almost no salespeople. It will also change its prices dynamically to prevent the increasingly common practice of consumers browsing in stores, only to buy from online retailers who offer the same goods for less.
The growing popularity of Amazon.com's membership program, Amazon Prime, has sent shockwaves among rival retailers since debuting a few years ago. For $79 a year, Prime members receive unlimited two-day free shipping on eligible Amazon purchases (with no minimum order size), as well as access to Amazon's video-on-demand service, Amazon Instant. The rate of adoption of Amazon Prime, coupled with the growing reach of Amazon, has caused rivals to scramble to offer alternative programs and initiatives to stay competitive, fearing that Prime dramatically lowers members' shopping activity on non-Amazon websites.
Retailers that deliver on their customersโ expectations and provide them with a seamless shopping experience โ whether they're shopping in-store, online or via a mobile device โ will win their loyalty and gain a competitive advantage that drives sales, according to new research by Accenture.
Animation, designer duds and the power of instant purchasing come together in Barneys New York's latest endeavor โ a shoppable spring film called "Wild Things." Created by filmmaker and photographer Barnaby Roper under the direction of Barneysโ Creative Director Dennis Freedman, the film stars Kinga Rajzak and follows her through a black-and-white cartoon land while she wears looks by Isabel Marant, Acne, Carven, Rag & Bone, and more. And when it goes live on Barneysโ website, viewers will be able to point, click and buy as they watch the short, thanks to Liveclicker technology.
According to the annual survey of global shoppers by PwC, based on more than 11,000 shoppers in 11 different countries spanning four continents, the study debunks some of the mythology concerning consumers, retailers and CPG companies. Using a "10 Myths" framework, the report separates fact from fiction to better serve today's multichannel shoppers.
The best word-of-mouth marketing is user-generated content. On the social web, this means Facebook wall posts and comments, Instagram photo sharing, Pinterest boards, tweets (especially accompanied by a photo), and YouTube videos. A retailer's best brand advocates are socially engaged and enjoy sharing testimonials and content that's authentic and shows a real passion for the brand.
With 2013 still only a month old, it's a good time to take a step back and reflect on just how much the cross-channel retail industry changed last year. As expected, 2012 was the year when cross-channel consolidated its status as the default retail operating model and continued its fast-paced evolution towards a more mature model โ omnichannel.
Social media has arrived as a first choice channel of interaction for consumers to seek customer care and technical support when purchasing online. It's the next stage of evolution in the demand for a better online shopping experience and real time customer service. However, many businesses have been slow to embrace social media as a legitimate channel for customer engagement...
The differences in organizational structure โ including how employees are compensated โ between retail companies were discussed by a panel at the National Retail Federation's Big Show in New York City this week. The panel included Brad Brown, senior vice president of e-commerce and direct sales at Recreational Equipment, Inc. (REI); Ivy Chin, senior vice president of e-commerce at Belk; Jeffrey Liss, senior vice president and general manager, e-commerce and CRM at Charming Shoppes; and Jim Okamura, managing partner, Okamura Consulting.