Posts Tagged ‘B2C’

In a Forester blog post Adam Silverman is touching upon the subject of that Shoppers avoid contact with digital stores. I can’t say I am surprised, however not due to a poor concept but rather due to that the consumer has not matured enough. Read it here: http://blogs.forrester.com/adam_silverman/14-02-06-shoppers_avoid_digital_storefronts#forrester_new_comment 

Bildtail

Advertisements

As businesses are discovering the need to adopt a 360-degree approach in their online strategy to remain competitive they are faced with a few challenges. This calls for a new digital ecosystem where they can adapt a disruptive mindset, understand customers’ external behavior, engage with them across multiple touch points and (very importantly) demolish internal silos to achieve a unified online strategy.

While the ongoing digital revolution has enabled customers to reach enterprises through multiple channels one angle that needs to be taken into account is that customers are embracing technology at a much faster pace than enterprises, yet nearly all businesses still choses to compete over customers with similar business models, traditional values and to often without embracing innovation and technology.

They remain on hold in comfortable patterns and old habits. However, customers are unforgiving when their aspirations are not met! Your performance will be measured down to the last detail.

In this emerging scenario, businesses must rethink their Customer Experience Management (CXM) models. As with so many other things the starting point here is a change in the human mind set, traditional silos needs to be disrupted and bridges needs to be built between all the customer touch points, all the way from the web to the call center to packaging but also in the upper layers of Management right down to the genitors. It calls for a structural change, strict governance and also a cultural shift!

In summary the challenge for the enterprise is to provide its customers with a consistent experience through multiple touch points, irrespective of when and how it occurs. Continuity is the new black when it comes to maintain a great customer experience!

Besides the cultural shift and changes described above a first step in the right direction is to bring forward a blueprint where the entire customer journey is mapped out and each of the customer touch points are identified and evaluated. Without this your efforts becomes fragmented and siloed.

cxm universe

While commerce becomes increasingly integrated by the minute across multiple channels, players in retail are faced with even larger challenges. Knowledge transfer from one consumer to another is getting super fast and possible concerns about service, price and experience spreads fast. The local perspective is becoming increasingly global and consumers no longer necessarily compares a brick and mortar store with another back home, but the standard for what customers expects today can very well be based on a unique shopping experience on a holiday destination, or from an e-commerce shop somewhere else in the world. In some European cities, for example in England, as much as 30% of the commercial areas in town centers have disappeared in recent years. The phenomenon can be directly related to e-commerce, but it is fair to say that to a greater extent due to changes in consumer purchasing behavior.

In our era small niche shops in the inner cities as well as major brands seems to stand the best chance to last in the fierce competition. Generally, players in these categories seems to be most successful in giving the consumer a good “offline experience” (Sorry for a dated expression). For small specialty shops, it is not uncommon that the reason being unique products and a high service quality. For large chains and shopping centers it is often a combination of low prices and a wide variety of products, but also more or less successful loyalty programs plays a major role in continuing to attract customers. The middle layer, ie stores that only act as retailers will increasingly appear online only.

While mobile data traffic is getting increasingly cheaper, even roaming charges and smartphones rapidly drops in price the proportion of conversion over mobile devices will steadily increase. Few if any indications pointing to the contrary. And as the convenient mobile payment solutions, so-called “one-click check-out”, and other technologies that operate sales driven, such as location-based services becomes more common, the future and function of the brick and mortars will be redrawn further. We will see more of virtual stores and other concepts such as digital showrooms in the city centre landscape.

Bild

As a consumer, our choice to increase the norm for good service and reduction in price will put even greater demands on the industry. This is the future that the trade needs to adapt to, participants must find their USP in the era of agile commerce, and effectively utilize the available digital channels, always with the consumer experience in the center of its business model.