Posts Tagged ‘Business’

Has it ever occurred to you that many establishments with-in the F&B sector has a somewhat different take on issues like loyalty and utilizing digital chanels all together? I have found some interesting input from companies such as Signal, looking to find sensible strategies for businesses in this sector.

Many of these business I have become familiarized with have a very ad-hook and spontaneous relationship with their guests. Unlike retail businesses the relationship with the guests seems to be a little more random and there is no or little preventive work with in loyalty and building sustainable relationships other than on the floor, while the guests are present. I am certain that not all would agree but according to my findings this sector is a slow adaptor.

For example: As guests like any consumer also have a thing for personal and not least relevant offers it is important to understand how to best target their wallets. I.e random is not good enough, you need good information that includes food preference, customer age, and favorite time of day to visit. According to Signal who has extensive knowledge within the business a brief mobile or web survey is often the easiest way to get these details.

Businesses within F&B can expect a respond rate of around 30% or above with a mix of email, direct mail and online.

Once they have mapped out different segments you can start targeting offers, adapted to specific groups. There are several different ways of doing this, here are a few:

• create groups of similar customers based on the attributes collected or,

• by age,

• or based upon deal interests.

You can read more about the above and other relevant topics in a new free book called “#UX Is the consumer experience in the center of your business model?” Available on iTunes or here.

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Convinced of that a combo of retail online and in stores will remain a winning concept also in the future Georges Plassat, the head of world number two retailer Carrefour, told the three-day World Retail Congress that more than two thirds of group’s sales are still in-store.

While I am not saying the Mr. Plassat is wrong about his conclusion regarding the of-line/on-line combo I think that quote is well worth analyzing a few more times.

“More than two thirds of group’s sales are still in-store”

  • For once, even if he is not specific, the number of  in-store transactions has shrinked in just a few years,
  • secondly, doesn’t that statement reveal exactly what is expected?
  • and thirdly, where does that descending spiral ends?

I love to shop at Carrefour but believe that they as well as other similar businesses needs to adopt the following targets:

  • Find ways to appeal to millennials.
  • Reduce the amount of retail space in their portfolio.
  • Make it easy to shop, wherever, whenever.
  • Speak to their customers personally.
  • Use technology as a competitive weapon (Make every journey count).

I finally like to end with another quote by Mr. Plassat from the World Retail Congress.

He said “There is a dream for people working purely in the Internet that they will be delivering everybody on a daily basis a liter of milk. This is totally a dream and could become a nightmare because of the cost of energy.”

Isn’t that the exact opposite mind-set one should require from a business leader in retail today or is there a clue buried in the fact that Carrefours website is not even responsive just yet? #digitaldisruption

Please see this new free book to learn more.

The idea with this easily digested book is to give you an insight of what is going on, current challenges you might not even knew existed and how digital disruption will change everything we know about consumer behavior. But also to give you hands on advice on actions that you really need to consider in order for your business to remain competitive.

Please download your free copy at iTunes or this pdf

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Retail sector after sector disappears from High Street locations as the need for their existence shrinks. Travel might have been first, today 90% of all leisure flights in the US and Sweden as well as in the UK are sold on-line.

But also books and other media (DVD/CD) that have struggled for years seems to disappear in a faster tempo than previous years, still 40-50% are sold off-line by traditional ways.

Closing and accessories in the UK and Sweden is another segment that are quickly moving in on what seems to be the critical mass, not to mention electronics. Today well above 30% of all clothing business in the UK and Sweden is handled on-line and retailers shows signs of closing down stores nation wide.

Footwear and Sporting goods in the UK market is also close to 30% and could very well be next. Surprisingly this segment in Sweden and the US remains fairly low still despite millions invested in platforms and commercials. So the question remains, is the melting point for physical stores 50%?

As the below articles reveals there are to some extent a cure in the shape and form of increased online/offline integration and enhanced customer experience. Continue reading in The Future Shopper

About Barnes & Nobles (Washington Post)

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I often get the question of assisting companies to analyze their conversion potential on their external webb.

The very core of these jobs spells UX (User Experience). What is the proposition value, how high is the anxiety level? Other relevant questions are color and contrast, call to action and other key elements such as “above the fold”.

Example: Consumers +50 years old, usually with fairly sizable wallets, typically still remains fairly anxious making payments online, do you give them constant assurances in payment steps 1 through 4? 

Lets begin by making a Customer Journey Map and clearly define the interaction points the customer makes with your brand during her journey, both physical and online. How does these rate from a UX perspective? High or low? Secondly determine which points that needs to be improved and how.

To improve the UX is never free, but usually gives something back in terms of revenues, loyalty or repeated business.

CJM

In the last two years, the number of shops selling products that are currently being digitised has fallen by 13%, to no surprise that includes those selling books, computer games, CDs and DVDs.

Fashion retailing has also been hit hard over the same period, with women’s clothing chain stores down by 13%. At the same time, independent outlets have fallen in number by 6%.

The effect is visible every where. In Sweden large retail chains such as Retail and Brands are taking a hit, and doing so with out any signs of tagging along the trend of its US counter parts.

Forrester sees significant investment from US retailers in this space. Lowes, Home Depot, Nordstrom, and others have all been spending heavily on developing the underlying infrastructures that they can then leverage to create in-store digital experiences. Store Wi-Fi, associate devices like tablets or smartphones, kiosk technology, and even more emerging technologies like ePaper signage and electronic shelf-edge labels are on some agendas.

But European firms are following at a more sedate pace. When Forrester took a look at the expectations of European consumers versus their North American counterparts, it’s interesting to see that European shoppers have significantly higher expectations as to what a digitally enabled store will deliver. Yet almost universally, European retailers are failing to unlock this potential.

Why it is so is still a subject of much speculation, but if your firm doesn’t have plans, then you really should be kick-starting things before it’s too late!

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As Mobile Commerce Daily recently wrote, The retail POS (point-of-sale) market is quickly evolving thanks to the increased popularity of mobile payments.

Retailers, in a moderate pace, are currently realizing that hand held check-out devices increasingly are requested by customers but also increases service levels. With more movable staff, out of stock items are with ease still paid for to be picked up in-store or delivered to an address preferred by the customer.

In the next level customers them selves will handle many of these functions directly with their devices and (not to forget) wearables. Early leaders such as Starbucks are already using mobile payments as a means to augment existing payment mechanisms.

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