Raphael Thys
Omnichannel trends offer a window into the future. A future in which the traditional boundaries between channels and even between the physical and digital worlds no longer apply.
The rules of the game are changing, and only companies that are able to capture and respond to these trends will remain competitive in 2022 and beyond.
1. Brands that prioritize digital enter the physical store space.
A physical store is an attractive option for many retailers, as it offers the opportunity to establish a presence in local communities and add another sales channel to the mix. The increasing cost of online customer acquisition, high online return rates and the ability to offer more engaging retail experiences have all contributed to making the prospect of making the move to physical stores more attractive.
According to a Forrester study:
· 32% of brands say they will establish pop-up and in-person experiences, and 31% will establish or expand physical stores
· 74% are likely to look at a product in-store and buy it online
Brands are beginning to understand that providing a truly omnichannel offering means going beyond digital and embracing the importance of in-person and in-store experiences.
Source: WarbyParker.com
2. Combination of online and offline experiences
Along with the growing trend of physical stores, a combination of online and offline experiences is occurring. The most prominent use cases are "buy online and pick up in-store" and the growing inclusion of mobile apps in customer shopping experiences. For example:
· Loyalty program provider Target Circle's app allows shoppers to check store inventory before traveling, as well as compare prices or unlock special discounts and rewards on mobile devices when shopping in-store
Source: Target.com
But it is also happening at a much deeper level.
The sophistication brought by modern augmented reality (AR) is further blurring the lines between online and offline and helping to create a new phygital (that is physical and digital) world.
A couple of notable ways to do this are virtual clothing fittings where Gucci stands out with its (AR) app:
https://apps.apple.com/us/app/gucci/id334876990
Source: Forbes.com
3. Virtual shopping
As innovative retailers strive to bring the in-store experience to the online world, real-time access to informed sales is increasingly important.
Live chat, video calls and even social media engagement can enable sales associates to guide buyers through the buying process.
One of the fastest emerging technologies for online shopping is video chat. This year, videos will make up 82% of all online traffic, and more than 50% of consumers say they watch videos while shopping in-store.
Video can be used to connect online shoppers with in-store sales assistants and bring all the interactive benefits of an in-store experience to the comfort of their home.
Visual search is another technology that is changing the way we shop. Users can upload a photo of an item they like and find it at the click of a button.
So when someone walks by with something that catches their eye, but they have no idea how to get it, the visual search technology can instantly tell them where to find something similar. It's like having a personal shopping assistant on a mobile device.
4. Multichannel attribution
Every marketing and sales manager wants to know if their campaigns are generating ROI. But customer journeys are not strictly linear, and a single channel will never give you the full picture of your sales success (or lack thereof).
To get the most out of omnichannel marketing strategies, multichannel attribution is a must.
According to Chris Cantino of investment and consulting firm Color, "companies adopting multiple sales channels will look for analytics that inform a more holistic view of customer journeys...that can move from online to offline and vice versa."
In essence, multichannel attribution allows you to collect data across all channels in real time, and then deploy multichannel analytics to study consumer behaviors holistically.
Digital marketers have long been familiar with the idea of multichannel attribution. What has changed is the merging of this well-known digital tactic with offline channels.
Direct-to-consumer brands have always leveraged data and customer relationships to their advantage.
Applying this framework to other sales channels will lead to increased conversions, more effective promotion, better informed product development and stronger customer relationships.
5. Changes in consumer expectations
Markets are fundamentally consumer-driven. That's why it's so important to be aware of what consumers expect from their experience, both online and offline.
Here are three examples of the changing customer expectations that companies will have to meet:
More consistency
According to Forrester, 69% of U.S. consumers shop more with brands that deliver consistent experiences in-store and online.
Regardless of device, channel or platform, consumers expect brands to deliver consistent information and experiences at all times. On the other hand, inconsistent experiences can cost them customers.
Increased speed
Ninety percent of customers rate an "immediate" response as essential or very important when they have a customer service question, and 60% of customers define "immediate" as 10 minutes or less, according to HubSpot.
The growing popularity of same-day delivery is just one example of the need for speed in the customer experience.
When your various channels are not well integrated, friction occurs and can cost you customers.
Automation and integration, especially between online and offline channels, are critical to ensure that you can meet consumer demands for fast, quality service.
Better customization
80% of consumers are more likely to make a purchase when brands offer personalized experiences. Some poignant examples of the kind of hyper-personalization consumers expect are:
· Clothing retailer Nordstrom remembers the clothing size of regular customers based on their past online shopping behavior.
· Personal styling service Stitch Fix creates a monthly subscription box based on customer preferences.
· Online fashion retailer ASOS uses social media data to provide customers with personalized discounts and offers.
True personalization is only possible through omnichannel integration, i.e. collecting data from all customer interactions to get a complete picture of their behaviors and interests.
This is also key to providing high-quality customer service. If all data passes through a centralized location, service representatives will always have access to the information they need to ensure a continuous flow of conversation with customers, even if those interactions are split across time and devices.
6. Social selling
Brands have long used social media for marketing, sales, reputation management, customer service, brand growth and more. But now, social media platforms offer a new benefit to retailers: integrated shopping features.
According to mdf commerce's report 10 Trends Changing Omnichannel Retailing in 2021, more than 60% of brands have already started using some form of social ecommerce functionality.
A clear example of this trend is Instagram, which offers a seamless shopping experience completely in-app, even allowing brands to produce shoppable videos such as Shein, Zara, and major fashion retail players. Some of the advantages for the retailer are:
· Fewer steps from discovery to conversion.
· Better information on the most effective products.
· Increased conversions thanks to influencer marketing.
· Direct integration between Instagram and your ecommerce store.
As social networks enable more direct purchasing options, they will gain traction as a sales stream in the overall omnichannel mix.
So, you've probably been frustrated at some point with not finding the items you're looking for or having to figure out how to navigate the store.
With poor organization and navigation of products, a barrier is created between customers and the completion of orders.
One of the ways to combat this disorganization is to create a comprehensive and understandable product taxonomy that allows your customers to find exactly what they need and complete their checkout process easily.
What is the Taxonomy of a product?
Taxonomy is about organizing, categorizing, grouping and, most importantly, understanding 'why' you do that.
Example: (a clothing store) When we get to our home page, we find that the clothes are organized by men and women. After making this first selection, we now see that the clothes are divided between shirts and pants. Simple, logical, and to the
point
How does taxonomy increase sales?
Website visitors are divided into two categories:
· Search engines
· Browsers
Product taxonomy that benefits browsers is actually easy to understand. Users are drawn to the header menu, exploring categories and subcategories.
The "search engines" do not filter the listing pages. Customers themselves go directly to the search bar, just arrived at the home page and arrive knowing what they want to find.
As technology becomes more powerful, it even encourages recommendations, an example of which are large e-commerce such as Shein, Zara or Stradivarius.
Improve user experience with intuitive navigation and on-page features.
Organization affects the user interface and user experience of your site. One of the first things to consider is where your products should live. You should keep in mind:
1. Two to three points summarizing the most important aspects of the product.
2. Identify the facts that separate this item from the rest of your catalog. Often, this takes the form of a product's "stats": what color or size it is, what it is made of, etc.
3. Look at your competitors and look at major retailers, to determine how they describe similar products.
- Optimize for search engines.
Trackers work best when they are provided with structured data, and a clear organization, with hierarchies and distinctions noted
How to take advantage of taxonomy and product categories?
1. Do not over-categorize.
You need to be able to visualize the taxonomy. Either by drawing a tree on a piece of paper or using specialized software to do so
If a viewer of your site has to spend more time browsing than viewing actual products, you have too many levels and subcategories
2. Nail down attributes vs. subcategories.
Make sure that the category tree follows a clear hierarchy, from general to more specific aspects.
3. Ensure proper categorization to reduce confusion.
Try to stay away from duplicate categories.
4. Use appropriate names and consider looking for synonyms.
Keep in mind that if you are building a B2B site with very specific audiences, it is extremely important to use terms that members of the industry will understand.
If, on the other hand, it is a site with B2C sales for a more general audience, if we use a super specific classification for it, it will be useless and no one would understand it.
Differences in taxonomy in B2B and B2C ecommerce
Typically, the same lessons apply to B2C and B2B sites.
Clear navigation, useful facets and solid organization are universal benefits.
A B2C site will have more "casual" users who will visit and use your site, but who don't necessarily need it.
Miguel Angel Povedano