Copyright © 2009 TOSHIBA TEC Europe Retail Information Systems S.A. All rights reserved.

Confidential

Changing the Retail Landscape

From Transaction to Interaction

GH SchuilingInnovation Development, TOSHIBA TEC Europe

TOSHIBA TEC

Market leader in Japan (home market)

Part of Toshiba Corporation (# 91 Fortune 500)

Since 1950 6,2 MIO ECR and POS terminals shipped

#6 in global patents application

1 R&D facility; 9 production plants; 54 sales offices; 74 offices worldwide

ONLY vendor with in house creation, development, manufacturing, sales and recycling of POS products

Three business divisions: Retail Solutions Business; Document Systems Business; Auto-ID & Printer Business

"Monozukuri” : creating our products with pride and passion. Keeping our customers in mind all the time and everywhere.

2016 ‘the future consumer’ – CAPGemini report

Test hypotheses

– Consumers will become smarter in using new technologies

– Consumers will expect to enter a true dialogue with companies, and

will be willing to provide relevant information

– Consumers will value more personalisation

– Health and wellness will be key factors

influencing consumer behaviour

3Source: http://www.capgemini.com/industries/retail/

The future consumer: Key findings

• Consumers are dissatisfied with their current shopping environments

• Consumers will increasingly use new and emerging technologies

• Consumers appreciate receiving personalised offerings

• Consumers will increasingly look for more than just the basic products: they

expect experiences and solutions

• Health and wellness will be a growing factor in buying decisions

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Key findings: Consumers will increasingly use new and emerging technologies.

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Are you likely to use the following types of technology option in the future when you are considering buying products and services? (% saying “yes”)

Source:

34%

81%

67%

64%

62%

57%

54%

42%

42%

38%

35%

Unlocking hidden value

6 Source:

Willingness to share information (% saying)

What’s in it for me…

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Expectation in return for Sharing Information (%saying)

Source:

Know your Customer

Engaging customers while they shop – not when they leave

Influence buying decisions

Communicate with customers while they shop

Respond to the fast changing dynamics of merchandising

Make all in-store retail devices information-rich

Retailer’s ultimate goal: create a lifetime customer

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The Retail Paradox

Retail differs from other industries

All merchandising initiatives are information dependent

– Require access to, and exposure of, information intelligence

– Personalization of customer interactions is essential

Applying intelligence from diverse information assets is challenging

– Multiple disparate applications, data sources and data models

– Value = combination of content and time to visibility

– No data intelligence = merchandising fails

– Imposes a critical dependency on scarce IT resources

– Positions IT as the barrier to progress

Hence the Retail Paradox, where:

– IT is critical to retail success, while also its biggest impediment

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Requirements

• Seamless Data Availability

• Devices are the “Enablers”

• Customer-centric merchandising

– Fast and easy management of existing information assets

– Retrieval and manipulation of customer relevant intelligence

– Authoring of multiple communications and interactions formats

– Exposure via the in-store communications mechanisms

Personalizing the customer experience through information

Drive loyalty and competitive positioning

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Target of storeMate Mobile Shopping Experience

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Shoppers versus sales

Enrich the customer experience

• Ease of use

• NO threshold for use

• Customers scan and pack as they shop

• Permission based marketing

• Opt-in for information delivery, promotion delivery and added services

• ‘Quick shop’ vs. ‘inspire me’ tour

• Only valuable offers and information delivery

• Running total, promotions and Mix & Match

• Save time, money and fuss

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Enhance retailer opportunities

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Increase loyalty

Increase revenues

Improve customer satisfaction

Deliver personalized customer intelligence to customers

Personalized promotions, pricing and product information

Achieve a sophisticated level of Customer Segmentation

One to all, one to many and one-to-one marketing opportunities

Guided Selling and Targeted Promotions (1)

Determine customer profile

Personalized “real-time” communications from retailer

Select appropriate type of promotion

– Scan based

– Category based

– Cross-Sell

– Up-Sell

– Location Based

One-to-many messages

– Offer of the day

– Promotional markdown

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Guided Selling and Targeted Promotions (2)

Allergy alerts

– Provide warning and present alternative products

Customer based pricing

– Basket Builder

– Average spending per period

– General loyalty account info

Cross of items from selected menu suggestion

– Controlled routing through the store

– Suggest additional products as you go

Present product information

– Nutrition values

– Per item or per basket

– Product origination

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Transform shopping trip in shopping experience

No complex CRM system, but BI driven merchandise server

Manage information assets as a single “virtual” Intelligence source

– Personalized “real-time” communications from retailer

– Exposes richer product information

– Delivery of “relevant” and personalized guided selling

– Personalized Health and Wellness information & guidance

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The trade in of one-to-one marketing

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One-to-one marketing redemption

In all honesty…

Random checks via parameters

‘Self learning’ system

Red listing of users

Several anti theft countermeasures including:

– Random checks

– Partial rescan

– Full rescan

storeMate MSE as differentiator

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Copyright © 2009 TOSHIBA TEC Europe Retail Information Systems S.A. All rights reserved.

Confidential

For questions and live demonstration visit us at Hall 13 / B15