Retail Inventory: Expectations vs Reality...Capital Hair & Beauty River Island Coast Waterstones...

Retail Inventory:Expectations vs Reality A report investigating consumer expectations about omnichannel stock visibility and

comparing customer-facing services such as real-time stock availability by store,

same day collection, and mobile usability of 140 retailers with over 30 stores in the UK.

“Within retail, everything needs to be connected to provide consumers with the best possible shopping

experience.”

Ian Tomlinson, cloud pioneer and founder of Cybertill

Cybertill.com |

Foreword from Cybertill CEO, Ian Tomlinson

The research

The results: how are retailers stacking up?

Real-life examples

Executive summary

Research methodology and references

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6

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9

16

18

Contents

Download the data and see how you compare to 140 UK retailers!

cybertill.com/stock-research-data

Cybertill.com | 3Retail Inventory: Expectations vs Reality Research Report

http://cybertill.com/stock-research-data

The future of retail is real-time

When imagining the future of retail, your mind may conjure up images of robots, sentient AI and IoT, but there is something less exciting that many retailers don’t offer, and yet many consumers want. This missing piece could be a silent killer, and retailers skipping this basic omnichannel functionality may not be around for the future of retail.

Inventory management is a key component to omnichannel success. More specifically,

real-time, multi-location stock control that is accurate and customer-facing, i.e. displayed

on the front-end of websites, apps, shelf-edge labels, etc.

Have you ever looked at a product online but wanted to look at the item in-store before

purchasing, only to find that the store you visit doesn’t have it in stock? Annoying isn’t it?

At Cybertill we care about our customers and how they can offer their customers a better

shopping experience. As part of that, we conduct annual consumer surveys to find

out what consumers want and highlight what retailers should be focusing on in their

omnichannel strategies.

In two consecutive years of our research, stock management came top of the list of

consumer wants. They want to see real-time stock availability across multiple locations,

and they want to be able to do that research themselves because immediacy is key,

especially for last minute purchases.

“I’d like to see higher accuracy of stock levels through a retailer’s app to make it an easier shopping experience.”

Michael, Gen Z panellist Cybertill and Internet Retailing Gen Z Webinar, May 2019


http://https://www.cybertill.com/webinar-gen-z/

The store is still a very important part of the shopping journey. 73% of consumers said that

the ‘immediacy of getting a product and not having to wait for delivery’ encourages them to

go into physical stores, rather than shop online (YouGov 2018).

On mobile devices, 42% of consumers would want to be able to see stock levels of nearby

stores via an app. More consumers chose this than other digital services, such as easy access

to promotions and loyalty schemes (40%), and the ability to buy items (36%). This is further

proof that mobile browsing can fuel footfall to stores when retailers offer consumers the

right information at the right time - but when that goes wrong, it causes frustration. 87% of

consumers feel a degree of frustration when an item is marked ‘in-stock’ online on a retailer’s

website, but not available when you go to find it in-store (YouGov 2018).

Recently, Cybertill hosted a live Gen Z Q&A webinar, featuring a panel of 18-25-year-old

participants. A panellist, Michael, said that he had a bad experience with a retailer - the

business took payment for an item, and was then told it was out of stock – leaving Michael

out of pocket and deeply unsatisfied with the service he had received. Not a good way to

endear yourself to the Gen Z and internet generation.

In this report we have researched 140 retailers in the UK to see which ones are making the

most of online channels to highlight in-store stock levels and drive footfall to stores – and the

results are surprising. I hope you enjoy this report, and I welcome any feedback you have.

Ian Tomlinson Founder & CEO

Cybertill - cloud-based retail management software.

DM me on LinkedIn

linkedin.com/in/iantomlinsonrs

Or email me and my analyst team on

[email protected]


https://www.linkedin.com/in/iantomlinsonrs

The research

With stock availability important to UK consumers, Cybertill wanted to find out which retailers are offering the stock-related services that consumers want, and to what degree of detail.

The first of the criteria in the research queried whether or not retailers offer a ‘find product

in-store’ function on the product detail pages of their websites. Then we looked at how the

data was displayed. 36% of retailers offer a simple ‘In Stock’ or ‘Out of Stock’ message in

relation to a particular store. 34% of retailers offered that message also in relation to nearby

stores without the shopper searching again.

Only 6% of retailers displayed exact stock levels by store, and nearby stores. Retailers doing

this have great systems and processes in place to be able to offer real-time information

about stock availability by location.

We then looked at whether or not retailers offer same day click and collect or click and

reserve and only 16% of retailers offer this service. A business offering a collect service same

day for orders are most likely picking from store stock, which not only provides the shopper

with quick service, it means retailers have a good grasp of where stock is at any one time.

We also looked at retailers’ click and collect or click and reserve offering to see whether

or not the website provides the consumer with an exact time for collection prior to check

out. We found that only 11% of retailers provide this information. Being able to provide

shoppers with an accurate time for collection before checking out online helps them make

an informed decision about what delivery method to choose.

The last of the criteria in the research looked at how easy the retailer made it for mobile

shoppers to find inventory information online. Automatic geolocation, especially on mobile,

is a ‘best practice’ for a good user experience, however, only 13% of retailers have this

functionality available from the product detail pages of their mobile websites.

We researched 140 retailers with more than 30 stores in the UK. The criteria were weighted

by a combination of complexity and customer-facing value, and points were awarded to

each retailer fulfilling the conditions. Full research methodology selection criteria is detailed

on pages 18 and 19 of this document.


The results: how are retailers stacking up?

Only 6% of retailers show exact

quantities of items available by store.

Only 16% of retailers

offered same day collection in store.

A huge 61% of

retailers didn’t offer any kind of real-time

inventory levels online at all.

The research revealed that only one retailer – Mamas & Papas – met all criteria and achieved a weighted score of 100. What really surprised us was that 61% of the retailers researched didn’t achieve any score at all – meaning that they didn’t display any inventory information pertaining to their physical stores online.


The top 20

Retailer

Availability by store

Availability bynearby store

Exact quantitiesin stores

Exact quantities in nearby stores

Offers collection

same day

Gives exact time

to collect

Offers ‘find near

me’ search

Mamas and Papas

Smyths Toys

Wynsors Shoes

Blackwells

Jigsaw

The Entertainer

F. Hinds

Jack Wills

Shoe Zone

Capital Hair & Beauty

River Island

Coast

Waterstones

Cotswold Outdoor

Lakeland Ltd

The Fragrance Shop

Hotel Chocolat

Halfords Ltd

Jessops

Argos

Retailers who scored in the top 20 are listed here in alphabetical order. The full list of retailers can be downloaded at cybertill.com/stock-research-data


http://cybertill.com/stock-research-data

Real-life examples

Our research has highlighted many opportunities that retailers have for improving their

omnichannel customer experience when it pertains to stock management and multi-location

inventory. A few retailers stood out for different reasons, even if a couple didn’t rank in the top

20.

In this section, we look at which retailer:

Earned the top spot

Has the most unique stock feature

Has mastered the art of click and reserve

Offers best in show click and collect

Is the best choice for same day in-store collection

The top spot goes to:Mamas & Papas

Mamas & Papas was founded in 1981 with the aim of better meeting the needs of new parents. With an ecommerce website and 30 stores across the UK and Ireland, the company also boasts over 60 international franchise outlets and offers its range of products through concessions including, John Lewis, Next and Very.

Why the top spot?

Mamas & Papas was the only retailer

researched who achieved full marks,

providing website shoppers with full visibility

of stock across all touch points. Product

pages are free of clutter, letting shoppers see

the item, cost, stock availability online, plus

the ability to find in-store.

When clicking on the ‘find in store’ link, the

shopper is given the option to use a postcode

or geolocation to ‘find stores near me’, plus,

when searching in-store stock, the customer is

presented with stock availability by store and

nearby stores.

Where Mamas & Papas excels is that the

website shows exact stock quantities in the

nearest store, nearby stores and items that

are available for same day collection with an

exact ‘available from time’ - all before an item is

added to the basket!

https://www.mamasandpapas.com/en-gb/

https://www.mamasandpapas.com/en-gb/


https://www.karenmillen.com/gb/home

Most unique feature:Karen Millen

Karen Millen has 64 stores in the UK and over 350 around the world, with concessions in John Lewis, House of Fraser and online with Next. Selling in-store, online and via its mobile app, the brand also sells through online retailers ASOS and Very.

Why so unique?

An impressive feature on the Karen Millen

website is that the product listing pages

enable shoppers to browse by specific stores.

Entering a postcode in the faceted navigation,

shoppers can filter results by proximity, as

shown here.

On the individual product pages, customers

can check store stock availability. Not only

does the website show one location and one

size, it shows other nearby stores and the

availability of alternative sizes, close to the

one selected. This is perfect for shoppers

who are often in-between sizes!

https://www.karenmillen.com/gb/home


Mastering the art of click and reserve: F. Hinds

F.Hinds has been a mainstay of the high street for over 160 years with over 115 stores across England and Wales and has been trading online since 1997. The business also provides shoppers with the option to order over the telephone and via a print brochure, giving consumers choice when it comes to how they shop.

Mastering click and reserve

F. Hinds lets shoppers see the exact time and

date that an item will be available to collect.

The clever part is that customers can also

check other stores nearby, and the website

displays the time shoppers can collect from,

which could be as soon as two hours from

ordering. Perfect!

F. Hinds ranks in the top 10 of the retailers

researched and earned points for showing

stock availability by store and nearby stores,

as well as a geolocation ‘find near me’ option,

which is perfect for mobile shoppers.

https://www.fhinds.co.uk/

https://www.fhinds.co.uk/


Click and collect best in show: The Entertainer

Founded in 1981, family-owned toy retailer, The Entertainer, has more than 140 stores across the UK, and a growing international presence, including franchised stores. The business also has an ecommerce website.

Why best in show?

The Entertainer certainly knows its audience.

At times, parents often buy last minute gifts

for birthday parties, treats, or simply catering

to the whims of toddlers. Understanding

where stock is and providing the option of

collecting an order in as little as 30 minutes

is a testament to its stock management

process and commitment to a good

customer experience.

The Entertainer offers same-day delivery for

online orders and also shows the shopper

the exact time the item will be available for

collection in-store.

The Entertainer earned points for showing

stock availability by store and nearby stores,

as well as a geolocation ‘find near me’ option

- ideal for shoppers on the go.

https://www.thetoyshop.com/

https://www.thetoyshop.com/


Best choice for in-store collection: Schuh

From an independent store in Edinburgh to one of the UK’s most recognised retailers, Schuh has enabled customers to be adventurous and individual, with its quirky name and brands sold. The retailer has over 100 stores globally and sells online via its ecommerce website.

Why best choice?

Schuh offers shoppers a choice between click

and collect, reserve or buy store stock, providing

online shoppers with full visibility of when and

where they can expect their items to be available.

Schuh also provide shoppers with the ability

to buy online and collect in just one hour at no

extra cost, crucial for those all-important shoe

emergencies!

Click and reserve is much quicker, as shoppers

can collect an item in-store just 20 minutes after

reservation online.

The Schuh website shows stock availability by

store, as well as stock availability in nearby stores.

The ‘find near me’ application offers shoppers

a mobile-friendly way of locating stock. Which,

together with the 20 minute click and reserve, is

a great customer experience.

https://www.schuh.co.uk/

https://www.schuh.co.uk/


Dunelm - On its product detail pages, Dunelm

offers a postcode lookup for ‘reserve and collect’.

This shows not only the nearest store with stock,

but also nearby stores. Reserve and collect is

available within three hours.

Lakeland - Lakeland offers a great online

experience for browsing and checking stock. If

a shopper’s chosen store has the selected item

in stock, they can collect it within three hours of

ordering.

Jigsaw - Jigsaw provides a breakdown for

customers and shows product availability by

store and nearby stores. But it doesn’t end here,

customers are also provided with an exact quantity

available in each store, brilliant.

Smyths Toys - Choosing to click and collect

from the product detail page, customers instantly

see exact quantities in stock in the nearest store.

Customers can also choose alternative stores and

see exact stock levels of those stores.

The best of the rest

https://www.dunelm.com/

https://www.lakeland.co.uk/

https://www.jigsaw-online.com/

https://www.smythstoys.com/uk/en-gb

Download the data and see how you compare to 140 UK retailers!

cybertill.com/stock-research-data


https://www.cybertill.com/stock-research-data

73% of consumers value immediacy when shopping in physical stores (YouGov 2018), that’s why we were shocked at the results of the research and the fact that over 60% of retailers don’t have any kind of in-store stock visibility on their websites.

As I read the research it got me thinking about why retailers don’t offer this. Is it because they

don’t trust their retail systems to give an accurate view of stock data? Are their online and

in-store systems run separately and not communicating with each other? Or is it that they

are simply choosing to ignore what consumers really want? I hope it isn’t the latter.

I believe that offering a real omnichannel experience to consumers is achievable, and not

just reserved for global big-box retailers. In fact, some of Cybertill’s smaller, independent

retail customers, such as Angling Active are a great example of how integrated real-time

stock benefits any retail operation. The company is so proud of its inventory management,

there is even a page dedicated to ‘live stock control’ on its website. Integrating online and

in-store stock data means that when an item is marked as “in stock” on the Angling Active

website, shoppers can be confident that the item is available and ready to ship, providing

real-time stock availability 24 hours a day, with no overnight or time delay polling. It seems

that customers agree - thousands of excellent reviews on TrustPilot says it all, really.

Within retail, everything needs to be connected to provide consumers with the best possible

shopping experience. Since starting our pioneering journey into cloud-based retail software

back in 2001, we have built real-time data into the foundation of our product - it’s in our DNA.

It’s time to give consumers what they want, not what you think they want. We’ve done this

research, not to name and shame but to bring attention to a largely untapped omnichannel

opportunity, and one that could have a big impact on your business and your bottom line.

Please get in touch, as I’d love to discuss this further with you.

Executive Summary

Retail Inventory: Expectations vs Reality Research Report

Ian Tomlinson

Founder & CEO, Cybertill linkedin.com/in/iantomlinsonrs

[email protected]

16Cybertill.com |

https://www.linkedin.com/in/iantomlinsonrs

Stock control

Retailer selection

The selection criteria for the retailers in this research included a cross-sector, non-grocery list of

retailers with 30 or more locations, and a transactional ecommerce website, operating a varied

retail estate, including high-street locations, retail parks and out of town units.

The list contains over 100 retailers to ensure that the results are statistically significant.

Research & criteria

The data used in this report comprises two Cybertill sponsored YouGov surveys (2018 and 2019)

and desk research.

The 2018 online YouGov survey was completed by 2,004 GB adults aged between 18+. A total of

973 males and 1,031 females took part. The 2019 online YouGov survey was completed by 2,083

UK adults aged between 18+. A total of 975 males and 1,108 females took part.

The desk research was completed by Cybertill between 14th and 23rd May 2019 using a Google

Chrome web browser on a Dell laptop running Windows 10 and a Microsoft laptop running

Windows 10. The websites of 140 retailers were researched using the following criteria to assess

whether or not the retailer’s website had the following features: shows stock availability by

store; shows stock availability in nearby stores; shows exact quantities available by store; shows

exact quantities available in nearby stores; offers collection; gives exact available from time for

collection before ordering; and if it offers a ‘find near me’ geolocation search for stock nearby.

Research methodology and references


The following criteria have been weighted with input from various retail experts as follows:

1. Offers a ‘find near me’ search for stock nearby was awarded 1 point as this is a ‘best practice’

for user experience, especially on mobile devices.

2. Gives exact available from time for collection before ordering was awarded 2 points as it

shows how well the business knows where the stock is, or the supply chain.

3. Shows Y/N availability by store and shows Y/N availability in nearby stores were both

awarded 3 points as these are indicative of basic inventory management across locations.

4. Showing exact quantities available by store and exact quantities available in nearby stores

were both awarded 4 points. This is heavily weighted because it proves the business has

mature processes for managing real-time inventory across locations.

5. Offers collection same day was awarded 5 points as a retailer offering this is most likely

picking collection orders in real-time from store stock, which is seen as true omnichannel

inventory management.

You can download the raw data of all 140 retailers at cybertill.com/stock-research-data

Terms & conditionsThe data contained in this report is based on the researcher’s judgement at the time of testing in

relation to documented guidelines. The artwork contained within this report are copyright and

trademark of respective owners. Cybertill does not claim ownership of the artwork. All statistics

and references, unless otherwise stated in the report are from Cybertill desk research.

Data contained within this report may only be published if crediting:

Retail Inventory: Expectations vs Reality and link back to:

www.cybertill.com/stock-report

For press enquiries, or to request the raw data, please contact [email protected]


https://www.cybertill.com/stock-research-data

Cybertill’s cloud-based EPoS and retail management software can help you make the most of your

retail inventory.

©Cybertill Ltd 2019. All Rights Reserved. The Cybertill name and logo are properties of Cybertill Limited. CT10

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