Demystifying the online shopper - 10 myths of multichannel retailing by PWC
The Canadian Multichannel Shopper
description
Transcript of The Canadian Multichannel Shopper
The Canadian
MultichannelShopper
Rosalina Lin-AllenDirector, Client Strategy
Delvinia
www.delvinia.com
Steve BielawskieCommerce Practice Director
Tenzing
www.tenzing.com
Presented by: Sponsored by:
Webinar Agenda
• Introduction – Steve Bielawski, Tenzing
• The Canadian Multichannel Shopper - Rosalina Lin-Allen, Delvinia
• Q & A
If you have questions during the webinar, please input them in the Q&A panel on the
right side of your screen and we will address them at the end of the presentation.
Tenzing
Data Centers
Production
EnvironmentDisaster Recovery
Environment
About Tenzing
Company
• Privately owned, Founded: 1998
• Fully Managed IT Service Provider
• 3 Customer service centers: BC, ON, India
• 3 Datacenters: Toronto, Kelowna, Vancouver
• Profit 200 Ranking – 6 years in a row• Profit 200 Ranking – 6 years in a row
• 80 employees (60 in operations)
Provide Managed Services For
• Ecommerce Platforms
• SaaS Applications
• Web & Enterprise Applications
EMEAAPAC
Ecommerce Managed Services
Experience
Multiple Ecommerce Implementations
• Apply the right delivery strategy
– Reduce time, effort and risk
• Collaborate: Ecommerce Systems Integrators
• Manage all infrastructure components• Manage all infrastructure components
• Manage Ecommerce platform environments
– Seasonal & Peak Load Management
– Scalability
Business
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
Digital Strategy & Customer
Experience Design Firm. End Consumers Delvinia
Searched trusted sites
Product ratings & reviews
What it takes to install a
shed
Visit store
Talk to friends & family
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
Buy Online
Talk to friends & family
ONLINE OFFLINE
Definition
• Shop across different channels
Characteristics
• More sophisticated & educated consumers
• Wants CHOICE
What is a Multi-Channel Shopper?
“ Retail customers who shop
across multiple channels tend
to spend 2-4 times more than single channel shoppers.”
Peppers & Rogers Group
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
• Wants CHOICE
• More demanding
• More loyal & more profitable
Expectations
• Channel agnostic – see the retailer as a unit and expect
the experience across channels to be consistent and
integrated
“ Multi-channel shoppers
spend 50% more than a single channel shopper
– and are typically the highest
value customers. ”McKinsey Marketing Solutions
Heighten Importance for Multichannel Integration
“ Multichannel integration is no.
2 on the Top 100 Retail
Movers & Shakers list
compared to no. 54 in 2009. ”2011 Top 100, RetailCustomerExperience.com
• More skeptical about corporations and their
messaging
• More scrutiny and active researching on
their purchases
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
“ Multi-channel integration will
be a strategic priority over the
next 5 years.
”Walmart Executives
their purchases
• More aggregator sites available (e.g. Red
Flag Deals)
• More reliance on peers
• Addition of channels that supports impulse
shopping (e.g. mobile, tablets)
Digital dominates pre-purchase research Brick-and-mortar dominates purchase
• 60% of Canadian shoppers say their choice of retailer is influenced by their ability to conduct pre-
purchase research online
• At least half of all shoppers report the Internet as their preferred pre-purchase research channel
How Do Multi-Channel Shoppers Behave?
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
VALUE is top of mind• 85% of consumers research price online
What do multi-channel shoppers care about?
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
VALIDATE their decision• 65% Canadians look for customer ratings & reviews
• 48% look for expert opinions & recommendations
What do multi-channel shoppers care about?
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
LOCATE product• 50% look for product availability
What do multi-channel shoppers care about?
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
• 50% look for product availability
• One of the most dissatisfying channel
to complete this transactional task
When you shop on a retail website, how important is each of the following features?
What features do they use?
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
Source: AskingCanadians Dec 2010, n=500
What is the approach to meet
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
the needs of multi-channel shoppers?
Approach
P
O
• Accessibility to store
• Comfort with technology
• Time available
• Value social experience
• Decision Cycle
• What is the nature of your product/channel?
• What are you trying to accomplish?
eople
bjectives
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
O
S
T
Define how to get your target audience to do
what the business wants them to do.
Tactics & technology to realize the strategy
trategy
actics
People & ObjectivesMost useful channel for pre-purchase information gathering on a specific product by category:
Persona Development
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
Source: AskingCanadians Dec 2010, n=500
Strategy
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
Research Purchase Support & Community
Tactics
• Store/agent Locator
• Decision Making Tools (e.g. product recommender, calculators)
• Facility to multiple visitsExample: Example: Example: Example: car, travel Example: Example: Example: Example: degree
Perc
eiv
ed R
isk • Storytelling
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
• Click-to-Call
• Robust Search Engine• FAQ
• Peer Ratings & Reviews
Example: Example: Example: Example:
books & music
Example: Example: Example: Example:
smart phone /plan
Complexity
• Scenario Comparison• Inventory Lookup• Zoom/Rotate Product
Low Complexity & Low Perceived Risk
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
Robust search engine through faceted search
Pick up at store
Numerous retailers reported success in up-selling when customer come into the store.
Low Complexity & High Perceived Risk
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
Decision
Making Tool
Facility for multiple visits
High Complexity & Low Perceived Risk
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
Cel phone/plan are complex in the sense that you have to determine several things:
• Telecom you prefer/trust
• Usage needs
• Minutes, time of call
• Internet needs
• Phone features
Compare options, line item by line item
High Complexity & High Perceived Risk
Decision making tools
Push prospects to speak to Ivey and to their experiential events
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
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Story telling through interactive elements and videos
In sum …
Start by understanding your customers & clearly defining your business objectives•Offer consistency across your channels•Many Canadian retailers are not meeting the expectations of
P
O
eople
bjectives
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
•Many Canadian retailers are not meeting the expectations of multichannel shoppers. There’s an opportunity to stand out by doing it right.•Mobile (impulse) channels to take into consideration including smart phone, touch pad
O
S
T
trategy
actics
In sum …
People + Objectives
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
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StrategyTactics
40% 65%
Up Next
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
40%of Canadian smartphone owners
have used their phone in the
process of shopping.
65% of Canadians look for consumer
reviews and recommendations
when researching products online.
Join us for the
Mobile Shopper WebinarMobile Shopper WebinarMobile Shopper WebinarMobile Shopper Webinar2PM, Wednesday, October 26, 2011
Join us for the
Social Shopper WebinarSocial Shopper WebinarSocial Shopper WebinarSocial Shopper Webinar2PM, Wednesday, November 30, 2011
The Canadian
MultichannelShopper
370 King Street West, 5th Floor, Box 4
Toronto, Ontario
M5V 1J9
Presented by: Sponsored by:
Shopper
Rosalina Lin-AllenDirector, Client Strategy
Tel.416-364-1455 X271
Email. [email protected]
Delvinia
www.delvinia.com
Steve BielawskieCommerce Practice Director
Tel. 877-767-5577 x436
Email. [email protected]
Tenzing
www.tenzing.com