Retailers face significant shifts in technology, supply chain dynamics and consumer preferences. Coupled with labor shortages and economic issues like inflation, they face unique and often challenging circumstances.
One way to thrive under these conditions is to adopt an omnichannel strategy, seamlessly connecting online and offline experiences for optimal customer experiences and loyalty building. Through this approach, businesses can meet customer expectations while meeting them successfully and increasing customer retention.
Ecommerce (electronic commerce) refers to buying and selling products or services online, commonly known as C2C (consumer-to-consumer) or B2C (business-to-consumer). Ecommerce has gained widespread traction due to the convenience it brings when purchasing goods online with delivery/return options; also making it simpler for consumers to purchase items from anywhere around the globe.
Many retailers have taken steps to create an enjoyable omnichannel shopping experience for customers, enabling them to compare prices on mobile devices while in store and use loyalty program benefits to get discounts. As the lines between in-store and online shopping have blurred, it has become harder to predict which retail trends will remain relevant over time.
Recent technology innovations, such as augmented reality and voice-enabled shopping, have revolutionized ecommerce. These innovations allow shoppers to purchase goods easily with just the click of a button or voice command – an increasingly popular method among young consumers and likely to keep growing as new generations enter the workforce.
Personalized shopping experience
Customers become loyal customers when they feel understood by and connected with a brand. Customized shopping experiences can foster this sense of understanding by tailoring it specifically to each shopper’s preferences and needs, which in turn increases sales for retailers.
Personalization software enables businesses to customize products to specific audiences and generate relevant messages that promote interaction and conversion. For instance, when someone visits a product page, software could automatically suggest similar products or other items which might complement them.
Personalize online experiences by creating virtual fitting rooms or augmented reality experiences for customers to try on clothes virtually, using tailored size recommendations combined with photorealistic fit simulation. Solutions such as YourFit allow them to do this virtually and provide photo-realistic fit simulation. Such personalization can increase average order value (AOV), improve the customer journey and build loyalty and share-of-wallet. Furthermore, such strategies reduce customer support costs through reduced returns/repurchase rates and customer support expenses.
Buy Now Pay Later (BNPL)
Buy now, pay later (BNPL) options have significantly expanded consumer purchasing power in recent years, providing an avenue into credit services industry; yet this development has raised questions regarding sustainability and profitability – some pure-play BNPL lenders even having their valuations reduced significantly.
BNPL providers typically charge merchants and customers fees, including an initial setup fee and transaction costs per sale. These costs may be offset by increased conversion rate or average ticket size that boost revenue while creating customer loyalty.
Retailers are taking advantage of this payment option by offering exclusive brand assortments and collections, such as Target’s recent launch of Kendra Scott’s limited edition collection – helping attract shoppers while building trust, which could lead to repeat purchases or referrals in the future.
As new shopping trends emerge, retailers are working tirelessly to hone both online and in-person experiences for shoppers. Many are emphasizing faster communication channels, offering more events and shopping experiences in store, strengthening loyalty programs and offering emerging payments such as buy now/pay later (BNPL).
BOPIS (Build Online Pick Up In Store), has become increasingly popular with consumers. This service allows shoppers to reserve products online before picking them up at local stores – making it simple for busy shoppers to locate exactly the items they’re searching for.
Multichannel retailers find in-store pickup particularly valuable during the holiday season when delivery can be challenging to guarantee by Christmas Day. Offering this option can also entice customers hesitant to purchase higher priced products online since they can skip paying the shipping fees and return them if not satisfied. In order to provide this option successfully, retail brands require an effective omnichannel order management system in place.