DDi - September 2011 - (Page 72)

72 | Think Tank Integrate or die he headline of this article isn’t an exaggeration. Just ask Borders. Or Blockbuster. These once-great brands didn’t fail solely because of changing tastes and technology; they failed because they did not evolve and align their channels to remain competitive. Not surprisingly, consumers chose what benefited them most—more convenience and value. With an increasingly global economy, and access to practically unlimited choices with online ordering, customers—especially Millennials—have little patience for brands when their retail and digital channels aren’t a seamless customer experience. Shoppers see the retailer’s name on the store and the screen. They don’t care about back-of-house complications with operations and inventory. (Pay particular attention if your customer is under 30!) Like it or not, it’s the price of entry these days. Always a leader in building positive customer experiences, Starbucks does a great job of blending its physical and digital brand in a way that surprises and delights people—and delivers real value. The Starbucks website provides constantly changing and compelling products and lifestyle-based content, while encouraging personalization and customer interaction. One of the first to create a branded “app,” Starbucks also has steadily enhanced its mobile experience. Initially a basic store finder, the app now has the capability to add credit to a Starbucks stored-value card, and can even offer the convenience of paying for purchases in the store. This technology benefits the consumer; it’s not technology for technology’s sake. T Remember that investing in these kinds of technologies enhances your direct relationship with your customers. It can’t be thought of as a cannibalistic substitution for your proven, existing channels, but rather as a complement to them. While the customer likely is not aware of the specific technology you are using, they do recognize the benefit and efficiency (and maybe even fun) you are offering them. Help them save money or learn from other shoppers, and you will build loyalty, increase revenue and potentially decrease expenses as well. Not all retailers have the reach or resources to execute the same level of digital integration as Starbucks; however, any retailer can get there with a roadmap and a plan of attack. This process of integration should be looked at as a continuum with many milestones along the way. There’s no time like the present to get started. How many of the following steps on the roadmap for channel integration have you achieved? 1) Build a solid digital foundation. This means doing the basics well: maintaining an on-brand website; establishing an authentic social media presence; and offering mobile-compatible Web content. Start with the website. Make sure it reflects your current campaigns and leading products, so that moving from website to store and back feels consistent. Build everything with an eye on mobility. Don’t adopt technologies that aren’t compatible with handheld users. People love to shop online, and buy in person, but sometimes browsing, comparing and sharing will happen on an iPhone in your store. Don’t be apprehensive about Facebook. If millions of your potential customers (and many of your competitors) are in a room, you need to be in that room, too. 2) Shift from a cost center to a profit center. You can have it both ways. If your roots are in bricks and mortar, that’s okay! But bring that experience to millions of shoppers with online commerce. Suddenly, millions of your customers carry fully capable buying devices in their pockets and purses. The “phone” part of mobile phones is almost an afterthought. Commerce can now happen anywhere. 3) Aspire to digital synergy. This is where Apple really shines. They’ve removed all the operational silos to benefit the consumer. Browsing, buying, servicing and learning—it all feels like an orchestrated, purposeful experience where the boundaries are blurred in the best possible way. Social commerce and community drive brand loyalty, which drives sales. Geolocation recognizes customers in and near stores and alerts them to specials only for them. Apple isn’t alone in striving toward digital synergy. The Home Depot, Best Buy and Macy’s are other retailers that are using mobile apps to enhance shopping—with lists, favorites, locators and more. So figure out where you can “bite the elephant” to align all of your sales channels into a unified shopping experience. If you don’t have in-house resources who understand the world of digital marketing, you can find experienced consultants. Waiting will likely only cause added distress and cost to the effort. —John Bajorek is the executive director, digital services for Dublin, Ohio-based WD Partners. He will be moderating the retail panel “Integrating Digital into Retail: Creating a Unified Shopping Experience” at the DDI Forum in Boston, Sept. 22-24. www.ddionline.com/forum. www.ddionline.com | September 2011 http://www.ddionline.com/forum http://www.ddionline.com

Table of Contents for the Digital Edition of DDi - September 2011

DDi - September 2011
Table of Contents
From the Editor
From the Show Director
Newsworthy
Shopper Insights
Greentailing
Editor’s Choice
Portfolio Awards 2011
Retail Design Luminaries
Retail Design Influencers
Design Firms of the Year
Best Visual Merchandising Programs
Retailer of the Year
Best-Designed Stores of the Year
Retail Standouts
Calendar
Advertisers
Think Tank

DDi - September 2011