Omni-Channel Marketing

There are more devices connected to the internet today than the world population. In fact, the recent GSMA report confirmed the number of mobile connections had passed the 7 billion mark by April 2014 and expected to go beyond 7.5 billion by the end of 2014.

The rapid growth in the digital media and marketing has ensured that marketers are faced with more choices than ever on how to reach customers. While the traditional retail, print, radio and TV advertising techniques are still prevalent, we often hear people using multiple devices and methods even for a single transaction. This has been possible due to the prevalence of digital marketing. Today, from cell-phone to tablets to desktops to social media to an in-store visit, we are entering an Omni-channel world, where consumers seek an Omni-channel experience. This certainly adds challenge to the marketer who would no longer focus on just one channel of marketing but ensure that his or her brand is always carried with the customer.

Here’s a chart from Telco 2.0 Research, illustrating the frequency of multi-device paths to purchase:

 

It is important to understand that Omni-channel marketing in its real essence ensures that the marketing is integrated and real-time across channels. In other words, customer disparate data sets would not exist at any instance across channels say between online and mobile content.  If such data sets existed, there are potentially two types of risks: One wasting marketing dollars by targeting those customers who are not interested in a product or service as indicated by one data set and the other which is even worse is not marketing to the consumers who are really interested in that product or service. Often the data across different channels is integrated by unique information identifying a particular customer say his or her email id or mobile phone which could be used across various channels.

Helps Targeted promotions

A significant advantage of Omni-channel marketing is that it is able to gather valuable information about customers by integrating and aggregating customer behavior across various channels such as internet, mobile, social media especially Facebook and Twitter etc. This helps the marketers to customize their promotions for different customers. It helps to provide a 360 degree view of the customer. Thus, Omni-channel would aid the Big-data initiative of the marketing analytics.

According to a report from MIT University, more than 80% of store shoppers check price online. This clearly shows the rapid evolution of Omni-channel. Customers are going from screen to mobile to store and from store to mobile and other channels. This process is continuous and reiterates an important point that customers today need to be engaged across different marketing channels.

Macy's has embraced Omni-channel marketing and the related short video briefly describes the concept.

Macy's Goes Omni-Channel

 

2015 predictions

With the increasing prevalence of 4G technology, video advertising is predicted to be a growth area where mobile will become the platform of choice in 2015. Apple Watch is rumored to be launching in March 2015. Its function in Omni-channel marketing is presently not clear but analysts predict it could be a stepping stone.

By the end of 2015, it is predicted that the practice of dividing marketing by platform would be over and Omni-channel marketing would be the default standard.

Reference:

http://www.forbes.com/sites/danielnewman/2014/07/22/the-omni-channel-experience-marketing-meets-ubiquity/

http://www.marketingtechnews.net/news/2015/jan/15/omni-channel-default/

http://blog.marketo.com/2014/04/the-definition-of-omni-channel-marketing-plus-7-tips.html

 

 

 

 

Omni-Channel Selling

Omni-channel advertising is the new buzzword for all retailers.  Basically, consumers are buying in unpredictable ways, so companies have to face the new challenge of engaging with customers in multiple ways.  This article highlights 6 key ways to start the process of omni-channel advertising. First, companies should figure out how to best utilize social media.  Often, social media can be seen as disingenuous, so it is important that whatever is posted makes sense with your brand and can connect with your core market.  Often, companies need to identify influencers and use them to help pass on information via word-of-mouth or referrals.  Second, companies need to make sure they are advertising across all channels - it helps make their message consistent and expands their reach to target consumers.  Third, companies need to be using data they gather from all channels and use it to best understand shopping habits of their customers and better strategize how to advertise. Next, you have to seamlessly integrate all channels - what is available online should be available in store (or you create a way for customers to be able to get the merchandise in store), discounts should be consistent, etc.  Often, the channels operate separately, and companies miss opportunities for synergies and/or frustrate customers.  In addition, companies need to experiment.  Because omni-channel advertising is a new concept, there is no proven method, and each company's strategy should be different.  Finally, companies need to make sure their mobile experience is seamless, customer-friendly, and applicable to their target customers.  More and more, customers are buying from their phone, and they need to be able to do so easily.  While clearly each company needs to come up with their own way of integrate offline and online channels, leading retailers have stayed on top of their omni-channel distribution, and it seems to be a way to differentiate themselves from competitors.

How consumers still believe retailers are dual pricing

How consumers still believe retailers are dual pricing

In the early days of e-commerce having price differentials between online and physical stores was a common practice. However, in today's omnichannel world, it can be extremely harmful for a brand to charge different prices across different channels and therefore many retailers have abandoned this strategy.

A report from Displaydata suggests that more than 76% of the shoppers research online before buying in a physical store. The report also showed that 48% of shoppers perceived that promotions offered online were not available instore. In an effort to build a seamless approach to omnichannel, retailers need to aligned  the consumer experience through all the available shopping channels. Particularly, two factors have to be revisited:

1. Pricing strategy in offline and online channels
2. Product information: 28% of shoppers want more information about the product and stock availability in physical stores.

In a fast-paced retail industry, players have to quickly adapt to costumer's needs or face the risk to loose market share.  Due to e-commerce growth and the industry's competitive context, creating a differentiated, valuable and coherent shopping experience in all channels must be retailers' priority.

Read complete article: How consumers still believe retailers are dual pricing
Source: Morrell, L. (Nov, 7 2014).  "How consumers still believe retailers are dual pricing". Marketing Tech