March 20, 2012
Retail TouchPoints: Study Shows Value in Educating Consumers Online
Through a special arrangement, presented here for discussion is a summary of a current article from the Retail TouchPoints website.
One of the keys for online retailers looking to provide a seamless experience is educating and informing shoppers. The 14th Annual Mystery Shopping Study conducted in Q4 2011 by the e-tailing group, a Chicago-based consultancy, revealed that merchants are refining online tactics to find, inform, personalize and connect with customers with improved speed and efficiency.
"Smart retailers are integrating and highlighting features that inspire, inform and educate," Lauren Freedman, president of the e-tailing group, told Retail TouchPoints. She noted the following tactics:
- Brand-centric merchandising;
- Look books that spotlight the latest trends;
- Targeted product page recommendations and enhancements such as video content, guides and alternative views;
- Information-rich retail locators;
- Social and mobile initiatives;
- Checkout efficiencies;
- Responsive customer service.
The Mystery Shopping Study was released in conjunction with results from the e-tailing group’s Customer Experience Index that showed investments in the customer experience pay dividends for retailers. The websites were scored on a 100-point scale based on an assessment of metrics from five key pages on sites including the home, category, product, shopping cart and customer service pages.
Sears was the highest scoring merchant in 2011, exceeding other retailers based on its key page execution. Ms. Freedman said Sears embraced four evolving online trends including:
- Fast Pass Efficiencies — integrating a plethora of search-centric refinements
- Pre-Buy Prowess — engaging shoppers with features such as guides and video which inform and educate consumers
- Tactical Differentiators — using brand boutiques, brand-centric search options and a frequent buyer rewards program
- Personalization Polish — enhancing the product page and shopping cart with recommendations that encourage shoppers to buy more
Savvy retailers will continue to meet shoppers’ demands for fast, efficient experiences, noted Ms. Freedman. For e-tailers in search of best practices to create a compelling e-commerce experience, Ms. Freedman suggested three vital strategies for guiding customers through the browsing and buying journey:
- Employ sophisticated search tactics (refinements and sorts) as shoppers gravitate to tools that find products of interest quickly and accurately.
- Inform shoppers with comprehensive product information delivered through clear and compelling content, rich visual imagery and meaningful video.
- Construct a shopping cart that includes all branding and product information that steps shoppers confidently through the process.
BrainTrust
Recent Discussions
Discussion Questions
Discussion Questions: Which of the tactics discussed in the article hold the greatest potential to further engage consumers online? How do the personalization and education levels online compare to those in brick & mortar retail?
Poll
Sears is the “savvy” retailer all others should emulate? Pahleez. It makes me wonder about the validity of the data, when Amazon is #9.
All of the above. The online experience has to be — in many, many ways — significantly faster, smoother and “smarter” than the physical store experience which leverages a whole other series of behavioral cues. And, it’s much, much more competitive between categories of retailers.
In the physical world, nobody expects their dry cleaner to offer the same features and functionality of Nordstrom, but online “E-Clean” better have the same total offer as Amazon.com.
As to the second question, partly because of the nature of the medium and partly because many retail clerks aren’t really all that well informed or trained, the online personalization and educational tools will, on average, always outpace those of physical stores.
The use of video and relevant compelling content to inform and inspire shoppers has the greatest potential to not only engage, but drive brand loyalty for consumers and shoppers through not only mobile, but across all channels. The art of story-telling followed by the science of delivering that story across all channels holds the greatest potential for brands and retailers. A recent study showed that 50% of all consumer IP network traffic is video. Cisco claims that this will explode to more than 90% by the end of 2013. With this in mind, brands and retailers need to design and implement comprehensive media asset management and cross-channel delivery solutions to leverage this consumer expectation.
Maybe page execution on the Sears site was so fast because it was unencumbered by traffic.
Whatever tools allow consumers to find what they want quickly, provide all the information required, make suggestions without being too intrusive, and are easy to navigate work best. In other words, be comparable on all features with the best online shopping experiences.
Online personalization and education are usually better. Low paid retail employees are not normally the best at having all relevant product information at their finger tips or take the time to learn enough about the consumer to offer good, personalized recommendations.
I’m not sure why mystery shoppers were needed for this survey — heck, real shoppers are available and willing to do the job.
Sears really does provide a good online experience, it’s true. In fact, most retailers’ online experience is superior to the in-store experience. And so RSR has been asking for several years “How can we make the in-store experience as convenient as the web?”
A big part of the answer is obviously “knowledgeable employees.” I don’t think self-service in stores is a compelling value proposition — not when I can buy it via Amazon Prime with free shipping. The only differentiators for the stores are touching the product and talking with people.
Retailers know this. But knowing it and doing something about it are two different things, especially in an uncertain economy.
Nobody can question the three vital strategies for guiding customers through the browsing and buying journey. Everybody can question Sears as the top merchant.
Sears is number one, and Amazon is number 9?
Anyway, executing and monitoring a successful online strategy is easier than executing and monitoring an in-store strategy. Filling a website with product information, links, and video is a piece of cake compared to hiring, training, and monitoring lots of people.
It’s evident from this study that a successful online strategy, at this stage of the game, isn’t enough to make a successful retailer. Brick and mortar still rules and investing in knowledgeable sales people is the only way to be successful.
In my mind, the key term when it comes to e-retailing is “efficiency.” And part of making the online customer experience more efficient is providing information to users. Not necessarily more of it, but the most important information, in a succinct and easily digestible way.
This isn’t only via the website, either. Marketers and retailers should look to all of their online properties, including social media and mobile, to present a solid, identifiable message to consumers about the benefit of their offer. Different media allow for different ways to do this, with distinct personalities (Facebook versus a Mobile app versus a website).
In any case, it’s all about, “e-fficiency,” to perhaps coin a new term.
Time to stop talking about online-versus-offline practices and start focusing on what makes for a great customer experience at every touchpoint.
My vote goes to trusted product information combined with trustworthy selling practices. Personalization is less important than intuitive self-selection and answers on demand. The moment a shopper feels a need to look outside the shopping environment for facts to support a purchase decision (i.e. prices, specs, reviews, how-to), then chances increase that the purchase will be made elsewhere too. True online. True in stores.
I think video and integration to social media is the key. Personalization in ecommerce helps reduce the clutter of too many choices on a web page. The ability to explain the details of the choices via video, plus see what your peers think of the choice is what will convert the browsing shopper to a customer.
More Discussions
How Timely Is the Planned Lowe’s Website Renovation Focusing on Personalization?
Is Lowe’s being timely with its website reno, and is it right to be placed as…Should Costco Be Opening Members-Only Gas Stations?
Is this the right move for the warehouse club?As Boomers ‘Age Out of Peak Purchasing,’ How Can National Brands Retain Interest With Gen Z?
According to a recent First Insight study titled “Is Gen Z Still Choosing Your Brand,” while…
Sears is the “savvy” retailer all others should emulate? Pahleez. It makes me wonder about the validity of the data, when Amazon is #9.
All of the above. The online experience has to be — in many, many ways — significantly faster, smoother and “smarter” than the physical store experience which leverages a whole other series of behavioral cues. And, it’s much, much more competitive between categories of retailers.
In the physical world, nobody expects their dry cleaner to offer the same features and functionality of Nordstrom, but online “E-Clean” better have the same total offer as Amazon.com.
As to the second question, partly because of the nature of the medium and partly because many retail clerks aren’t really all that well informed or trained, the online personalization and educational tools will, on average, always outpace those of physical stores.
The use of video and relevant compelling content to inform and inspire shoppers has the greatest potential to not only engage, but drive brand loyalty for consumers and shoppers through not only mobile, but across all channels. The art of story-telling followed by the science of delivering that story across all channels holds the greatest potential for brands and retailers. A recent study showed that 50% of all consumer IP network traffic is video. Cisco claims that this will explode to more than 90% by the end of 2013. With this in mind, brands and retailers need to design and implement comprehensive media asset management and cross-channel delivery solutions to leverage this consumer expectation.
Maybe page execution on the Sears site was so fast because it was unencumbered by traffic.
Whatever tools allow consumers to find what they want quickly, provide all the information required, make suggestions without being too intrusive, and are easy to navigate work best. In other words, be comparable on all features with the best online shopping experiences.
Online personalization and education are usually better. Low paid retail employees are not normally the best at having all relevant product information at their finger tips or take the time to learn enough about the consumer to offer good, personalized recommendations.
I’m not sure why mystery shoppers were needed for this survey — heck, real shoppers are available and willing to do the job.
Sears really does provide a good online experience, it’s true. In fact, most retailers’ online experience is superior to the in-store experience. And so RSR has been asking for several years “How can we make the in-store experience as convenient as the web?”
A big part of the answer is obviously “knowledgeable employees.” I don’t think self-service in stores is a compelling value proposition — not when I can buy it via Amazon Prime with free shipping. The only differentiators for the stores are touching the product and talking with people.
Retailers know this. But knowing it and doing something about it are two different things, especially in an uncertain economy.
Nobody can question the three vital strategies for guiding customers through the browsing and buying journey. Everybody can question Sears as the top merchant.
Sears is number one, and Amazon is number 9?
Anyway, executing and monitoring a successful online strategy is easier than executing and monitoring an in-store strategy. Filling a website with product information, links, and video is a piece of cake compared to hiring, training, and monitoring lots of people.
It’s evident from this study that a successful online strategy, at this stage of the game, isn’t enough to make a successful retailer. Brick and mortar still rules and investing in knowledgeable sales people is the only way to be successful.
In my mind, the key term when it comes to e-retailing is “efficiency.” And part of making the online customer experience more efficient is providing information to users. Not necessarily more of it, but the most important information, in a succinct and easily digestible way.
This isn’t only via the website, either. Marketers and retailers should look to all of their online properties, including social media and mobile, to present a solid, identifiable message to consumers about the benefit of their offer. Different media allow for different ways to do this, with distinct personalities (Facebook versus a Mobile app versus a website).
In any case, it’s all about, “e-fficiency,” to perhaps coin a new term.
Time to stop talking about online-versus-offline practices and start focusing on what makes for a great customer experience at every touchpoint.
My vote goes to trusted product information combined with trustworthy selling practices. Personalization is less important than intuitive self-selection and answers on demand. The moment a shopper feels a need to look outside the shopping environment for facts to support a purchase decision (i.e. prices, specs, reviews, how-to), then chances increase that the purchase will be made elsewhere too. True online. True in stores.
I think video and integration to social media is the key. Personalization in ecommerce helps reduce the clutter of too many choices on a web page. The ability to explain the details of the choices via video, plus see what your peers think of the choice is what will convert the browsing shopper to a customer.