Omnichannel retailing is an emerging retail trend aimed to help retailers reach more customers and increase their revenues. Simply put, omnichannel retailing is about brands having presence in more than one channel such as an online store and a brick-and-mortar store and providing a seamless shopping experience for consumers.
This trend is generally seen as being brought about by the new generation of consumers – particularly the millennials and Generation Z – who prefer a more personalized shopping experience anytime, anywhere.
Omnichannel Retailing at a GlanceOn the consumer side, shoppers have the option to purchase an item online and pick it up at a physical store, or they can browse through items in a pop-up store and purchase it online, like what e-retailer Zalora is offering.
Big brands such as Starbucks and Sephora are implementing omnichannel well with their various channels. Starbucks customers can check and reload their rewards card across all channels – through the app, website or in-store. Any update in the customer’s account are reflected across all channels in real time. The same goes for Sephora – customers can track their purchase history and rewards points and make payments through the app, website or in-store.
Online vs. Physical Stores
While interest in online shopping is growing, this doesn’t hinder some retailers from expanding their physical stores to other locations. In fact, our recent report on global retail streets noted that rents for prime retail locations have spiked up to 0.5% in 2017. Of the 451 locations monitored, 136 have recorded growth. This only goes to show that physical stores can still play a major role in omnichannel retailing.
Implementing an Effective Omnichannel Sales Strategy
A 2016 UPS report showed that 38% of purchases made that year by respondents were from omnichannel transactions – up by 2 points from 2015. With the continuing rise of e-commerce and changing consumer behavior, retailers can refine their sales strategy and leverage on omnichannel retailing to achieve their business goals.
However, while many retailers today have an online presence, integrating an effective omnichannel sales strategy can be a challenge. If not done right, retailers can suffer losses.
The trick in implementing a successful omnichannel sales strategy is that you should be able to synchronize all your marketing channels to provide customers a seamless buying experience no matter which channel they prefer.
How do you implement a successful omnichannel sales strategy?
Understanding and meeting your customer’s needs through effective omnichannel retailing will more likely drive sales to your business. As the global retail scene evolves, adapting to new trends and strategies can help your business grow.