For retailers that don’t have the systems in place to deliver the omnichannel experience, waiting and seeing what emerges is not an option, says Ryan Murtagh, CEO of digital commerce platform Neto.
According to Murtagh, the retailers that are succeeding are the ones that recognise the role of technology in providing the personalisation and customer experience consumers expect. And then go beyond those expectations to set ever-higher standards of service.
“Innovative retailers are definitely influencing the way people are interacting with their brands,” Murtagh says.
Savvy online retailers also pay attention to how consumers want to buy, and increasingly they want the choice of channels.
“That’s specifically evidenced in the fact we have this move from clicks to bricks. You know, it always used to be about bricks to clicks,” Murtagh says.
“We see people who started out as pure-play online retailers now going offline.”
The most notable example of this trend is Amazon, the original retail disruptor, Murtagh says.
Murtagh expects omnichannel retailing to become the norm, noting that omnichannel customers are “far more sticky” than single-channel customers.
“[No one] really knows what the future's going to hold and that's why it's important that retailers think about putting technology in place now that's going to enable them to think faster and move fast.”
Retail innovation through experience
As omnichannel booms, the onus is on retailers to provide customers with the personalised experience and easy access to information, options and service they demand.
Ryan Murtagh, CEO, Neto
Innovative retailers are definitely influencing the way people are interacting with their brands. The business owners -- the decision makers -- they're consumers themselves and they know the pain points they're experiencing when they're shopping online or shopping in store.
They're always thinking about innovation, and thinking about ways they could do things better based on their experiences. And that's specifically evidenced in the fact we have this move from clicks to bricks. You know, it always used to be about bricks to clicks.
We see people who started out as pure play online retailers now going offline. The largest in the world, Amazon, they're now setting up offline locations to demonstrate and display and sell products. Another great example is Shoes of Prey.
Those two channels merge into one and this concept of omnichannel will just be a household concept. We already know that omnichannel customers are far more sticky than customers that deal with you in one channel.
We already know they have a much higher and longer lifetime value and we know that retailers are really struggling to deliver that omnichannel experience. I think it's still in its infancy, more than 60% of retailers in this country say that they don't even have the systems to be able to deliver that omnichannel experience, to close that omnichannel gap.
A lot people are still stuck in these legacy systems that have no connectivity to the outside world and it's really going to slow down their growth if they don't do something about it now. There are all sorts of new channels that our retailers will be able to take advantage of.
If you as a retailer can't deliver your content to that channel effectively, it's only going to damage your brand down the track.
I don't think anyone really knows what the future's going to hold and that's why it's really important that retailers really think about putting technology in place now that's going to enable them to really think faster and move fast.
I think that's really where the big opportunity for us still is, here in Australia and globally.
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