Last year's interview with Bill Davis on "Defining omnichannel retail"
was a great way to start the dialogue about this significant shift, and in
fact it's one of our most-viewed blogs. Now it's time to take the
conversation to the next level – requirements for execution. Here, Davis shares
the learnings he’s gleaned from his work on a number of omnichannel transition
projects – specifically related to the focus, effort, and time required for a
retailer to make the transition successfully.
In the early
days of the digital revolution, many food shoppers were satisfied with a photo
that actually matched the product on the shelf and access to a standard
nutrition label, but now that’s not enough. Growing demand for reliable product information is creating new opportunities for those who aggregate
and sell information about product attributes.
Until now, most of the focus on customer touchpoints has
been on the pre-purchase part of the journey. Now, focus is expanding at the post-purchase end – and the pivot’s
happening via e-receipts and mobile receipt programs. The doors that these programs can open move retailer/manufacturer collaborations into new territory.
For the past year or so, 400,000+ households in
Minneapolis/St. Paul area have had access to the Medica Healthy Savings Card. It offers shoppers a weekly assortment
of deals on about 50 healthy(ish) branded products and produce purchase rewards also. Will it accomplish what its insurance company adopters want it to? BMC's Cindy Christian reports on her experience.
Social media is a powerful way to engage shoppers, and we
were recently reminded of how much fun and effective a flash mob in a grocery
store can be by these two videos. Watch the shoppers pull out their smartphones to capture the moment,
and then, of course, they spread the word just like we’re doing now.
Glen Terbeek's ideas about the future of food retailing were
prescient 15 years ago, and they are still provocative today. The founder of
Accenture's original Smart Store and author of Agentry Agenda: Selling Food in a
Frictionless Marketplace, talks with us about how food
retailing is configured today, and why manufacturers, retailers and competitors
need to work together to create a new “operating system” that better
fits today’s dramatically different retail market conditions. In a follow-up interview
next month, he talks with us about what that barrier-busting system might
look like in more detail.
Most CPG companies understand that the digital future will
be very different, but how to prepare for it is less clear. The changes taking
place today are undermining the big box retail model, so maintaining the status
quo is anything but a growth strategy.
Customers increasingly go online for information and
services, so retailers can use the web to give their customers “more of what
they’re looking for” – but it has to be delivered in a way that’s easy to
access and use. That’s why we like Relay Foods’ expanded nutrition label.
player enters the delivery derby: The start-up Swapbox is deploying a network
of self-service lockers in San Francisco for shoppers who want to receive
online orders away from home. Amazon already has customer-pickup lockers in
some 7-Eleven Stores, and UPS is testing its own network of storage
a long time retail loyalty programs just gave customers with a card the
“loyalty” price and the ability to qualify for certain member-only promotions.
Some now include targeted offers and points programs, but most stick to the old
model. The question is: Do mass market loyalty programs work? The evidence
suggests, “not as well as you may think.”
get most of the attention when we talk about mobile, but mobile-optimized
retail websites are also important. While apps frequently offer shoppers a completely
new experience, shopper expectations for mobile websites are conditioned by
their experience with the desktop version. This creates both
opportunities and challenges.
Elliott Grant’s 20+ US patents testify to his love of
finding elegant solutions to hard problems. Among his creations is a technology
that enables capture of supply chain insights on over $10bn worth of products a
year. When we heard he was working on an app that helps consumers connect their
food shopping with their nutritional needs, we wanted to know more. Here,
he talks with us about how shoppers use the app, how it personalizes
nutrition scoring for individual products, and what retailers can learn from
the data it generates.
The recent New York Times article on delivery confirms that it's the toughest problem to solve as more food and
consumable buying shifts online. To date, startups and new entries into delivery are still generating more
smoke than fire.
transitioning to omnichannel, one challenge retailers face is finding a way to
let go of activities that are no longer important to their customers/shoppers
and to increase investment in things that will drive sales growth. Holistic margin management may be a way forward.
The list of ten online grocery shopping services recently published by
Mashable sparked several thoughts for us about differentiation, segmentation, economies of scale and what to expect in the future.