Tag Archives: Retail

35% of offline researchers purchase offline – resulting in negative channel conversions

Multichannel marketing has been a buzz word for quite some while yet as it seems, for most stationary retailers, it still turns to the ugly side with negative channel conversions. According to a recent study by GFK and Accenture, about 35% of all online purchases made result in a prior stationary retail research (research offline, to take up Google) before a purchase is finally made online. With that, a stunning of 5.4 B EUR resulted in these negative channel conversions in 2009. In other words, 5.4 B EUR are most likely lost transactions for stationary retailers, as chances are that the online purchase is not done via their online shop (should they have one).

Think cross channel and not multichannel!

Cross channel marketing could be one solutions for retailers to look at. Instead of relying on multichannel marketing perspectives, which often result in channel centric marketing models and thus quite some linear conversion, cross-channel marketing aims to put the user in the centre of all action while using channels as supporting instruments to assist the user in the web 2.0 buying funnel. E.g. a retailer should not rely upon stationary offline (even offline rich media) initiatives but a dynamic channel conversion alongside the customers progression in the buying funnel. This is not a revolutionary idea but amazingly only a few large retailers have jumped upon that bandwagon.

 

 

 

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Are campaigns dead?

Jeffrey Jones, Target CMO made a blunt but thought provoking statement, recently published in a brandchannel article, by addressing the shift from campaigns to mobile, content and thus in my eyes customer centric marketing.

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“In the past, marketers would make campaigns, they would put them in the world, and they would wait to see what happened,” Jones said in a video released on the brand’s A Bullseye View website and YouTube channel. “In today’s world, it happens hourly. It happens daily. And this is a brand that has such enriched deep content that our guests want to hear from us on. So if we can create content and share content and allow our guests to speak on our behalf, that’s really beneficial for them to deepen their engagement and it helps us amplify our message as well.”

The importance about this statement in my eyes is not the shift from campaigns to customer centricity in advertising but brands and marketing managers starting (could we say forced to by mobile technology and social media) to diss-intermediate in the message to consumer chain. Building up competencies, knowledge and experience in-house is a very important step to owning content and thus gaining control over customer’s brand experience.

The 60′s to the 90′s were the glory days of advertising agencies, slogans got created behind cigarette filled walls in men dominated meeting rooms. The customer was in most cases the least of everybody’s concern – data discrepancy just being one of the reasons.

Will we see more marketers taking on responsibility, diss-intermediating to getting closer to their customers but outsource operational tasks to third parties? Let’s hope so in 2013, I for my part, am in!

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