Omnichannel is the new Gold Standard of Retail. Brands that adopt a comprehensive omnichannel strategy will position themselves strongly for an increase in sales and revenue, along with a rise in customer acquisition and loyalty.
Why is Omnichannel so important in retail?
For retailers looking to devise a comprehensive strategy that provides a seamless and personalised customer experience across all channels, the definitive answer is omnichannel.
Through omnichannel, customers can move seamlessly from one channel to another - combining the best of both physical and online retail to deliver a best-in-class customer experience.
Omnichannel customers spend 15 to 30% more than single & multi-channel customers. The benefits omnichannel allows retailers to achieve more availability, drive sales and traffic, and integrate digital touchpoints.
Omnichannel Benefits for Businesses and Customers, 2022., REVE Chat
Omnichannel retail streamlines communications between the brand and its customers, providing more channels for customer purchase, whether it is on mobile, web, or in stores.
By satisfying the modern consumer's desire for a seamless experience, omnichannel retail can help retailers stay top of mind no matter where their customers find them.
An omnichannel strategy benefits businesses by enabling them to reach new customer segments. An omnichannel experience puts the customer first, and it's no wonder that customers want to stay with businesses that put them in the driver's seat.
For some consumers, an omnichannel strategy isn't even negotiable, as 40% of customers say that they won't do business with companies if they can't use their preferred channels.
How an Omnichannel Strategy Benefits Businesses and Customers, 2022. , Salesforce
What can we expect from Omnichannel in 2023?
The Rise of Phygital Retail
In the aftermath of the pandemic, shopping online has been established as the prominent retail sales outlet, but this substantial growth never led to the predicted 'death of the high-street.'
Customers can be physically engaged from brick & mortar outlets, to pop-ups or showrooms. Even if they solely buy online and pick up instore, there's still a physical aspect of retail there that consumers are willing to experience.
'Phygital' experiences are the future of retail. Learning from customer engagement across all brand channels is what will enable retailers to make informed product decisions, and enhance the eCommerce experience. Although, the next phase of retail doesn't necessarily lie in virtual realities. The digital component of phygital needs to be intrinsic to the customer experience, rather than a novelty.
Data-driven Personalised Experiences
The foundation of an omnichannel strategy is data; customer data that was previously leveraged by ecommerce retailers to drive sales. Omnichannel goes deeper - it's fuelled by customer data and behaviour that provides a detailed insight into each customer's interests and motives, capturing their every move across multiple touchpoints.
Personalisation plays a big part in the allure of omnichannel. It provides a means for brands to reach and communicate with a substantial, diverse audience across a vast array of digital channels and applications.
Leveraging their behavioural data allows retailers to provide a far more personalised online and offline experience, which increases brand loyalty and engagement. Consumers want to feel valued and catered for, not just another order number.
Customers want more from Omnichannel Retailers
Omnichannel is built entirely around the customer experience to accommodate and react to dynamic consumer behaviour and preferences.
It facilitates customer demand and the services that were once deemed a luxury (for example, BOPIS) are becoming a staple of retail - benefits and retail experiences that the public have grown accustomed to thanks to omnichannel retail.
There's CRM technology that can help retailers implement an Omnichannel strategy:
Offer more order fulfilment options
Facilitate virtual shopping
Activate live chat
Enable contactless checkout with QR codes.
BOPIS
Customised mobile apps
Social media shops
Unified sales channels
Retailers should review their content and grow their digital capabilities to integrate content into their digital platforms. They should also choose channels wisely and ensure that every touchpoint aligns to create one single consistent experience.
Omnichannel technology enables companies to provide greater flexibility across many platforms remotely with the hope of making customers satisfied with the products.
Building a great omnichannel customer experience may yield significant benefits for your company. It encourages customers’ confidence and establishes a consistent image for your brand.
Brands that deliver a consistent experience across every channel create a sense of familiarity, making it easier for customers to remember them. This can generate an increased customer loyalty, as 93% of customers are likely to make a repeat purchase with a company that provides excellent customer service.
The future of Phygital Retail hinges on Omnichannel
A hybrid retail model of brick-and-mortar and ecommerce is going to be the gold standard model for the retail industry.
However, providing an omnichannel experience requires significant investment in time and finances, including the right infrastructure, tech stack, and the marketing vision necessary to integrate and execute.
Long touted as the future of commerce strategies; omnichannel is an endgame to combine a brand's each and every channel to create an entirely frictionless shopping experience.
For retailers, finding solutions to overcome physical instore limitations has become a crucial to succeeding with an omnichannel retail strategy. Linear retail outlets like brick-and-mortar stores are now best integrated with mobile commerce, social media profiles, and everything in-between to create a fully-fledged shopping experience.
Retailers who adopt a comprehensive omnichannel strategy will be strongly positioned to grow their sales and revenue, and experience a rise in customer acquisition and retention / loyalty.