Cross-Channel Retail Transformation
I just read a piece by Kasey Lobaugh of Deloitte Consulting LLP that articulates my point of view so clearly I couldn’t have said it better myself!
He says that as cross-channel shpping becomes more prevalent, savvy retailers are paying greater attention to the strategic importance of e-commerce and online business in the broader context of how customers see their brand. But in order to thrive in this new environment, they must change how they think about their online capabilities – moving from designing channel specific capabilities to creating enterprise capabilities.
According to Lobaugh, “multi-channel is the future of retail, and a successful retailer must be able to serve customers whenever, wherever and however they want. That means more than simply having multiple channels, but creating enterprise capabilities than can be accessed regardless of channel. This will require more than improved e-commerce systems. It will require a complete transformation of the retail operating model – including changes to skill sets, metrics, organizational structures and business processes.”
To read the article in its entirety: Click here.
Although our value as a search firm specializing in multichannel marketing is very evident to catalogers and pure play ecommerce firms, I feel that retailers are late to the party. Though virtually all now have ecommerce websites, I often find that there is a lack of synergy between channels. As Lobaugh says, “Cross-channel consumers can interact with a retailer in a variety of ways. They might come into the store to see a product in person, but then go home and order it online. Or they might place an in-store order against an extended assortment, but have it delivered at home. They might even place an online order with you while standing inside a competitor’s store.”
We find ourselves frustrated that retailers do not seem to fully recognize the importance of expertise in multichannel marketing, and of course, by extension, the need to utilize Crandall Associates to recruit them. As Lobaugh concludes, “Retailers that develop the multi-channel capabilities necessary to effectively serve this new breed of customers are likely to gain a meaningful advantage in the marketplace. Those that don’t are likely to find themselves sliding down a slippery slope.”
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