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Creating an Integrated Omni-‐Channel Retail Experience Capaldo 1
Creating An Integrated Omni-Channel Retail Experience
Samantha A. Capaldo
The University of Florida
July 20, 2014
Advisor: Dr. Steven Kirn
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 2
Creating an Integrated Omni-Channel Retail Experience
In today’s tumultuous world, characterized by an unpredictable economy and
ever-evolving technology, retailers’ target markets are changing, and it is imperative for
retailers to take both notice and action. A new trend is exploding throughout the
shopping environment, that of omni-channel retailing, or the integration of any and all
shopping channels – brick and mortar sites, television, catalog, internet websites,
smartphone applications, tablets, radio, direct mail, and telephone orders – to create a
seamless, consistent experience for each and every customer anytime, anywhere, and
anyway they want to shop. This new trend is being prompted by the increasing
demands of consumers to get whatever they want, exactly how they want it, whenever
and wherever they choose. The desire of consumers to have shopping at their fingertips
– and on their terms – is changing not only the environment of retailing, but the world as
we know it. For retailers to stay competitive and maintain loyal customers, they must
take notice of consumers’ new demands for convenience, accessibility, reliability, and
control.
As the Internet grew in popularity in the 80’s and 90’s, many retailers found
themselves with lagging sales despite increasing foot traffic. They were losing actual
sales to an emerging trend called showrooming, defined by Maribel Lopez (2012) of
Forbes magazine as “the act of viewing merchandise in a physical retail store without
purchasing it there, and then purchasing the product online or from another retailer.”
The exponentially evolving Internet, coupled with major advancements in handheld
technology (smartphones, tablets, netbooks), threw the retailing industry into a new era,
one in which they started a few steps behind. Gladson Ltd, “the leading provider of …
services for the U.S. consumer packaged goods industry” with a database “widely
acknowledged as the most complete [and] accurate” for retail consulting has found that:
• Over 80 percent of shoppers make their purchase decisions before
leaving home.
• More than two-thirds of U.S. consumers that are shopping for food
want access to more nutritional information.
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 3
• Over 50 percent of smartphone owners use their device while
inside stores to help guide their purchasing decisions
(Gladson.com, 2014)
The desire for more information, easier access, and the best deal possible
prompted traditional brick and mortar retailers to look for ways to counteract the sales
impact of showrooming. They began to open their own “online storefronts” with little or
no idea what consumers really wanted. Many retailers offered the same products online
as they did in store, like Bath and Body Works, while others (like Costco) took the
opportunity to expand their product offerings, selling everything from food to diamond
rings in store, and cars to coffins online (“7 Surprising Things You Can Buy at Costco,
2011). However, integrating the purchasing channels and creating an online presence
just wasn’t enough. Although retailers began to listen and adapt their strategies to
consumer preferences, they were still just scratching the surface of the many
challenges and opportunities technology had in store for their industry.
As online shopping became even more commonplace, another new trend began
to emerge. The ability to customize; customize the product, the platform, the price
(eBay), the whole experience. Soon consumers began demanding not only easier
access to information and better deals online, but they also wanted certain products
(both personalized and specialized through sites like personalcreations.com) at certain
times (instant music and video downloads via iTunes), and in certain places (delivered
to their homes in two days from Amazon or in a Best Buy store the next day). Retailers
quickly found that integrating the purchasing channels was only the first step in their
new journey for customer loyalty, and that the key to a competitive advantage in today’s
world of retailing is creating a “customer experience”:
• 90% of North American firms viewed customer experience as important or
critical to 2010 plans
• 80% of firms would like to use customer experience as a form of
differentiation
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 4
• 71% of business leaders believe that customer experience is the next
corporate battleground
• 85% of business leaders agree that traditional differentiators alone are no
longer a sustainable business strategy (Temkin, 2010)
Just as brick and mortar stores like Trader Joe’s take customers on a journey
through their stores, retailing in today’s age of technology is about bringing consumers
along for the ride of retailing, allowing them to feel that they are in control, their opinions
count, and they matter to the organization.
Adaptable companies, ones that managed to weather the storm and are still
going strong, have embraced this new era with omni-channel retailing, creating a unified
customer experience throughout their entire enterprise – brick and mortar locations,
online storefronts, traditional advertisements, social media, customer relations, product
assortment, mobile applications, etc. – all in the efforts to make the shopping
experience as convenient, simple, unified, and meaningful as possible, in the hopes of
converting potential patrons into customers and customers into loyal clients.
Consumer expenditures – either through acquisitions of products or use of
services – are what keep the economy (and world) afloat. Retailing is a $4.5 trillion
business in the United States, with less than 6% of those sales attributed to e-
commerce (U.S. Census, May 2014), making online shopping an aspect of our
economy with phenomenal potential, and something all retailer’s should take notice of.
This data, coupled with innovative technology and consumers’ growing desires, makes
it obvious that creating a consistent, effective, and user-friendly customer experience
across all platforms not only helps retailers create a competitive advantage and strong,
loyal customer base, but it is also imperative to grow and sustain brands in today’s
highly volatile market. It presents a challenge, that for the most efficient and adaptable
companies can easily become a new, fantastic business opportunity.
In today’s age of instant access to almost anything, consumers not only know
more, but they expect more too. This movement of the empowered and demanding
customer requires retailers to rethink (and reshape) the way they do business. A
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 5
change of this magnitude calls for (among many other things) renewed strategy, design,
inventory, marketing, pricing, and service.
Suggestions For Integrating All Channels and What They Entail
Throughout the years, merchants have tried a myriad of methods to integrate
customer experiences. The major retailers in the United States have been trying
different types of channel integration and each is carefully monitoring the results. From
offering same-day pickup to customized product offerings, companies are constantly
experimenting with ways to leverage technology for the advancement of not just their
shopping experience, but their entire brand. They are finding ways to create an omni-
channel experience that not only meets customer needs, but anticipates and exceeds
their wants as well.
The 2013 Omnichannel Readiness report shows that retailers not utilizing omni-
channel strategies “say they’re missing out on 6.5% of revenue—which translates to
$65 billion being left on the table” (Binns, 2013). The stakes are high for retailers who
aren’t finding ways to get their people and processes in place to provide excellent
customer experiences in any and every way that customers interact with their business.
As creating an omni-channel experience is a complex, exhaustive enterprise renovation,
each company approaches the challenge differently, typically highlighting their already-
known (and well-leveraged) brand strengths. Here a few strategies some of the top U.S.
retailers used to transition from just brick and mortar stores to omni-channel empires:
1. Easy in-store and online returns.
• This requires eliminating all platform silos to facilitate easy
communication between all departments of the company. Retailers
have found that using their brick and mortar locations for the return
of online purchases is a winning approach. It improves customer
service with the ease of returns, and also boosts customer
satisfaction with the ability to help disgruntled customers and
resolve their concerns. The opportunity to fix a customer complaint
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 6
is of paramount concern to companies, as the White House Office
of Consumer Affairs found that a “dissatisfied customer will tell
between 9-15 people about their experience [and] happy customers
who get their issue resolved tell about 4-6 people about their
experience” (Digby, 2010). Companies have also found it improves
their bottom line. Research supports that customers will spend
additional money when they return merchandise to a brick and
mortar location. The ability to return an item to a physical location
both allows the customer to shop for replacement items, and
entices them to shop for either new or complimentary merchandise
(Dart & Sambar, 2013).
• Kohl’s is a great example of a company offering easy online returns
at their brick and mortar locations. They have a “no questions
asked – hassle free” return policy on all products. Whether
purchased in-store or online, customers can return anything at any
Kohl’s customer service desk. This easy return policy makes their
online marketplace valuable to both suburban customers who don’t
have access to Kohl’s stores, but also to urban consumers who
have a choice where and how they shop. The requirements are
minimal: bring the product, packing slip, and payment form, and
Kohl’s will do the rest (Kohls.com, 2014). The goodwill earned from
the ease of in-store returns is compounded by the convenience of
shopping further. One department store found that when they
“offered in-store returns, customers spent an extra 18% on top of
their original order when they were in the store returning the [initial
purchase]” (Dart & Sambar, 2013).
2. Free same-day in-store pickup.
• This requires an efficient supply chain and store configuration.
Redesigning operations to enable same-day pickup involves
seamless logistics and smooth migration of products to stores,
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 7
between stores, and with suppliers/warehouses. A strong supply-
chain partnership can help facilitate this. By partnering with other
enterprises involved in the creation, marketing, and delivery of their
products, retailers can have an easier, more direct line of
communication with both their supply chains and customers. The
ability to work closely with its partners eliminates redundancy in the
creation process and closes gaps in communication, both of which
can help shorten production times, provide more efficient delivery,
and allow multidirectional transportation throughout all parts of the
company and its supply chain. Another opportunity in-store pickup
offers retailers, is that of increased customer satisfaction and
therefor sales. By picking up their merchandise in a physical store,
customers have the ability to see the item, touch it, try it on, make
sure it works as needed, etc., all of which reduce the “risk” of
purchasing an item the customer has never actually seen in person.
Reducing these unnecessary “hassle risks” can translate to more
satisfied customers and less returns to process (therefor less cost
to the retailer for repackaging, reshipping, and fulfilling a new
order), both of which help raise profits in the long run. Lower
“buying risks” can also help increase retailer conversion rates of
browsing shoppers into actual buying consumers, which is
potentially invaluable for future sales, loyalty, and branding.
• At the beginning of the smartphone revolution, Best Buy initially
suffered greatly from showrooming. Instead of falling to the
challenge, however, executives saw it as an opportunity. In 2011,
Best Buy estimated that “40% of customers visit[ed] its outlets with
no intention of buying anything at all” (Fraser, 2012). They realized
that their customers researched products either online or in-store
and then looked for the most affordable, convenient way to
purchase them. David E. Cook, Best Buy’s director of IT systems
strategy, notes that 78 percent of every in-store sale was
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 8
conducted online. Essentially, their customers were creating their
own omni-channel transactions, and it was up to Best Buy to
convert that into the experience they wanted the customer to have.
In order to grasp the customers who desired both the lowest price
and immediate satisfaction, Best Buy made it their mission to
embrace the customer experience across all mediums, instead of
focusing on how/where the customer was purchasing from them.
They accomplished this by having better integration within their own
company – advocating more seamless communication between
departments – and with supply-chain partners. Through their online
store, customers can purchase anything they want, and often pick it
up the same day in the store of their choice. Best Buy’s meticulous
inventory tracking and control systems also allow customers to
check store product availability throughout the country, enabling
them to see if, when, and where their desired item is in stock. While
they recognize building and maintaining an infrastructure this
detailed is “a complex undertaking,” they have done a great job of
integrating their online, warehouse, and in-store inventory systems
to provide both free and/or same day in-store pickup (O-Heir,
2012). They are saving their customers time, money and
unnecessary trips (if their nearest store is out of stock). Consumers
have a plethora of options, including the ability to have an item
shipped to their home, to the store, directly from a warehouse, from
another store, or even to store in another state where friends/family
can pick it up for them. Some stores even have reserved parking
for Store Pickup, making the shopping experience even more
enjoyable and convenient (BestBuy.com, 2014). An efficient,
seamless in-store pickup option eliminates the uncertainty of
inventory shortages, provides the comfort of a large retailer’s
support (as opposed to buying from an online retailer that never
allows for face time if something goes wrong), and allows for
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 9
increased cross sales per customer as they could shop more while
picking up their online purchases.
3. Continuity of atmosphere, product, pricing, and sales.
• Customers love sales, but only if they are easy to understand and
the benefits are readily available. Consumers also expect
consistent customer service. With the advanced tracking
techniques of technology, customers assume that no matter how,
when, or where they shop, the company should know all about
them, what they bought, and where they bought it. Aspect
Software conducted a research study and found that “91% of
consumers expect that when they contact customer service for the
same issue, the agent [should] pick up where they last left off”,
however less than 40% have been able to, and that “80% of
Americans think brands need to make a big change in how they
provide customer service” (“Consistency Essential To Omni-
Channel CRM”, 2014). Fostering and maintaining a dependable
image and relationship with customers requires companies to have
strong customer service people, systems, and plans in place.
Consistency among all channels makes the shopping experience
more straightforward and enjoyable, allowing for easy access to
retailers’ products at home (on a computer, TV, etc.) on the go
(smartphone, tablet, etc.), or even while in-store shopping (Dart &
Sambar, 2013). The more stable a customer feels about a
company’s products, pricing, and policies, the more likely they are
to not only trust them in the future, but to seek them out as their go-
to retailer(s).
• Apple is an outstanding example of a company heavily invested in
a consistent, reliable customer experience. The opening of the
Apple’s retail stores (the first two locations opened May 19, 2001 in
McLean, VA and Glendale, CA) brought a whole new dimension of
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 10
delivery and service to a company already considered one of the
leaders in its industry (Apple, 2001). No matter what store you walk
into or what toll-free number you call, you get consistent products,
prices, and customer service each and every time. With (all
identical) stores open and thriving, Apple’s ACSI (American
Customer Service Index) jumped from 73 in 2001 to 87 in 2013
(and continues to grow), putting them well above their competitors
in the personal computing category, with an average of ACSI of just
80 (ACSI Index, 2013). With no variation in the product selection
(limitless, often menial options), pricing, or outlets, there is little
room for misunderstanding/error and no guesswork involved in
shopping with and/or at Apple’s stores. Apple has done so well with
its branding that customers often pay double for their products,
proving that not every consumer is worried solely about price, and
some things – like peace of mind – can be priceless (Ogg, 2010).
4. Seamless customer profile integration and rewards program.
• With continual advents in technology, customer databases are
becoming more sophisticated, but the expectations of customers
are increasing as well. By giving their personal information to
retailers, consumers expect companies to know both who they are
and what they like or dislike. Increased use of credit cards and
Internet cookies (bits of text websites store on users’ hard drives to
track their activities) allow companies to keep track of our browsing
and spending habits (Brain, 2011). Knowing the capabilities of
retailers, and for allowing them to exploit this data, consumers
expect companies to have a complete profile of their customers. It
can be as simple as knowing their preferred colors, sizes, most
purchased items, method of payment, etc., but to consumers, a
specialized, integrated profile is the small price retailers should pay
for the wealth of information they gain from their customers. Easy-
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 11
to-use, uniform smartphone and tablet applications, incentivized
loyalty programs, and advanced analytical algorithms all help
companies track, learn, and tailor sales efforts to certain customers.
Personalized advertising can also have a huge effect on the bottom
line. Delivering tailored ads and discounts to patrons can increase
shopping trips and build brand loyalty, both of which boost sales.
• Crate & Barrel is dedicated to their customers and have increased
their sales channels to include brick-and-mortar, a direct mail
catalog, and an online e-commerce website, but they aren’t
stopping there. In 2004, they took their database management in-
house and began using software to “integrate its customer data
across all channels, including direct mail promotions, stores,
catalogs and website. Crate and Barrel also plans to use the
solution for event-triggered communications to provide customers
with the most relevant offers” (“Crate & Barrel Selects Unica…”,
2004). The company is dedicated to understanding their customers’
shopping experiences and expenditure patterns to insure they are
investing their marketing dollars to “maximize their budget and drive
greater revenue.” They are investing in software that “determines
how much fractional credit should be given to each marketing touch
point that contributes to a conversion, regardless of where the
ultimate conversion occurs” (“Crate & Barrel Selects Visual IQ…”,
2014).
• Starbucks has seen wild success with its omni-channel loyalty
program, which offers (among other things) mobile payment
technology integrated into its rewards program. By utilizing a
smartphone app – along with creating a “Starbucks Currency” – the
company is recognizing increased sales and continues to enhance
how customers can use their loyalty programs beyond the norm.
From mobile ordering to digital tipping to being able to gift a Twitter
friend with coffee, Starbucks is spearheading the way for fast food
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 12
retailers to integrate their distribution channels, loyalty programs,
and payment forms to enhance the entire customer experience
(Joseph, 2013). The coffee giant “now generates over three million
mobile transactions each week in the U.S. [alone], accounting for
approximately 10% of total [domestic] sales” (“5 Ways to Crack the
Code for Omni-channel Loyalty”, 2013).
5. Customer Involvement – Customer Reviews and Social Media
• Social media and online reviews have opened up a completely
new aspect of marketing and retailing. With easy access and
seemingly immediate contact, customers feel even closer to
companies, and therefor their voice should not only be heard, but
count. Allowing customers to feel involved in the design of their
shopping experience and selection of products can build brand
loyalty and also give retailers a brand new, advantageous
perspective on their company – one that never existed before the
Internet and social media; the unfiltered view of the consumer.
• While many companies still try to figure out how to use Social
Media to their benefit, Taco Bell has embraced it via Twitter. They
are “hitting the mark with Millennials” and saw an 8% increase in
same-store U.S. sales from 2011 to 2012. To make followers feel
special, Taco Bell uses social media to “give followers a sneak
peek at products like Doritos Locos Tacos before they’re available”
(Morrison, 2013). They don’t just target customers for promotions
though; Taco Bell also regularly follows their most loyal customers
and sees “every day [as] a new opportunity to engage with fans.”
Whether by sending vouchers for free menu items or by asking
their superfans to “put a ring on it” with custom-made Taco Bell
rings (Horovitz, 2013), their strategy of building customer
relationships through social media is already paying off, and many
others could stand to take notes.
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 13
Benefits Of Embracing Omni-Channel Retailing
Like it or not, the future of all retailing is embedded in the omni-channel customer
experience. In the past, one channel (typically either brick and mortar stores or catalog
sales) was sufficient to appeal to a broad spectrum of consumers. That is far from the
case now — the emergence and continual growth of new technology has driven us
away from the traditional storefront and catalogs, to online retailing and smartphone
purchasing applications, and now to combinations of all of these shopping media, with
systems integration and consistent promotions as necessities. Although most retailers
are noticing the new trend of empowered and involved consumers, the majority of
companies are still catching up to the game, with 55% of retailers citing “that their
investments have been driven by customers already expecting mature omni-channel
capabilities” (“Consumer Desires Vs. Retailer Capabilities…”, 2014). Simply waiting to
learn from the triumphs and failures of others only puts retailers at a bigger
disadvantage. A 2009 IDC Retail Insights report found that omni-channel shoppers will
spend “between 30 to 60 percent more with [a] brand if [the company] is willing to
embrace his/her shopping habits” and that “omni-channel shoppers are more likely to
not only exhibit strong loyalty, but also to influence others via their social networks and
online activity” (Winter, 2012). There is an awful lot to lose in this game, and the only
way for organizations to have a fighting chance is to start embracing omni-channel
retailing now, finding ways integrate the customer (and their experience) into every
aspect of the organization, from hiring practices to supply-chain relationships. For many
companies, the investment in infrastructure will be large, but increased customer
awareness and visibility are forcing companies to make changes. Everything is about
the entire customer experience now, and that can have huge impacts on not just the
retailing industry, but also the world as a whole. Here are just a few of the infinite
possible benefits of embracing omni-channel retailing:
Customer Benefits
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 14
With Moore’s Law – the law that “overall processing speeds will double every two years”
(MooresLaw.org, 2014) – in full effect, technology is advancing tenfold, causing the way
consumers shop to change faster than ever. “Customer expectations have skyrocketed
when it comes to the digital experience” (Yu, 2014). Here are some recent statistics
about technology use in today’s omni-channel shopping age:
• 35 percent of Android/iPhone users check their mobile phones before
even getting out of bed (Sheppard, 2014)
• 62 percent of disgruntled consumers look for support via social media
(Sheppard, 2014)
• 27 percent of consumers will no longer buy products/services if they don’t
get a reply to a complaint (Sheppard, 2014)
• 42% of customers plan to make the majority of their future purchases
online (Solmssen, 2012) – prime candidates to convert from shoppers to
buyers.
• 90 percent of consumers are using more than one device before
completing any task – including purchasing (Yu, 2014)
• 4 out of 5 consumers of online retailers are using smartphones to shop
(Yu, 2014)
• One department store found that customers who shopped exclusively on
its website browsed an average of just three times a year, while customers
who shopped exclusively in-store shopped an average of 7.5 times a year.
But customers who shopped both channels shopped an average of 1.7
times a year online and 7.3 times a year in the store, to get a total of nine
times a year. (Dart and Sambar, 2013)
Customer satisfaction and loyalty is becoming even more important as shoppers
have limitless choices and an abundance of information available whenever and
however they need/want them. A Nielsen survey showed 84 percent of respondents are
“more likely to visit retailers with marketing programs that reward members with
purchase incentives” (Estopace, 2013). Understanding which reward programs work
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 15
best for each industry will help companies form incentives that will garner more
business and create brand devotion. After all, loyalty is influenced by marketing
strategies and measured by relationship quality (Farazmand, Green, Grodzki, & Li,
2012). Consumers want easy, consistent access across all channels – in-store, online,
mobile apps, social media, catalog, phone, TV, and radio – by providing this, listening to
their customers, and applying what they learn, retailers can not only offer their patrons
more, but they can also gain insight into how to best structure their organization for their
target market(s). “There is a strong link between the way consumers describe their
loyalty habits and the way they subsequently buy — so even comparatively small shifts
in what consumers say can manifest in big changes in what they do” (Estopace, 2013).
Despite the obvious need for retailers to integrate into a seamless omni-channel
customer experience, a recent Zendesk study found that “87 percent of consumers think
brands need to work harder to create a seamless experience” (Yu, 2014). This leaves a
huge gap for organizations to fill. By embracing consumer habits/guidance and unifying
all aspects of their organizations to enhance the “customer experience” – whether
through offering a multitude of shopping channels, sending out targeted messages and
promotions, or addressing customers directly via social media – omni-channel retailers
have the potential to not only win the game, but also to create new strategies and
competitive advantages for themselves and their industries.
Organizations
As mentioned briefly earlier, the ability to improve the customer experience (and
therefore sales, satisfaction, and loyalty) can have a huge impact on an organization’s
conversion rates and bottom line. The five suggestions discussed earlier for creating an
integrated omni-channel customer platform are just the tip of the iceberg of what is
required to create and maintain a seamless customer experience. Although the task is
daunting, the rewards a company can reap from creating a favorable omni-channel
experience are huge. Major retailers who have successfully embraced this new trend
are seeing significant pay-offs. For example:
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 16
• Starbucks – widely regarded and respected as an omni-channel
master – never earned an ACSI below 76 (ACSI, 2006-2014) and
has:
o Over 11,000 Pinterest followers (Solmssen, 2012)
o A branded YouTube channel (Solmssen, 2012)
o 70 million Facebook fans with 50 million in the U.S. alone,
garnering over 31 million “Likes” (Banerjee & Chua, 2013)
o Over 2 million followers on Twitter (Banerjee & Chua, 2013)
• A study of five leading international retailers showed 87 percent
“feel their multi-channel strategy will lead to an increase in
revenue” (Estopace, 2014).
• In 2009, McKinsey & Company noted, “consumers who shop
across a number of channels annually spend about four times
more than those who shop just in one channel” (Popat, Stine, and
Westenberg, 2012). That is an incredible amount of potential
revenue left on the table by single channel retailers.
• A 2014 Accenture study found “Ninety-three percent of retailers
cited that enabling ship-from-store had resulted in a positive or
significantly positive uplift in online revenue, 77% cited it had
reduced or significantly reduced their fulfillment costs, and 88%
cited it had improved or significantly improved their customer
satisfaction metrics” (“Customer Desire Vs. Retailer Capability…”,
2014).
As illustrated above, there are plenty of advantages to companies who embrace
the omni-channel retailing environment. Whether through social media, increased
buying platform options, or exceptional customer service and interaction, integrating
their business practices can, and if done successfully, will improve organizations’
bottom lines – not just through heightened sales and increased conversions, but
through deflated costs as well.
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 17
Technology is greatly changing the retail landscape in every way possible. It has
reduced the ability for geography and consumer ignorance to shield retailers from
competitors, the market, and the economy. Omni-channel retailing extends the
marketing reach of a brand and can introduce consumers to products and companies
they may never have known about otherwise (personalized products via Etsy, a friend’s
favorite bakery in another state through Facebook, or even rare collectibles thought to
be extinct on eBay). Consumers have access to more retailers, information, and
services, all of which translate into more options than ever (Brynholfsson, Hu &
Rahman, 2013).
The challenge for retailers now is how to stand out, reach out, and make the
customer choose their brand, preferably every time. By focusing on their core strengths
– hassle-free returns like Kohl’s, a stable, superior product and service like Apple, or
logistics like Best Buy – and evolving them to fit today’s age of information and
technology, companies can not only make it through this game changer, but they can
even learn and grow from the new opportunities and possibilities facing retailing today.
Charles Darwin once said “it is not the strongest or the most intelligent who will survive,
but those who can best manage change”, so with innovation, perseverance, input from
customers, and strong, versatile business plans and processes, retailers can get ahead
of the game, before they risk being kicked out of it entirely.
Although integrating to a seamless omni-channel customer experience might
seem like a daunting adversary, the benefits are real and measurable. From higher
sales and decreased costs to stronger brand loyalty and a competitive advantage, there
is just as much to win in this game as there to lose. After all, “the risk of doing the same
old thing is far higher than the price of change” (Clinton, 1993).
Creating an Integrated Omni-‐Channel Retail Experience Capaldo 18
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Business/Technology Insights for Retail, Supermarket Executives. Retrieved
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Code-for-Omnichannel-Loyalty88104
7 Surprising Things You Can Buy at Costco. (2011, April 17). . Retrieved June 20, 2014,
from https://shopping.yahoo.com/news/7-surprising-things-buy-costco-
000000583.html
About Gladson. (n.d.). About Gladson. Retrieved June 20, 2014, from
http://www.gladson.com/About-Gladson
Apple Retail Stores Welcome Over 7700 People in First Two Days. (2001, May 21).
Apple. Retrieved June 20, 2014, from
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7700-People-in-First-Two-Days.html
Banerjee, S., & Chua, A. (2013, January 1). Customer Knowledge Management Via
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