how to be a retailer of the future - softengine,...
TRANSCRIPT
Barry LedermanSenior Business Analyst,VP of Business DevelopmentSoftengine/SAP Partner
Gil LasmanGeneral ManagerSoftengine/SAP Partner
Barry Lederman: [email protected]
Gil Lasman: [email protected]
Outline: What We’ll Cover Todayo Where is Retail Today
o Retail Businesses Continue to Face Challenges
o Where Retailers Need to Beo The Omnichannel Shoppero Inventory Visibility and Order Fulfillmento Mobilityo Payments
o How Retailers Can Get Where They Need to Beo Retail POS Systemo Integrated Platformo Mobility POSo Wireless Networko Payment Technologyo Loyalty Programso Data Analytics Programs & KPI’s
o Q & A – How It Applies to Goodwill
Where is Retail Today It’s All About The Customer
Most transactions are still completed
in brick-and-mortar stores
- PwC Survey 2015
80% of consumers use technology
during the shopping process
- MasterCard 2016
Where is Retail Today It’s All About The Customer
Expectation is to match online experience
• Convenient
• Personal
• Easy to Use
71% of consumers said they “agree” or “strongly agree” with the statement that they find shopping online more convenient than in a store.
Consumers find the online experience more personal– likely a result of receiving more personalized offers
71%
Consumers feel that ordering and delivery options are superior online compared to in store – ease of use Convenience Ease of Use Personalization
Online is more convenient than in-store
Shopper Expectations:Online vs. In-Store
Omnichannel Experience Not Consistent
Inventory Visibility & Order Fullfillment
Mobility Payment Technology
Retailers Continue to Face Challenges:
Where Retailers Need to Be
To win consumer loyalty and achieve growth across all channels, retailers must enhance their mobile commerce offerings and improve the in-store shopping experience.- Accenture 2015 Consumer Survey
S
Shopping Experience, In Store vs. Online
Where Retailers Need to BeOmnichannel
Smooth Not Smooth Not
Each consumer's best experience anywhere sets their minimal expectation everywhere.- Greg Girard, IDC Retail Insights What you might call "have it your way" fulfillment is a
good example. The consumer thinks, "if Amazon can give me so many fulfillment options, including same day in some markets for some categories, why can't other retailers?"
Where Retailers Need to BeInventory Visibility
Inventory Fulfillment& Mobility
eCommerce In store In transit Warehouse
A single view of stock makes customer service faster, more efficient and more informative
Where Retailers Need to BeInventory Visibility
Where Retailers Need to BePayment Technology
• Prevent fraud across all sales channels while maximizing merchant order conversion
• Conduct Fraud assessment prior to payment authorization preventing losses
• Keep cardholder data and their networks safe
• Be PCI Compliant
Integrated Retail POS System
Integrated Platform – ERP, WMS, eCommerce
Mobile POS Wireless Network
How Retailers Can Get ThereWhere They Need to Be
Payment Technology Loyalty System
Data Analytics Programs
Typically 60% ofretailers’ entire stock is
safety stock
Moving to asingle stock poolreduces this by at
least 20%
Integrated PlatformInventory Fulfilment: Single View Of Stock
Merchandising• Unify planning• Plan sales and margin by hierarchy• Tailor promotions by channel
Inventory• Address when demand is anticipated• Visibility of stock despatch• Reduce shipping costs
Integrated PlatformMoving To A Single Stock Pool: The Benefits
Avoid merchandise stagnancy and stock-outs
Savings in merchandising costs
Single version of merchandise status
Better warehouse management
Consistent customer service, in whichever channel they prefer
Avoid ‘store-as-showroom’ syndrome
Integrated PlatformSingle Stock Pool: Locate Stock Across Stores
Mobility POS - Home Depot:Help Shoppers Locate Inventory, Virtually
The Home Depot mobile app helps shoppers find product in stores faster through augmented reality, visual search and real-time inventory availability.
mPOS - Lowe's Dives Head-First Into Associate Mobile Implementation
"Associate usage of these devices is up; I don't have to preach adoption. It saves them time and allows them to be more educated about our products.“- Jay Deaton, Director of Operation
Support, Mobility and Information Services at Lowe's
How Retailers Can Get ThereWhere They Need to Be – Payment Technology
• NFC - Near Field Communication
• Mobile Wallets
• Apple Pay
• Samsung Pay
• Google Pay
• Quicker Alternative
How Retailers Can Get ThereWhere They Need to Be – Loyalty Programs
• Integrated Loyalty Programs
• Cards
• Digital
• Higher Revenue (20%)
• Redemption across networks
• Digital Marketing
A robust digital pass application can help retailers give their loyal customers more timely rewards
Consumers didn’t use loyalty points before the expiration date
Often forget to use paper coupons they receive in the store
Often forget to use loyalty cards in their wallet
Have so many loyalty cards that they find it hard to remember where they are a member
Digital Loyalty: Paper Is Dead! Long Live Digital!
When it comes to loyalty, more consumers are looking for digital delivery.
42% 30%
Want loyalty offers sent to their email
Want loyalty offers sent to their mobile device
Even among shoppers who are 55+, there is less interest in paper --47% would prefer emailed loyalty offers to paper coupons.
Pie Five:Updates Loyalty Program To Target Millennials
With its "Circle of Crust" digital rewards program, Pie Five has
grown same store membership by 90% since 2013.
The store is clearly a big area of opportunity for retailers to improve their personalization efforts
44%Desire personalized loyalty offers sent directly to their smartphone with ‘geofencing’ when they enter a store
Personalization: Increase Offers In/Near The Store
Tom's of Maine and Raven + Lily Personalize The Shopping Experience In Innovation Showcase
Interactive displays and RFID-embedded
products and store fixtures help personalize messages and product
suggestions for shoppers.
68% of shoppers said it is important that retailers have one view of
them as a customer – both from online and in-store shopping history
22% say they would like stores to know more about how they shop online and track purchasing habits so that they can improve service
Understanding The Omnichannel Shopper
How Retailers Can Get ThereWhere They Need to Be – Data Analytics, KPI’s
• Data Analytics Programs
• Real Time
• Better Decisions
• KPI’s (Key Performance Indicators) – Retail
• Sales per Square Foot
• Average Purchase Value
• Incremental Sales due to campaigns
• Customer Lifetime Value (CLV)
How Retailers Can Get ThereWhere They Need to Be – Be Trusted
• Organization Ethics
• Superior Customer Service
• Transparency
• Traceability
• Security of Data
• Build Relationship Post-Sale
How Retailers Can Get ThereWhere They Need to Be – Retain Your Customer
• Customer Lifetime Value (CLV)
Infographic from Retention Science
About Softengine & SAP
http://www.softengine.com/solutions/sap-business-one-goodwill-suite/
• SAP Gold Partner
• Developer of SAP Business One - Goodwill® Suite - modular system
• POS, WMS, Production, Financials, Procurement, HR, Payroll
• predesigned to plug into each other
• pick the module to start with like a “Lego" system
• Gain process efficiencies in all areas, including loss prevention
Major Gains for Goodwill Industries
• Treating Donated Goods as New Goods – Smart Label Barcoding
• Individual Pricing (Think 1% increase and ROI)
• Faster, Accurate, Secure Checkout
• Integrated POS
• Real Time Retail
• Accurate Inventory – Single View of Stock
• Higher Productivity
• Real Time Financials = Fire Prevention
• Roundup at Checkout
Thank You!Download Session Slides and Notes:
Session Presentation and Noteshttp://www.softengine.com/solutions/sap-business-one-goodwill-suite/