what omnichannel really means - forrester webinar

Going Beyond the Buzz: What Omnichannel Really Means

Sucharita Mulpuru-Kodali, VP & Principal Analyst, ForresterScott Todaro, CMO & EVP, Freestyle Solutions

May, 19 2016

• The presentation is approximately 35 minutes in duration• Please use the Go-To-Webinar chat window to ask questions• Questions will be answered at the end

Webinar Logistics

Agenda

• About the speakers & Freestyle Solutions Overview• Setting realistic goals and expectations• Building out manageable, phased plan• Deploying best practices while managing to a budget• Leveraging an OMS to pull the strategy together• Q & A

Presenter

Presentation Notes

In this presentation we will introduce you to Freestyle Solutions, and our products along with providing a demonstration of our solution’s capabilities. We will wrap up with your questions at the end. Freestyle Solutions offers a choice of cloud-based and on premise order and inventory management solutions the allow businesses to easily access smarter real-time business insight anytime, anywhere.

About the Speakers

Sucharita Mulpuru-Kodali, Vice President, Forrester• 11 years at Forrester covering eCommerce

forecasting and trends, merchandising best practices• Saks, Toys R Us, Disney• RIS New Most Influential Person in Retail - 2016

Scott Todaro, CMO & EVP, Freestyle Solutions• 16 years in eCommerce and retail• Leadership positions ecommerce leaders: ATG,

Demandware, AisleBuyer, DMI• Guest lecturer at industry events

About FreestyleFreestyle Solutions Company Overview

• Formerly Dydacomp, a company started by retailers for retailers

• 30 years experience building order and inventory management

• Invented Order Management as a software category in 1985

• Over 2,000 live customers in retail and consumer brands

• Largest OMS feature set offered for mid-market (over 1,100 features)

Freestyle Solutions Top 20 Most Promising Tech Solution Providers for Apparel & Textile Industry

2015 Innovation & Excellence AwardMost Innovative Management Solutions Company USA

Presenter

Presentation Notes

Freestyle Solutions [formerly Dydacomp] has specialized in providing software solutions to solve the business automation needs of retailers, fulfillment centers and direct marketers for over 25 years. We are recognized as the leader in automating order management for small and mid-market size businesses with thousands of customers using our order & inventory management software. You may already be familiar with our traditional on-premise software solution called Multichannel Order Manager or M.O.M. for short. Freestyle M.O.M. is the industry standard for order, inventory and customer management, available in an on premise or hosted environment. Freestyle O.M.S. is the next generation in cloud-based order and inventory management, with robust but extremely easy to use order processing that unifies orders coming from all sources into a single stream to expedite pick, pack, ship and bill processes. With our solutions today, we’re changing the way the industry thinks about order and inventory management. Over 2,000 multichannel merchants rely on Freestyle Solutions to automate their back office operations and drive business growth. Freestyle’s clients engage over a million shoppers daily, generating nearly 10 million in gross merchandise sales every day. Our experience is inherent in our solutions which integrate easily with eCommerce platforms to drive efficiency, productivity, insight and growth.

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Partial List of Over 2,000 Freestyle Solutions Customers

Only OMS Provider Multiple Delivery Models

On-Premise

Freestyle Omnichannel Management Service (O.M.S.) is a cloud-based order and inventory

management system developed specifically for mid-market B2C companies

Freestyle Multichannel Order Manager (M.O.M.) is the most comprehensive on-

premise order management system designed for mid-market B2B and B2C companies

SaaS

Beyond the Buzz: What Omnichannel Really MeansSucharita Mulpuru, VP & Principal Analyst

May 19, 2016

© 2016 Forrester Research, Inc. Reproduction Prohibited 10

Retail is Increasingly Competitive

5.96%

4.97% 1.62%1.97%

11.49%

6.08% 7.09%3.18%

27.08%

22.13%19.46%

21.59%

1.91%-2.56%

-5.21%-2.68%0.88%

-3.10%

-13.70%

-4.88%

-20%

-15%

-10%

-5%

0%

5%

10%

15%

20%

25%

30%Year-over-year total revenue growth

WalmartCostcoAmazonStaplesBest Buy

2011-2012 2012-2013 2013-2014 2014-2015


Omnichannel is a Growing Retail Priority

2013 2014 2015

Mobile #2 #1 #1

Omnichannel #5 #4 #2

Marketing #7 #3 #3

Site merchandising #1 #2 #4

International expansion #4 #7 #5

Site replatform #9 #5 #6

Rank of priorities for online merchants

Source: State of Retailing Online 2015 (Forrester/Shop.org)


Presenter

Presentation Notes

Processes


OmnichannelFulfillment Common Problems What’s next

Endless aisle

• Not exposing much of store inventory (i.e. too many “onesies”)

• Inability to find the inventory easily (especially in big box or apparel stores)

RFID

In-store pickup

• Low traction because a small percent of inventory is available for this option

• High cancel rates

Ship to store or other address option

Ship from store• Splitting orders• Inventory too varied by store to

generate efficiency

Better store associate training and monitoring

Cross-channel returns

• Long-tail items can’t be easily reintegrated without markdowns

Improved ship from store; selective marketplace

offerings; RTV and RMAs

Same day delivery • Very limited inventory• Dependent on VC funded startups

More retail showrooms with IKEA-like models where relevant; owned retailer

distribution; new technology

Omnichannel Today


Presenter

Presentation Notes

RFID; Macy’s


Domino’s

Presenter

Presentation Notes

Domino’s robot


Omnichannel Will Address Many Things


“Process” Can Be These Four Things


A Typical Channel-Centric Retail Organization Structure

Presenter

Presentation Notes

Organization


Some Retailers Have Tried To Foster Channel Synergies With An Omnichannel Function


A Customer Obsessed, Future State Retail Organization Structure

Presenter

Presentation Notes

Organization


Best Practice Omnichannel Environment

Order Management will be at the center of it all


OMS Will Drive the Omnichannel Experience

Thank you

forrester.com

Sucharita [email protected]@smulpuru

mailto:[email protected]

Leveraging OMS to pull it all together

• Merchandising systems• WMS• POS• CRM

• eCommerce platform• ERP• Order Management• AS400

Where Does Retail Information Reside?

Retail has been around a long time, and there are many systems in place that were purchased at different times for a multitude of reasons

• Hire a systems integrator to stich everything together• Start a 7 year plan to slowly change over all your systems• Set up manual processes to overcome technical shortfalls

Options to date:

It’s Just Too Expensive to Buy All New Systems

Changing all your systems at once is not an option

OMS is System of record for orders and inventory, but not transactions

OMS Today

Website

Mobile

Call Center

OMS WMS

The OMS can be the system of record for most major retail data types

In the Future the OMS Will Be The Information Repository

OmnichannelManagement

Orders

Inventory

Product

Customers

The Future System

All customer and employee facing

systems pull from a central repository

of retail data

Thank You!Scott TodaroCMO & EVP

Freestyle Solutions(M) 617-823-2962

[email protected]

mailto:[email protected]

Question & Answers

what omnichannel really means - forrester webinar

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