| Ebusiness and cross channel content and commerce | | | | across all channels. The experience online or on mobile |
| grew by 18% in 2009? Did your brick and mortar | | | | must offer the customer the same value, because |
| grow by that rate? | | | | if it doesn’t, a customer will utilize the method |
| These articles and the book (to be released in the | | | | that yields the highest value and become frustrated |
| fall) outline the six steps that are the components | | | | with your other channel(s). Example: I was once in a |
| pivoting you towards being able achieve ultimate | | | | Company that didn’t have the necessary |
| success for content or commerce driven websites | | | | guidance and governance. The online channel actually |
| and other channels of engagement: | | | | decided to separate out photo and other services |
| - Executive engagement | | | | that were part of the enterprise. Although caught in |
| - Needs Assessment/Analytics and the Science of | | | | time when it went for final review, the amount of |
| ROI | | | | work and resources (IT, marketing, etc.) spent to |
| - IT | | | | isolate and separate out these core services from |
| - Marketing | | | | the enterprise could have had disastrous results for |
| - Operational Execution/Employee Engagement | | | | the customer and the messaging. The collaboration |
| - Customer Care and Centricity. | | | | and direction needs to be set prior to a final review. |
| With new technology coming out at an | | | | They need to be set by the executive team. |
| exponentially growing rate, retailers are forcefully | | | | |
| thrust into a swirling dynamic and volatile euniverse, | | | | Siloed work efforts are caused by not setting |
| scrambling to understand which technologies will help | | | | executive level pillars of operation that clearly define |
| and across which channels and with the best ROI. | | | | these new channels and not hold accountable the |
| Success factors and expected profit have been | | | | leaders in the company that have spent their lives |
| plugged numbers, with little ability (in the past) to | | | | becoming experts in their fields. Cross channel |
| really guesstimate with andy degree of accuracy. | | | | merchandising can be a subset of the general |
| Why? Because there was a lack of successful | | | | merchandising department, but be housed in the |
| models and also a lack of understanding the factors | | | | general merchandising department for the silos to be |
| that will either limit or facilitate success, causing | | | | broken down. Why are so many retailers not using |
| retailers to make strategic decisions without all of the | | | | our subject matter experts to evolve? The |
| necessary information; expending thousands of | | | | merchandisers are not responsible for their categories |
| shared IT hours on hit or miss solutions. But hold on! | | | | in any other channel, only the brick and mortar store. |
| We are still missing something. What about what | | | | Yes, they will need training. Even though in five |
| the customer needs and desires? Will your customers | | | | years, the customers will be the same, using each |
| be fully and completely satisfied with what you are | | | | channel differently for convenience, the customer is |
| offering? Have you considered this in your plans? | | | | not necessarily the same at this point in time. Online |
| Have you seen the five -year roadmap for this piece | | | | strategies for example, with respect to assortment, |
| of the business? If so, who is creating it and who is | | | | can be quite different at this point in the evolution. |
| driving it? Are your cross channel priorities being | | | | Ok, so they need training. But they also need P&L |
| defined by the ultimate stakeholders - you and your | | | | responsibility to truly be involved. Pricing strategies |
| customers? Make no bones about it, it is about the | | | | are pricing strategies. And although again, they might |
| customer. They are the single tipping point, the guide | | | | be different on line, they are still strategies for which |
| of the puck and our final redemption, or lack thereof | | | | there are experts within your organization who have |
| (pun intended). It’s very easy to succeed | | | | made their careers by focusing on this. If they are |
| when you start with the customer and then walk | | | | not studying industry trending for other channels, |
| 360 degrees around them. | | | | they should be. Otherwise, you now have a different |
| These are some of the questions to ask yourself if | | | | pricing strategy for other channels which may be |
| you offer supporting channels of engagement: | | | | discordant from your enterprise strategy. Yes, you |
| | | | | may need to deploy different tactics and strategies |
| How do we deploy solutions that are both customer | | | | for other channels, but these decisions need to be |
| centric, ‘the cost of doing business’ and yet | | | | fully researched and understood by the experts |
| balanced with those initiatives that are profitable | | | | within your organization, and they need ultimate |
| while catching up to and surpassing competitors? | | | | accountability and facilitated integration. This is what |
| | | | | looking at the internal landscape and infrastructure will |
| Who is providing the foundation for the ship, steering | | | | tell you – are you set up for silos or |
| the ship and guiding and governing its course? | | | | collaboration? |
| | | | | Six steps outline the major areas in which focus and |
| Do our enterprise pillars of operation acknowledge | | | | commitment is mandatory to not only integrate your |
| other channels of sales besides the brick and mortar? | | | | commerce (or content) site and other channels, but |
| | | | | to really excel and succeed in a turbulent economy. |
| With vendors touting their many and robust solutions, | | | | Below is a description of Step 1: |
| where do you start? You start with the customer | | | | l. Executive Engagement –As outlined above, |
| and move back from there. It’s that simple. | | | | the fundamental pillar of pivoting towards success is |
| What is the experience we desire to offer the | | | | to have people, directors and managers running a |
| customer? Instead of asking what the customer | | | | business that should get its guidance filtered down |
| can do for us in the long run, what can we do for | | | | from the executive team. |
| the customer? Simply, instead of asking how to get | | | | Start with your pillars for the enterprise. Is there a |
| our customers to be loyal to us, how do we show | | | | pillar for the customer? Is there a pillar for channels |
| our loyalty to our customers? How do we show | | | | of sales not inclusive of the brick and mortar? |
| consistency and integration of efforts to provide the | | | | All channels must have the same value (which does |
| ultimate experience. Who is making these decisions? | | | | not necessarily mean the same exact offering) and |
| Is your infrastructure set up to foster and facilitate | | | | YOU decide how to do that. For example; if the |
| collaboration, or are you building silos by not | | | | customer can’t use their loyalty card online, |
| integrating your other channels with your core | | | | purchase and redeem gift cards, they will go |
| business? Look at your internal company landscape | | | | elsewhere. Moreover, your loyalty leader probably |
| carefully…and read on. | | | | doesn’t even know about the disjoints in |
| | | | | functionality across channels. Email management is |
| | | | | another example. How many databases do you have |
| | | | | for your business? Do you have a separate database |
| For hundreds of years we have used science to | | | | for email for your online customer and your in- store |
| explain methodically and with evidence, the many | | | | customer? How many emails are you sending a |
| unexplained phenomena of the universe. So it is not a | | | | week? Is there governance over the process? How |
| far stretch to use science to understand the parallel | | | | can there be if each area is working in their own |
| universe of the internet and digital space, now that it | | | | silo? Do you have a single view of the customer |
| exists. Espace is a whole new universe, ripe with the | | | | across all shopping and engagement channels, content |
| potential for earnings, revenue and happy and | | | | and commerce related interactions? And if your online |
| informed customers that will rival and probably | | | | business is used just to push customers to the store, |
| supersede any brick and mortar enterprise on this | | | | then your focus should be on a content website |
| planet. We now have the easy answers for the less | | | | because you don’t’ have a strong value |
| knowledgeable and the tough answers to the most | | | | proposition to be offering a cross channel experience. |
| complex challenges through science. | | | | |
| The idea of using the hard sciences (biology and | | | | We are sending a confusing internal and external |
| chemistry) has always been a fundamental strategy | | | | message, or no message at all, about the importance |
| in providing evidence and proof of hypothesis. The | | | | of these channels. This avoidance of embracing or |
| idea of using the soft sciences, psychology and | | | | even acknowledging these other channels that are a |
| psychiatry (the psychodynamics of retail customer | | | | part of your core business ends up with a confusing |
| centric behavior and subsequent solutioning) has only | | | | message to our customers as well , because the |
| been internalized over the past ten years as an | | | | same care isn’t taken with other channels as |
| integral and pivotal touchpoint for proof of concept. | | | | being important and they are that important for the |
| But the available rewards of using this approach are | | | | customer, whose main concern is convenience and |
| reaped with viewing and analyzing hard science | | | | convenience equals choice and choice creates value. |
| metrics…customer satisfaction indexes, increased | | | | Below are some final recommendations for serious |
| trust and loyalty, increased basket size and | | | | review: |
| frequency, increased retention and increased revenue. | | | | |
| In relation to all digital media, commerce, and content | | | | |
| espace, hard science implies using ROI analytics for | | | | - Acknowledge other channels in company pillars- |
| needs assessments, prioritization and planning . Soft | | | | other channels, particularly the online space, have a |
| social’ sciences are used for the development | | | | much higher exposure rate for customers than the |
| and subsequent deployment of customer centric | | | | store. They need attention. You might also want to |
| solutions to devise and deploy strategic business | | | | put in a customer experience pillar because then you |
| plans and roadmaps and in building interactive | | | | will be automatically working towards a single view of |
| empires, just as we have built brick empires for | | | | the customer which will allow the ultimate |
| hundreds of years. Although this enterprise may be | | | | personalization we are all striving for. |
| different in offerings and services, it must be the | | | | - Lead by example - Are YOU using your available |
| same in value. And although this enterprise may | | | | channels regularly to show support? Are your |
| have different competitors than the complementary | | | | employees? Donate to your own business. Shop |
| retail brick competitors, integration is a pivotal and | | | | across all channels and make it a company mandate |
| mandatory part of the retailer business, especially in | | | | for employees to do the same. |
| this environment and economy. Finally, although the | | | | |
| website or other channels may be for information | | | | - Invest in the future- Executive committee commits |
| and content, rather than transactions, unless you are | | | | to capital expenditure and resources with a full vision |
| willing to fully integrate all of your channels for | | | | and a mission that will not change every year, but |
| content and commerce with your core business | | | | will be sustainable with small modifications . |
| philosophy, and support and engage at the executive | | | | - Lose it! – the segregated P&L- sure, keep it for |
| level, you will not likely enjoy the fruits of a | | | | tracking, but hold accountable your experts within the |
| successful future enterprise or ebusiness, whether | | | | organization. Have one marketing department, one |
| transactional or content/informationally driven. Nor | | | | merchandising department, one pricing department. |
| will your customers be fully and completely satisfied | | | | Once the P&L is integrated, all of the time, money |
| with what you are offering. Think about it like raising | | | | and energy spent on showing the store lift (the |
| children. We don’t, as parents, leave our | | | | necessary ‘Aha’ for engagement) will be |
| newborns alone to fend for themselves. We care | | | | spent on personalizing the relationships with |
| for them, guide them and assist in their assimilation | | | | customers across channels for the holistic growth of |
| and growth. The guiding principle is the same. | | | | the company as a whole. Wouldn’t it be great |
| So, again, where do you start? You start where the | | | | not to have to spend hours negotiating as to which |
| customer is standing and walk a circle around them. | | | | pot the funding is coming from and which it is going |
| Whether you have a commerce or a content | | | | into? There are solid ways to facilitate integration |
| website, or one that combines both, it is imperative | | | | that will benefit all. Don’t be afraid that you will |
| that you have a full understanding of and are setting | | | | be cannibalizing your retail empire- the multi channel |
| the guidelines and positioning for your website and | | | | customer is over 2x more valuable. Period. (Forrester) |
| other channels of engagement. Channels besides the | | | | - Look at your infrastructure and be prepared to |
| retail store need to be properly directed, integrated | | | | make changes – are you set up to break down |
| and led by the people who have built your successful | | | | silos? If you keep segregated, you never break |
| brick and mortar empire or at the very least, | | | | down the silos. moreover, you end up with renegade |
| collaborated with. Use the other channels to support | | | | programs, conflicting solutions and haphazard |
| enterprise initiatives but using collaborative methods | | | | deployments. Your end result will be poor customer |
| so that people are not working in silos with their own | | | | service, band-aid solutions and a failing cross channel |
| set of priorities. Your channels need to be consistent | | | | business. I worked once with a company, building a |
| and provide the customer an experience that is of | | | | commerce website. The team wanted exposure in |
| the same value and with the same positioning as | | | | the circular. We thought this would just be a matter |
| your stores. Otherwise, your message will be | | | | of planning. Instead, we were given a bill for |
| confusing and your levels of functionality and | | | | $200,000 for a few inserts…to advertise with our |
| enhancement will be based upon what the other | | | | own company! |
| channel leaders want, not thinking holistically about | | | | |
| the enterprise and causing conflicting priorities. | | | | Next step: Needs Assessment- The science of ROI |
| Customers should be able to use all channels in an | | | | analysis, prioritization and roadmapping…to be |
| interoperable manner. For example, if you have a | | | | continued. |
| loyalty card, its use and value must be the same | | | | |