The approach to retail marketing is changing. Success now lies in reaching customers through various channels-whether through stores or through e-Commerce sites. As technology continues to touch every step of the customer journey, retailers are ensuring that their marketing strategies are geared towards enabling customers to convert on any channel. They have realised that a customer who buys from them in-store as well as online, is valuable! The 2015 study by IDC, shows these customers have a 30% higher lifetime value than those who purchase using only one channel.
With customers buying across multiple channels, a seamless, consistent shopping experience has become important; from the way each channel looks, to the technology used to power them. Customers expect every touch point across the shopping experience to be consistent and convenient. But there is a gap between customers’ expectations and retailers’ capabilities. Retailers face a number of challenges in creating a truly omni-channel environment, including technical challenges, organisational silos between channels, and poor operational execution. Below listed are some of the major challenges faced by retailers to becoming an integrated omni-channel company:
Technology and Integration Challenges
According to a research, around 40% of the retailers faced difficulty in integrating back-office technology across their different channels.
It is essential for retailers to provide a consistent and contextual service across all its channels and interaction by adopting new technologies helping them transform to omni-channel customer engagement and service. This is important for their survival and to meet clients expectations.
Organisational and Operational Challenges
As per a survey, 46% of the decision makers already have a dedicated omni-channel team including members of all functions, where there is a conflict of priorities and organisational silos. Omni-channel retailers also face the challenges of sharing customer data and analytics between channels, countries and locations and lack of in-store associate training.
Data Management
It has become difficult for omni-channel retailers to manage their data due to its wide availability and increased expectations of customers to have access to detailed product information. This has made retailers to search for solutions that can supplement or replace their legacy item master and data repositories.
Inventory Visibility
Retailers face the challenge of maximising their inventory to ensure it is accessible via all selling channels and customer engagement points. It is difficult to achieve a single, channel-agnostic view of customers and inventory is the most essential aspect of any omni-channel retailer.
To fulfil this, retailers should be able to serve the needs of the customers buying from any channel. Omnichannel retailing is important for creating a more consistent consumer experience across in-store, online as well as mobile channels, leading to an increase in the brand s relevance to its customers.
So how can retailers make the move to Omnichannel?
SAP Business one offers the functionality that omni-channel retailers need, to optimise their operations. It provides customers with the information and personalised experience they want at any point in time across all channels. SAP Business One will enable you to be in a position to eliminate some of the most common retail challenges while capitalizing on new profitable opportunities
Sliver Touch Globally has been a partner of SAP for over 5 years and has implemented over 90 solutions in 15+ industry verticals. Our services include SAP Business One license procurement, installation, implementation, customisation, add-on development and training and support.
To find out more about how SAP Business One can help you to overcome the challenges of omni-channel retailing, get in touch with our team by calling us on +44 – (0) 203-872-5140 or dropping us an e-mail on info@silvertouchtech.co.uk.
