apparel store of the future - infosys - consulting · customer information, recommendations based...

1
Where am I? I want to know if my favorite store is nearby Can you suggest something that will suit me? I like suggestions I like being welcomed personally Wow! 20% off! I am delighted I don’t like to wait in trial queue I want my friends to suggest Re-size Self checkout Choose payment method Hello Friend ! # Your previous purchase # Recommendations: Ooops! I am not carrying cash. I like alternative payment methods I like home delivery I am delighted to get my outfit customized I need to explore the product range I want to know relevant offers I need help XL Know the customer Trial Checkout Focus on 'Need-Want-Like-Delight' touchpoints for a better customer experience Play to strengths Help the right way Augmented reality as shopping assistant Size XL Full body scan to suggest outfits according to body fit iBeacon and IoT to know personalized offers Wearable devices for 3D modeling Endless aisle / digital shelf to explore product assortment Brick and mortar is the foundation for all forms of retailing While in-store retailing will continue to exist in the future, its form will evolve with increasing consumer interaction touchpoints and higher personalization Personalization is the future 84% 16% respondents choose website, mobile app and social media pages respondents prefer visiting the store as primary channel of engagement Overcome weaknesses Customer insights as competitive edge Trial and alteration queue management are key improvement themes; long queue leads to loss of sale not only enhances customer experience, but leveraging customer data also enriches retailer’s database on customer preferences and improves in-store inventory Is it worth the wait? 50% respondents would like to receive their shopping bill via e-mail 54% respondents agree that self-checkout kiosk & alternate payment will enhance shopping experience Order to customize based on customer's preferences Self-scan and mPOS for faster checkout Share experience or feedback on social media Rs. 900 Rs. 1000 Digital kiosk with personalized welcome Augmented reality as store finder message; swipe loyalty card to display customer information, recommendations based on previous purchase and anticipate customer needs for present purchase iBeacon proximity promotion 10 yd 22 yd 8 yd 10 yd 22 yd waiting in queues Share and receive recommendations on selected merchandise Info Digital wallet for convenient order processing You Tube Apparel store of the Future Ship from store Ship to store Reserve or buy online Pick up in store Order in store Return in store 50 % Resham Anand Consultant - Business Consulting, Retail & CPG Subhajit Mazumder Senior Principal - Business Consulting, Retail & CPG Management Consulting Services, India Business Unit Product Discovery Millennial customers have unique fashion sensibilities and navigate effortlessly from brick and mortar stores to multichannel and omni-channel shopping experiences. Brick and mortar stores can no longer rely on product, price, and mass promotions to attract savvy buyers. Does it mean the end of in-store retailing? Infosys conducted a survey to better understand how shoppers visualize the apparel store of the future. The results reveal that tomorrow's retail store will not only be a point of purchase, but also act as an experiential learning center. Consequently, personalization will be its key feature. To achieve the desired level of personalization, every step of the customer journey must be evaluated as 'Need-Want-Like-Delight' touchpoint. While 60% of the retailers' focus should be on satisfying the buyers' needs and wants, 40% of their attention should be on the 'like' and 'delight' elements, which serve to pleasantly surprise customers, and boost brand loyalty. Elements of personalization need greater improvement, as compared to store attractiveness, product display, and ability to find desired products Product variety, pricing and offers, and customer service are key considerations in apparel purchase decision Store representative’s ability to identify customers and service request within satisfactory time are more important than factual knowledge about the merchandise Average waiting time in queue is 4 minutes on weekdays, 10 minutes on weekends, and 18 minutes during end-of-season sales New payment methods, such as Apple Pay, Mobile wallet, NFC Payments, offer easy and private ways for faster checkout The future of retail is being shaped by customer expectations. With increasing technological convenience, the real challenge for retailers is to identify interaction touchpoints in their customers’ journey and meet the growing expectations by building their process and technology capabilities. This can be achieved by going beyond basic needs, and moving up the 'like and delight' value stream.

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Page 1: Apparel store of the Future - Infosys - Consulting · customer information, recommendations based on previous purchase and anticipate iBeacon proximity promotion customer needs for

Where am I? I want to know if my favorite store is nearby

Can you suggestsomething that willsuit me?I like suggestions

I like beingwelcomed personally

Wow! 20% o�!I am delighted

I don’t like to wait in trial queue I want my friends

to suggest

Re-sizeSelf checkout

Choose paymentmethod

Hello Friend !# Your previous purchase

# Recommendations:

Ooops! I am not carrying cash. I like alternative paymentmethods

I likehome delivery

I am delighted to get my out�tcustomized

I need toexplore theproduct range

I want to know relevant o�ers

I need help

XL

Know the customer

Trial

Checkout

Focus on 'Need-Want-Like-Delight' touchpoints for a better customer experience

Play to strengths

Help the right wayAugmented reality as shopping assistant

Size XL

Full body scan to suggestout�ts according to body �t

iBeacon and IoT to knowpersonalized o�ers

Wearable devices for 3D modeling Endless aisle / digital shelfto explore product assortment

Brick and mortar is the foundationfor all forms of retailing

While in-store retailing will continue to exist in the future, its form will evolve with increasing consumer interactiontouchpoints and higher personalization

Personalization is the future

84% 16% respondents choose website, mobile app

and social media pages

respondents prefervisiting the store as

primary channelof engagement

Overcomeweaknesses

Customer insights as competitive edge

Trial and alteration queue management are key improvement themes; long queue leads to loss of sale

not only enhances customer experience, but leveraging customer data also enriches retailer’s database on customer preferences and improves in-store inventory

Is it worth the wait?

50%respondents wouldlike to receive their

shopping bill via e-mail

54%respondents agree that self-checkout kiosk & alternate payment will

enhance shopping experience

Order to customize based oncustomer's preferences

Self-scan and mPOS for faster checkout Share experience or feedback on social media

Rs. 900Rs. 1000

Digital kiosk with personalized welcome

Augmented reality as store �nder

message; swipe loyalty card to display customer information, recommendations based on previous purchase and anticipatecustomer needs for present purchaseiBeacon proximity promotion

10 yd

22 yd8 yd

10 yd

22 yd

waiting in queues Share and receive recommendationson selected merchandise

Info

Digital wallet for convenient order processing

YouTube

Apparel store of the Future

Ship from store

Ship to storeReserve orbuy online

Pick up in store

Order in storeReturn in store

50%

Resham AnandConsultant - Business Consulting, Retail & CPG

Subhajit MazumderSenior Principal - Business Consulting, Retail & CPG Management Consulting Services, India Business Unit

Product Discovery

Millennial customers have unique fashion sensibilities and navigate e�ortlessly from brick and mortar stores to multichannel and omni-channel shopping experiences. Brick and mortar stores can no longer rely on product, price, and mass promotions to attract savvy buyers. Does it mean the end of in-store retailing?

Infosys conducted a survey to better understand how shoppers visualize the apparel store of the future. The results reveal that tomorrow's retail store will not only be a point of purchase, but also act as an experiential learning center. Consequently, personalization will be its key feature. To achieve the desired level of personalization, every step of the customer journey must be evaluated as 'Need-Want-Like-Delight' touchpoint. While 60% of the retailers' focus should be on satisfying the buyers' needs and wants, 40% of their attention should be on the 'like' and 'delight' elements, which serve to pleasantly surprise customers, and boost brand loyalty.

Elements of personalization need greater improvement, as compared to store attractiveness, product display, and ability to �nd desired products

Product variety, pricing ando�ers, and customer serviceare key considerations inapparel purchase decision

Store representative’s ability toidentify customers and servicerequest within satisfactory time aremore important than factualknowledge about the merchandise

Average waiting time in queue is 4 minutes on weekdays, 10 minutes on weekends, and18 minutes during end-of-season sales

New payment methods,such as Apple Pay, Mobile wallet,NFC Payments,o�er easy and privateways for faster checkout

The future of retail is being shaped by customer expectations. With increasing technological convenience, the real challenge for retailers is to identify interaction touchpoints in their customers’ journey and meet the growing expectations by building their process and technology capabilities. This can be achieved by going beyond basic needs, and moving up the 'like and delight' value stream.