THE RESOLUTE DIGITAL RETAIL MOBILE READINESS REPORT

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1 THE RESOLUTE DIGITAL RETAIL MOBILE READINESS REPORT AUTHORED BY: BRIAN McNAMEE JANUARY 2013

2 INTRODUCTION Today s customers are mobile. Fully ninety-six percent of shoppers researched a product on their mobile phone 1 percent carry phones with them while shopping in order to compare prices and learn about products 2. They expect in-store retail experiences Today, most retailers are failing to meet those expectations. In Q4, 2012, who used mobile technology to enable a superior in-store experience. Our results indicate that retail mobile integration remains in its infancy. 3 KEY TAKEAWAY Mobile websites are no longer optional. In the very near future, apps won t be either. while at a store KEY TAKEAWAY Mobile and in-store experiences need to be integrated; not distinct RESOLUTE DIGITAL 137 W 25th Street, 11th Floor, New York, NY resolute.com

3 KEY TAKEAWAY Even if retailers offer powerful and effective mobile sites and apps, they re not offering a seamless experience if online and in-store prices are inconsistent. KEY TAKEAWAY Custom-built mobile payment options may be costly and complex. Luckily, a number of third-parties offer turnkey mobile payment solution. To date, not enough retailers are taking advantage of them. RESOLUTE DIGITAL 137 W 25th Street, 11th Floor, New York, NY resolute.com

4 4 YES VALUE NO VALUE YES VALUE NO VALUE Mobile Website 1-5 Mobile Website e-commerce 2-5 Mobile Website Personalization 3-1 Mobile Website Product Information 2-5 iphone App 5 0 ipad App 6 0 Android App (Phone) 6 0 Android App (Tablet) 7 0 App In-Store Payment 15 0 App Personalization 4 0 (Purchase history, etc.) App Product Information 2 0 Mobile Website/App Consistent Login 2 0 Foursquare Specials 5-1 Mobile Access In-Store 1-5 Check Prices Online 1 0 Online/Store Prices Equivalent 5-3 Check Availability Online 5 0 Mobile Payment (Third-Party) 15 0 Mobile Devices Provided In-Store 8 0 Mobile Promotions RESOLUTE DIGITAL 137 W 25th Street, 11th Floor, New York, NY resolute.com

5 RETAILER SCORE RETAILER SCORE Apple 76 Aveda 28 Sephora 57 Crate & Barrel 26 B&H Photo 57 Victoria's Secret 24 AT&T 54 Origins 21 jcpenney 53 Modells 21 Verizon 51 Kate Spade 21 Sprint 51 Banana Republic 20 Buy Buy Baby 46 Gap 17 MAC 45 Williams Sonoma 15 Target 44 Pottery Barn 15 Nordstrom 44 J. Crew 15 J&R 44 Container Store 15 Best Buy 43 Burberry 15 Abercrombie & Fitch 42 Neiman Marcus 13 Macy's 42 Sports Authority 7 Saks Fifth Avenue 38 Nordstrom Rack 2 H&M 38 TJ Maxx 1 Bloomingdales 38 Marshalls -1 Toys 'R Us 36 Bergdorf-Goodman -8 T-Mobile 36 Lord & Taylor -13 PC Richards 32 Raymour & Flanigan -14 Bed Bath & Beyond 32 Restoration Hardware -17 Zara 31 Uniqlo -19 Barnes and Noble 30 RESOLUTE DIGITAL 137 W 25th Street, 11th Floor, New York, NY resolute.com

6 THE MODELS KEY TAKEAWAY An integrated experience requires integrated data. Everything from customer data to in-store service appointments is accessible by Apple s mobile app. Retailers that want to provide a truly seamless experience need to assure that all of their systems can access a unified data set. RESOLUTE DIGITAL 137 W 25th Street, 11th Floor, New York, NY resolute.com

7 KEY TAKEAWAY Mobile technology doesn t only provide value to customers. It provides extraordinary data to retailers. Retailers that don t offer the mobile sites and apps aren t only losing customers; they re losing data. RESOLUTE DIGITAL 137 W 25th Street, 11th Floor, New York, NY resolute.com

8 DailyFinance.com About 10% of all the money we spend, half a billion dollars a year, goes to [checkout] transactions. In-store marketing through technologies like ipad, RIFD, WiFi, etc, is the future of retail. Some retailers may do away with cash registers altogether, while others may simply cut down on the number of cash registers, and only use them for larger purchases. KEY TAKEAWAY Mobilizing a workforce is as important as enabling a mobile customer base. With the move from registers to tablets, checking out at Nordstrom and jcpenney is going to be extremely quick and efficient. Customers will soon expect this level of efficiency from all retailers. RESOLUTE DIGITAL 137 W 25th Street, 11th Floor, New York, NY resolute.com

9 Every single product is tagged from among 102 different dimensions things like age, ingredients, KEY TAKEAWAY This is the flip side of the mobile/retail equation: integrating retail expertise into their mobile and digital experience. RESOLUTE DIGITAL 137 W 25th Street, 11th Floor, New York, NY resolute.com

10 incentivizes KEY TAKEAWAY Though it may seem like an extremely advanced feature, geo-fencing is now available to all retailers with a mobile site or app. Ads and promotions can appear every time a customer enters your store or a competitor s store. As the response to the poor response to Apple s most recent Maps application demonstrated, today s mobile customers expect a high degree of sophistication from the location-based services on their phones. TELECOM RETAILERS The presence of AT&T, Verizon and Sprint among the top-performing retailers in our study is slightly anomalous. Telecom companies provide mobile devices at their stores as a matter of course, and mobile websites and apps are taken for granted. This is not to say that these retailers do not in fact provide a well-integrated mobile/retail experience. Many do. But because mobile devices comprise the majority of their business, their relative performance in comparison with other retailers may be overstated. RESOLUTE DIGITAL 137 W 25th Street, 11th Floor, New York, NY resolute.com

11 CONCLUSION simultaneously If you are a representative of one of the retailers listed, we would be happy to discuss our results in greater detail. To supplement or correct the information provided here, or to learn more about how your brand s score was calculated, please RESOLUTE DIGITAL 137 W 25th Street, 11th Floor, New York, NY resolute.com

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