Mobility in Retail. RapidValue Solutions
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- Garey Holmes
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1 Mobility in Retail
2 Retail Industry : Changing Landscape Why Go Mobile? Increased penetration of mobile Increased need to focus on the mobile market. M-commerce growth is outpacing traditional E-commerce growth by 200%. 2
3 Retail Industry - Challenges Are your customers Showrooming? Too many players in the market and less differentiation to incentivize customers to walk into YOUR stores? Are your Sales force not equipped with product knowledge? Is there lack of customer buying behavior knowledge to help increase Basket size? Mobile can be used to get customers to the store and can help keep them there 3
4 Retail Industry Key Opportunities for Mobile According to a 2012 Deloitte study, the conversion rate in the store for shoppers who use a retailer s dedicated app is 21% higher than those who do not $12.8 billion was spent via mobile payments in the US in 2012 $90 billion will be spent via mobile payments in the US in 2017 In 2016 an estimated $689 billion will be influenced by mobile retail 4
5 Retail Industry Key Opportunities for Mobile Top commercial venues where people use their mobile device Retail Restaurants & Café Service Financial Other Hospitality Gyms Churches 5
6 Mobility Solution Framework 1in10 ecommerce dollars is spent using a smartphone or tablet 1in3 use their smartphone to find information instead of asking store employees 43% of current mobile shoppers who have downloaded a retail app Enterprise Consumer Solutions Solutions 84% of smartphone shoppers use their devices to help shop while in a store 50% of businesses are making line-of-business apps accessible from mobile devices 5.6hrs can save by using apps for small business 6
7 M-commerce Apps Forrester: M-Commerce to Reach $45 Billion Factors that drive M-commerce growth: Increased Mobile security Greater comfort in inputting financial data Increased Smartphone usage Fierce competition from online only retailers 7
8 M-commerce Apps 8
9 M-commerce Apps 9
10 M-commerce : Data Speaks Mobile is the best opportunity says Walmart. Over the past two years, Walmart notices 1/3 rd of Walmart.com traffic from mobile visitors Mobile continues to be a strength and source of growth, with mobile enabled commerce volume jumping 75%. 20% of the company s sales are via mobile. 3.2mn new mobile users across its entire suite of apps 10
11 Retail Consumer Apps
12 Consumer Apps Price List Apps Location Based Marketing via discounts & coupons Loyalty Management Apps Store locators Self Checkout Apps In Store Catalogues In store Navigation Apps 12
13 Blueprint : Consumer App Lifecycle 13
14 Why In-Store Catalogue App? With the growth in the number of smartphone users, printing catalogues becomes obsolete. In Store catalogue Apps engage with customers more effectively allow them to magnify, add to favorites, add to cart etc. These apps can influence the basket size per customer due to personalization in mobile. 14
15 Case Study : Brighton Retail RapidValue worked along with Brighton Retail to introduce the In store Catalogue App Outcome: Increased Customer satisfaction Better informed sales assistants Improved analysis of customer behavior through integration with backend CMS Rich media content Increased training effectiveness across employees Reduced cost on wastage of paper, shipping RapidValue added Innovative features such as Moodboards which can pin items based on the mood of the shopper and can be shared with friends 15
16 In-Store Catalogue App Home screen 16
17 Why In-Store Navigation Apps? According to a survey, 91% said that they were likely to leave a store if they could not find a specific product that they wanted. Self-help is the new norm 17
18 Case Study : Best Buy, Home Depot, Walgreens Best Buy integrates with the shopping list feature on the mobile app Each item on the list will be navigated to the customer while in store Home Depot has features where shoppers can check inventory of the item followed by navigation to the correct aisle Walgreens, a large Grocery Retailer digitizes store data, accesses inventory, product locations, floor plans which is accessed from customers mobile phone. Futuristic view The integration with the in store apps such as the Mobile shopping, Self Checkout, Shopping lists etc. 18
19 Why Location Based Marketing Apps? When asked why they would ever share their location or other personal information with a company using their mobile device, respondents indicated the following: To receive information or alerts that I have requested To receive relevant offers or discount coupons To resolve customer service issues There are no good reasons To check-in or post on social networking sites Personalized marketing discounts, promotions, coupons Publicize your business brand via check-in s (usage of social media) Monitor your customer comments with timely responses Incentivizes customers to enter stores 19
20 Case Study : Meat Pack Retail Implemented by a shoe store, Meat Pack Retail in Guatemala Sold limited edition shoes of brands like Adidas, PUMA, Nike etc. Set up geo fences around each official store of one of the brands they sold using GPS technology Customer enters the competitor store Receives a discount coupon starting at 99% at their store Decrease by 1 % every second More than 600 customers were hijacked from the competition 20
21 Why Price List Apps? Consumer makes informed decisions Reduces buyer remorse Provide consumer with comparisons on pricing online / stores Increases customer satisfaction due to better savings Provides customer reviews on the product 21
22 Case Study : Amazon Price Check Amazon Launched Amazon Price check mobile app to capitalize on mobile sales Customers shopping at any other retail store can: Speak the name of the product or Enter the name or Take a photo Check availability as well the price at Amazon for comparison with the other retailer To further incentivize customers to make the purchase, Amazon price check app offers a 5% discount on using the app to make a purchase 22
23 Why Self checkout Apps? With an increasing trend of smartphone usage, Linebusting increasingly popular Easily integrated with shopping lists, scanning and payment gateways 23
24 Case Study : Magic Beans Children s Goods Retailer Magic Beans launched an iphone application that enables Linebusting Self Checkout Apps in store implemented Scan the chosen products with customer s smartphone camera Find more information on scanned product / Add to cart options Outcome: Increased customer satisfaction Reduces hardware costs on retailers buying scanning devices Reduces dependence on Sales personnel 24
25 Why Loyalty Apps? Acquiring new customers can be up to five times more expensive than retaining existing customers With increased competition in the Retail industry, it is important to stay one step ahead of your competitors To personalize the offers sent to customers based on their Account information / buying behavior 25
26 Case Study : Kroger Retail Kroger s In Store App has Loyalty features which assists in reviewing reward points, status and upcoming rewards Loyalty Cards can be: Registered once the App is downloaded Added in the App at later points Can be linked to check fuel points at participating tie ups and view the rewards history Customer feedback forms which are directly sent to Kroger Check in loyalty rewards Customer earn points for every check in via social media Link to mobile wallets 26
27 Why Store Locator Apps? Provide convenience of search to the customers Store locator apps can provide information on product availabilities at a particular store Store locators can indicate the closest store based on a customers current location Indicate store working hours 27
28 Case Study : Target Corporation Target s Store locator feature can: Define the present location via GPS Identify nearby stores to your default location Set your default store based on proximity Outcome: Increased footfalls at store Assists customers in checking availability of an item at a particular store 28
29 Retail Enterprise Apps
30 Enterprise Apps Inventory Apps HRMS Apps Sales Floor Assistant Apps In Store Audit Apps Mobile POS Apps Dashboard Apps 30
31 Why Sales Floor Assistant Apps? Engage meaningfully with the customers Increased proliferation in the market Increased need to have loyal customers Enable your sales force to have information on their fingertips 31
32 Case Study Brighton-Retail 32
33 Case Study: Brighton Retail RapidValue developed the Sales Floor Assistant App for Brighton Retail Outcome: Measure of Customer satisfaction Customers who were exposed to the experience of the Sales Floor Assistant App were seen to have higher customer satisfaction levels versus the other customers High Training costs reduced for Brighton through the implementation Customer analytics information provided better insight to management Reduced cost on wastage of paper, shipping Retention of paper based catalogues by customer are low 33
34 Why Mobile POS? Effective Linebusting mechanism Improved customer satisfaction via streamlined checkout processes Improved customer loyalty thereby adding to topline 34
35 Case Study: Nordstrom Nordstrom a Fashion and beauty based Retailer introduced Mobile POS devices a modified ipod touch with a merchandise scanner and a credit / debit card slider Allows employees to check out customers anywhere in the store Allows employees to check the company s entire inventory (alternative size / color) across stores Outcome: Both the average selling price as well as the number of items sold increased in the year of implementation Measure of satisfied customers There was an increase in repeat customers post implementation of this app 35
36 Why Inventory Apps? Enable employees with access to inventory information across stores to avoid loss of sale Real time and immediate information on inventory levels Improved customer experience Customer loyalty increases on account of confidence earned by sales force 36
37 Case Study: Moosejaw Retail Outdoor gear Retailer Moosejaw have Inventory tracking Apps that allow: Checking enterprise inventory on the spot via Mobile Apps integrated with Enterprise systems Place an order from the warehouse Have the merchandise shipped to the customer at no additional cost in no time at all Outcome: Low turnaround time - Quick conversion of enquiries into sales Customer Experience - Wow factor among customers Engaged sales force with access to the whole enterprise in their pocket 37
38 Why In Store Audits? Effective management of Audit requirements Mobile based Audit assists in reduction of manual efforts of transfer from paper to system Real time access of information by Management level employees Customized solutions based on Audit requirements 38
39 Case Study: Heinz Heinz implemented Retail Audits Mobile Apps with smartphones Transition from the traditional paper based audits The audits covered distribution, placement and display of their products Moving from paper enables lesser collation, lesser errors, faster report access to management Outcome: Enable management to pull detailed or summary reports without any need to collate data Considerable lag in time decreased 39
40 RapidValue Application : Store Audits 40
41 Graphical representation of the stores inspected 41
42 Inspection application allows the inspector to rank the store 42
43 Why Dashboard Apps? Tailor made content for management level / CXO level employees Dashboards to reveal critical information on store performance, store revenue, what if analysis, overall store audit results etc. Various department level information can be displayed to draw analysis and devise corrective actions 43
44 Store by Store Sales Analysis 44
45 Month on Month Sales Analysis 45
46 Individual Store Level Sales Analysis 46
47 Why HRMS Apps? Enable employees with access to their salary information, personal information etc. Improve the employee employer relationship by empowering employees with information Increased employee satisfaction levels Recruitment Apps to engage with right candidates and hire the right people 47
48 HRMS Recruitment App Screenshots 48
49 Augmented Reality : Trend Watch Mobile Augmented reality to reach 200 Million unique users by 2018 Juniper Research By 2017, over 2.5 billion mobile Augmented Reality apps will be downloaded to smartphones and tablets per year Juniper Research Mobile Augmented Reality apps will generate $5.2 billion in 2017 Juniper Research 49
50 Why Augmented Reality Apps? Introduction of Augmented Reality Concept stores Virtual fitting rooms To view products within boxes Discover stores in the vicinity Access detailed product information on an object of interest Provide direction to a user on where to go and what to do 50
51 Augmented Reality Today Augmented Reality Concept Stores Augmented Reality Catalogues Augmented Reality Fitting Rooms Augmented Reality Coupons Augmented Reality Product Information Augmented Reality Shopping Assistant 51
52 About RapidValue RapidValue is a leading provider of end-to-end mobility solutions to enterprises worldwide. Armed with a team of 200+ experts in mobility consulting and application development, along with experience delivering over 350 mobility projects, we offer a range of mobility services across industry verticals. RapidValue delivers its services to the world s top brands and Fortune 1000 companies, and has offices in the United States and India KiranE@rapidvaluesolutions.com Disclaimer: This document contains information that is confidential and proprietary to RapidValue Solutions Inc. No part of it may be used, circulated, quoted, or reproduced for distribution outside RapidValue. If you are not the intended recipient of this report, you are hereby notified that the use, circulation, quoting, or reproducing of this report is strictly prohibited and may be unlawful. 52
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