Using Digital Tactics in Retail to drive growth. Growth in Retail is going to come from the digital E-commerce sector. Here are some ways in which high street retailers can take advantage of this growth for their own business.

1. Digital in Retail:
The Exeter Experience
James Moffat, Organic Development

2. Page  2
Digital in Retail: The Exeter Experience
Retail: whats the deal?
Digital Tactics for retail: what to do?
AR and augmenting the experience?
A strategy for success: The 10 point action plan
1
2
3
4
5
Mobile: why is it important?

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Digital in Retail: The Exeter Experience
Retail: whats the deal?
Digital Tactics for retail: what to do?
AR and augmenting the experience?
A strategy for success: The 10 point action plan
1
2
3
4
5
Mobile: why is it important?

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Time we spend shopping….
8.9 Billion hours
per year in UK
182.5 Hours/person/ year
49 million 16 plus adults in UK
Stats from the ONS

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The state of retail in the UK… (08 to 09) Source: ONS
UK Retail employment
Down
145,000
UK Retail Outlets
Down
100,900

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Retail Sales Index Sept 2010
0.5% Growth year on year for September
British Retail Consortium
‘The market scraped margin growth in
2009 and I see a low growth
envoronment here to stay. The
combination of a weak economic outlook
and a changing consumer means the
industry is at a key inflection point as it
re-aligns itself to a new reality . What
growth there will be will be absorbed by
online. Like for like sales will thus dip in
and out of negative territory on a monthly
basis’
KPMG Retail Think Tank, Feb 2010
Low growth here to stay….

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Shoppers are tuning out. Worse, they are exhausted by
their shopping experience when they should be
energised. That’s what happens when you force
shoppers to think about getting low prices when what
they want it to feel good about what they are buying.
Al Wittemen – MD Retail Strategy, Advantage Retail
Shoppers are turning away from retail

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B2C Ecommerce Sales growth in Europe,
2006 to 2011, Billions, USD $
132.90 $
196.90 $
255.70 $
307.10 $
357.40 $
406.80 $

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Estimated growth in the next 5 years
10% Per Year
Predicted US retail growth 2010
2.5%
11%
Predicted E-Retail growth in 2010
E-Retail – the key to growth

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Good News: The bulk of
retail shopping still takes
place in store… but now is
the time to act!
Infogrpahic by milo.com

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Solution: Integrate digital into your retail experience
Benefits of E-Commerce
• Research and Learning
• Better Choice
• Time Saving /
Convenience
• Empowerment,
Customer feedback
Benefits of High Street
• Immediacy of purchase
• Tactile experience
• In-store experience
• Sales Assistance

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Solution: Integrate digital into your retail experience
Benefits of E-Commerce
• Research and Learning
• Better Choice
• Time Saving /
Convenience
• Empowerment,
Customer feedback
Benefits of High Street
• Immediacy of purchase
• Tactile experience
• In-store experience
• Sales Assistance

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Take Away:
Integrate
Digital Tactics
Into your
Retail Experience

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Digital in Retail: The Exeter Experience
Retail: whats the deal?
Digital Tactics for retail: what to do?
AR and augmenting the experience?
A strategy for success: The 10 point action plan
1
2
3
4
5
Mobile: why is it important?

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Reach: Important channels
Features of Mobile
 Smart mobile market exploding
 Rich media in your pocket
 Powerful software = Apps
 Geolocation technology
 Real time communication
 Still a tool for SMS, phone and
MMS
 Further development of bluetooth
style direct messaging
The importance of mobile

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The importance of mobile
 Mobile is a fast emerging set of
channels
 Reflects traditional channels but
raises some issues
 Small screen
 Touch screen
 Use of SMS and MMS for CRM and
servicing customers
 Further Development of bluetooth
style direct messaging

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Reach: Important channels
The importance of mobile
 Mobile is a fast emerging set of
channels
 Reflects traditional channels but
raises some issues
 Small screen
 Touch screen
 Use of SMS and MMS for CRM and
servicing customers
 Further Development of bluetooth
style direct messaging
The importance of mobile

18. Take Away:
Page  18
The Future of the internet is….
MOBILE

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Digital in Retail: The Exeter Experience
Retail: whats the deal?
Digital Tactics for retail: what to do?
AR and augmenting the experience
A strategy for success: The 10 point action plan
1
2
3
4
5
Mobile: why is it important?

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top
tips

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1. Listen
WHERE
ONLINE AGE
MOST
INFLUENTIAL
SENTIMENT

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Listening
REPUTATION!
REPUTATION!
REPUTATION!

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Reputation
PREDICTION…
In the future you will not be able to sell
product, run a business or provide a
service if your reputation is poor and
you do not listen to customers!

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engage

26. Reward customers for checkin...
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1. Claim you venue…Claim you venue….

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How do you reward your customers?
1. Mayor Specials:
• Unlocked only by the Mayor of your venue.
("Foursquare has deemed you the Mayor? Enjoy a free order of french fries!")
2. Check-in Specials:
• Unlocked when a user checks in to your venue a certain number of times.
("Foursquare says you've been here 10 times? That's a free drink for you!")
3. Frequency-based Specials:
• Are unlocked every X check-ins.
("Foursquare users get 20% off any entree every 5th check-in!")
4. Wildcard Specials:
• Always unlocked, but your staff has to verify some extra conditions before
awarding the Special.
("Show us your foursquare Swarm badge and get a free drink!”)
How do you reward your customers?

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Statistics Interface
• Most recent visitors
• Most frequent visitors
• The time of day people check in
• Total number of unique visitors
• Histogram of check-ins per day
• Gender breakdown of customers
• Portion of foursquare check-ins
broadcast to Twitter and
Facebook
• Always adding more

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Foursquare is not the only
way to engage online…

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WARNING…
This kind of media can be addictive.
Social media can be time consuming.
Limit your time to a maximum of two hours per week.
Engage with people directly
• Build you reputation
• Build advocacy
• Reward your best customers
Listen
• Understand who is talking, where and what about
• People will tell other people what they think before they tell you
• Make sure you know what people think of you
Watch your Reputation
Take Away:

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Digital in Retail: The Exeter Experience
Retail: whats the deal?
So what should you do about it?
AR and augmenting the experience?
A strategy for success: The 10 point action plan
1
2
3
4
5
Mobile: why is it important?

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Shoppers are tuning out. Worse, they are exhausted by
their shopping experience when they should be
energised. That’s what happens when you force
shoppers to think about getting low prices when what
they want it to feel good about what they are buying.
Al Wittemen – MD Retail Strategy, Advantage Retail
Shoppers are turning away from retail

34. Page  34
Estimated growth in the next 5 years
10% Per Year
Predicted US retail growth 2010
2.5%
11%
Predicted E-Retail growth in 2010
Integrate Digital into your retail experience

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Solution: Integrate digital into your retail experience
Benefits of E-Commerce
• Research and Learning
• Better Choice
• Time Saving /
Convenience
• Empowerment,
Customer feedback
Benefits of High Street
• Immediacy of purchase
• Tactile experience
• In-store experience
• Sales Assistance
OKAY SO WE CAN DO THIS ONLINE, BUT
HOW DO YOU DO THIS IN STORE?

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What is experiential shopping?
Apple:
• A place for
knowledge and
service
• A 50/50 split
between these
• Come to shop,
return to learn
• Ave US earnings
per sq ft per year?
$4032
Saks 5th Avenue: $362
Source: Douglas Smith, Holy Tornado Ltd

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What is experiential shopping?
the ultimate retail experience

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‘Layering information, tools and resources over the real
world we inhabit to make it easier to understand or to
enrich our experience.’
EG Sat Nav, Google Maps, Layar
What is Augmented reality?

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What does AR look like?
It allows you to
overlay information
onto the real world

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Bringing AR and Experiental marketing together
• Finding your location
• Google maps
• Layar
• Finding a way around a large store
• Finding an In-stock product and ordering it
• Argos App
• Identifying where to buy a product you see
• Amazon photo recognition
• Assisted selling
• Mobile assistants
• Integrated video
• Smart Mirrors
• Smart checkout and payment
• Trying out products not in stock
• Relationship management
• Recognising customers

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Digital in Retail: The Exeter Experience
Retail: whats the deal?
So what should you do about it?
AR and augmenting the experience?
A strategy for success: The 10 point action plan
1
2
3
4
5
Mobile: why is it important?

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A Strategy for Success: Your 10 point action plan
ACTION THREE
 Work out who your customers are and where they are online
 Work out how they use technology at the moment and in the future
ACTION ONE
 Start with your business goals: What it is you are trying to do
 Work out what it is you need to do in order to meet these goals
 Work out how you can use digital to improve your retail experience
 This goes for the instore experience as well as the out of store experience
ACTION TWO

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A Strategy for Success: Your 10 point action plan
ACTION SIX
 Start engaging directly with people online and through apps
ACTION FOUR
 Start getting familiar with mobile apps
 Try out FourSquare
 Listen to what you customers are saying abut you
 Start to monitor and manage your reputation
ACTION FIVE

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A Strategy for Success: Your 10 point action plan
ACTION NINE
 Start to think about innovative ways of using technology to make the retail
experience more fulfilling and enjoyable
 …Not to mention more profitable for you
ACTION SEVEN
 Make sure you offer a genuine experience in your store
 Think about why people might come to you rather than another place?
 Think about how people might be looking for your shop or services and what
you can do to make that easier for them
ACTION EIGHT

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Thank you for listening
Do You Have
Any Questions?
ACTION TEN
 Speak to an Expert, someone who can help you come up with an effective plan
for your new retail strategy