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Why Physical Stores Need a Reebot Infographic

Shopping in physical stores offers consumers something unique and valuable compared to the digital domain: a social experience and a tactile experience. But, our latest research shows that shoppers are now seeing less value and pleasure in this core element of the physical retail experience. Our global survey – spanning 6,000 consumers and 500 retailers – found that one-third of consumers would rather clean dishes than visit a retail store.

A key reason for this declining value is that consumers now expect a physical user experience that replicates what they find online, from expecting goods to be in stock to being able to choose from multiple delivery options. Consumers wish to use technology to help them engage with the store at every step of the shopping journey.

Unfortunately, these new expectations are not being met, and as a result consumer satisfaction for retailers is worryingly low.

The winners of the future will be those that are transforming the customer experience through new technologies, digitizing operations, and putting in place the right people capabilities. In this report, we provide a framework for retailers to diagnose where they are in terms of becoming a Digital Leader and the strategic priorities for ensuring they do not just match fast-changing consumer expectations, but have the agility and vision to stay ahead of what consumers want from the physical store.

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Why Physical Stores Need a Reebot Infographic

  1. 1. Making the Digital Connection: Why Physical Retail Stores Need a Reboot What’s Wrong with Retail Stores? Self-driven/ Automatic shopping carts which take you to items on your shopping list Ability to go to the store for maintenance/ repairs after purchase Smart mirrors to virtually see the clothing products without actually trying them on Ability to design rooms (for example kitchens) through online or augmented reality tools which shows what your kitchen will look like with the new upgrades based on your actual house settings Self-Driven Carts and Augmented Reality – Consumer Wants are also Going Tech Savvy 57% Grocery Electronics 73% 63% Fashion 68% Home improvement Consumers are Clear on the Technologies they Like How Should Retailers Respond? But Retailers are Missing the Bus - Mesh the convenience of website/app into a physical store Make the store visit a social and inspiring experience Empower store associates with digital tools Transform store through digital operations Most Retailers have been Slow to Digitization Benefits Realized By Retailers ImplementationofDigitalInitiativesIn-Store Strugglers Digital Sprinters Laggards Early Gainers 5% 18% 37% 40% Away from Store Consumer checks availability of product in store 75% Inventory Scan Instant communication with product experts virtually 63% Smart devices automatically orders registered items from home if running low 56% Personalized offers through SMS or app messages when consumers are close to a store 54% Mobile platform for associates with all product and stock information 67% Mobile platform for consumer with interactive store maps and beacon messages 62% Smart end-of-aisle display to show preferred products and search product information 53% Ability to design rooms through online or augmented reality tools 68% Provide intelligent product recommendation, connect with sales associates and place order 62% Smart Assistance Smart Assistance Proximity based promotion Smart Trial Rooms Using augmented reality project products in customized settings like kitchen 65% Smart conveyor belts to automatically scan all items for checkout 66% Queue less Checkout Mobile-based payments, contactless cards, digital wallets or wearable payment devices 61% Near To the Store Consumer Acceptance Consumer Acceptance Consumer Acceptance Inside the Store Inside the Store Using location technologies to send personalized messages to consumers who have ordered from a store in vicinity 54% Same day delivery of product purchased in-store 73% Intelligent Delivery Interactive Displays Consumer Expectation from Stores is On the Rise 75%of consumers want to check availability of product in stores before visiting 73%of consumers want same-day delivery options from the store 57%of consumers want retail stores to evolve to social spaces or provide learning or inspiration Consumers Expect a Similar User Experience from Physical Stores as They Find Online Reach out: Interested in reading the full report? Head to: https://www.capgemini-consulting.com/resources/making-the-digital-connection Slideshare: https://www.slideshare.net/capgemini/making-the-digital-connection-why-physical -retail-stores-need-a-reboot/ Follow us on Twitter: @capgemini or email dti.in@capgemini.com Seamless Payments HighLow Digital initiatives are not implemented/ Implemented in few stores Digital initiatives are implemented in majority stores 48% 59% would rather clean dishes than go to a store32%of consumers consider shopping in stores as a chore40% of brands in our survey were given Negative NPS by consumers (Average Negative NPS of -23) of consumers are willing to buy from large Internet players, such as Google Express/ Apple/ Facebook in future Digital Technologies that Consumers Find Most Useful