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What’s In Your Little Black Bag? Mobile Customer Service Done Right…And Wrong The Macy’s Mantra: Customer at the Center Help Inspire Oscar de la Renta And more 4/12

Retail trend tracker april 2012

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Page 1: Retail trend tracker april 2012

What’s In Your Little Black Bag?

Mobile Customer Service Done Right…And Wrong The Macy’s Mantra: Customer at the Center

Help Inspire Oscar de la Renta

And more

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Page 2: Retail trend tracker april 2012

PINTEREST DRIVES TRAFFIC TO RETAILERS Pinterest has introduced a new aspect to social media by giving users the ability to create online pin boards made up of digital images from the Internet. These virtual boards allow users to create multiple boards of different categories, displaying small pictures (pins) of recipes, fashion, crafts, humor and so much more.

Monetate shows how Pinterest has gained an advantage over Google+ by driving referral traffic to retailers. Retail brands should learn more about Pinterest and the site’s ability for marketing versus other social media. Retailers need to capitalize on all networking sites, but they also need to learn which social media sites suit their companies’ needs the best.

Read the full article here.

QR CODES TO INCREASE VIDEO TRAFFIC Circa Jewels is giving customers a look behind the scenes of its most recent campaign through a QR code. Circa Jewels is a jewelry-buying house that attempts to purchase antique and modern jewelry. This is the company’s second QR code campaign. The QR code connects to a video, allowing you to see why the brand is so unique. The campaign will have the QR codes in print advertisements in Hearst’s Town & Country and Harper’s Bazaar magazines. A four-page spread in this month’s issues includes two pages with company locations and a customer service phone number. The other two pages contain a QR code that when scanned leads to a blog post and video about the company’s new campaign. The video takes consumers behind the scenes of the advertising creations. Using video has become increasingly popular among luxury brands. A QR code that provides more than a website link can be a great tool. It can give consumers a glimpse into a brand’s creative side beyond static advertisements. Read the full article here.

WHAT’S IN YOUR LITTLE BLACK BAG? Retailers are looking for ways to make the online shopping experience more compelling and interactive: not only with people, but brands as well.

Little Black Bag is a new online shopping experience based on the Japanese concept of the “lucky bag sale.” Shoppers get to choose a mystery “Little Black Bag” of top-brand fashion and beauty products. After seeing what is in their bags, customers have a week to search the site’s marketplace to trade their items and build an ideal set. When the time limit and swapping is complete, the bag is sent to the customer. The company says their experience puts fun and excitement back into shopping and allows consumers to discover and experience new products. This new idea could be risky, but it can make the online shopping experience seem more appealing. Little Black Bag is capitalizing on the element of surprise, and the trading capability is an added plus. If Little Black Bag advertises well and continues to use different brands in their bags, this could be one of the most creative ways to engage online shoppers. Read the full article here.

Pins make it easy for users to see what they like and share it with others. Most major retailers have already caught on to the Pinterest fad and have designed their pin boards as part of their marketing strategies. The top retail Pinterest profiles include Modcloth, West Elm, Nordstrom and HGTV. The innovative social media site’s traffic has increased 429 percent in the last quarter. An infographic from

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Page 3: Retail trend tracker april 2012

MOBILE CUSTOMER SERVICE DONE RIGHT…AND WRONG The growing number of smartphones in America has in turn created a growing number of mobile online shoppers. Customer service is always No. 1 on any retailer’s priority list, and some retailers have taken mobile customer service to a new level. Others, however, are not taking advantage of the returns a proper mobile site could bring to their companies. There are many different ways to replicate great customer service on mobile sites. Macy’s has used a text alert program to inform users about one-day online sales. Sephora’s tactics are another excellent example of giving consumers the best possible mobile experience. Sephora’s user-based reviews and product recommendations add opportunities to increase and improve customer service. Some companies’ mobile sites, like Target’s, do not include related products or have deals directly on product pages. Mistakes like these are small but can certainly cause customer inconvenience. Discovering which mobile resources would increase customer service for your brand is a must. The importance of user-friendly mobile sites with excellent customer service will only increase as time goes on.

Read the full article here.

TIFFANY & CO. SHOWS TRUE LOVE Tiffany & Co. is trying to bring the aspect of true love to the company’s website, not just the merchandise. If someone is emotionally involved with an advertisement or product, they are more likely to purchase. So the newest installment of Tiffany’s campaign “What Makes Love True” allows photographers and consumers to upload candid photos of what true love is to them.

This campaign has included videos, stories, customer content and songs. Tiffany has created an environment and lifestyle that also promotes the brand. What makes love true? The answer is different for everyone, and the unique media approaches Tiffany has formed allow each consumer to take away a personal response. The rising use of apps and media such as Instagram and Pandora is certain to boost knowledge and consumer interest in this campaign. Read the full article here.

The website www.whatmakeslovetrue.com has four separate sections, from stories to photos. In mid-January, consumers were able to start submitting their photos for use on the site, some of which will be chosen for the Instagram gallery.

LET’S GET SOME SHOES

DSW’s mobile site. Multiple categories and a search function provide a broad shopping experience for customers. QR codes allow advertisers to engage their audiences further by bringing print campaigns to life in the mobile channel. The code can also help build a customer/brand relationship. Using QR codes provides instant access to mobile sites that hopefully the retailer has spent a lot of time enhancing. QR codes can provide any static advertisement with the burst of life it needs as well as a simple link to allow purchases. This marketing effort is one to be utilized, especially in the retail industry. Read the full article here. Photo by Marcus Q on Flickr.

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DSW, a footwear and accessories retailer, recently realized the potential of QR codes and is placing them on static magazine ads to engage customers. The springtime advertisement reads, “Where’d You Get Those Shoes?” To the lower left of a model wearing brightly colored shoes is a QR code that takes readers to the upcoming season’s fashions on

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BOOMERS SHOP ONLINE TO SAVE MONEY Every generation loves a bargain. Baby Boomers especially do. A recent shopping behavior study shows 52 percent of shoppers 50-54 are purchasing health and beauty products online; this is more than any other age group. Furthermore, 29 percent of this age group has also bought food and beverage products online. These products are sold as a great price online, which shows that Boomers, more so than any other age group, take advantage of getting value for their dollar. According to a 2011 survey, 73 percent of shoppers were buying more online, although their overall shopping habits hadn’t changed. Concerns over purchasing groceries online, such as expiration dates or shipping costs, are still relevant to the growing customers of online shopping. If the Boomers help this market continue to grow, however, companies will make improvements to make shopping online for grocery and packaged goods even easier and more convenient, and will further the horizons of online shopping for everyone. Read the full article here.

NEIMAN MARCUS USES CUSTOMER PURCHASE HISTORY TO ASSIST STAFF

Neiman Marcus is advancing the in-store shopping experience using mobile phones to allow the staff to have more knowledge about the customer instantly. The store is currently testing its NM Service app in select stores.

Neiman Marcus is attempting to give employees information about individual customers to build an even stronger relationship with that consumer. Understanding the consumer allows the associate to not only try and help, but also make suggestions that are suited for that individual. Loyal customers should find this new technology helpful, and it will forge an even stronger consumer/brand relationship. Read full article here. Photo by Jimmy Smith via Flickr.

Participating customers will have information on new products, events and an in-store staff listing provided to them via NM Service. In turn, the in-store sales assistants have their own version of the app, which alerts them when a participating customer is in-store. Sales staff will have access to the customer’s purchase history, in-store and online. There will also be an image from the consumer’s Facebook page so sales assistants can easily identify customers, and a messaging service so the customer and associates can communicate.

J.C. PENNEY TAKES US BACK TO THE GOOD OL’ DAYS J.C. Penney has a rich, 110-year history in the retail industry, and CEO Ron Johnson is giving this department store’s marketing and sales system a transformation using a simple pricing strategy. There will be three prices: “Everyday,” “Month-Long Value” (seasonal/theme sales) and “Best Prices” (clearance). All prices will end in “0” instead of the usual “99” or “50” and there will be just one price, instead of “marked down from.” Along with this simple change, every J.C. Penney store will also have a Town Square with complimentary services and free food. Will this new strategy bring back customers or even bring in a new crowd? If J.C. Penney puts great products and excellent service behind its pricing strategy and new marketing campaign, it most definitely will. However, backing up what the company has advertised will be a necessity for the success of this transformation.

Read the full article here. Photo by Andy Callahan via Flickr.

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Page 5: Retail trend tracker april 2012

WALGREENS TAPS MOBILE CHECK-INS FOR REWARDS Walgreens is upgrading its mobile strategy with several different ways for customers to engage and receive rewards. The company is using a variety of social media and app approaches. Walgreens’ goal for customer check-ins on mobile devices is to alert customers of deals and events. Walgreens is working with LocalResponse, a location-based service, on mobile and social media strategy. LocalResponse’s technology scours check-in services, recognizes which location a user is visiting and can send out a store-specific offer to that customer via Twitter. Tweeting a check-in allows LocalResponse to connect with the customer and send a special offer from the Walgreens Twitter account within a minute. Mobile check-ins have grown increasingly popular, but it is rare to find them connected to a deal or reward for the customer. Privacy may be an issue with some users, but a site-based reward should ease their nerves about sending their location into cyberspace. Some people will do anything for a deal, and Walgreens makes it easy to get a discount. This reward-based check-in campaign is sure to bring in a lot of traffic; other retailers should look into this as a potential strategy for their brands. Mobile check-ins could be the reward cards of the future. Read the full article here.

HELP INSPIRE OSCAR DE LA RENTA Oscar de la Renta needs you for inspiration. His label has recently launched an interactive website called “The Board” where customers and fans can upload images to inspire Oscar de la Renta and his team as they work on their upcoming Resort collection.

with the brand. This creative idea has taken off with customers, and the virtual corkboard is full of various photographs. This unique website will allow the design team to better understand the audience they are designing clothes for. Read the full article here. Photo by Lemon Tank via Flickr.

THE MACY’S MANTRA: CUSTOMER AT THE CENTER Macy’s has 70 percent of American households shopping within the company’s stores at least once a year. To make that huge customer base more loyal, the company is putting the customer at the center of every business decision. In a panel discussion at Retail’s BIG Show, Macy’s CMO, Peter Sachse, spoke on developing and retaining loyal shoppers. The message from Macy’s was to focus on the customers you have. Making current consumers happy will bring a lot more to your company than trying to get all new customers. Treating your customers well and your best customers better are the basics of strengthening customer loyalty. This sounds easy enough, but it is necessary to get the entire organization behind the effort. Customer data speaks loudly about what consumers want. Listening and adapting to customer feedback has helped Macy’s make changes through their entire organization. Following through with the plan for excellent customer service and experience in all stores will depend on whether or not the entire organization steps up to the plate.

Read full article here. Photo by Daniel Cruz via Flickr.

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Customers upload images of fabrics, colors, people, places anything they like – and add short captions about why the images inspire them. The revolving board is the first thing you see on the site. Scrolling over an image allows you to share it using Facebook, Twitter or Pinterest. An informational video on the page lets Oscar de la Renta tell more about the creative process behind The Board. The idea of The Board is for fans to share their inspirations with Oscar de la Renta himself. User-generated content is extremely powerful and drives users to want to interact

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