10 Ways to Increase Sales With Your New Next Generation POS ...

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  • Introduction1

    E-BOOK

    10 Ways to Increase Sales With Your New Next Generation POS Technology

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  • 10 Ways to Increase Sales With Your New Next Generation POS Technology

    1 Introduction 3

    2 Enterprise-wide inventory visibility 4

    3 Mobile POS 5

    4 Deliveryflexibility 6

    5 Customeridentification:Beacons 7

    6 Productidentification:RFID 8

    7 Clienteling 9

    8 Loyalty Management 10

    9 Flexiblediscountsandpromotionsengine 1110 Mobile Payments 1211 Visibility 1312 Conclusions 1413 About us 15

  • 10 Ways to Increase Sales With Your New Next Generation POS Technology

    1 Introduction

    The retail industry is undergoing a profound transformation. Brands are being controlled by empowered consumers with growing expectations in terms of speed, convenience and personalization. Speed in the sense of getting their products faster, convenience in how they are allowed to buy, pay and receive these products and personalization which allows them to feel as unique as possible thanks to in-depth knowledge and understanding of their needs.

    Leading worldwide retailers are investing to systematically understand and serve these

    increasingly powerful consumers and are also investing in customer engagement. In this new consumer omnichannel age, innovation is no longer a nice to have in any sales channel, but a must-have. This innovation is especially true in physical stores, where sales in coming years will count for over 95% of total sales worldwide. POS solutions are also evolving and they are no longer a simple cashier but the real brain of the store, responsible for delivering the promise of a seamless omnichannel shopping experience. For brick-and-mortar retailers it is critical then to adopt new generation POS solutions that are aligned with customer expectations. Here we

    present 10 ways to increase sales with your next new generation POS.

    This e-book will assist retail business and IT managers to understand which are some of the key elements that can help increase sales with the next new POS generation.

  • 10 Ways to Increase Sales With Your New Next Generation POS Technology

    2 Enterprise-wide inventory visibility

    Inventory visibility has become a must for retailers aiming to succeed in todays omnichannel reality. In the words of Terry Lundgren [1], CEO of Macys Inc, omnichannel is very much about inventory optimization through technology, and inventory visibility across all stores and channels is the key enabler. For Macys true inventory visibility provides multiple benefits for shoppers and retailers:

    It allows store associates to rapidly check system-wide availability, locate an item and make it available for delivery or next day pickup by the shopper.

    It can reduce markdown costs and inventory write-offs by enabling some mislocated items to be sold, either online or in alternative stores.

    It can enable store inventory items to be available to fulfill online orders on Macys.com, even when fulfillment center inventories are depleted.

    At the stores it means giving associates a POS solution that provides detailed inventory information across the enterprise that can be used to simply inform the customer or to fulfill an order generated in another store or

    through the online channel. This capacity enables the adoption of store fulfillment strategies that help retailers to increase sales, increase inventory turnover and minimize markdowns.

    According to eBay Enterprise, with a potential of 20% or more incremental sales, a $50 million online retailer is leaving more than $27,000 per day on the table until ship-from-store is implemented.

    Cross-store stock visibility in Openbravo Web POS

  • 10 Ways to Increase Sales With Your New Next Generation POS Technology

    3 Mobile POS

    Without a doubt, mobility has become one of the driving forces leading the omnichannel transformation today. For brick-and-mortar retailers, the use of mobile technologies provides the opportunity to deliver new in-store shopping experiences for both associates and customers. Mobile POS is a clear example of how mobility is helping retailers to improve the in-store shopping experience. Empowered store associates are armed with modern mobile devices that provide detailed information about products and customers and have the capacity to process the whole transaction until payment. This enables them to provide a truly customized sale and gives them the opportunity to directly influence the customer where buying decisions are made thus increasing the chances of closing a sale.

    The adoption of a mobile POS solution also has a positive impact over the brand image, which can help to increase the number of people

    According to Boston Retail Partners, approximately 300% more retailers plan to deploy mobile POS technology in the next two years [2].

    Openbravo Web POS [3] is a responsive web and mobile POS solution

    walking into the store and ultimately help to increase customer sales and loyalty.

    Moreover, a mobile POS solution can also help to reduce queues during busy periods, so sales staff can efficiently set up mobile POS or kiosks to help to accelerate sales payments, the returns process and thus reduce the potential loss of sales during crucial periods of the year, like Christmas, in the winter or summer sales, or other holidays.

    Software vendors providing a mobile POS solution follow two different approaches:

    an OS dependent application that must be installed on each mobile device, usually iOS or Android, or

    a full web and mobile solution that only requires a browser to be run on each device and provides

    offline capabilities to allow associates to run the solution even in case of connectivity loss. Typically these solutions are also built using the responsive design concept, so they can be run seamlessly from mobile devices of different sizes

    Migration to mobile is not slowing down, but increasing as several industry reports confirm. Although the interest in mobile POS solutions is rapidly growing amongst different retail subsectors, hardgoods and softgoods specialty retailers today are showing greater interest and are leading the adoption of these solutions.

  • 10 Ways to Increase Sales With Your New Next Generation POS Technology

    4 Deliveryflexibility

    Consumers demand more flexibility when shopping. And this clearly applies to the way products are delivered. Different delivery options can be either asked for by consumers for convenience or directly proposed by retailers as a way to improve service or as a tool for saving the sale.

    As an example, when a product is out of stock in the store, the retailer allows the customer to pick up the product in the same store during the next few days, pick up the product in another store or sends it to the

    customers home.

    Travelling customers may be interested in sending their purchases home, either immediately or by scheduled delivery. Or goods may be difficult to manoeuvre due to big dimensions. Another option is store pickup for online purchases.

    All these options require the point of sale to be able to manage these special orders but also represent a supply chain management challenge for the retailer.

    Consumers demand more flexibility when shopping and that includes offering different options such as choosing when and how they receive their items as some studies reveals [4].

  • 10 Ways to Increase Sales With Your New Next Generation POS Technology

    5 Customeridentification:Beacons

    According to Business Insider4 beacons are considered one of the most important technologies in retail since the mobile card reader, and will see triple-digit growth rates over the next few years. Location-based app notifications powered by beacons increase user engagement in apps, and drive more in-store sales. For this reason, retailers are increasingly looking to beacons to enhance the in-store shopping experience while simultaneously bridging their physical and online experiences.

    When placed in a store, beacons use Bluetooth technology (BLE or Bluetooth Low Energy) to detect nearby smartphones and send them media such as ads, coupons or supplementary product information. They can also be used as point-of-sale systems and to collect information on those consumers.

    According to the same Business Insider report, the beacon installed base will consist of 4.5 million active beacons overall by the end of 2018, with 3.5 million of these in use by retailers.

    For example in the US, half of the top 100 retailers

    already started to test beacons in 2014, and it is expected that they will have this new technology installed in a third of their store locations by the end of 2015.

    But, what does this mean for retailers? The use of beacons provides retailers with benefits in three main areas:

    Analytics: The BLE technology gives retailers greater insight into customer purchases. For example, retailers can know how much time a customer spends in each part of the store, and how they navigate the store. This is highly valuable information that can be used to optimize the in-store experience and increase revenues.

    Loyalty: The use of beacons allows retailers to create powerful 1:1 offers for customers, on the spot (literally). This sort of customized targeting could, for example, use the customers purchase history and favorite items to come up with product-specific offers when they approach that item on the shelf or a concrete area in the store. Solution vendors like shopkick and their solution ShopBeacon [5] leverage

    beacon technology to provide an improved shopping experience.

    CustomerService: retailers can also improve their customer service as well. For example, imagine that as soon as a customer walks into the store, the store sales staff know their name, what product categories they shop most, the items they browsed last time but didnt purchase and what their spending habits are. Using this information, retail stores can create a better shopping experience and offer superior customer service.

    According to Boston Retail Partners, approximately 200%more retailers plan to use geolocation within three years

    Shopkick's shopBeacon (iBeacon/BLE) Trial Live at Macy's in SF

    https://www.youtube.com/watch?v=c3h0eKGfUfI&t=10

  • 10 Ways to Increase Sales With Your New Next Generation POS Technology

    6 Productidentification:RFID

    RFID lets retailers identify individual items, cases or pallets in the same way bar codes do, but wirelessly, with richer data and without the need for a line of sight. Its been more than a decade since Walmart shook the retail world with a bold plan to plaster its supply chain with RFID. But the reality is that RFID adoption has been low, mostly due to the high cost of the tags. But the situation has changed and now retailers are starting to consider it more seriously, especially now when inventory accuracy and control have become even more critical in todays omnichannel world.

    The tags, which contain a simple chip and antenna, are embedded into product pricing labels, such as those that hang from apparel.

    They are powered by the radio signal emitted from readers, which can be hand-held or fixed in place. This allows the store associate to check the inventory of an entire rack of hanging dress shirts, for example, by simply walking around the display with a handheld reader. The software then displays a list of sizes or styles that need to be replenished, and the associate can narrow in on the needed items in the stockroom by turning the reader to a Geiger counter setting.

    But RFID is now also becoming a way to improve the store shopping experience. Adding RFID tags to the products in the store and using smart mirrors that are able to read these tags, allows retailers to present product information to the consumer seamlessly.

    The same concept can be applied to fitting rooms. At the point of sale the use of RFID tags can also speed up the check out process replacing the traditional barcodes, which also helps to improve the shopping experience.

    Leading retailers like Macys, Saks and Lord & Taylor are all jumping onto the RFID bandwagon. RFID enables precise visibility into exactly what inventory is available and where, reducing the risk of out-of-stocks. In pilots, Macys saw a 50% higher sales growth rate for products tagged with RFID.

    In pilots, Macys saw a 50% higher sales growth rate for products tagged with RFID.

  • 10 Ways to Increase Sales With Your New Next Generation POS Technology

    7 Clienteling

    Clienteling is the set of business processes retailers use to increase customer lifetime value through the delivery of a personalized shopping experience. Clienteling delivers rich data to an associates fingertips, allowing him or her to provide a personalized experience that will improve customer satisfaction and increase revenue. This is not really a new capability but something that has gained more and more importance in todays omnichannel reality.

    Clienteling provides a powerful single view of the customer, with information like customer profile, summary of activity across all channels, purchasing history, wishlists This information can be linked with available detailed data about products and promotions (like product characteristics, product catalog browse, inventory visibility) for associates to provide a real assisted sale, for example, by recommending complementary products or informing about applicable promotions and discounts that the customer is eligible for based on their current

    basket. As a result this helps to increase cross-selling and up-selling possibilities and provides powerful save-the-sale tools that will all help to increase sales.

    Clientelling helps to increase cross-selling and up-selling opportunities and provides powerful save-the-sale tools that will help to increase sales.

  • 10 Ways to Increase Sales With Your New Next Generation POS Technology

    8 Loyalty Management

    Loyalty programs have a simple objective: engage and reward customers to enhance brand experience and increase sales, creating lasting and profitable relationships with customers. Ultimately, to get brand advocates for life. In todays omnichannel world a true omnichannel loyalty program will engage the customer at the right time, at the right place, through the right channel, with the right message.

    At the POS this means several things today, ranging from the availability of clienteling features mentioned before to the use of more traditional strategies like points management,

    coupons or special targeted promotions, that are not really new things but are clearly influenced by consumer access through multiple channels.

    Traditional loyalty programs consider rules to transform customer purchases into rewards. That is earning points for each sale, rewarding specific products with extra points. Afterwards, customers can use the earned points to pay at the next sale or to be translated into direct discounts. Real omnichannel lo...