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DOCUMENT DESCRIPTION
The e-commerce market continues to grow exponentially. More people are opting for the convenience of online shopping. The future of e-commerce is Omni-channel Retailing. A single channel is no longer enough. The challenge is to find a seamless solution for both the customer experience and internal processes.
Omni-channel Retailing means being available at any time and anywhere, making it convenient for the customer. In this changing landscape, 3 critical focus areas are now challenging our company's performance:
1. Omni-channel Marketing
2. Mobile Payment
3. Omni-channel Supply Chain
This presentation discusses these 3 focus areas in detail, including key trends, next steps, and relevant benchmarks.
Succeeding online relies on the ability to design and implement a thorough strategy on how to market through the channels that customers desire--both now and in the future. Our company needs to invest significant time in planning before executing. It is critical to do it right.
This deck also includes slide templates for you to use in your own business presentations.
Insurers' journeys to build a mastery in the IoT usage
Omni-channel Retail Strategy
1. Business Framework
Omni-channel Retail Strategy
The future of e-commerce is Omni-
channel Retailing, which means being
available at any time and anywhere,
making it convenient for the customer.
This framework discusses the 3 critical
focus areas of Omni-channel Retailing:
Omni-channel Marketing, Mobile Payment,
and Omni-channel Supply Chain.
Find our other business frameworks at http://flevy.com/author/LearnPPT
Omni-channel
Marketing
Mobile Payment Omni-channel
Supply Chain
Driven by pressure
to increase marketing
effectiveness
This is a key
revenue driver
Remember:
the customer rules
$
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Presentation Overview
The e-commerce market continues to grow exponentially. More people are opting for the
convenience of online shopping.
The future of e-commerce is Omni-channel Retailing. A single channel is no longer enough. The
challenge is to find a seamless solution for both the customer experience and internal processes.
Omni-channel Retailing means being available at any time and anywhere, making it convenient
for the customer.
In this changing landscape, 3 critical focus areas are now challenging our company’s
performance.
This presentation discusses these 3 focus areas in detail, including key trends, next steps, and
relevant benchmarks.
Succeeding online relies on the ability to design and implement a thorough strategy on how to
market through the channels that customers desire—both now and in the future. Our company
needs to invest significant time in planning before executing. It is critical to do it right.
This deck also includes slide templates for you to use in your own business presentations.
1 Omni-channel Marketing
Companies will have difficulty moving forward if separated, disintegrated channels
are established.
Omni-channel Retailing has raised the bar in terms of customer
expectations and marketing excellence
2 Mobile Payment 3 Omni-channel Supply Chain
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Increasing customer’s conversion rate requires strategic management
of critical factors influencing e-commerce
Omni-channel Retail – Critical Focus Areas
If management effectively and efficiently, the 3 critical factors can be market generators
and facilitators.
Companies are now facing challenges within 3 key areas that significantly impact our performance. In e-
commerce, these 3 main areas must be given the highest attention to maximize results given our limited
resources.
Omni-channel
Marketing
Mobile Payment Omni-channel
Supply Chain
Driven by pressure
to increase marketing
effectiveness
This is a key
revenue driver
Remember:
the customer rules
The three
critical focus areas
have a large impact
on the customer
conversion rate. They
all make an impact
on the customer’s
purchase
decisions.
$
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Omni-channel Marketing is changing the way our company
does business
Omni-channel Marketing – Overview
While the urge to try something new is encouraging, business must know which channel
is most effective (i.e. best ROI) in reaching out the changing market.
Omni-channel Marketing delivers a more interactive and personalized brand experience.
Omni-channel Marketing goes beyond siloed
behavior. It reaches customers through all
possible touch points and channels.
It is important for our company to decide on a
Marketing Strategy specific to our business and
offerings. This is to make sure that marketing goes
through the right channels for a specific customer
group.
Today, customers are spending more time on
social media networks and the Internet.
Traditional marketing, such as print
and television commercials, is
decreasing in favor of online
marketing.
There is now the urge to try
something new and to diversify the
marketing spend to multiple
channels.
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Learning to strategically use various online marketing channels can take
our company forward in global market competitiveness
Omni-channel Marketing – Online Marketing
Reaching global marketing efficiency depends on our company’s creative utilization of
various online marketing channels.
Our company must maximize use of various channels in online marketing to expand market reach.
These represent a cost effective way
to reach new and existing customers
with personalized content.
SEA is a driving force for e-
commerce organizations,
this is purchased online
marketing such as
keywords, Google shop-
ping and pay-per-click.
Search
Engine
Optimization
(SEO)
Targeted
e-mail
campaigns
Search
Engine
Advertising
(SEA)
Social
Media
Marketing
SEO is considered organic
marketing and consists of
optimizing website content
to achieve a higher ranking
in search engine results by
finding the right keywords.
A good example to
look at is Facebook.
Facebook is the
primary media,
because it is easy
to target specific
customer groups
through their
advertising platform.
Gaining global market
leadership means maximizing
key opportunities that drive
sales performance.
Be where your customers are.
Active management of multiple
channels is driving sales while
effective paid traffic over time will
drive free organic traffic.
View marketing as an investment
to become top-of-mind and
increase brand awareness.
Invest in marketing automation
such as systems to follow the
customers’ purchasing behavior.This document is a partial preview. Full document download can be found on Flevy:
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Contents
Overview
Omni-channel Marketing
Mobile Payment
Omni-channel Supply Chain
Templates
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Mobile payment is the 21st century payment solution
Mobile Payment – Key Trends (Details)
New technologies and payment solutions must keep up with the rapid pace of the e-
commerce industry to be sustainable for the long-term.
Key trends in mobile payments are fast developing with the advent of Omni-channel Marketing.
Managing parts of
the payments
processing in-house
2
Cost-effective
payment solutions3
Cloud-enabled
payments4
1
Use of e-payments
to facilitate quick
and easy payments
Secured payment
solutions5
The largest drivers behind mobile payments are the increasing rate of adoption of mobile devices as
well as customers’ desire for convenience.
In-house solutions can be used by our company to offer invoice solution if we decide to take on
credit risk. By managing customer invoicing in-house, our company can keep the entire revenue
from the sale instead of giving up a percentage of each transaction to a third party payment provider.
Cost-effective alternatives are made available that allows our consumers to make faster and easier
payments.
Business systems are moving into the cloud. This will offer great convenience to our customers.
Security is always the backbone of all payment solutions. Our customers will continue to engage our
business when they are assured of secure payment solutions.
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Contents
Overview
Omni-channel Marketing
Mobile Payment
Omni-channel Supply Chain
Templates
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Our company must adapt the Delivery and Return Strategy that can
optimize the company’s operational efficiency
Omni-channel Supply Chain – Delivery & Return Strategies (Details)
Regardless what strategy our company takes, what is important is we get to drive excellent
customer satisfaction.
Each of the Delivery and Return Strategies are distinctly different in terms of application and logistical
requirement. Our company must know which strategy can be operationally effective and optimal to our
business model.
Dropshipping is when a customer order triggers a
shipment from a third party provider (3PL). It can be
an effective way of reducing inventory holding costs
and warehouse space.
Less inventory on hand means that capital is freed up
for other investments.
Click-and-collect is a challenging strategy to
implement. The customer places an order with a
retailer who delivers, or uses a supplier to deliver, the
product to the retailer’s physical location of the
customer’s choice.
Customers are given flexibility and control over their
purchase as they are able to choose a convenient
location from which to pick up their item.
The main challenge is to make the process a seamless
solution, both for the retailer and the customer.
Reserve-and-collect is similar to click-and-collect. This
allows for checkout to occur after the customer views the
items in person.
With this strategy, our company is required to have an
organized inventory managed by a strong order
management system.
Delivery lockers are placed in convenient locations and
are only opened using a code given to the customer in
connection with a purchase online.
This is convenient for our customers as they are able to
return items using the locker.
The downside is these are not very dynamic and may be
a challenge during periods of high sales.
Same day delivery is a fulfillment strategy. This means
that the item ordered is in stock in our warehouse located
close to a major city and is delivered the same day to our
customer by a delivery firm.
This may be a challenge for larger cities and only
applicable to some industries.
Drop-
shipping
1
Click-
and-collect
2
Reserve-
and-collect
3
Delivery
lockers
4
Same day
delivery
5
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Order Management System optimizes operational efficiency
of business
Omni-channel Supply Chain – Order Management System (OMS) Benefits
An omni-channel OMS becomes more critical as customers order through multiple
channels and through multiple locations.
There are numerous benefits our company can gain from an omni-channel OMS.
Here are the 4 primary areas of benefit.
Distributed Order
Management
1
The OMS provides
functionality to assist with
order routing, returns
management, order
splitting, tax calculations,
payment processing,
partial shipments, and
order exception manage-
ment, which are all critical
components for e-tailers.
Single View of
Inventory
2
Inventory visibility is the
most critical function
delivery by the OMS. The
OMS provides real-time
information about the
available inventory
across our organization,
regardless of which
channels are accessed.
Store Fulfillment
3
Store fulfillment is
important for e-tailers that
also operate with physical
stores. An OMS provides
functionality surrounding
shipping from stores, store
pickup, and click-and-
collect.
Customer Service
4
The OMS is an effective
way to increase customer
service. It provides
information about order
details, order capture, and
refunds/credits.
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Closely monitoring our Supply Chain based on established benchmarks
enables our company to take the appropriate action and strategies
Omni-channel Supply Chain – Benchmarks
The lower the percentage, the most effective is our Supply Chain in managing level of
returns or fulfillment cost per order.
In today’s omni-channel marketplace, our organization has a tremendous opportunity to take action and
become the leader of tomorrow.
Source: Omni-channel Retail, Deloitte, 2015
Having an integrated,
customer-oriented Supply
Chain that meets the
Omni-channel Customers’
expectations can be
achieved.
Our company just needs to
assess performance based
on established Supply
Chain benchmarks.
The key performance
indicators (KPIs) are
quantifiable measures
used to evaluate the
success of our
organization in meeting
specific objectives.
E-tailer Key Performance Indicator (KPI) Entry level Average Leading
Supply chain and fulfillment
Fulfillment cost per order (SEK)
Customer service cost per order (SEK)
Labor cost
Warehouse cost
Turnover per m2 warehouse
Trade inventory days
Shipment cost
Return cost as percentage of revenues
Returns as percentage of items
83
46
18%
3%
8,000
280
20%
48%
50%
45
32
12%
0.8%
35,400
50
7%
10%
11%
32
18
9%
0.4%
52,300
0
5%
2%
2%
Operational
Gross margin
Revenue growth
Repeat customer rate
Percentage of sales on repeat customers
Average order value (AOV) (SEK)
AOV repeat customers (SEK)
Operating margin
15%
-5%
17%
24%
150
210
-3%
30%
15%
27%
41%
750
1,300
3%
45%
32%
52%
59%
9,300
9,500
6%
BENCHMARKS
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Insert headline
Omni-channel Retail Focus Areas – TEMPLATE
Insert bumper.
Driven by pressure
to increase marketing
effectiveness
This is a key revenue
driver
Remember: the
customer rules
2
Mobile
Payment
$
1
Omni-channel
Marketing
3
Omni-channel
Supply Chain
Source: Omni-channel Retail, Deloitte, 2015
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Insert headline
Mobile Payment Trends – TEMPLATE
Insert bumper.
2
Managing parts of the payments processing
in-house
3 Cost-effective payment solutions
4 Cloud-enabled payments
5 Secured payment solutions
1
Use of e-payments to facilitate quick and
easy payments
Source: Omni-channel Retail, Deloitte, 2015
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Insert headline
5 Delivery & Return Strategies – TEMPLATE
Insert bumper.
Drop-
shipping
Same
day
delivery
Click-
and-collect
Reserve-
and-collect
Delivery
lockers
Source: Omni-channel Retail, Deloitte, 2015
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This presentation was created by LearnPPT. We are a team of
management consultants trained by top tier global consulting firms
with a collective experience of several decades. Our documents
consist of business templates, business frameworks &
methodologies, and PowerPoint templates.
View our available presentations on Flevy here:
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