What is Omni Channel? Why Omni Channel? Omni Channel practice map

1. 1|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Omni Channel in Retail
Caroline M. Kim
March 2014

2. 2|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
What is Omni Channel?

3. 3|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Offline, Catalog, etc.
Single Channel
Multi-
Channel
Cross-
channel
omni-
channel
Online & Offline
Online, Offline,
Mobile, etc
Online, Offline,
Mobile, TV, Tablet
etc.
Consumers are
offered one channel
Consumers use a
combination of
channels to complete
a transaction.
SEQUENTIAL
Consumers use at
least two channels
simultaneously to
complete a
transaction.
PARALLEL
The Evolution of Omni Channel
Consumers’ expectations in Omni-channel commerce world are higher than ever
Consumers can select
one of multiple
channels
Different
Channels
Consumers’
behaviors
Available
platforms
• The technology has turned the single line channel to multichannel where consumers have
multiple platforms to do the research and the purchase.

4. 4|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
The Evolution of Omni Channel
Omni channel is a customer centric approach, address customers’ needs across all channels.

5. 5|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Why Omni Channel?

6. 6|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Why Omni Channel?
What’s happening in the industry?

7. 7|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Amazon is Cutting Down the Benefit of the Retailers
Leveraging the Benefit of the Store is the Solution for the Retailers
Online
Stores
19901900 1994 2005 2010
Multi Channel
Online Store
Omni Channel
Amazon Prime
Bookstore
Free 2 day
shipping
Kindle/MP3
Storage
Grocery service
E book
Amazon Instant Video
Automatic
Shipment
Grocery
Shipment
30minutes
Shipment
Prime Air
Subscribe & Save program
2012 2013
Sunday
2020
Website
Catalog
Same-day
Maturity
Time
Delivery
Brick and Mortar Retailers
Amazon
2014
Prime Pantry

8. 8|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Why Omni Channel?
What’s happening with consumers?

9. 9|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Sources: Deloitte Research 1) 2007 Forrester “Web’s Impact on In Store Sales” , 2) 2011 March “Cross-Channel Commerce: A Consumer Research Study”,
Oracle White Paper, 3) 2011 April “Mobile Trends: Consumer Views of Mobile Shopping and Mobile Service Providers”, Oracle White Paper,
4) 2011 July “Why Tablet Commerce May Soon Trump Mobile Commerce “, Forrester, 5) Google Insights
Smartphone users are interested in using their mobile phone to pay for
an item in-store, rather than using a cashier
41%
Omni Channel consumers are not loyal; do not purchase from the same
retailer
43%
Shoppers use two or more channels to research and purchase an item78%
Tablet owners use their tablets for shopping purposes60%
Smartphone shoppers use their devices to help shop while in a store84%
Consumers’ Purchase Behaviors Have Changed
Consumers are no longer loyal to any single platform

10. 10|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
74%
Research on
68%
Research on
67%
Research on
60%
Research in
52% 37%21%16%
37%35%28% 21%
41% 33%32% 15%
57%29% 19% 18%
Purchase on
Consumers Follow Different Purchase Paths
Consumers use at lease two of platforms to do research and purchase
• Customer decision making process
Source: Retail Shopping Research & Purchase Behavior of US Mobile Wi-Fi Users, Jiwire, August, 2013

11. 11|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Consumers Cycle Through Multiple Channels
Consumers expect to research and buy the product at any platform anytime they prefer
Mobile
Web
Store
Call
center
- Applications / Mobile Web
- Price/ Products availability/Information
- Store information/ Location aware
- Customer service/ Call center number
- Products details/ comparison/ reviews
- Inventory/ Store information
- Special offers/ Promotion Events
- Customer service/ FAQ/ Payment
- Show rooming/ Products touch & try
- Associates service
- POS/ Pick up
- Store Events/ Workshops
- Products Information
- Inventory/ Store information
- Purchase/ Shipping/ Return problems
- Customer service center
Research
Purchase
Receive
1
2
3
4
5
6
E.g. Consumer Purchase Path A:
Consumer A wanted to buy a TV. He searched online [1] to check the model he wanted to buy and the stores available to purchase. He decided to go to
BestBuy Store [2] to check out the real product. He liked the product and he checked and compared the price online on Mobile [3] when he was in the
store. After compared the price, he found price in the Home depot was cheaper. He left the BestBuy store and called Call center[4] to check a few service
questions when he back home. He decided to purchase on Home depot Website [5]. He wanted to get it right away, so he chose pick in the store service,
and picked it up one hour later in the Home depot store [6]
Path A

12. 12|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Consumers Continuously Re-evaluating the Brand
Brands should meet the different expectations through the journey
ŸInspire me and
lead me to a new
desire
ŸPersuade me to
make a decision
ŸProvide me all
information I need
based on my
preference
ŸProvide the
information
whenever I need
ŸSell me the product
I need
ŸEnable me to buy
the product in the
way I want
ŸEnable me to make
a payment/shipping
/pick-up/return service
in my preferred
channel conveniently
ŸRecognize me,
my subscription
and interaction
history
ŸServe me with the
problems I met with
the product
ŸEnable me to
share my experience
ŸReward me for my
engagement
ŸValue me for the
relationship I have
with the brand
ŸOffer me the
personalized
promotions of the
product which fits
my needs
Consumers
Evaluations
ŸIS IT WORTH IT TO
TRY?
ŸIS IT WORTH IT TO
BUY?
ŸCAN I BUY THE
WAY I WANT TO
BUY?
ŸDOES IT MEET /
EXCEED MY
EXPECTATION
.SHOULD I REPURCHASE
THE SAME/ SWITCH
TO OTHER
BRANDS?
Customer
Expectations
Leads
(Needs)
Loyalty Pool
Persuasion
(Research)
Sell
(Buy)
Service
(Experience)
Retention
(Needs)
Brand
(Consumer)
Consumer purchase life cycle

13. 13|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Omni Channel Practice Map
What do brands need to do?

14. 14|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
De-Silo Your Channels
Provide the Integrated Brand Message across all Channels
1 2
Regular
Users
Loyal
Users
Research
Experience
Buy
Needs
- A single unified experience across all the channels is the way to meet the consumer’s expectation.
- Mobile, Website, Retailer Stores and Call center should deliver integrated brand message to consumers to enable them to interact in
a consistent way with the brand across all the channels.

15. 15|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Products
Information
Store
Information
Instore
shipping
Purchase
Status
Applications
Products Reviews
Inventory
Products Availability
Google/Yahoo/ Bing
Search Engine Optimization (SEO)
Search Engine Marketing (SEM )
Pay per Click(PPC)/ Cost per Click(CPC)
Facebook/ TwitterSocial/ Content Media
Products Price/ Comparison
Store Information
Products Purchase
Special Offers
Customer Service/ FAQ
ŸIS IT WORTH TO TRY/RETENTION?
ŸISITWORTHITTOBUY?
Lead me to a new desire
Enable me to make purchase/ship
/pick-up/return in my preferred easily
Brand Website
Portfolio
Workshops
Events
Software/Hardware
Store Information
Interaction History
Customer Service
1 2
Regular
Users
Loyal
Users
Research
Experience
Buy
Needs
ProductsInformation
StoreInformation
PurchaseStatus
Instoreshipping
ŸCAN I BUY THE WAY I WANT TO BUY?
Recognizeme,ServemeandRewardme
basedonmyinteractionhistory
ŸDOESITMEETMYEXPECTATION?
Persuademetomakethedecision
Omni Channel Practice Map

16. 16|OmniChannelStrategyforretailers|SamplePresentation|CarolineM.Kim
Thank you.
Please contact me if
- You have any question/ need further information
- You need the similar research or presentation
- You need the original file of the presentation
• Caroline.kim0619@gmail.com
• www.linkedin.com/in/carolinemkim/