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    Showrooming holds the key to increased retail sales this festive season

    Although physical stores are far from dead, retailers continue to adapt their business models. For example, Makro is trialling the use of online shopping pick-up lockers at garage forecourts, making it even easier to buy online and collect the goods at a convenient location.
    Mark Hiller
    Mark Hiller

    As trends like online shopping, smartphones and social media have matured, so has the way in which customer's research and purchase products and services. Mobile devices are the bridge between our physical and digital worlds and they play an ever-growing role in the multi-channel customer journey. According to the Mobile Commerce Compendium, nearly six out of ten (57%) smartphone owners use their device to search information while out shopping. Retailers lose a third (32%) of shoppers to in-store mobile use.

    The reality of showrooming

    This is why last year 'showrooming' made it into the Oxford English Dictionary; it is defined as 'the practice of visiting a shop or shops in order to examine a product before buying it online at a lower price'.

    The different communication channels that inform customers in and outside stores, the different purchase and pay channels and the different delivery channels are now connected. Collectively, this is known as omni-channel retailing and ties closely into how businesses can overcome the challenge of showrooming.

    The reality is that the price tag is not the only factor that affects a purchasing decision. Trust, ease of use and service level is equally important. If retailers can provide knowledgeable, accessible staff and easy access to goods and services via any channel in a consistent manner at a competitive price, they can ensure customers will showroom and shop from the same store.

    At the front end, implementing capture and workflow solutions ensures paperwork is kept to a minimum and is processed efficiently. This can help ensure staff spend as much time as possible on the sales floor instead of doing back office admin.

    Furthermore, in-store messaging that can be automatically updated to better reflect the channel mix and respond to changes in price and stock can help deliver sales. This can be augmented by including other online elements, such as a QR code or/and linking to a retailer's loyalty programme.

    Back-end also vital

    Even the back-end has a part to play. Consolidating back-end logistical processes might not seem like the most obvious way to address a customer-centric challenge. However, when a retailer wants to deliver a truly omni-channel approach, every aspect of the service needs to be seamless. This includes delivery to the customer's home, for 'click and collect' or for store inventory.

    Across complex networks of warehouses, distribution centres and stores, retailers must be able to deliver consistently high levels of service. Furthermore, if leading retailers are to compete effectively against the online only retailers, the organisation needs to achieve profitable, cost-efficient operations.

    This is where powerful process and content management solutions can be brought to bear, offering the back-end support to help retailers gain control over the tremendous amounts of data generated in the movement of goods. Improving document control and retention ensures instant access to relevant information to respond to shop/vendor enquiries, eliminates the need to fax or email forms between departments and facilities and reduces operating costs. Reducing all these lengthy, costly and error-prone tasks mean customers get the service level they require and will stick with the retailer regardless of channel.

    The result is an infrastructure of complete service and support that is consistent, regardless of the channel used. It enables retailers to embrace showrooming rather than fight it.

    About Mark Hiller

    Mark Hiller is the GM of Lexmark South Africa.
    Let's do Biz