The difference between customer and company expectations is only becoming more pronounced in the age of e-commerce. For example, 55% of shoppers say their shopping experiences are somewhat disconnected as they switch between the online and in-store experience. Another study reports that 22% of North American retailers consider omnichannel experiences a top priority. That means that customers are noticing the disconnect, but retailers are failing to respond.
As it heads into the holidays and 2020, Target is set up win shoppers over through its ongoing investments and initiatives. The retailer said it now expects full-year adjusted profit of $6.25 to $6.45 per share, up from its prior range of $5.90 to $6.20 per share.
"Our third quarter results are further proof of the durability of our strategy, as we’re seeing industry-leading strength across multiple metrics, from the top line to the bottom line,” said Target’s chairman and CEO Brian Cornell. “Looking ahead, we have ushered in the holiday season with an unwavering commitment to guest service that complements our highly differentiated, value-driven assortment, our exceptional in-store shopping experience as well as an unmatched suite of easy and convenient fulfillment options.”
The biggest mall owner in the U.S., Simon Property Group, is teaming with online shopping site Rue La La’s parent company to launch a new kind of website for people looking for deals.
The real estate company announced Wednesday it’s partnering with Rue Gilt Groupe, which is backed by Michael Rubin, CEO of Fanatics’ parent company Kynetic, to create a new e-commerce business for discount shopping.
Simon has been testing the website “ShopPremiumOutlets.com” since March, building on its premium outlet centers business. The mall owner operates dozens of premium outlet centers nationwide and a handful overseas. It’s been working with certain retailers at those centers — which include Woodbury Common Premium Outlets in New York — to test selling merchandise together on this site. It says it has signed on more than 2,000 designers, and has about 300,000 products.
In this episode we talk with Morin Sarenio of CGTrader, a company of 2-million designers that’s providing retailers with immersive augmented reality that lets customers try products online before they buy them. That means better customer experience, fewer returns, and major savings on reverse logistics.
A recent report valued the rental subscription market at around 1 billion dollars in 2018 and forecast it grows more than 20 percent a year, reaching 2.5 billion dollars by 2023. This trend isn’t lost on traditional retailers: over the last year everyone in the industry seems to be launching their own clothing rental service.
Recent research from GlobalData confirms the explosive growth of clothing rental and / or subscription services: it’s expected to reach 2.5 billion dollars value by 2023, prompting brands such as Banana Republic, Macy’s, Urban Outfitters, Trunk Club or J.C. Penney to announce their own apparel rental services.
I read a recent article in Forbes that talked about upheaval in the shopping mall industry. There's a link to it at the end of my commentary and I would really appreciate hearing your thoughts on it as well. Here are mine:
“HURRY AND DIE MALLS."
Your days are over. People want a social experience, not products. Mark-downs and sales clerks. As we all know, the hype, “Retail is Dead” is just that, hype. Consider the following. 87% of consumer retail is transacted in brick & mortar, physical stores. Yes, you heard me…87%. In fact, a recent NRF report stated retail sales, in stores, are up 4.9%. NOT e/comm, by true shopping and social interaction.
The net is, if you fear Amazon will put you out of business, shame on you! You “owned” your customers for decades, but did you do anything to earn their loyalty except showcase your products? 30% of my personal shopping is on-line. Mostly under $50 commodities. 70% is spent with retailers who invest in their employees training & wages, innovative products, and exceptional customer service, both pre and post sale. Malls are (I hate this word), “transforming” into social town centers with entertainment (movies, concerts, festivals), attractions (claiming walls, work-out centers, VR and the like), hard goods (driver training hosted by auto manufacturers, cooking classes hosted by appliance manufacturers and the like) and most of all, a place to stop texting and start socializing”. Mall dead? Yes, while town centers are thriving!”
To date, retailers have been cautious with live product broadcasts, but a wealth of opportunity exists to connect with customers, build their brands, and significantly increase sales with authentic video content. From combining influencers with real life people trying products to gamification and interactive broadcasting, brands should be looking to authentic video content as they move into the future of retail. In this episode of Reinventing Retail, we chat with Dave Dabbah of Agora.io, an API platform that’s bringing peer-to-peer video to retailers and fashion brands.
This podcast will look at the future of how order management will evolve from simply executing orders to truly optimizing how to best serve your customer. Listen as Guy Courtin and Tim Nelson discuss what to anticipate with the evolution of order management: next generation optimization rather than simply execution of orders. The cost to serve a customer will become more important than simply the cost to fulfill.
Stop and think about a day you could go without your smartphone. You are checking your calendar to see when or if that is even possible. And yet you may not realize that checking email, texting your doctor or tracking your children’s usage is only part of the life your smart device breathes into you. Last year, Americans made almost 30% of purchases through a mobile device. Next-day and same-day delivery created a market for mobile shoppers and retailers are responding.
The one where the market creator remains the market leader
Amazon, the retail Goliath, created the market for instant gratification with its online presence and product availability.
The headlines continue to predict the apocalypse of the physical store and assert that the new normal will belong solely to e-commerce, mobile, and omni-channel retailers. Because of all the fuss, many retailers today have a tendency to focus primarily on process and technology; but in turn, they forget about one of their most important assets—their people. It’s more accurate to say that retail is simply evolving—rebalancing amid a market where it’s tantamount that brands and retailers continue to focus on three key aspects of their businesses: people, process, and technology.