By 2004,130 million customers will be generating almost 14 billion transactions, yielding $200 billion in revenue, over 75% of which will come from Western Europe and the United States Source: Strategy Analytics, 2000
In the U.S. the number of net-enabled phone owners will also represent about 50% of the population by 2004 Subscribers (millions) Source: Forrester, 2000, 1999
We are poised on the verge of a Wireless e-business explosion… every second of every day a new mobile internet user is born… mobile internet access will surpass PC internet access in 2002 Source:Research Portal.com, Reuters, EE Times, Ericsson, 2000
The key to multi-channel integration is the ability to utilize the information collected from all consumer touch points and make the information actionable throughout the value chain.
New measurements need to be in place to measure performance. Multi-channel retailers must now measure the variables that affect satisfaction in a specific channel while establishing uniform standards across all channels. Regardless of the sales channel they are using, customers must feel like royalty.
Positive Contextual Experiences equal Consumer Loyalty Contextual experiences (conditions) directly impact a customer’s perception of vendor value. Value experiences include and transcend monetary value and product-based experiences . Laying the foundations for the store of the future is the key to enabling technologies that will support the total customer experience of feeling understood, connected, and delighted.
Making a Difference in Retailing from the Back-End Systems through to the Consumer - the Components of Experience alternative POS cash alternatives self-serve individualized flow-through management eCRM SCM attentive environment TACTICAL the way you sell STRATEGIC the way customers experience your business OPERATIONAL the way you manage your store retailer
Changing the Retailing Environment How will success be measured? How will the customer experience the benefits of the new vision? How will the value of new technology be realized and amortized across a centralized business model through local channels of customer experience? What are the core values to the business driving forward? What is the end vision to support the near term initiatives? BUSINESS VISION SUCCESS TECHNOLOGY retailer
The Way You Manage Your Store Experience-Now very important (hidden) Store managers can receive remote real-time product movement updates throughout the day. POS data can be remotely retrieved and can be analyzed immediately to allow for replenishment / replacement where appropriate in order to immediate customer demand. Back-Office (hidden) Lost sales can be reduced as customers no longer face long POS queues, minimizing customer abandonment. Responsive environments effect efficient store / queue management. Sales Floor Mass retailing is founded on the premises of speed, ease of use, and convenience. Managing the experience means excelling at being a convenience provider.
Tickles and Whispers in Mass Retailing drives a valued experience
Responsive environments notify resources how best to manage them
alert me to open up another cash register line because of long queues
tell me to adjust the temperature
A more efficient labor force is better educated, more assisted in real time, and suffers from last turnover
remind me about cross-sells and up-sells
remind me about this customer’s preferences
help me to be more knowledgeable in front of my customer
help me to be more knowledgeable in front of my employees
Whisper Technology Technology becomes ubiquitous as we progress from fingertip, to voice, to bio-metric, to human-centric experiences that are human aware and dialogic, natural, and easy.
Moving from Mass Service to Individualized Experiences
The responsive environment responds to such conditions as:
who are the people in a given space?
where are they (geographic and proximal)?
what are they doing?
The enabled environment delivers on the promise of mass retailing based on individuals within a space
Responsive Environment (hidden) Consumers have more choice than ever and so mass retailers need to grab and retain relationships by extending their value, presence, and opportunity. By using aggregates of Wireless technology to create dynamic individualized experience retailers can lead the market and capture the attention of their customers. “Customer Retention” Individualized Service Mass retailers can now use wireless technologies to get beyond the “last mile” and become the “first thought”.
Metrics of Success Metric Operational Efficiency
Reduce operating assets
Reduce working staff
Reduce cost of quality
Improve Existing Customer Revenue
Increase customer retention
Improve market share
New Revenue Streams
New products / services in same business
New products / services in new business
More skilled employees
More efficient and contextual or “in the moment” training
Require less resources to support the same production and client base
Improve customer satisfaction
Provide competitive services
Increase brand strength
Increase revenues from intellectual capital
New service pricing
Remote monitoring of employee performance
Remote store monitoring
Dynamic environmental awareness
Ubiquitous employee training / support systems
Add wireless channel for ease / efficiency uses
Integrate with online offering
Offer unique / personalized services
Charge for automated service
Use connectivity of product to drive traffic to service offering “portals”
RFID cost will drop to an acceptable price point when multiple uses are incorporated:
Point of Sale
Smart Home applications
An example of cost justification is the use of RFID for baggage handling at San Francisco Airport
The ultimate goal of RFID is reliability over life of item and pervasive penetration of scanners that take advantage of ID. For example, RFID embedded in my shirt so that if I drop it into washer at home or take it to laundry, it will be handled correctly .
Enterprises have many different reasons for implementing Wireless LAN solutions -- but network flexibility and mobility are the most common.
Redefining the Internet - Redefining Lifestyles with Cash Alternatives McDonald’s restaurants will test FAST LANE transponder technology in the some of their restaurant drive-thrus. "Transponders will allow our customers to pay for their favorite McDonald’s food – like the Big Mac and our French fries – without leaving their car or using cash," said Lambrechts. "We expect this new technology will add to the fun and excitement of McDonald’s by improving the speed and efficiency in our drive-thru service for on-the-go New England travelers." Many People consider a smart card to be a PC in the pocket. A smart card is a credit card style card that has an embedded memory chip that stores data and applications relative to the user - that can be coupled with an identification feature, such as: PIN, biometrics, or other types of security checks. Smart cards are portable, secure, interoperable, and convenient. The iButton is ideal for any application where information needs to travel with a person or object. iButton can grant access to a building, a piece of equipment, can be used to store cash for small transactions, such as transit systems, parking lots, and vending machines. VALID FROM VALID FROM GOOD THRU GOOD THRU 01/2000 01/2000 01/2003 01/2003 John J. Doe John J. Doe 4321 076543 78999 4321 076543 78999
IBM Wireless Offerings for Retail (hidden) Digital Display Boards Dynamic Environments