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Retailing in Emerging Markets

Total Retail: Customer Trends that are
Changing Business Models – Report by PwC
Presented by:
Ms. Rachna Nath

Head of the Consumer Products Practice - PwC
Total Retail: Customer Trends that are Changing Business Models

Thinking Total Retail
•There was a clear difference
between how the retailer
looked at customer experience
and what the shopper wanted.

Technology has raised the bar and a
unified brand story across all channels

•To bridge this gap, it’s
important for retailers to break
the silos and create a unified
experience.

that promises a consistently superior
customer experience which ensured that
the marketing department is integrated
with the back office supply chain
facilitated by agile and innovative
technology–together which constitutes
the building blocks of the next retail
business model.

Rachna Nath,
Executive Director,
PwC
Total Retail: Customer Trends that are Changing Business Models
Key Trends Found in the Study
My favourite retailer: The customer is still deciding

Buying pattern: Leveraging the best of both worlds

Why do customers buy online or in-store? It’s not price. It’s trust.

The ‘social’ usage of social media

Smartphones and tablets: The game-changers
Total Retail: Customer Trends that are Changing Business Models
Key Trends Found in the Study

The key trends will drive the business model for the ‘total retailer’ and blur
the lines between online and in-store.
This phase of change will be led by the customer, and it might make
business sense for the retailer to co-create their business model with
them.
Total Retail: Customer Trends that are Changing Business Models

Trust matters
as much as
price.
That’s the
genesis of
“Multi”
channel retail.
Total Retail: Customer Trends that are Changing Business Models

Online
shopping
frequency is
high. Almost
one-third
customers
buy weekly.
Total Retail: Customer Trends that are Changing Business Models

Convenience
Plays.
Total Retail: Customer Trends that are Changing Business Models

Experience
(STILL)
matters!
Total Retail: Customer Trends that are Changing Business Models

Social Media
attracts
‘footfall’ –
based on
deals AND
product
features.
Total Retail: Customer Trends that are Changing Business Models
Total Retail: Customer Trends that are Changing Business Models
Conclusions
Retailers will need to manage the physical as well as the online store
as a portfolio of stores.
On the customer service side, managing
online customers requires additional rigor; as compared to managing
those who walk into the stores.
The online customer today is more proactive in sharing his or her
overall shopping experience on social networking sites

Customer analytics is a key area of focus for all retailers.

Retailers who are successful in differentiating
themselves in the market are the ones who are agile to change, can
build a flexible as well as scalable business model that seamlessly
integrates the front and back-end processes in order to meet customer
expectations and build trust.
Retailing in Emerging Markets

Total Retail: Customer Trends that are
Changing Business Models – Report by PwC
Presented by:
Ms. Rachna Nath

Head of the Consumer Products Practice - PwC

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TOTAL RETAIL-CUSTOMER TRENDS THAT ARE CHANGING BUSINESS MODELS

  • 1. Retailing in Emerging Markets Total Retail: Customer Trends that are Changing Business Models – Report by PwC Presented by: Ms. Rachna Nath Head of the Consumer Products Practice - PwC
  • 2. Total Retail: Customer Trends that are Changing Business Models Thinking Total Retail •There was a clear difference between how the retailer looked at customer experience and what the shopper wanted. Technology has raised the bar and a unified brand story across all channels •To bridge this gap, it’s important for retailers to break the silos and create a unified experience. that promises a consistently superior customer experience which ensured that the marketing department is integrated with the back office supply chain facilitated by agile and innovative technology–together which constitutes the building blocks of the next retail business model. Rachna Nath, Executive Director, PwC
  • 3. Total Retail: Customer Trends that are Changing Business Models Key Trends Found in the Study My favourite retailer: The customer is still deciding Buying pattern: Leveraging the best of both worlds Why do customers buy online or in-store? It’s not price. It’s trust. The ‘social’ usage of social media Smartphones and tablets: The game-changers
  • 4. Total Retail: Customer Trends that are Changing Business Models Key Trends Found in the Study The key trends will drive the business model for the ‘total retailer’ and blur the lines between online and in-store. This phase of change will be led by the customer, and it might make business sense for the retailer to co-create their business model with them.
  • 5. Total Retail: Customer Trends that are Changing Business Models Trust matters as much as price. That’s the genesis of “Multi” channel retail.
  • 6. Total Retail: Customer Trends that are Changing Business Models Online shopping frequency is high. Almost one-third customers buy weekly.
  • 7. Total Retail: Customer Trends that are Changing Business Models Convenience Plays.
  • 8. Total Retail: Customer Trends that are Changing Business Models Experience (STILL) matters!
  • 9. Total Retail: Customer Trends that are Changing Business Models Social Media attracts ‘footfall’ – based on deals AND product features.
  • 10. Total Retail: Customer Trends that are Changing Business Models
  • 11. Total Retail: Customer Trends that are Changing Business Models Conclusions Retailers will need to manage the physical as well as the online store as a portfolio of stores. On the customer service side, managing online customers requires additional rigor; as compared to managing those who walk into the stores. The online customer today is more proactive in sharing his or her overall shopping experience on social networking sites Customer analytics is a key area of focus for all retailers. Retailers who are successful in differentiating themselves in the market are the ones who are agile to change, can build a flexible as well as scalable business model that seamlessly integrates the front and back-end processes in order to meet customer expectations and build trust.
  • 12. Retailing in Emerging Markets Total Retail: Customer Trends that are Changing Business Models – Report by PwC Presented by: Ms. Rachna Nath Head of the Consumer Products Practice - PwC