Jonathan's book, Retail's Last Mile, explains why the disruption of store retail by online shopping has only just begun and few retailers are ready for the changes ahead. Jonathan forecasts that last-mile innovations will see shopping online overtake shopping in stores within 20 years.
Learn more and order the book at Jonathan's website:
http://jonathanreeve.com.au/author
This document provides tips and strategies for running a successful eCommerce business. It discusses the importance of strategic launches, compelling offers, getting media attention, keeping costs low, and outsourcing order fulfillment. It also covers writing effective product descriptions, search engine optimization, developing quality content, and maintaining an online presence where customers engage. The overall message is that non-obvious factors like customer support, tone of voice, focus, and availability impact whether customers complete purchases. Ongoing optimization of marketing, costs, and operations is important for eCommerce success.
5 Consejos Para Crear Una Experiencia Excepcional de eCommerceClikéalo WSI
El comercio electrónico no es un fenómeno nuevo, pero tampoco es algo que las empresas pueden permitirse el lujo de ignorar. Si usted tiene productos o servicios que los clientes desean, usted los debería ofrecer a través de una plataforma en línea. ¿Entonces que debo considerar para tener una tienda en línea exitosa?
Esta guía gratuita de 22 páginas es un gran recurso para ayudar a las empresa que quieren ofrecer una excelente experiencia de comercio electrónico a sus clientes. Con ella usted aprenderá:
1. Las razones por las cuales la experiencia en su tienda en línea es la parte más importante de su estrategia de comercio electrónico.
2. Cómo hacer que su marca sea transparente.
3. Consejos para disminuir significativamente la tasa de abandono del carrito de compras.
4. Las mejores prácticas para crear una experiencia de comercio electrónico inolvidable en plataformas móviles.
Consulte nuestra guía de comercio electrónico para empezar a mejorar la experiencia de sus clientes en línea y atraer nuevos consumidores.
This document discusses key topics related to ecommerce excellence for consumer electronics and general merchandise retailers in the United States. It covers the shopper experience across channels, supplier/retailer relationships, and content requirements. The shopper journey now begins online for over 80% of purchases through online product research on mobile devices. Retailers must provide a seamless omnichannel experience to meet shopper demands. Both showrooming and webrooming are common practices as shoppers research online and make purchase decisions across channels. Content must be rich yet optimized for each channel to drive the best shopping experience.
4 Questions About Amazon.com that Every Marketer Must AskOgilvy
4 Questions About Amazon.com that Every Marketer Should Ask
By Sean Muzzy, CEO, NA, Neo@Ogilvy via Ogilvydo
Click here for more about Continuous Commerce™: http://bit.ly/1gKiRXv
The document summarizes a digital marketing conference that took place on April 29th, 2015 in Indianapolis. It provides summaries of presentations from several speakers at the conference, including Kyle Lacy who discussed emerging technology trends disrupting consumer behavior, such as mobility, collaborative consumption, and the "audience effect". It also summarizes a panel discussion on growing Indianapolis' digital marketing industry and managing clients through change. Finally, it discusses a presentation by Jeff Carl on using multivariate testing to more efficiently test multiple variables in digital marketing campaigns.
This document discusses the future of retail and how service design can help address challenges facing the industry. New technologies like mobile, social media, and location-based services are driving changes in customer behaviors such as showrooming and buying/trying products anywhere. Retail stores are struggling with a 4% sales decrease while online sales are increasing. Both online and offline channels have advantages and disadvantages. The solution is seen as an omnichannel approach that combines the best of both worlds through seamless customer journeys. Service design can help create integrated physical and digital experiences like those demonstrated by case studies of Kate Spade, Nike, Bonobos, and Burberry. The retail experience needs to be rethought beyond online vs offline models
This document discusses using social media to drive in-store sales. It notes that while online shopping is growing, physical stores still account for most retail sales. It outlines some existing solutions businesses use on social media to attract customers to stores, such as posting coupons, holding in-store giveaways and events, and having strong customer service online. A case study of Starbucks' social media strategy is provided as an example of effectively using partnerships and creative posts to convert social media engagement into physical store visits.
Brands That Do: Building Enterprise BusinessS_HIFT
Over 75 percent of brands are so meaningless to consumers that they may as well not be there. They are brands that are of no consequence — just names on products or services.
There is hope. Our research found that brands around the world matter in different ways than they did before. People want brands that act, that help, that do. Consumers are sending a very clear message that challenges every part of a business — from finances to operations to marketing. Consumers are telling us to stop making empty promises and start acting in new and different ways. In other words, we should be building brands that do things that matter to their customers.
This document provides tips and strategies for running a successful eCommerce business. It discusses the importance of strategic launches, compelling offers, getting media attention, keeping costs low, and outsourcing order fulfillment. It also covers writing effective product descriptions, search engine optimization, developing quality content, and maintaining an online presence where customers engage. The overall message is that non-obvious factors like customer support, tone of voice, focus, and availability impact whether customers complete purchases. Ongoing optimization of marketing, costs, and operations is important for eCommerce success.
5 Consejos Para Crear Una Experiencia Excepcional de eCommerceClikéalo WSI
El comercio electrónico no es un fenómeno nuevo, pero tampoco es algo que las empresas pueden permitirse el lujo de ignorar. Si usted tiene productos o servicios que los clientes desean, usted los debería ofrecer a través de una plataforma en línea. ¿Entonces que debo considerar para tener una tienda en línea exitosa?
Esta guía gratuita de 22 páginas es un gran recurso para ayudar a las empresa que quieren ofrecer una excelente experiencia de comercio electrónico a sus clientes. Con ella usted aprenderá:
1. Las razones por las cuales la experiencia en su tienda en línea es la parte más importante de su estrategia de comercio electrónico.
2. Cómo hacer que su marca sea transparente.
3. Consejos para disminuir significativamente la tasa de abandono del carrito de compras.
4. Las mejores prácticas para crear una experiencia de comercio electrónico inolvidable en plataformas móviles.
Consulte nuestra guía de comercio electrónico para empezar a mejorar la experiencia de sus clientes en línea y atraer nuevos consumidores.
This document discusses key topics related to ecommerce excellence for consumer electronics and general merchandise retailers in the United States. It covers the shopper experience across channels, supplier/retailer relationships, and content requirements. The shopper journey now begins online for over 80% of purchases through online product research on mobile devices. Retailers must provide a seamless omnichannel experience to meet shopper demands. Both showrooming and webrooming are common practices as shoppers research online and make purchase decisions across channels. Content must be rich yet optimized for each channel to drive the best shopping experience.
4 Questions About Amazon.com that Every Marketer Must AskOgilvy
4 Questions About Amazon.com that Every Marketer Should Ask
By Sean Muzzy, CEO, NA, Neo@Ogilvy via Ogilvydo
Click here for more about Continuous Commerce™: http://bit.ly/1gKiRXv
The document summarizes a digital marketing conference that took place on April 29th, 2015 in Indianapolis. It provides summaries of presentations from several speakers at the conference, including Kyle Lacy who discussed emerging technology trends disrupting consumer behavior, such as mobility, collaborative consumption, and the "audience effect". It also summarizes a panel discussion on growing Indianapolis' digital marketing industry and managing clients through change. Finally, it discusses a presentation by Jeff Carl on using multivariate testing to more efficiently test multiple variables in digital marketing campaigns.
This document discusses the future of retail and how service design can help address challenges facing the industry. New technologies like mobile, social media, and location-based services are driving changes in customer behaviors such as showrooming and buying/trying products anywhere. Retail stores are struggling with a 4% sales decrease while online sales are increasing. Both online and offline channels have advantages and disadvantages. The solution is seen as an omnichannel approach that combines the best of both worlds through seamless customer journeys. Service design can help create integrated physical and digital experiences like those demonstrated by case studies of Kate Spade, Nike, Bonobos, and Burberry. The retail experience needs to be rethought beyond online vs offline models
This document discusses using social media to drive in-store sales. It notes that while online shopping is growing, physical stores still account for most retail sales. It outlines some existing solutions businesses use on social media to attract customers to stores, such as posting coupons, holding in-store giveaways and events, and having strong customer service online. A case study of Starbucks' social media strategy is provided as an example of effectively using partnerships and creative posts to convert social media engagement into physical store visits.
Brands That Do: Building Enterprise BusinessS_HIFT
Over 75 percent of brands are so meaningless to consumers that they may as well not be there. They are brands that are of no consequence — just names on products or services.
There is hope. Our research found that brands around the world matter in different ways than they did before. People want brands that act, that help, that do. Consumers are sending a very clear message that challenges every part of a business — from finances to operations to marketing. Consumers are telling us to stop making empty promises and start acting in new and different ways. In other words, we should be building brands that do things that matter to their customers.
The shift to multi-channel online retailing - from pure eCommerce to also embrace mobile & social payments. Given by John Clarke of WorldNet at the Shift Happens! event, held in the Guinness Storehouse, Dublin, on 5th May 2011.
Quantifying Customer Experience - Presented at Customer Experience Design 2013clarityrules
This document discusses the evolution of customer analytics from Eras 1.0 to 4.0. Era 1.0 focused on internal metrics by business unit. Era 2.0 adopted a customer point of view and used metrics like NPS. Era 3.0 linked metrics like NPS to business outcomes. Era 4.0 uses advanced analytics and topological data analysis to generate insights without predefined questions, allowing unexpected discoveries. The document advocates moving from basic reporting to exploring data interactively to generate insights that improve customer experience and business performance.
Moz holy grail of e commerce conversion optimizationBitsytask
This document provides a 91-point checklist for optimizing e-commerce conversion rates. It discusses the importance of optimizing the user experience across all touchpoints on a store's website. This includes understanding customers, optimizing pages like home, navigation, categories, product pages, checkout, and others. It provides tips like showing top products prominently, offering multiple ordering options, using videos to showcase products, localizing the store for different countries, improving the category structure and search, and writing clear unique selling points. The document emphasizes the need to understand customer behavior through surveys, chat interactions, and other tools to inform conversion optimization efforts.
The document argues that usability is important for e-commerce websites to be profitable. While some argue that usability adds costs and delays, carefully designed usability promotes customer loyalty, attracts new customers, and expands the customer base. Research shows that users avoid frustrating interfaces and that poor usability leads to dissatisfied customers and lost sales. For e-commerce to succeed, websites must prioritize usability to ensure a positive customer experience.
A very basic introduction to peak-end design of user experiences, showing how to allocate people, processes and technology strategically to form memorable experiences. Based on the psychological work of Daniel Kahneman.
The 10 most recommended retail solution providers 2018Merry D'souza
Insights Success has selected some of the most prominent organizations around the globe in the issue of “The 10 Most Recommended Retail Solution Providers 2018.” These organizations are transforming the retail industry with their revolutionary innovations and foremost initiatives that mainly focus on the product acceleration and customer satisfaction
RSR ebook: Retail ecommerce in context: the next iterationLeigh Doyle
After years of steady ecommerce growth, there has been an unprecedented acceleration of the shift from physical stores to online shopping. Retailers are facing the limitations of their aging technology stack in allowing them to offer buy online pick up in store (BOPIS), social commerce, adding new payment methods, launching subscription programs and more. This study aims to understand how well retailers have been able to pivot to a digital-first world, the challenges they face, the opportunities nascent in the marketplace, and how their technology portfolios are able to support these shifts profitably.
1. E-commerce companies face many challenges including verifying online customer identities, providing consistent customer service across channels, analyzing competitors, adapting to changing customer behaviors, reducing shopping cart abandonment, maintaining customer loyalty, managing product returns and refunds, and competing on price and shipping costs.
2. To address these issues, companies should take steps to verify customer information, equip support teams to respond via all channels, identify key channels to optimize, maintain context across conversations, conduct in-depth competitor research to differentiate, leverage marketplaces, segment visitors to personalize experiences, simplify checkout processes, prioritize customer service, create loyalty programs, design transparent return policies, and consider warehouse distribution to lower shipping costs.
Using Transparency as a Competitive Advantage - Winning Strategies for Today’...Jim Radogna
Auto dealers are constantly looking for ways to get an edge in the digital age, yet many continue to follow the same sales and advertising practices that they’ve been using for decades. Let’s face it, consumers have access to much more information, and choices, than ever before. In the past the dealer controlled all of the information, but today it’s just the opposite. Any information you offer is now carefully scrutinized and validated by a vast amount of online data. As a result, the likelihood of old-school sales practices backfiring has increased substantially. In this dynamic session, I’ll be discussing ways to break down deep-rooted stereotypes and embrace the transparency that consumers have been begging for. A transparent business model can greatly enhance your sales, reputation, customer retention, and bottom line. You’ll find that customers will actually be willing to spend more when they feel they’re buying from a business they can trust.
A beginners guide to ecommerce in fashion retail. This aims to highlight the key areas that must be considered when designing, building and marketing an ecommerce website.
Byte Breakfast: Attention, friction and the customer travel journey.383
This document discusses the growing popularity and potential of messaging platforms and conversational agents. It notes that messaging is a more comfortable experience for users than traditional apps. Major tech companies are investing heavily in messaging and bots are seen as a way to provide helpful services to users through natural conversations. The future of digital assistance may involve hierarchical bots with different levels of training and capabilities to meet a range of user needs.
The document provides information about putting marketing on autopilot through email marketing. It discusses the importance of being on the first page of Google searches, having a working website focused on relevant keywords rather than aesthetics, and using an autoresponder service like Aweber to automate email promotions. Common email marketing mistakes are outlined such as not having opt-in forms or providing irrelevant content. The document recommends giving away valuable content to build relationships and asking customers to spread the word. It also offers a hands-free solution of ranking a site for a client and renting it to them with ongoing support.
The document provides Bessemer Venture Partners' top 10 laws of e-commerce. Law #1 discusses how to build a brand through targeted, measurable direct-response advertising rather than traditional brand advertising. Successful companies like Zappos built their brand penny by penny through profitable customer acquisition and extraordinary customer service. Law #2 emphasizes focusing on customer lifetime contribution (CLTC), which is the net profit generated from a customer over their lifetime with the company. Companies should be willing to spend up to the marginal CLTC to acquire new customers.
Stealth shoppers now make up over half of new car buyers. These buyers research online anonymously and never submit their contact information through dealership websites or forms. To regain influence over customers, dealerships need to embrace a 21st century internet experience by being available wherever and however customers want to communicate, including anonymously, and by responding helpfully without asking for personal information first. This will require changes to staffing, processes, and company culture, but can significantly increase sales by engaging the majority of today's car buyers.
Retail & Digital Disruption - Intrigue, Immediacy and FrictionlessRyan Craver
Today's retail environment is changing at a speed in which most legacy retailers are unable to keep up with. Topics include innovative tech like virtual reality/augmented reality that have yet to make a dent to massive marketplaces such as Alibaba, Amazon and Airbnb.
Describes what a target operating mode is, and the process to distill a target operating model from a business vision or set of business strategic aims
The document discusses the Plan, Build, Run (PBR) operating model for IT organizations. It describes how the PBR model divides work into planning (Plan), development (Build), and support (Run) functions. The PBR model aims to improve efficiency, reduce costs for support activities, and better manage projects. It also includes a Manage & Enable function for cross-functional management and support. The document provides examples of how large organizations have implemented the PBR model when outsourcing IT services.
The Operating Model That is Eating the Worldundercurrent
Today's fastest-growing, most profoundly impactful companies are using a completely different operating model. We refer to this model as The Responsive Operating System, and we think it'll change the world.
The document discusses defining a target operating model (TOM) for an organization. A TOM describes the future state of an organization across key dimensions like people, processes, technology, customers and markets. There is no single approach but it typically involves defining the organization's vision and business strategy, mapping out customer experiences and journeys, and modeling the processes, people and technology needed to meet customer and business needs in the future state. The TOM provides a holistic framework to guide the transformation from the current to the future state of the organization.
Intense competition and slow growth in mature markets have magnified uncertainty and put pressure on costs, just as regulators are escalating their demands. Research shows that CFOs and other senior finance executives believe that their function can play a key role but the ability to impact these challenges depends on levels of maturity and preparedness, which vary widely across companies and industries, as well by sub-functions. Here are the key findings from our research on how enterprises are driving transformation to achieve business impact.
The shift to multi-channel online retailing - from pure eCommerce to also embrace mobile & social payments. Given by John Clarke of WorldNet at the Shift Happens! event, held in the Guinness Storehouse, Dublin, on 5th May 2011.
Quantifying Customer Experience - Presented at Customer Experience Design 2013clarityrules
This document discusses the evolution of customer analytics from Eras 1.0 to 4.0. Era 1.0 focused on internal metrics by business unit. Era 2.0 adopted a customer point of view and used metrics like NPS. Era 3.0 linked metrics like NPS to business outcomes. Era 4.0 uses advanced analytics and topological data analysis to generate insights without predefined questions, allowing unexpected discoveries. The document advocates moving from basic reporting to exploring data interactively to generate insights that improve customer experience and business performance.
Moz holy grail of e commerce conversion optimizationBitsytask
This document provides a 91-point checklist for optimizing e-commerce conversion rates. It discusses the importance of optimizing the user experience across all touchpoints on a store's website. This includes understanding customers, optimizing pages like home, navigation, categories, product pages, checkout, and others. It provides tips like showing top products prominently, offering multiple ordering options, using videos to showcase products, localizing the store for different countries, improving the category structure and search, and writing clear unique selling points. The document emphasizes the need to understand customer behavior through surveys, chat interactions, and other tools to inform conversion optimization efforts.
The document argues that usability is important for e-commerce websites to be profitable. While some argue that usability adds costs and delays, carefully designed usability promotes customer loyalty, attracts new customers, and expands the customer base. Research shows that users avoid frustrating interfaces and that poor usability leads to dissatisfied customers and lost sales. For e-commerce to succeed, websites must prioritize usability to ensure a positive customer experience.
A very basic introduction to peak-end design of user experiences, showing how to allocate people, processes and technology strategically to form memorable experiences. Based on the psychological work of Daniel Kahneman.
The 10 most recommended retail solution providers 2018Merry D'souza
Insights Success has selected some of the most prominent organizations around the globe in the issue of “The 10 Most Recommended Retail Solution Providers 2018.” These organizations are transforming the retail industry with their revolutionary innovations and foremost initiatives that mainly focus on the product acceleration and customer satisfaction
RSR ebook: Retail ecommerce in context: the next iterationLeigh Doyle
After years of steady ecommerce growth, there has been an unprecedented acceleration of the shift from physical stores to online shopping. Retailers are facing the limitations of their aging technology stack in allowing them to offer buy online pick up in store (BOPIS), social commerce, adding new payment methods, launching subscription programs and more. This study aims to understand how well retailers have been able to pivot to a digital-first world, the challenges they face, the opportunities nascent in the marketplace, and how their technology portfolios are able to support these shifts profitably.
1. E-commerce companies face many challenges including verifying online customer identities, providing consistent customer service across channels, analyzing competitors, adapting to changing customer behaviors, reducing shopping cart abandonment, maintaining customer loyalty, managing product returns and refunds, and competing on price and shipping costs.
2. To address these issues, companies should take steps to verify customer information, equip support teams to respond via all channels, identify key channels to optimize, maintain context across conversations, conduct in-depth competitor research to differentiate, leverage marketplaces, segment visitors to personalize experiences, simplify checkout processes, prioritize customer service, create loyalty programs, design transparent return policies, and consider warehouse distribution to lower shipping costs.
Using Transparency as a Competitive Advantage - Winning Strategies for Today’...Jim Radogna
Auto dealers are constantly looking for ways to get an edge in the digital age, yet many continue to follow the same sales and advertising practices that they’ve been using for decades. Let’s face it, consumers have access to much more information, and choices, than ever before. In the past the dealer controlled all of the information, but today it’s just the opposite. Any information you offer is now carefully scrutinized and validated by a vast amount of online data. As a result, the likelihood of old-school sales practices backfiring has increased substantially. In this dynamic session, I’ll be discussing ways to break down deep-rooted stereotypes and embrace the transparency that consumers have been begging for. A transparent business model can greatly enhance your sales, reputation, customer retention, and bottom line. You’ll find that customers will actually be willing to spend more when they feel they’re buying from a business they can trust.
A beginners guide to ecommerce in fashion retail. This aims to highlight the key areas that must be considered when designing, building and marketing an ecommerce website.
Byte Breakfast: Attention, friction and the customer travel journey.383
This document discusses the growing popularity and potential of messaging platforms and conversational agents. It notes that messaging is a more comfortable experience for users than traditional apps. Major tech companies are investing heavily in messaging and bots are seen as a way to provide helpful services to users through natural conversations. The future of digital assistance may involve hierarchical bots with different levels of training and capabilities to meet a range of user needs.
The document provides information about putting marketing on autopilot through email marketing. It discusses the importance of being on the first page of Google searches, having a working website focused on relevant keywords rather than aesthetics, and using an autoresponder service like Aweber to automate email promotions. Common email marketing mistakes are outlined such as not having opt-in forms or providing irrelevant content. The document recommends giving away valuable content to build relationships and asking customers to spread the word. It also offers a hands-free solution of ranking a site for a client and renting it to them with ongoing support.
The document provides Bessemer Venture Partners' top 10 laws of e-commerce. Law #1 discusses how to build a brand through targeted, measurable direct-response advertising rather than traditional brand advertising. Successful companies like Zappos built their brand penny by penny through profitable customer acquisition and extraordinary customer service. Law #2 emphasizes focusing on customer lifetime contribution (CLTC), which is the net profit generated from a customer over their lifetime with the company. Companies should be willing to spend up to the marginal CLTC to acquire new customers.
Stealth shoppers now make up over half of new car buyers. These buyers research online anonymously and never submit their contact information through dealership websites or forms. To regain influence over customers, dealerships need to embrace a 21st century internet experience by being available wherever and however customers want to communicate, including anonymously, and by responding helpfully without asking for personal information first. This will require changes to staffing, processes, and company culture, but can significantly increase sales by engaging the majority of today's car buyers.
Retail & Digital Disruption - Intrigue, Immediacy and FrictionlessRyan Craver
Today's retail environment is changing at a speed in which most legacy retailers are unable to keep up with. Topics include innovative tech like virtual reality/augmented reality that have yet to make a dent to massive marketplaces such as Alibaba, Amazon and Airbnb.
Describes what a target operating mode is, and the process to distill a target operating model from a business vision or set of business strategic aims
The document discusses the Plan, Build, Run (PBR) operating model for IT organizations. It describes how the PBR model divides work into planning (Plan), development (Build), and support (Run) functions. The PBR model aims to improve efficiency, reduce costs for support activities, and better manage projects. It also includes a Manage & Enable function for cross-functional management and support. The document provides examples of how large organizations have implemented the PBR model when outsourcing IT services.
The Operating Model That is Eating the Worldundercurrent
Today's fastest-growing, most profoundly impactful companies are using a completely different operating model. We refer to this model as The Responsive Operating System, and we think it'll change the world.
The document discusses defining a target operating model (TOM) for an organization. A TOM describes the future state of an organization across key dimensions like people, processes, technology, customers and markets. There is no single approach but it typically involves defining the organization's vision and business strategy, mapping out customer experiences and journeys, and modeling the processes, people and technology needed to meet customer and business needs in the future state. The TOM provides a holistic framework to guide the transformation from the current to the future state of the organization.
Intense competition and slow growth in mature markets have magnified uncertainty and put pressure on costs, just as regulators are escalating their demands. Research shows that CFOs and other senior finance executives believe that their function can play a key role but the ability to impact these challenges depends on levels of maturity and preparedness, which vary widely across companies and industries, as well by sub-functions. Here are the key findings from our research on how enterprises are driving transformation to achieve business impact.
More than a buzz word or a trend. Omni-Channel retail is a real opportunity for businesses to adapt, scale-up and tap into their potential customer universe. A simple overview of the changing (R)etail landscape, consumer, purchase trends and what businesses need to align to go the Omni-channel way.
International Target Operating Model DesignChris Oddy
International Target Operating Model Design
Chris Oddy
SLIDE 1
• A Plan is only of value if it is successfully implemented
• A good Strategy is important… A Great Operating Model is more beneficial
• A Target Operating Model ensures everyone is aligned and knows what to do
SLIDE 2
What is an Operating Model?
• A breakdown of a business into its key components
• A framework for how an organization operates in terms of people, processes and technology
• A basis for formulating strategy and making informed decisions
What Is a Target Operating Model?
• A structure that dictates how the business should be organized
• A target state informed by strategy and opportunities for optimization
• An operational design that depicts how business objectives will be achieved
• A basis for developing operational improvement and transformation plans
• A framework that enables goal congruence
SLIDE 3
Why is a Target Operating Model Important?
• Without a Target Operating Model operations often evolve and do not fully align to the business vision and strategy
– This approach might work initially, however it has significant associated risk
– Clients and products are added, new markets are entered and acquisitions are integrated.
– People, processes and technologies build and a complicated web of inefficient and ineffective systems and processes is created
• A Target Operating Model based on the business strategy often leads to a significant competitive advantage:
– Faster decision making in areas such as launching new products, services and partnerships
– Improved client service through greater roles and responsibility definition across the organization
– Better investments as they can more easily be assessed and prioritized based on business impact
– Reduced risk from a more controlled and stable operating environment
– Higher colleague engagement and alignment from clearer strategic execution plans
– Greater long-term operational efficiency and optimization
• Businesses without a Target Operating Model typically:
– Deploy increasingly greater resources simply to manage the issue resolution and operational deficiencies.
– Decisions are slow due to the lack of clarity as to how to implement strategies
– Costs of adapting technology and processes increase exponentially
SLIDE 4
Where does the Target Operating Model Fit In?
• A Corporate Strategy must be reflected in a Target Operating Model for the Strategy to be successfully implemented
• The Target Operating Model comes below the vision and corporate strategy and above the operational planning and execution.
• The Target Operating Model can be created in layers
• The Target Operating Model for corporate, country and function level operations must be aligned and congruent with the Corporate Strategy
SLIDE 5 and 6
Focus Areas for Transformation and Optimization
1. Client Valu
Defining the Operating Model for the Digital EnterpriseLee Bryant
Earlier this week at the IOM Summit in Cologne, I gave a talk entitled ‘Defining the Operating Model for the Digital Enterprise’ that outlined what I think are the two key foundations of a digitally transformed enterprise...
The document discusses strategies for multi-channel retail and digital transformation in the retail industry. It covers several areas including retail propositions, customer segmentation and offers, analytics and insights, merchandising and point-of-sale systems, and developing an integrated multi-channel retail strategy and architecture. The document emphasizes enhancing the customer experience across channels through improved customer profiling, personalization, and loyalty programs.
The document describes components of an operating model including business units, processes, people, ownership, and metrics. It provides examples of operating models from Shell Chemicals, GlaxoSmithKline, and John Deere. The operating model expresses how an organization operates across business and technology domains to guide investment decisions and enable growth.
OmniChannel Retail Best Practices for Brands and RetailersStephany Gochuico
This research work provides retailers practical insights, real-world strategies, solutions, and recommendations to improve customer experience, increase business results and maintain competitive advantage in the retail industry.
CONTENTS
1. Why and what is OmniChannel Retail?
2. What are the consumer behaviours?
3. Who are the Best-in-Class OmniChannel Retailers?
4. What are the OmniChannel Challenges in France?
5. What are the OmniChannel Best Practices?
6. How to deal with Showroomers?
7. How to be successful in implementing OmniChannel?
Retailers need to understand how to target customers in the right way and customers need retailers to understand them and offer them something at value all the time. OmniChannel retailing is the ultimate solution for retailer to connect with their customers and provide them with outstanding customized experience.
Join our Social Learning Network:
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The document discusses Flexera Software's Operational Model Design consulting service. It helps organizations understand the complexity of entitlement management system design by cataloging business processes from prospect to support. Through workshops, Flexera analyzes the organization's operations and designs a blueprint architecture and operational model document detailing use cases. This provides requirements for developing a robust entitlement management solution and addresses issues causing high costs or limiting new products.
This document discusses Michael Porter's Five Forces model and its application to the retail industry in India. It analyzes the five competitive forces: rivalry among competitors, threat of new entrants, bargaining power of suppliers, bargaining power of buyers, and threat of substitute products. In the retail sector, barriers to entry are high. Rivalry is intense among major retailers competing for market share. While suppliers have little bargaining power against large retailers, buyers have moderate power due to retail consolidation.
This document provides an ecommerce success blueprint for brands and retailers looking to establish or grow their online presence. It outlines the four key elements of a successful ecommerce business: technology, shopping experience, customer service, and marketing. For each element, it identifies critical components like reliability and scalability for technology, conversions and mobile readiness for shopping experience, speed of delivery and packaging for customer service, and internal marketing and diversification of traffic sources for marketing. The blueprint is intended to help businesses understand and operate an ecommerce business successfully.
There are 8 common reasons why e-commerce businesses fail: 1) No real investment in the business; 2) Poor cash flow management; 3) Poor inventory management; 4) Too much competition; 5) A bad, non-functional website; 6) Poor product photography; 7) No traffic to drive sales on the website; 8) Lack of patience, as e-commerce takes time to grow. Failure to properly address these issues can lead to an 80% failure rate for new online businesses.
This document provides an instructor's manual for a chapter on online retail and services. It outlines the key teaching objectives which are to describe the online retail environment, analyze economic viability of online firms, identify challenges for different online retailer types, describe the online services sector, and discuss trends in online financial, travel, and career services. It also defines important terms, provides a brief chapter outline, and offers teaching suggestions for key topics including analyzing online firm viability and different e-commerce retail business models.
This document provides an instructor's manual for a chapter on online retail and services. It outlines the key teaching objectives which are to describe the online retail and services sectors, analyze the economic viability of online firms, identify challenges for different types of online retailers, and discuss trends in various online industries. It also defines important terms, provides a brief chapter outline, and offers teaching suggestions for the chapter.
The chapter discusses online retail and services. It covers analyzing the viability of online firms through strategic and financial analysis. It describes different e-tailing business models like virtual merchants, bricks-and-clicks retailers, and manufacturer-direct retailers. It also discusses the major trends in online financial services, travel services, career services, and sharing economy companies. The chapter concludes with a case study on OpenTable and its successful online reservation system for restaurants.
Fox Williams Fashion Law Seminar October 2014James Angus Pow
This document summarizes a seminar on the future of fashion. It discusses topics like the growth of online retail, how retailers can attract attention in an increasingly distracted world, putting retail changes in perspective globally, gaining competitive advantages through effective use of data and technology, and ensuring a seamless customer experience across physical and digital platforms. Speakers from companies like Fox Williams LLP, Country Attire and Orla Kiely shared their insights. Questions were taken at the end on issues like calculating holiday pay for commission-based workers in the fashion industry and Orla Kiely's international expansion.
Book - Retail's Last Mile Why Online Shopping Will Exceed Our Wildest Predict...Jonathan Reeve
The document discusses how online shopping is disrupting store retail. It makes three key points:
1) While some customers enjoy shopping in stores, most do it out of convenience since there were no good alternatives. This is changing as technology enables convenient online shopping.
2) An expert predicts that innovations in last-mile delivery will allow online shopping to overtake physical shopping within 20 years. However, few retailers understand how much their business models need to adapt.
3) The Amazon's of the world have embraced the changes but most retailers are unprepared for the threat of online shopping. The author urges retailers to get ready for the disruption before it's too late.
The Affiliate Masters Course is an intensive 10-DAY course on becoming a
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Raving Fan Creation by Brad Wolansky FREE downloadnick31m
This document discusses creating "Raving Fans" through excellent customer service. It argues that customer service should be viewed as a marketing investment rather than an operating expense. Traditional marketing is changing from one-way advertising to two-way engagement between companies and customers. Creating customers who rave about a company's products and services to others through social media is important for business success in today's marketplace.
10 Digital Commerce Trends from the Fashion and Apparel, 2020 ReportAlaina Carter
COVID-19 made this season quite unfashionable as, just like other industries, the fashion industry also faced the consequences of this pandemic. Thanks to digital transformation, the fashion and apparel industry has a fair chance to bounce back. Read more to know what are the 10 Digital commerce trends from the fashion and clothing, 2020 report.
This presentation provides an overview of the ways in which we can enhance the impact of your marketing efforts on your customers, your business and the world at large.
The document provides tips for successful e-commerce. It defines e-commerce and key metrics for success like traffic, customer retention, and conversion rate. Factors that contribute to e-commerce success are having a technology-oriented approach, quality customer service, clear marketing strategy, and fast website. Additional tips include understanding customer needs, competitive pricing, keeping the site simple and well-designed, and maintaining customer relationships through newsletters and engagement. EBay is discussed as an example of a very successful e-commerce company due to building trust among users.
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This document discusses key considerations for entrepreneurs and small businesses regarding e-commerce. It notes that while setting up an online presence is important, success requires ongoing investment of resources. Factors like developing customer relationships, effective promotion, and ensuring a good customer experience are vital. The document also highlights common myths around e-commerce, such as that it is easy and inexpensive or that customers will automatically find a new website. Overall it emphasizes the importance of strategy, ongoing effort, and understanding customer needs for e-commerce to be effective.
Today, entering the online world is inevitable for any business. If you simply follow the traditional ways of doing business, not only will you not have new customers, but also lose old customers. Switching to an online business means starting your own online business from scratch or starting an online business alongside your traditional business. Like other "Smart Business" books, different angles of change to online business are explained to you in this book.
The document discusses omni-channel banking and the digital transformation of banks. It summarizes the key findings from a survey of over 100 C-level bankers and bank executives on topics such as:
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2. The biggest threats to banks are seen as tech companies (25%), startups (22%), and neobanks from existing players (19%).
3. Banks are increasing budgets for digital channels and customer experience in response to these threats and changing customer demands and behaviors.
The document discusses the e-commerce market in India and strategies for small online retailers to succeed. It notes that a few major players like Flipkart, OLX, and Snapdeal dominate the online retail market. This creates enormous competition for small retailers to attract customers. However, small retailers can prosper by adopting innovative strategies like building their brand through aggressive initial marketing, making their site easy to use, and establishing credibility by exceeding customer expectations. The document also proposes an "umbrella website" business model that allows multiple small retailers to sell through one platform.
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Secrets of a Successful Sale: Optimizing Your Checkout ProcessAggregage
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3. www.jonathanreeve.com.auJonathan Reeve
We all talk about ‘digital’, but the biggest challenge for
most online retailers lies in their ‘physical’ operations
Most online retailers face an operations bottleneck. Operations issues are driving poor service, high
costs and team member frustration. These retailers are falling behind a handful of leaders who have
their online operations under control and can focus on improving their customer offer and profitability.
Designing and executing the optimal operational model for an online retailer is a challenge. The best
approach typically emerges over time and varies by sector and geography.
Throughout my work, I have witnessed the benefits of a structured long-term approach to online retail
operations, one giving equal weight to customers, profitability, and execution.
Most retailers have no option. If they can’t find profitable and scalable ways to service online demand
they will eventually become extinct.
PAGE3
INTRODUCTION
4. www.jonathanreeve.com.auJonathan Reeve
PAGE4
Today, 7% of sales are through a digital channel
and 33% have a digital component
INTRODUCTION
Sales Through A Digital Channel from US Census Bureau.
Sales With A Digital Component based on Forrester US Cross-Channel Retail Sales Forecast: 2014 To 2018 (July 2014) and Jonathan Reeve estimates
SALES THROUGH A DIGITAL CHANNEL
Ex: PURCHASING ONLINE, DELIVERY AT HOME
SALES WITH A DIGITAL COMPONENT
Ex: BROWSING ONLINE, BUYING IN STORE
2000 2015
1%
7% 4%
33%
2000 20152030
?
2030
?
5. www.jonathanreeve.com.auJonathan Reeve
PAGE5
The Internet has led to exciting new delivery options for
customers, but these add cost and complexity to retailers
INTRODUCTION
Customers
Delivery
Physical delivery
Virtual delivery
Click & Collect
“Traditional” shop
Delivery
Supplier
Store
Distribution
Centre
6. www.jonathanreeve.com.auJonathan Reeve
Challenge 1: The increased cost and complexity
of online retail fulfilment
Online is higher cost than a store….
• Online retail shifts the cost of picking and
delivery from customers to the retailer.
• Online customers are deal-focused and
expect free shipping: higher costs are rarely
recovered through higher pricing.
• Returns are a hidden but significant cost.
…and omni-channel is higher cost than online
• Omni-channel retailers face a “double-
whammy”: more customer touch-points
equals more cost and more complexity.
PAGE6
THE ONLINE OPERATIONS CHALLENGE
The Internet is having
a similar impact. It’s
still early days and
hard to know how
things will evolve:
Many will not survive
TYPICAL “END-TO-END” OPERATING COSTS (% OF SALES)1
20%
25%
STORE ONLINE OMNI-CHANNEL
(STORE & ONLINE)
30%
1. True “end-to-end” costs are often not reported, e.g. because online fulfilment is cross-subsidised by other areas.
7. www.jonathanreeve.com.auJonathan Reeve
PAGE7
Challenge 2: The need for new mindsets across
the organisation
THE ONLINE OPERATIONS CHALLENGE
Area From To
Store Teams Service business model Process business model
Supply Chain Satisfactory stock record accuracy Excellent stock record accuracy
Logistics Transport of cases Transport of singles
IT Legacy, reactive Agile, pro-active
8. www.jonathanreeve.com.auJonathan Reeve
PAGE8
Challenge 3: The rise of online disrupters
THE ONLINE OPERATIONS CHALLENGE
Lockers to solve the
problem of inconvenient
delivery timeslots
Automated warehouse
fulfilment
Amazon Dash –
simplified ordering
(eliminating the
shopping list)
Ordering Fulfilment Delivery
Innovation
examples:
9. www.jonathanreeve.com.auJonathan Reeve
Challenge 4: Many retailers lack confidence in
the new world of online retail
The impact of the Internet is rather like
a meteor.
65 million years ago a meteor 10 km
wide and travelling at 30 km / second
hit the Yucatan Peninsula in Mexico.
At first there were few effects outside
the area hit, but gradually the
earth’s atmosphere changed.
Clouds of dust started to block the
sun, slowly transforming the climate.
Over time, only 30% of species
adapted to the new climate.
PAGE9
THE ONLINE OPERATIONS CHALLENGE
We can look at the
Internet through the
same lens. We’re still
in the early days and
it’s hard to see
through all the dust
and know how things
will evolve.
10. www.jonathanreeve.com.auJonathan Reeve
PAGE10
Online retail mindsets: Which one applies to you?
Mindset Approach Focus Pay-Off
Creative
“We’re creating a new way for
the future.”
Future 10x
Reactive “We’re reacting to the world we
see now.”
Present 4x
Passive
“There’s no need to adapt or
change.”
Past 1x
THREE ONLINE RETAIL MINDSETS
11. www.jonathanreeve.com.auJonathan Reeve
The passive mindset
Many retailers believe they don’t need to change and only adjust
their operations when they are forced to.
Walmart is the world’s largest retailer. In 2003, it had no online grocery
business in the US. In fact, it only started testing the idea in 2011 with
one trial in its home state.
Today, Walmart is making significant investments in an online grocery
offering and having to solve online challenges that could have been
addressed ten years ago.
Meanwhile, Amazon has been making steady progress and in 2015,
its stock market value exceeded that of Walmart for the first time.
PAGE11
THREE ONLINE RETAIL MINDSETS
1. Walmart’s UK subsidiary Asda did start offering online grocery several years earlier than Walmart in the US.
Walmart would have gained some learning from this experience, although the UK market is very different to
the US and the internal challenges will be different in each organisation.
12. www.jonathanreeve.com.auJonathan Reeve
The reactive mindset
The most common mindset of retailers is to respond to
what competitors are doing or to short-term, internal
priorities.
For example, retailers are encouraged to become “Omni-
Channel” which translates to serving customers whenever
and wherever they want to shop.
In practice, many Omni-Channel retailers are prioritising
the customer offer over their profitability and ability to
execute, but feel they have no option but to match their
competitors1.
An example is the US trend to store-based fulfilment. It has
its place but is high cost and therefore will not be the
foundation of a profitable long-term strategy.
PAGE12
THREE ONLINE RETAIL MINDSETS
1. A 2014 survey by PWC found that only 14% of Omni-Channel initiatives were profitable
13. www.jonathanreeve.com.auJonathan Reeve
The creative mindset
Some retailers shape their markets by creating an optimal model for the
future. Typically, these are the start-ups or new entrants. But there are
no barriers to incumbents taking this approach.
In 1995, two British grocery executives attended a consulting
conference. At this time, only 25% of households had computers.
During the conference, a consultant predicted that one day, shoppers
would order groceries from their kitchens. Attendees nearly fell off their
chairs laughing. But the executives, Tesco’s then CEO and Marketing
Director, saw how convenient it would be to have groceries delivered
to customers’ doorsteps. As a result, they set up Tesco.com in 1996.
Putting yourself in your customers’ shoes is the first step. But the secret to
Tesco.com’s success was a relentless creative effort to solve two other
challenges at the same time as making life better for customers:
• What is the most efficient way to get the job done?
• How do we make life simple for the teams who actually do the work?
PAGE13
THREE ONLINE RETAIL MINDSETS
1. Sir Terry Leahy and Tim Mason. Story related in Management in Ten Words by Sir Terry Leahy
14. www.jonathanreeve.com.auJonathan Reeve
Model: 3 pillars of profitable online operations
There are three pillars to profitable online operations:
1. Customer offer: how could we improve the way our
customers’ needs are met?
2. Operating model: how can we profitably deliver the
customer offer?
3. Execution: how do we make it happen?
Most online retail strategies prioritise one aspect of the
operations plan – usually the customer offer. It is then left to
other teams to figure out how to deliver the offer to
customers and make a profit.
The key is to focus on all three from the start.
PAGE14
PROFITABLE ONLINE OPERATIONS
1. CUSTOMER OFFER
Efficiency
15. www.jonathanreeve.com.auJonathan Reeve
1: The customer offer
It all starts with the simple question: “what
business are we in?”
Many companies focus on improving what they
do now not what their customers actually want.
For example:
• Kodak invented the digital camera but did
not commercialise it
• They thought their business was “creating
better quality photos”
• Whereas what Kodak’s customers really
wanted was “to capture memories”
Incumbents tend to overlook customer
inconveniences that also affect their
competitors.
PAGE15
PROFITABLE ONLINE OPERATIONS
DISRUPTERS FOCUS ON ISSUES WITH THE MODEL:
SHOPPING EXAMPLE
Incumbent focus Disrupter focus
Range Effort to write shopping list
Pricing & promotions Travel to / from store
In-store service
Time selecting products
16. www.jonathanreeve.com.auJonathan Reeve
2: The operating model
Online retailers have many options to ensure
customers receive their products. Every option
has its own cost profile and operational pros and
cons. These can change as volumes increase.
Every sector has its own dynamics and the
optimal fulfilment method can vary even for
products sold in the same store, for example:
• Video games
• Consumer electronics
• White goods
PAGE16
PROFITABLE ONLINE OPERATIONS
DIFFERENT MODELS MAY BE RIGHT FOR DIFFERENT TIMES
VOLUME
COST /
UNIT
OPTION C
OPTION B
OPTION A
17. www.jonathanreeve.com.auJonathan Reeve
3: Execution
A good business model design sets up an opportunity to make money. Execution
makes it happen. There are three key phases in execution:
1. Set up
2. Manage performance
3. Continuous improvement
The cause of many execution failures is when the
Managers who build the strategy don’t think about
making life simple for the teams who do the work.
PAGE17
PROFITABLE ONLINE OPERATIONS
Example
Webvan set out to revolutionise supermarket shopping
with a direct-to-customer model. It had the backing of
some of the smartest investors in Silicon Valley and
George Shaheen the CEO of Andersen Consulting (now
Accenture) had quit his role to lead it.
Gary Sargeant, an early Head of Tesco.Com, visited one
of Webvan’s warehouses when its valuation was $5 billion.
Gary knew immediately the business wasn’t going to work
because the warehouse design did not make life simple
for the teams who had to do the work. Most of the
female employees were having to stand on crates to
operate the equipment.
Webvan went bust just a few months later.
18. www.jonathanreeve.com.auJonathan Reeve
The hidden engine of online retail
Too often I see online retail strategy focused on
designing a great customer offer. The challenge
of how to profitably deliver that offer is left to
teams who may have had little involvement in the
decisions.
The best online retailers know that taking an
operations perspective at every stage delivers
higher sales growth, lower costs and happier team
members.
PAGE18
PROFITABLE ONLINE OPERATIONS
1. CUSTOMER OFFER
Efficiency
19. www.jonathanreeve.com.auJonathan Reeve
Reflection points
What is your mindset around online retail?
• Passive
• Reactive
• Creative
Is anyone in your market working to eliminate the key sources of
dissatisfaction for your customers?
What is really driving your online strategy?
• Improving your customer offer
• Increasing your profitability
• Removing barriers to execution
• All of the above
PAGE19
REFLECTION POINTS
What are the jobs your
customers are looking
to get done?
20. www.jonathanreeve.com.auJonathan Reeve
About the author
Jonathan Reeve is passionate about helping retailers to develop
profitable, stress-free, online operations.
Jonathan has worked in online businesses in three continents over the
past 15 years and was part of the team that developed the operating
model for Tesco.com, the world’s leading online grocery retailer.
Jonathan’s unique perspective comes from having both developed
online strategy and led the front-line teams who deliver the service to
customers.
Jonathan has an MA in Economics from Cambridge University and an
MBA (with Distinction) from INSEAD. His prior roles have been with Tesco,
Coles, Aussie Farmers Direct, Goldman Sachs and Arkwright Consulting.
Jonathan lives in Melbourne with his wife Anna and sons Leo and Max,
enjoys keeping fit and has completed several ultra-marathons and
Ironman triathlons.
PAGE20
ABOUT THE AUTHOR
21. www.jonathanreeve.com.auJonathan Reeve
Adviser, Speaker and Author
Jonathan’s soon to be released book THE FUTURE OF RETAIL helps make sense of the unprecedented
change underway in almost every retail sector. Jonathan applies his strategic, academic and practical
experience to explain the trends reshaping retail and how to respond to the new reality.
Jonathan’s keynote presentation THE FUTURE OF RETAIL is designed for organisations looking to develop
their leaders to understand and respond to the trends reshaping retail. Drawing on fifteen years of retail
experience, Jonathan presents an entertaining keynote that will inspire as well as inform the audience.
Jonathan advises teams at all levels and offers a range of services including strategy development and
implementation, online operations diagnostic audits and one-to-one mentoring. “Benchmark Your
Online Operations” is a popular option for retailers who’d like to understand how they stack up against
global best-practice. This includes a leadership de-brief session as well as the feedback report.
Jonathan writes a regular blog. You can sign up to this on his website or by emailing him.
Phone: +61 428 537 925
Email: jr@jonathanreeve.com.au
Website: www.jonathanreeve.com.au
PAGE21
ABOUT THE AUTHOR
22. www.jonathanreeve.com.auJonathan Reeve
PAGE22
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This version: 15 January 2016.