This document discusses strategies for retail success in the early 21st century. It notes that shoppers now expect seamless shopping experiences across online and offline channels. Winning retailers are those that understand shoppers' transactional, service, and experiential needs and can deliver relevant experiences. The challenges for retailers are being agile and having the ability to stimulate the organization with insights, project future shopper needs, and energize the shopping experience through employees.

1. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 1
DELIVERANCE
STRATEGIES FOR RETAIL
SUCCESS IN THE
EARLY 21ST CENTURY

2. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 2
Source: IBM Institute for Business Value study 2014
CLICKS BRICKS
2012
2013
PERCENT OF LAST PURCHASES REPORTED BY CHANNEL
72%27% 72%
84%14% 84%
CLICKS BRICKS
AVERAGEBRANDDESIREINDEXSCORE:BRICKSVSCLICKSBRANDS
2011
80
2012 2013
97
100
119
103
105
112
Source: Clear’s Brand Desire survey 2011-2013, US & UK
ONEALMIGHTY
CHALLENGETwentieth century shopping just can’t seem to change fast enough
for shoppers in the twenty first century. This is reflected not just in
shoppers’ rapid adoption of e-commerce, but also in their rising desire
for those brands that are fulfilling their needs online.
These online brands, increasingly enabled by mobile technologies,
have set new standards for shopping – the ability to compare prices
and reviews, to pre-check inventory, to checkout with ease, even to
get great customer service.
Where even only three years ago we were yet to be convinced about
online brands, they have raised the ante so far and fast that we now
simply expect all our shopping to meet the standards they’ve set.
But to suggest this is a battle between online and real world shopping
is misleading. This isn’t about supremacy of one over the other.
It’s about making retail experiences more relevant.

3. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 3
“DIGITALISATITSVERYBESTWHENIT
PROMOTESREALWORLDINTERACTIONS”
JACK DORSEY + founder of Twitter and Square
RELEVANT
RETAILThough near perfect shopper experiences of e-fulfillment integrated
with real world interaction are still tantalizingly rare, when they do
happen it’s extremely potent for shoppers.
But that potency cannot accurately be described as ‘omnichannel’.
It’s a term that doesn’t accurately reflect the needs and expectations
of the shopper. Shoppers are omnichannel but that doesn’t mean they
expect retailers to be.
What shoppers now expect – all that they expect – is for their
shopping experiences to come together in the right way at the right
time and in the right place.

4. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 4
Each of these shopper needs has different levels of relevance
across different sectors and occasions. Each can be optimized, both
in its own terms, as well as by stretching into adjacent drivers, to
deliver competitive advantage in retail.
TRANSACTIONAL SERVICE EXPERIENTIAL
SHOPPER
NEED
BROWSABILITY
PRICE ASSURANCE
ONLINE
OFFLINE
CONVENIENCE
ADVICE
SAMPLING
SOCIABILITY
OPTIMUM
CHANNEL
VALUE
DRIVERS
Source: Clear’s Shopperfection model
TRANSACTIONAL SERVICE EXPERIENTIAL
RELEVANT
RETAILDelivering interaction relevance has become retail’s latest greatest
challenge. It involves understanding and designing retail experiences
around three very specific needs:

5. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 5
Source: Brand Desire data (UK US 2013) for Transactional, Service and
Experiential type retailers (representative buckets of type brands)
TRANSACTIONAL
EXPERIENTIAL
SERVICE
DESIRABILITYOFTRANSACTIONAL,SERVICEANDEXPERIENTIAL
RETAILBRANDS
96
139
149
When the performance of brands stretching into each of these
driver types is compared, the value of meeting extra shopper needs
is clear to see. Retailers that get this mix right, and augment their
transactional offer with relevant service and experiential elements,
are winning – their brands are more desirable.
RELEVANT
RETAIL
But again, this isn’t about delivering everything across all channels,
it’s about delivering relevance in shopping experience - trading
off price vs experience, advice vs browsability, convenience vs
experience. It’s about deliverance.

6. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 6
DELIVERANCE
WHO’SBRINGINGIT?
WALMART APP
According to Walmart, its app-
wielding customers make twice the
shopping trips and spend 40% more
than non-app users.
BROWSABILITY
PRICE ASSURANCE
SAINSBURY’S BRAND MATCH
Sainsbury’s proprietary automated
price matching mechanic is helping it
win in UK grocery wars. Shoppers get
realtime payback with this permanent
price checking offer.
Photo Source: Flickr, Sainsbury, J
MACY’S AND SHOPKICK
Macy’s has partnered up with
Shopkick app and Apple’s iBeacon
to trial “flag and tag” – sending
contextual, personalized information
and offers to its shoppers as they step
in store.
Photo Source: Gizmodo.comPhoto Source: Theverge.com
AMAZON’S SCANNER APP
Showrooming has rapidly become a
major revenue stream for Amazon, as
app-enabled shoppers stroll Main St
getting the best prices delivered to
their door with a single touch.
Photo Source: techorange.com
TRANSACTIONAL

7. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 7
KINDLE FIRE’S MAYDAY
Customer help’s evolving
beyond face-to-face and
tele-conversations, enabling
interactions to happen on
shoppers’ terms - like Kindle’s
on-demand support with the
push of a button.
THE HOINTER TOUCH TAG
Startup Hointer promises to
revolutionize in-store fulfillment,
not least with its touch tag that
uses NFC technology to fit you to
the right clothes and feed socially
mediated ratings.
Photo Source: Youtube, Kindle Photo Source: BBC News / http://www.bbc.com/
news/business-22342626 - © [2013] BBC
VENMO TOUCH
Venmo’s one-touch mobile
wallet makes mobile shopping
transactions feel more personal
and enjoyable, allowing customers
to keep their focus on the
excitement of their new purchase.
MACY’S MICRO
DISTRIBUTION
500 stores now do double duty as
fulfillment centers so customers
can order and pick up from any
location, same day if needed -
already 10% of online sales are
fulfilled from stores.
Photo Source: Youtube, VenmoTV Photo Source: Vimeo, Catherine Rigod
CONVENIENCE
ADVICE
SERVICE

8. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 8
CONVENIENCE
ADVICE
SERVICE
AMAZONFRESH
Amazon’s new grocery service
delivers fresh, however shoppers
want it – next day, local pick-
up, even on Sundays. All price-
assured and with a single touch.
Watch this space...
BOSTON PROPER, BURBERRY,
J CREW
Smart apparel retailers are using
smart data interfaces to provide
personalized advice based on shopper
preference and behavior. Clothes
buying’s no longer left to
a rack trawl.
Photo Source: Vimeo, Gin Lane Media Photo Source: Flickr, Atomic Taco
LOWE’S FIX IN SIX
The big box store is sharing DIY tips
into 6 seconds videos on Vine. Learn
how to unscrew a gnarly, stripped
screw using a rubber band, or how
to save money and time on paint
tray clean-up. There’s also great
cost-saving advice.
Photo Source: Tumblr, Lowes

9. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 9
SAMPLING
SOCIABILITY
EXPERIENTIAL
THE BURBERRY EXPERIENCE
Take a trip to London’s Regent Street
and drink in this ‘web experience
made live’ at the Burberry store: from
selection-activated catwalk videowall
to iPad enabled sales staff.
KATE SPADE SATURDAY
eBay teamed up with women’s fashion
retailer Kate Spade to give new
meaning to window shopping – 24hr
shoppable store windows, promising
1-hour delivery anywhere in NYC.
Photo Source: Youtube, National Retail Federation
INDOCHINO WARBY PARKER
Two very exciting startups with similar
stories – ecommerce concept now
opening experiential stores and setting
the standard for merging online and
real-world shopping.
Photo Source: Flickr, Techvibes Photo Source: Blogspot, sandinourstilettos
VIRGIN MONEY LOUNGES
Members now get to use their local
bank as a place to meet up with
friends, get advice, and get involved
in local enterprise.
Photo Source: Flickr, VirginMoney

10. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 10
SAMPLING
SOCIABILITY
EXPERIENTIAL
LULULEMON STORE YOGA
SESSIONS
The seemingly unstoppable trendy
yoga kit store has done lots of
people lots of favors, and created
a real buzz, with the free yoga
classes it puts on outside its stores
regularly.
FOURSQUARE CHECK INS
Foursquare’s location-based social
platform may now be coming of age,
alerting users of nearby haunts and
offers based on your and your friends’
past activities.
Photo Source: Flickr, Mark Morgan Trinidad Photo Source: Facebook, Lululemon
DIANE VON FURSTENBURG’S
HANGOUT
DVF’s fashion video interview lets
viewers tune in to live inspirational
talks by the designer herself, while
getting the opportunity to buy
limited edition outfits as they appear
on screen.
Photo Source: Youtube, DVF

11. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 11
DELIVERING
RELEVANCEOf course, the realities of delivering to shoppers’ rapidly evolving
expectations are huge. Not just in terms of infrastructural change,
and the cap-ex involved in that, but, crucially, organizational too.
Recent research conducted by Clear shows us that what’s delaying
the realization of that innovation opportunity is retailer organizations’
abilities to gather and deploy resources in the right way. They need to
be agile.
Our research shows that more than half of retailers surveyed either
struggle to see beyond their own internal workings or to adapt to
external change.
46%
5%
39%
11%
EXTERNALCONCERN
INTERNALCONCERN
PROACTIVE
REACTIVE
SETTINGTHEBAR
INWARDLYFOCUSED
STURDYBUTBLINDLYFOLLOWING
WALLOWINGINTERNALLY
THEAGILITYCHALLENGE
Source: Clear’s 2014 Cost of Change survey of 103 business leaders.

12. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 12
70%
60%
50%
40%
30%
20%
10%
0%
STIMULUS PROCESSPEOPLE ACTIONS
Competitive
strategy goes
beyond
reviewing
research
reports
Insights are
communicat-
ed effectively
thru the
organization
Our insights
team is ahead
of the trends
that matter
most
We are well
incentivized
to deliver on
actionable
insights
Industry
trends are
quantified
for potential
business
impact
Measure-
ments are
in place to
benchmark
success
Clear
action
plans
accommodate
new initiatives
Success is
defined at the
start of every
new project
Employees
are
empowered
to make their
own decisions
Our structure
allows
for fluid
There is
consensus
from the top
on the goals
of the
company
New
initiatives
are properly
socialized
across the
company
Proactive organizations Reactive organizations
DIFFERENTIATINGBEHAVIORSOFAGILITY
Source: Clear’s Cost of Change survey of 100 organizations: Differentiating behaviors
DELIVERING
RELEVANCESpecifically, our findings point to critical differences in organizational
approach, from providing sufficient stimulus for decision making to
actually putting the right actions in place.
What did our survey identify as the three greatest differences
between proactive and reactive organizations – the things that
really deliver relevance? Stimulating the organization with insight;
projecting the direction of travel of shoppers’ needs; and energizing
the shopping experience via staff.

13. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 13
#1.STIMULATE
WHAT WE DID
Clear helped a global electronics
retailer reach a single view of
consumer and shopper needs. We
enhanced 30 markets’ existing UA
data with fresh shopping mission and
journey mapping.
We compiled our findings into a set
of compelling insights and stimulus,
socialized across the business using
mobile platform apps.
AGILITYRULES
Agile retailers are feeding their culture the right stuff. They are
allowing themselves to be driven by insight.
Not only that, but they’ve set up internal communication paths
that enable rapid and widespread dissemination of those insights
across the whole business – not just within the insight dept.
Given shoppers’ rapidly changing expectations and behavior,
a great place to start is on shopper missions. How are they
changing, what’s the impact of digital, where is your brand’s core
territory in people’s minds?

14. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 14
WHAT WE DID
Clear helped a global credit card
provider evaluate how people’s money
needs and behaviors were changing.
We established a fresh view of how
shoppers view lending and spending,
and sized the growth potential of
different types of borrowing.
This exercise meant we didn’t just find
out where they should play but also
how to win there.
Agile retailers have recognized the dynamic nature of their market
and plotted ahead of the curve so they can drive the business in
the right direction.
They’ve taken into account the discontinuities going on in their
space, identified all the possible places they could compete, and
established which ones they should compete in.
Since the retail marketplace is very much not a static one right
now, defining what shoppers’ core value drivers are now, and
quantifying how they are changing, is critical.
#2.PROJECT
AGILITYRULES

15. DELIVERANCE: STRATEGIES FOR RETAIL SUCCESS IN THE EARLY 21ST CENTURY | WEARECLEAR.CO 15
WHAT WE DID
Clear helped a leading European restaurant chain to define
a fresh vision for its category.
Then we established where their brands should be working
hardest, and redefined them as cultural drivers.
This energized the overall guest experience, in particular by
directing staff on how to engage.
You’ve only got to look at the retailers that are winning to see they’ve
got a clear steer on what differentiates their brand, and how that
focuses the shopping experience.
That focus ultimately defines what moments the shopper remembers,
and that energize their people to live the brand loud. Ultimately your
staff should be your most differentiating, productive touchpoint.
So your brand should be acting as a change agent: use it to get your
people aligned on those key areas, to hire and train the right talent, to
‘deliver the goods’.
AGILITYRULES
#3.ENERGIZE

16. 16@ 2014 Clear Ideas. All rights reserved.
CLEAR-IDEAS.COM
CLEARISAMARKETINGSTRATEGYCONSULTANCY
WITHOFFICESINNEWYORK,LONDON,
SINGAPOREANDSYDNEY.ITSPECIALIZESIN
INSIGHT-LEDSTRATEGYANDINNOVATIONAND
HASDELIVEREDPROJECTSFORRETAILCLIENTS
SUCHASWALGREENS,ASDA-WALMART,
JOHNLEWISANDBOOTS.
ABOUTCLEAR