In addition to financial challenges, South African consumers' expectations continue to grow; the only way to ensure a brand's long-term success is to find new ways to meet and exceed those expectations.
Omni-channel strategies and value added services have delivered good results for many retailers, with mobile enablement being a recent focus. Similar opportunities, such as gift carding, loyalty programmes and coupon campaigns are key offerings that have also assisted many retailers in a downturn economy.
The combination of mobile technology with these services provides the added incentive of inviting customers to interact with retailers, both in-store and at home, using their cellphones.
Mobile platforms are not the only technology advancement; the in-store experience is also becoming more technically advanced. Virtual dressing rooms and communicating with shoppers through RFID tags are no longer the stuff of legend and tablets have become the shopping companion for many customers.
Online channels have taken off and customers are using store websites more than ever before. Shop online and pick up in-store options are growing internationally. Amazon Prime signed up one million members the week before Christmas alone and eBay Now's one-hour-delivery service, which uses couriers to deliver items from stores, was so successful in its 2013 trial that the company plans to expand to more than 20 new cities this year.
Looking at new product offerings must be high on the strategic agenda, including airtime sales, which continue to contribute significant income for many retailers; however, they are under threat as alternate distribution channels find traction.
As shoppers are choosing their stores far more carefully to stretch their festive budget, it becomes increasingly important that customer behaviour is monitored and influenced through comprehensive customer engagement offerings.
Successful implementation of the above strategies requires more than just ensuring your store has the required technology in place. Retailers need to balance their strategic changes, new platforms and campaign innovations with their financial reality so that they fit into the budget cycle of operations. In addition, customer engagement strategies require a long lead-time; additional systems or upgrades may need to accompany new campaigns and staff must be trained well in advance. All this will need to take place without interrupting regular trade in the months leading up to the festive season.
Collaborating with savvy service providers allows for quick rollout of these services and, as long as planning and training take place early in the year, retailers can look forward to a successful festive season.
