Omnichannel vs Multichannel Retailing.
Omnichannel in Retail
As the retail environment continues to evolve post-pandemic, retailers are searching for the ideal strategy to unify their commerce platforms.
For this month’s blog we will be looking at omnichannel; we’ll explain what it is, why it’s important, and how a unified customer experience can help retailers get more from customers.
“Studies have shown that omnichannel shoppers tend to spend more than those who use one channel exclusively.”
- Retail Pro RPI Blog “Get the Omnichannel Word Out to Customers” (Mar. 2022)
Omnichannel Vs Multichannel
Most retail companies now operate multichannel strategies allowing customers to interact on multiple traditional and emerging platforms, e.g. store, web, mobile, email, social media etc., but these are often the responsibility of separate departments within the business, with varying degrees of overlap, which can sometimes cause friction with customers.
Omnichannel unifies these channels with a cohesive brand voice across all platforms offering a seamless experience at every customer touchpoint. The customer’s journey is streamlined to ensure a smooth transition at every stage, regardless of how they choose to interact, from pre-purchase to post-sales and everything in between.
Companies who employ omnichannel strategies not only benefit from increased customer satisfaction and retention, but gather detailed analytics and insight from all touchpoints that inform strategic decisions enabling hyper-personalised dynamic engagement, that in turn strengthens brand loyalty and ultimately achieves a higher ROI.
89%
of customers are retained by companies with omnichannel customer engagement compared to 33% for companies without omnichannel strategies.¹
64%
of shoppers say their primary way of shopping in the last six months has been hybrid, i.e. both online and in-store.²
70%
of online shoppers have used buy online, pick up in-store (BOPIS) services.¹
97%
of Gen Z shoppers use social media as their main source of inspiration for shopping.³
53%
of shoppers say that User Generated Content (UGC) from genuine customers, such as images on social media, inspires more confidence than professional photography.²
82%
of digital shoppers state the ability to check product availability before visiting a store as one of the most desired retail capabilities.¹
1. Invesp Blog, “The State of Omnichannel Shopping” (2022), 2. Bazaarvoice Report “Shopper Experience Index” (2022), 3. The Influencer Marketing Factory Report “The Status of Social Commerce” (2022)
The Time Is Now for Omnichannel
The past few years have seen huge shifts in the way people are shopping. Although online sales soared during pandemic restrictions, customers also came to appreciate the value of shopping in a physical store and flooded back to the high street as soon as restrictions were lifted. Success in the current retail landscape relies on the successful adoption and integration of online and in-store retail capabilities simultaneously - omnichannel is the solution.
Furthermore, the requirement for social distancing brought about services and conveniences, such as click and collect; buy online, pick up in-store (BOPIS); and local delivery, that have impacted customers’ expectations. Effective provision of these services relies on the unified commerce data provided by omnichannel systems.
Aside from the pandemic, the retail market is also being altered by new generations with different shopping habits. As millennials’ preference of online shopping increased ecommerce, Gen Z trends have led to an increase in social commerce – meaning they expect to complete the entire purchasing process without leaving their preferred social media platform. As customer habits evolve, the importance of a frictionless customer journey between channels is greater than ever.
“All retailers should immediately address the […] issues of omnichannel retail.”
- Insider Intelligence Report “UK Post-Pandemic Retail” (Nov. 2021)
Embrace Omnichannel
with Pinnaca & Retail Pro Prism
Omnichannel can mean something different to everyone and there is no one-size-fits-all approach to implementing it. Pinnaca works closely with many retail partners offering multiple integration solutions to help their businesses achieve a unified customer experience, and with Retail Pro Prism at the business end, success is inevitable.
Retail Pro Prism is a scalable, comprehensive software package that can be cloud-based and offers remote support - ideal for an expanding company. Our client Miniso UK has opened ten new stores in the UK to date, and plans to expand rapidly in the next five years. The scalability and desire to develop the online and offline customer experience simultaneously was a key factor in selecting Retail Pro Prism as a solution. As proud business partners for Retail Pro solutions, we were happy to work with Retail Pro and Miniso UK on the successful implementation at each store, and look forward to partnering on future stores.
Pinnaca offers a real-time POS solution allowing for in-store counter POS and mobile POS. We are masters at integration, with specialist skills in retail, and you can expect expert guidance with the following:
E-commerce
Integrations with e-commerce platforms, be it Magento, Shopify, Woo Commerce, Big Commerce, plus others.
ERM
Integrations with ERM solutions, such as SAP, Microsoft Dynamics, Info M3, Stealth, plus others.
WMS
Integrations with warehouse management systems (WMS).
CRM
Integrations with CRM solutions, such as Salesforce.
Payment Systems
Integrations with integrated payment systems, including loyalty and gift card solutions, as well as catering for buy now, pay later (BNPL) applications, like Klarna.
In-store Kiosks
In-store kiosks for self checkout.
RFID
Integrations with RFID powered by RIOT.
Business Intelligence
Business intelligence features which offer a global view of the business and a single version of the truth.
We have lived the omnichannel dream and seen the benefits it has had for our clients.
Whatever you need and whatever your challenges we have likely been there before and, if we haven’t, we are the perfect partner to help find a solution with you.