Retailer and e tailers - final

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Transcript of Retailer and e tailers - final

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From   chapter   seven   of   Andrew   Pearson’s   book   Going   Mobile:   Going   Social,   available   at   Amazon.com   -­‐-­‐  

http://www.amazon.com/Going-­‐Mobile-­‐Social-­‐Andrew-­‐Pearson-­‐

ebook/dp/B00Q49WHD4/ref=sr_1_1?ie=UTF8&qid=1420254894&sr=8-­‐

1&keywords=going+mobile%3A+Going+social    

 

Retailer  and  e-­‐tailers  

The  majority  of  retailers  worldwide  now  realize  that  mobile  is  an  important  marketing  and  selling  channel  for  them  

and  mobile  is  really  the  only  channel  that  helps  consumers  move  from  online-­‐to-­‐offline  seamlessly.  “Research  shows  

retailers  will  generate  approximately  $689  billion  through  mobile-­‐influenced  sales   in  2016.  Currently,  58  percent  of  

smartphone   owners   use  mobile   for   in-­‐store   related   shopping   and   are  more   likely   to   convert   in-­‐store   as   a   result”  

(Abramovich,  2013).  

Retailers   should   view   their   business   through   the   lens   of   omni-­‐commerce—the   evolution   of   multi-­‐channel  

retailing   that   is   “concentrated   more   on   a   seamless   approach   to   the   consumer   experience   through   all   available  

shopping  channels,  i.e.,  mobile  internet  devices,  computers,  brick-­‐and-­‐mortar  businesses,  television,  radio  direct  mail,  

catalogs,  and  such”  (Wikipedia.org).    

“The   omni-­‐channel   consumer   wants   to   use   all   channels   simultaneously,   and   retailers   using   an   omni-­‐channel  

approach  will  track  customers  across  all  channels,  not  just  one  or  two.  In  the  brick-­‐and-­‐mortar  channel,  digitally-­‐savvy  

customers   are   entering   stores   already   well-­‐informed   about   a   product’s   features   and   prices,   and   expect   store  

employees   to   know   more   than   they   do”   (Wikipedia.org).   Here   retailers   have   two   options;   act   as   if   nothing   has  

changed,  i.e.,  bury  their  head  in  the  sand  and  hope  to  deal  only  with  the  uninformed  consumers;  or  embrace  this  new  

technology   and   offer   customers   what   they   really   want—a   customized,   personalized   shopping   experience   from  

wherever  and  whenever  they  want  it.    

 With   omni-­‐channel   consumers,   all   shopping   channels   work   in   concert,   from   the   same   database   of   products,  

prices,  promotions,  etc.  (Wikipedia.org).  “Instead  of  seeing  a  variety  of  touch-­‐points  as  part  of  the  same  brand,  omni-­‐

channel  retailers  let  consumers  experience  the  brand,  not  a  channel  within  a  brand.  Merchandise  and  promotions  are  

not   channel   specific,   but   rather   consistent   across   all   retail   channels.   The   brick-­‐and-­‐mortar   stores   become   an  

extension   of   the   supply   chain   in   which   purchases   may   be   made   in   the   store,   but   are   researched   through   other  

channels   of   communication”   (Wikipedia.org).   In   terms  of   omni-­‐channel   retailing,  marketing   is  made  more   efficient  

and   personal   because   offers   made   to   a   consumer   are   determined   by   previous   purchase   patterns,   social   network  

affiliates,  Website   visits,   loyalty   programs,   and   other   information   extracted   from  multiple   data  mining   techniques  

(Wikipedia.org).    

Omni-­‐channel  marketing  can  also  work  with  most  of  the  channels  I  discuss  throughout  the  rest  of  this  chapter,  

including  such  diverse  channels  as  augmented  reality,  CSC,  geofencing  applications,  OTT,  QR  codes  as  well  as  many  of  

the  social  media  platforms  I  discussed  in  chapter  three.  

In   her   article   Engage   Customers   and   Gain   Advocates   Through   Social   Media   and   Social   Networking,   Wendy  

Neuberger  argues   that:   “Social   commerce   is   about  making  a   retailer’s  brand  a  destination.  Retailers   really  need   to  

listen   to  what   their   customers  are   saying.  Customers  can  provide  valuable   input  and   feedback   that   can  be  used   to  

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make   more   informed   assortment   decisions,   changes   to   Website   features   and   enhancements   to   the   shopping  

experience.”    

“When  customers   feel   their  voice   is  being  heard,   they   feel  a  stronger  connection  to   the  retailer  and  are  more  

likely  to  become  advocates”   (Neuberger).  Neuberger  claims   it   is   important   for  retailers  to   identify  and  engage  with  

the  key   influencers   for  several  reasons,   the  two  most   important  being:  “to  empower  their  advocacy  or  capabilities,  

which  helps  build  and   foster  a   sense  of   community  among  brand   loyalists,   and  empowers   those   loyalists   to  better  

advocate  on  behalf  of  a  brand,  product  and/or  service”  (Neuberger).  

Neuberger  recommends  that  retailers  use  the  following  social  media  platforms:  

• Blogs:   retailers   can   provide   additional   product   or   category   information   here   as   well   as   post   how-­‐to  

information  in  the  form  of  text,  photos  and/or  videos.  Retailers  should  also  provide  space  for  customers  to  

add  feedback  and/or  comments  about  their  retailing  experience.  

• Micro-­‐blogging:   coupons,   sales   and   promotions   can   be   offered   through   these   channels.   Retailers   can  

“‘tweet   press   releases,   provide   exclusive   tips   and   tricks   to   customers,   and   ask   for   customer   feedback,  

suggestions  or  ideas  for  improvements.  Some  retailers  even  use  Twitter  as  a  customer  service  mechanism”  

(Neuberger).  

• Co-­‐Shopping:  this  is  a  form  of  social  shopping  and  it  enables  two  people—a  customer  and  sales  associate  or  

two  shoppers  in  different  locations—to  share  a  joint  shopping  session  using  live  instant  messaging  such  as  

Skype,  WeChat  or  any  number  of  other  OTT  services  (Neuberger).  

• Widgets:  these  are  tiny  applications  that  can  be  embedded  into  a  Web  site,  blog  or  social  network  that  are  

portable  and  relatively  inexpensive  to  create.    

• Social  Bridging:  anyone  who  has   signed   into  a  website  using   their  Facebook,  Pinterest  or  Twitter  account  

knows  what  social  bridging  is.  “This  level  of  authentication  provides  enough  credentials  to  participate  in  the  

social  elements  of  the  site.  Additional  authentication  is  required  to  complete  a  shopping  transaction  due  to  

the  sensitivity  of  the  content  included  in  a  shopper’s  account.  Social  bridging  can  be  used  to  drive  traffic  and  

engage  existing  and  new  customers.  It  can  access  a  user's  identity,  their  social  graph,  and  stream  activities  

such  as  purchases  and  other  social  participation  on  the  retailer’s  site”  says  Neuberger.  

• Mobile  Social  Networking  Applications  allow  users  to  access  social  networking  directly  from  a  smartphones.  

All  of   the  social  networking   tools  described  above  can  be  used  on   the  mobile  device,  and   this  method  of  

interfacing  is  rapidly  growing.  

• In-­‐Store  Kiosks   and  Flat  Panels   can  be  provided   to  enable   customers   to  use   social   networking   tools   from  

within  a  store.  

 

Mobile   and   social  media  marketing  has   the  potential   to   revolutionize   the  paradigms  of   retailing   from  ones   in  

which   the   customer   must   physically   enter   the   retailing   environment   to   one   in   which   a   retailer   can   enter   the  

consumer’s  environment  through  anytime,  anywhere  devices  such  as  the  mobile  device  (Shankar  et  al.,  2010).    

Augmented   reality   is   being   exploited   by   retailers   as   diverse   as   Swedish   furniture   manufacturer   Ikea   and   US  

sports  apparel  manufacturer  Nike.  Using  AR,   Ikea’s  new  catalog  app  allows   “customers   to   visualize  3-­‐D  versions  of  

Ikea’s   furniture   in   their   homes”   (Stinson,   2013).   “Customers   flip   through   the   print   catalog,   and   when   they   come  

across  a  plus  symbol  on  a  page,  they  hover  their  phone  or  tablet  over  it  until  a  screen  pops  up  asking  them  to  scan  the  

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images  on   the  page.  At   that  point  users  will   see   the  bonus   features,  which  could  be  a  360-­‐degree  view  of  a   room,  

videos,  additional  product  information,  or  the  option  to  place  a  piece  of  furniture  in  their  room”  (Stinson,  2013).  

“There  are  only  around  100  products  available  for  the  3-­‐D  augmented  reality  option,  which  in  the  grand  scheme  

of  a  300-­‐plus  page  catalog  doesn’t  amount   to  much”   (Stinson,  2013).  However,   the   furniture   that  was   chosen  was  

large  room-­‐dominating  furniture  like  sofas  and  chairs  (Stinson,  2013).  Ikea,  you  see,  had  researched  their  customers’  

habits  and  discovered  that  around  14  percent  of  them  had  bought  a  wrong-­‐sized  piece  of  furniture  and  more  than  70  

percent  of  them  didn’t  know  how  big  their  homes  really  were  (Stinson,  2013).  “When  customers  find  the  piece  they’d  

like  to  test  out,  they  place  the  physical  catalog  in  the  spot  where  they  envision  their  new  love  seat,  and  the  device’s  

camera  uses   the  book  as  both  an  anchor  and  a  way   to  gauge   the  correct   scale   for   the  products   shown  on  screen”  

(Stinson,  2013).  A  virtual  Ikea  sofa  literally  appears  in  a  potential  customer’s  home.    

In  2012,  Ikea  introduced  another  feature  to  the  app  that  allowed  “customers  to  scan  the  page  for  added  content  

like  videos,  full-­‐room  views,  and  decorating  tips”  (Stinson,  2013).  The  app  is  pretty  sophisticated  and  probably  wasn’t  

cheap  to  build,  but  it  was  probably  worth  it  as  Ikea  is  trying  to  sell  large  and  expensive  items  here  and  the  app  does  

address  a  problem  that  its  customers  do  actually  face.    

Being  the  forward-­‐thinking  and  original  company  that  it  is,  Nike  used  augmented  reality  technology  to  create  a  

game1  (Russell,   2012).   “Nike   recruited  50   runners   to  wear   ‘Flash’   running   jackets  hooked  up   to  GPS   systems,  while  

they   ran   around   Vienna   for   90  minutes”   (Russell,   2012).     As   the   “targets”   ran   through   the   city,   game   participants  

tracked  them  with  a  mobile  app  and  tried  to  take  a  photo  of  them  as  they  ran  by  (Russell,  2012).  Those  with  the  most  

photos  won  a  prize  (Russell,  2012).  Most  AR  promotions  engage  viewers  because  they  are  so  unusual,  but  this  took  

engagement  to  whole  new  level,  while  making  emotional  connections  with  the  audience  (Russell,  2012).  

“UK-­‐based  Tesco  is  also  reported  to  be  developing  3D  interactive  projection.  Instore  augmented  reality  overlays  

of  this  kind  will  become  the  norm  by  2022,  driven  largely  by  smartphone  applications.  These  will  range  from  simple  

things  such  as  storemap  apps  to  locate  products  to  more  complex  tools   like  codeless  product  scanning”  (Economist  

Intelligence  Unit  Limited,  2012).  

Facebook  is  a  great  place  for  retail  establishments  to  build  a  presence.  “Facebook  Places  Pages  are  for  businesses  

that   actually   have   a   physical   location   and,   unlike   other   business   pages,   they   contain   an   area   that   allows   users   to  

‘check-­‐in’  at  the  businesses’  physical  location”  (Miller,  2012).    

Facebook  is  also  a  great  place  for  retailers  to  advertise  as  the  following  numbers  show:  

• Average  Facebook  ad  clickthrough  rate  for  retail  advertisers:  0.20%.  

• Percentage  of  total  retail  Facebook  ads  that  appear  in  newsfeeds:  57%.  

• ROI  for  retail  Facebook  advertisers:  152%.  

 

Google+  is  also  a  good  site  for  retailers  to  exploit.  For  instance,  Starbucks  has  three  million  followers  on  Google  

Plus,  meager  compared  with   its  36  million  “likes”  on  Facebook.  Yet   it  updates   its  Google  Plus  page   for   the   sake  of  

good  search  placement,  and  takes  advice  from  Google  representatives  on  how  to  optimize  Plus  content  for  the  search  

engines.  

Retailers   are   always   looking   for   the  most   cost-­‐effective  marketing   and  CRM   solutions   available   and   from   text  

marketing   to   QR   Codes   to   Bluetooth   advertising   to  mobile   coupons   and  mobile   payments,   mobile   marketing   can  

                                                                                                                                                       1  https://www.youtube.com/watch?v=GcnSO-­‐5rgGk#t=82  (Retrieved  1  August  2014).  2  http://www.bemarvellous.com/does_adidaslondonmarathon.html    (Retrieved:  September  24,  2009).  

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prove   very   beneficial   to   the   retail   industry   in   a  multitude   of  ways.  Mobile  marketing   lets   retailers   generate   leads,  

improve   customer   service,   disseminate   important   information   instantaneously   and,   just   as   importantly,   discretely.  

Mobile   marketing's   actionable   analytics   intelligence   can   also   help   retailers   understand   the   ebb   and   flow   of   its  

business  so  that  they  can  actually  manipulate  their  customer's  behavior.  

In  a  unique  use  of   location-­‐based   technology,  Adidas  has   run   the  mobile  “Runner  Tracker”  app  at   the  London  

Marathon  since  2009.2  The  app  allows  mobile  users  to  track  runners  in  the  marathon.  Radio-­‐frequency  identification  

chips  are  inserted  into  a  runner’s  shoes  and  timing  mats  are  placed  along  the  course.  Mobile  users  who  download  the  

“Runner  Tracker”  application  receive  the  latest  information  on  a  competitor’s  progress  as  well  as  the  projected  finish  

time.  Users  can  also  send  personalized  messages  of  support  to  the  runners.  These  messages  are  displayed  on   large  

monitors   throughout   the  course.  The  application  was  so  successful   that  more   than  half-­‐a-­‐million  people   interacted  

with  it  directly  and  more  than  a  million  people  were  exposed  to  it  through  social  media  and  social  networks  in  its  first  

year.    

Instead  of  filling  newspapers  and  magazines  with  advertisements,  a  retailer  should  create  databases  of  opted-­‐in  

customers  who  have  the  propensity  to  purchase  goods  in  the  future.  By  tracking  OTT,  SMS  opt-­‐in  use,  a  retailer  can  

get  immediate  and  highly  quantifiable  data  on  who  has  signed  up  for  their  mobile  coupons,  who  has  opted-­‐in  to  their  

mobile   campaigns,   who   has   used   their   mobile   coupons,   and   who  might   be   planning   to   attend   certain   advertised  

events.    

Whether  done  on  Wordpress  or  Tumblr,  blogging  is  an  important  part  of  a  retailer’s  social  media  strategy.  “Of  all  

the  places   a   company   can  build   a   lifestyle   around   their   brand,   a  blog   is   the  best   suited.  On  Tumblr,   Labrotatoria's  

Musing  On...  and  The  Classroom's  Stay  Classy  Houston  are  great  examples.  They  both  share  inspirational  style  images,  

product  info  and  behind  the  scenes  posts.  CakewalkStyle  Shop  has  three  blogs,  yes  three.  Lifes  a  Cakewalk  is  its  main  

blog,   Influencers   focuses   on   bloggers   and   taste  makers,   and   Style   Guide   shares   its   latest   store   items   and   trends”  

(Luter,  2014).  

The  best  part  about  being  on  Twitter  or  Weibo  or  any  of   the  other   instant  messaging  services   is   the  ability   to  

interact   with   a   customer   in   real   time   (Luter,   2014).   “Resolve   customer   service   issues,   get   a   pat   on   the   back,   or  

valuable   feedback  all   from  the  comfort  of  home  or   the  store  backroom.  The   retailer   Lilly  Rain   is   really  great  about  

interacting  with  its  customers  online.  They  retweet  and  reply  to  the  messages  and  even  re-­‐post  blogger  websites  that  

show  them  love.  They  also  have  an  active  Google+  page,  which  is  great  for  Google  searches”  (Luter,  2014).  

In  her  article  Retailers  Doing   It  Right   in  Social  Media,  Cherise  Luter   (2014)  advises   that  “Twitter  should  not  be  

ignored.  Use  Twitter  to  tweet  out  “instant  sales.”  Get  the  word  out  about  leftover  products,  new  products  in  limited  

supply,  or  last-­‐minute  sales.  Believe  it  or  not—your  customers  ARE  using  Twitter.  And  if  they  see  something  great  at  

your  store—they  WILL  retweet.”  

One  of   the   cleverest   retail   social  media   campaigns   is   the  one   for  DollarShaveClub.com   (DSC).   “Social  media   is  

rooted  deeply  in  DollarShaveClub.com's  history—it's  how  the  DollarShaveClub.com  launched  its  website  with  a  viral  

video  on  YouTube  that  disrupted  the  $13  billion  shaving  industry”  (Shortyawards.com,  2014)  “With  almost  1  million  

followers   across   Twitter,   Facebook,   Instagram,   YouTube,   and   Google+,   DollarShaveClub.com   carefully   utilizes   its  

widespread  and  engaged  fan  base  to  provide  timely  member  support,  in  an  effort  to  create  a  virtual  clubhouse,  and  

revolutionize  product  launches”  (Shortyawards.com,  2014).  

                                                                                                                                                       2  http://www.bemarvellous.com/does_adidaslondonmarathon.html    (Retrieved:  September  24,  2009).  

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DollarShaveClub.com   interacts  with   every   post   and  message   on   Facebook   and   Twitter   24/7   to   provide   timely  

resolutions  to  any   issue  that  may  arise   (Shortyawards.com,  2014).  DSC  reaches   its  goals   to  resolve   issues  within  24  

hours  through  social  member  support,  while  also  providing  a  convenient  way  to  build  relationships  with  the  brand”  

(Shortyawards.com,   2014).   “On   Twitter,   DollarShaveClub.com  has   two   handles,  with   its  @Ask_DSC   handle   entirely  

dedicated  to  member  support.  Through  witty  solutions,  @Ask_DSC  takes  care  of  reshipments  and  other  questions  in  a  

few  140  character  tweets”  (Shortyawards.com,  2014).  On  Facebook,  every  post  receives  a  reply,  whether  positive  or  

negative  (Shortyawards.com,  2014).  “Whether   it's  a   like  or  comment,  the  social   team  let's  members  know  they  are  

readily  available  to  answer  anything  from  anyone.  The  brand  doesn't  focus  on  social  standing.  Every  member  receives  

the  same  superb  service”  (Shortyawards.com,  2014).    

The   company   was   founded   on   the   principles   of   being   smart   and   innovative   (Shortyawards.com,   2014).   DSC  

recognizes   its   members   have   a   lot   in   common   with   the   company—they're   smart   and   innovative,   too  

(Shortyawards.com,  2014).  DSC  started  a  program  called  DSC  Sponsors  Your  Thing  so  they  “can  be  the  official  sponsor  

of  Bill  Rodd's  softball  team  in  Virginia  and  raise  money  for  Kip's  brewery   in  Los  Angeles.   ‘Your  Thing’   is  featured  on  

Facebook,  Twitter,  and  Instagram  to  let  members  know  what  other  members  are  up  to,  and  most  importantly,  how  to  

support  them”  (Shortyawards.com,  2014).  This  take  intimate  marketing  and  outreach  to  a  whole  new  level.  The  fact  

that  few  people  have  heard  of  Kip’s  brewery  matters  little,  it’s  the  fact  that  DSC  is  taking  the  initiative  that  will  gain  

them  support.    

With  mobile  apps,  retailers  can  use  the  multiple  functions  of  mobile  in  some  clever  and  customer-­‐centric  ways.  

“The  most  helpful  feature  of  Home  Depot’s  mobile  offerings  is  the  ability  to  check  the  inventory  of  the  store  you  are  

in   and   view   the   aisle   location   for   the   item   you   are   looking   for.   It   includes   product   details,   pricing   and   ratings   by  

scanning  a  barcode  on  the  item”  (Abramovich,  2013).  Home  Depot  also  provides  how  to  videos  and  product  videos  on  

their  app  (Abramovich,  2013).  “Another  cool  feature  is  the  ability  to  access  the  caliper,  calculator  and  converter  tools  

to  ensure  adequate  project  inventory.  Using  your  phone’s  camera,  users  can  also  visualize  and  select  products  for  the  

home  or  office”  (Abramovich,  2013).  

TargetLists  (available  via  the  giant  retailer,  Target’s,  mobile  website)  “helps  users  keep  track  of  the  things  they  

need  while  shopping   in  the  store.  A  barcode  scanner  within  the  Target  mobile  app   lets  customers  get  prices,  check  

availability  and  add  to  the  shopping  list”  (Abramovich,  2013).  This  dovetails  nicely  with  Target’s  need  to  optimize  its  

inventory  systems.    

The  cosmetics  brand  Sephora  has  a  mobile  app  that  allows  users  to  scan  a  list  of  ratings  and  reviews  on  Sephora  

products  from  other  Sephora  shoppers  fitting  a  similar  profile  to  the  scanner  (Abramovich,  2013).  The  app  also  gives  

users   the   ability   to   view  past  purchases   (Abramovich,   2013).   “Shoppers   can   select   ‘in-­‐store  mode’   and   scan   items’  

barcodes   as   they   shop.   Then,   instead   of   standing   in   line   to   pay,   users   can   go   to   a   self-­‐checkout   terminal,   scan   a  

barcode  on  their  phone’s  screen,  which  reads   the   items  they  have   in   their  cart  and  swipe   their  credit  card   to  pay”  

(Abramovich,  2013).    

According  to  JWT’s  (2012)  100  Things  to  Watch  In  2013,  “Store  windows  are  turning  into  24/7  retail  platforms  via  

technologies  like  interactive  touch  screens  and  QR  codes.”  According  to  the  article,  “In  late  2012,  PayPal  rolled  out  a  

test  in  Amsterdam’s  De  9  Straatjes  shopping  district  in  which  retailers  posted  QR  codes  on  their  storefronts,  enabling  

shoppers  with  the  campaign’s  mobile  app  to  scan  the  code  for  purchase  links  to  products  in  the  window”  (JWT,  2012).    

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 “‘Showrooming’  has  emerged  as  a  trend  where  customers  visit  stores  to  find  items  they  like,  but  then  compare  

the  price  of  that  item  and  make  the  relevant  purchase  on  the  phone”  (Economist  Intelligence  Unit  Limited,  2012).  The  

emergence  of  these  retail  price  comparison  sites  are  not  new,  the  ability  to  go  online  from  a  mobile  devices  has  given  

shoppers   the   power   to   compare   very   easily   and   the   current   austere   economic   environment   has   supplied   a   strong  

incentive  for  consumers  to  engage  in  this  behavior  (Economist  Intelligence  Unit  Limited,  2012).  Today,  however,  it  is  

not   just  single   items  that  are  being  compared.  “Where  price  comparison  sites  have  been   limited  to  checking  single  

items,  newer  online  ventures  such  as  mySupermarket  in  the  UK  allow  consumers  to  compare  the  price  of  aggregated  

baskets  from  key  retailers  and  choose  which  offers  the  best  value”  (Economist  Intelligence  Unit  Limited,  2012).    

“By  2022,  these  bargain-­‐driven  technologies  will  have  merged  and  expanded  in  scope  so  that  sophisticated  sites  

are  able  to  tailor  the  best  voucher  or  Groupon-­‐type  offers  into  much  more  personalized  and  bespoke  retail  services.  

Comparator  sites  will  be  able  to  split  online  baskets  automatically  between  different  retailers  to  ensure  a  ‘best  price’  

for  each  item”  (Economist  Intelligence  Unit  Limited,  2012).  “’Marketplacing,’  where  different  retailers  compete  under  

one  ‘virtual’  roof,  will  offer  maximium  choice  to  consumers  (Economist  Intelligence  Unit  Limited,  2012).      

Using  a  WeChat  branded  account,   retailers  can  activate  a  pop-­‐up  shop  within  a   short   timeframe   for  a   launch,  

product  demo  or  trial  (Baker,  2014).  Once  a  user  is  in  the  pop-­‐up  shop,  he  or  she  can  pay  on  location,  provided  the  

payments   function  has  been   set   up  on   the  WeChat   account   (Baker,   2014).   It  makes   the   retail   process  much  more  

flexible  as  brands  can  take  pre-­‐payments  or  set  up  small  sales  without  cash  registers  at  WeChat  shops  (Baker,  2014).  

QR  codes  displayed  on  signage  at  the  front  of  a  store  could  download  a  list  of  weekly  specials  onto  their  phone.  

These  coupons  could  be  redeemed  at  the  register  when  checking  out,  or,  potentially,  online  at  a  later  date.    

For  the  retailer,  this  mobile  technology  lets  them  deliver  additional  product  information  at  the  most  opportune  

time—during   the  shopping  experience,  when  buyers  are   in   the  all-­‐important  “decision  mode”   (Tsirulnik,  2009).  For  

example,  by  scanning  a  QR  code  attached  to  a  red  dress  a  shopper  is   interested  in  purchasing,  the  shopper  can  see  

images  of   a  model  wearing   the  dress,   along  with  matching   shoes   and  accessories   (Tsirulnik,   2009).   This   could   also  

include  some  personalization  as  the  QR  code  scan  could  be  attached  to  a  SCRM  system  that  could  flag  certain  colors  

or  combinations  that  the  buyer  has  shown  a  preference  for  in  the  past.    

A  customer's  retail  experience  could  be  improved  by  giving  the  customer  instant  access  to  her  information  when  

and  where  she  needs  it.  For  example,  QR  Codes  could  be  attached  to  an  item's  price  tag  and,  once  a  customer  takes  a  

picture  of  the  tag,  their  mobile  phone  could  connect  to  the  retailer's  CRM  system  and  a  return  text  with  very  specific  

product  information  could  be  sent.  This  information  could  include  which  celebrities  wear  the  label,  what  other  colors  

the  item  is  available  in  and  what  other  accessories  might  match  the  outfit.  

Neuberger   argues   that   it   is   very   important   to   monitor   the   market   conversation   to   understand   what   the  

marketplace  is  (or   isn’t)  saying  about  a  retailer  (their  brand,  products,  services,  etc.).  “Retailers  need  to  understand  

the   tone   and   impact   of   the   conversation   and   begin   to   identify   areas   of   opportunity   for   helping   shape   that  

conversation  and  gather  valuable  market  intelligence,”  says  Neuberger.  

For  Neuberger,  “Social  media  metrics  include  sentiment,  activity,  share-­‐of-­‐voice,  and  thematic  content  of  online  

conversations.  Trends  and  key  influencers  (“mavens”)  and  the  most  active  sites/blogs  are  identified  and  tracked.  By  

understanding   the   impact,   retailers  will   have   a  way   of   identifying  measurable   progress,   quantifying   the   return   on  

social  media  investment,  and  enabling  benchmarking  against  future  efforts.”  

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Several  retailers  are  also  venturing   into  video-­‐casting.  For  example  Estée  Lauder’s  Clinique  brand  launched  the  

40  episode  drama  series,  Sufei’s  Diary,  on  a  dedicated  Web  site  that  broadcast  daily  (Chiu  et  al.,  2012).  “While  skin  

care  was  part  of  the  story  line  and  products  were  prominently  featured,  Sufei’s  Diary  was  seen  as  entertainment—not  

a  Clinique  advertisement—and  has  been  viewed  online  more  than  21  million  times.  Clinique’s  online  brand  awareness  

is  now  27  percent  higher   than   that  of   its   competitors,  although  social-­‐media   content   costs   significantly   less   than  a  

traditional  advertising  campaign”  (Chiu  et  al.,  2012).  

Looking   ten   years   into   the   future,   retailers   should   understand   that   there  will   be   a   radically   different   retailing  

landscape.  “By  2022,  China  is  expected  to  account  for  around  a  quarter  of  the  global  retail  sales  generated  by  the  60  

largest  markets,  twice  as  much  as  the  US”  (The  Economist  Intelligence  Unit  Limited,  2012).  But  “China  is  not  the  only  

emerging  market  for  retail  to  focus  on  as  a  global  leader  in  2022,  although  it  is  the  largest.  India,  Brazil  and  Russia  are  

also  stepping  out  of  the  shadow  of  their  Western  neighbors  to  become  retail  powerhouses.  By  2022,  these  emerging  

markets  will  form  four  of  the  six  largest  markets  in  the  world  in  US-­‐dollar  terms,  and  perhaps  five  of  the  top  seven  if  

the  Indonesian  market  continues  to  grow”  (Economist  Intelligence  Unit  Limited,  2012).  

In   the   coming   years,   “as   incomes   recover,   enhanced   recognition   technology   will   allow   consumers   to   make  

impulse  purchases  directly  on  mobile  platforms  through  a  variety  of  channels.   Innovations  using  augmented  reality  

overlays  and  social  media  will  provide  an  additional   layer  of   interactivity.  The  rise  of  virtual  goods  such  music   [sic],  

video   and   games   downloads   will   become   increasingly   cloud-­‐based,   and   2022   will   see   physical   products   such   as  

compact  discs,  DVDs  and  console  games  rendered  completely  obsolete  except  as  niche  items”  (Economist  Intelligence  

Unit  Limited,  2012).  

References  

Abramovich,   G.   (2013,   11   June).   5   retailers   that   get  mobile.   Retrieved   from  Digiday:   http://digiday.com/brands/5-­‐retailers-­‐mobile/  

Baker,   C.   (2014,   May   26).   4   Ways   Brands   Can   Use   WeChat   for   Sales.   Retrieved   from   clickz.com:  http://www.clickz.com/clickz/column/2346596/4-­‐ways-­‐brands-­‐can-­‐use-­‐wechat-­‐for-­‐sales    

Chui,   M.   M.   (2012).   The   social   economy:   Unlocking   value   and   productivity   through   social   technologies.   McKinsey  Global  Institute.  

Economist   Intelligence   Unit   Limited,   The.   (2002).   Retail   2022,   How   the   Economist   Intelligence   Unit   sees   the   retail  landscape   changing   over   the   next   decade,   a   report   from   the   Economist   Intelligence   Unit.   Economist  Intelligence  Unit  Limited,  The.  

JWT.   (2012).   100   Things   to   Watch   In   2013.   Retrieved   from   J.   Walter   Thompson   Company:  http://www.jwtintelligence.com/2013-­‐and-­‐beyond/  

Luter,   C.   (2014,   March   10).   Retailers   Doing   It   Right   On   Social   Media.   Retrieved   from   HoustonPressBlogs:  http://blogs.houstonpress.com/artattack/2014/03/retailers_doing_it_right_on_so.php?page=2  

Miller,   J.   (2012,   August   3).   5   Top   Tips   For   Marketing   Your   Bar   Or   Restaurant   On   Facebook.   Retrieved   from  beeliked.com:   http://beeliked.com/index.php/social-­‐media-­‐buzz/5-­‐top-­‐tips-­‐for-­‐marketing-­‐your-­‐bar-­‐or-­‐restaurant-­‐on-­‐facebook/#QeE9gA38BZgxHYfb.99  

Neuberger,  W.  (n.d.).  Engage  Customers  and  gain  advocates  through  social  media  and  social  networking.  .  Retrieved  from  http://www-­‐01.ibm.com/software/solutions/soa/newsletter/mar10/article_social_media.html  

Russell,   M.   (2012,   January   28).   11   Amazing   Augmented   Reality   Ads.   Retrieved   from   Business   Insider:  http://www.businessinsider.com/11-­‐amazing-­‐augmented-­‐reality-­‐ads-­‐2012-­‐1?op=1  

Shankar,   V.   V.   (2010).   Mobile   Marketing   in   the   Retailing   Environment:   Current   Insightes   and   Future   Research  Avenues.  The  Journal  of  Interactive  Marketing.  

shortyawards.com.   (2014,   January   23).   Best   Use   of   Social   Media   for   Retail   or   E-­‐Commerce.   Retrieved   from  shortyawards.com:  http://industry.shortyawards.com/category/6th_annual/retail_e_commerce/s6/dollarshaveclubcom-­‐one-­‐wipe-­‐charlies-­‐launch  

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Stinson,   L.   (2013,   August   20).   So   Smart:   New   Ikea   App   Places   Virtual   Furniture   in   Your   Home.   Retrieved   from  wired.com:  http://wired.com/2013/08/a-­‐new-­‐ikea-­‐all-­‐lets-­‐you-­‐place-­‐3d-­‐furniture-­‐in-­‐your-­‐home    

Tsirulnik,   G.   (2009d,  May   11).   Scanbuy   partners  with   Avery   Dennison   to  mobile   retail   tags.   Retrieved   from  Mobile  Marketer:  www.mobilemarketer.com/cms/news/commerce/3217.html  

   

 

 

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