Location, location, location is now visibility, visibility, visibility. Retailers and shoppers alike must see the same products, in real time. Stores will either become destinations for designed experiences or they will be drive-throughs for picking up orders. What will tie all this together? Strategy and universal application of RFID technology. I’d like to say it’s just that simple, but it’s not. Today’s retailers — if they want to be around tomorrow — need to completely rethink their business models.

The first step is for the retailer to make “wherever, whenever, however” its priority so resources are focused on that goal. Right now many are still pining for the “good old days” and trying to bring shoppers’ behaviors back to normal.

I mostly agree with the metrics put forward by Mr. Wendland, with a couple of caveats. In the last few years, one thing that has become crystal clear is in-stocks, i.e., inventory reliability, especially in key items, might be the single most important metric to measure. Studies have shown that if you’re out of stock more than twice on a customer’s core basic item, you lose the customer and all the other items on their list. I strongly agree with the point on brand integrity and customer loyalty. The two go hand in hand. Building a credible, relevant brand relationship with customers is even more critical now that the competition for customers’ attention is fierce. The one attribute I would add is “accessibility.” How easy can customers shop, receive, and return products from your brand? I saw the following scenario during the pandemic when retailers were ramping up their BOPIS and curbside capabilities. I could shop and pay for products. Meanwhile the scheduled time to pick up the products might be three to four days… Read more »

Dave’s five keys are all spot-on. I’ll do a brief dive into omni-fulfillment because I think it’s critically important. Before COVID-19, a colleague and I developed a presentation for BOPIS/D (buy online, pick-up in-store or delivery). As we put a microscope on it, we found roughly 18 different steps that had to be orchestrated flawlessly in order for the experience to be minimally successful. Every one of these steps is not easy and requires collective thought on how to continually make it better. As the world becomes more digitally native every day, e-commerce and the manner in which it’s delivered requires new thinking, new ways of working and new business models. Looking out five years from now, I’m sure what we know of BOPIS/D today will be radically different.

This is a spot-on analysis by Dave. Each of the items named is important. If you made me vote, I would take integrity. Integrity in every sense of the word is not only in your products but in how you run your business, and how your associates see the customer. There’s very little to add to today’s commentary. However I particularly like the last paragraph. It talks about legacy. Legacy in retail and any company continues to get in the way of that company’s future. Very few of today’s most prominent companies are over 30 years old. What happened to the ones before that? I can imagine Dave’s conversation with the head of a Woolworth or a Sears or an A&P, in their heyday, answering about the future. “This is the future. We’re number one. We’re the best. Why would we change?” Sadly, the consumers are changing without any commitment to the retailer’s legacy. When I teach business models, I surprise my student with how to approach them. They always want to start at the… Read more »

In today’s commerce-verse, omni-commerce created omni-choice. Omni-choice requires omni-presence and omni-presence is not sustainable without brand integrity. Sometimes, brands and retailers launch a website and dust their hands off, as if the website alone will drive omni-commerce. That website is just the tip-of-the-iceberg. The real work comes in driving traffic to your site, delivering on fulfillment expectations and providing an experience that invites consumers to return. It also requires meeting your consumers where they are in the commerce-verse and constantly reminding of your brand promise. Often, the most tangible growing pain in omni-commerce is fulfillment. But why so many efforts rise and fall quickly is the real strategic work required upfront is not done. The minute a brand launches a commerce site, they become one of many. This is not just a fulfillment challenge. The truth is, no one cares to buy your stuff just because it’s available online. Things like brand trust, brand integrity, consumer experience and that fine line of being present/accessible without being annoying are equally important. The more omni-commerce we have,… Read more »

In an increasingly omnichannel world, fulfillment has grown and continues to grow in importance. Historically, when DCs did most of the heavy lifting for order fulfillment it was a supply chain responsibility. With omnichannel retail, fulfillment is now part of a network that includes stores. The responsibility of fulfillment should no longer rest solely on supply chain; e-commerce, store ops and even merchandising/allocation now play a role in ensuring a seamless shopping experience across all channels, physical and digital.

It’s all about the data. Product data, inventory data, customer data, and the list goes on. Data is the foundation of the modern retail business. Without reliable, up-to-date, and clean data it’s difficult for any technology investment in fulfillment, marketing investment in loyalty, or expansion strategy to be executed successfully and maintain brand integrity. Poor data will result in your customer not seeing the same product assortment in-store and online, or missing out on a loyalty perk, or failing to get the product fulfilled in the manner they desire. Starting with data around your products and customer is fundamental and is where retailers often overlook in the zeal to deliver new capabilities to the business or to customers. Once this is firmly established, retailers can move on to the rest of the list and then think about how they are expanding the business!

Customers look for convenience when they shop. So, retailers must become more “customer-centric” and to achieve that, one lucrative way could be establishing omnichannel capabilities.

However, many retailers often overlook the fulfillment part of orders. For instance, a customer may have ordered a BOPIS product via e-commerce but, on arriving at the store to pick up the order, if the order is not ready and packed the customer will have to wait in the interim. Such mismanagement in order fulfillment leads to poor customer experience. Therefore, to refrain from such scenarios retailers must do a vigilant analysis while deploying any solution.

Ultimately, retailers’ aim must circle around providing customers with an elevated shopping experience.