What is Omnichannel Retail?
Omnichannel Retail is a concept that uses consistent and centralised customer data management (across all offline and online channels) to provide an integrated customer experience across all possible channels for a seamless shopping experience. The different Offline and Online channels are and not limited to Brick and Mortar Store, Social Media, E-Commerce/Online, Mobile App etc.
It provides Single Point of View Data for each customer across all channels which facilitates extremely personalised marketing and customer support to offer seamless shopping experience. This enables Customer Starting point and Ending Point in different channels.
For Example, Customers can begin their journey or engagement with a brand online and close it by a purchase in the brick and mortar, supermarket or superstore or vice verse. This means, that they can start their Customer Journey even in a Supermarket and close the purchase by buying the product online. For example: If a Customer opted for a membership program of a big box retailer in a physical store, they would get the same benefits in the online store of the same retailer.
What is Mutlichannel Retail ?
Multichannel Retailing offers more Sales Distribution Channels to the Customer. But the key central focus is the Product instead of the Customer. The Sales Channels include Brick and Mortar Physical Stores, Online Stores, E-commerce Platforms, Marketplaces like E-Bay, Amazon etc, Social Media, Social Commerce (Facebook, Pinterest etc) and Mobile Applications for shopping in real time. It is a Decentralised Business Strategy of dealing with Customers and Inventory Allocation. Product Discovery, Analysis and Purchase typically happen in different sales channels in Multichannel Retail.The Key objective in multichannel retail is to provide multiple engagement channels to the customer for product evaluation and purchase. Multichannel Retail Strategy helps in achieving the following:
- Enhanced Sale and Purchase Experience for the Customer with Flexible Ways to Shop.
- Quick and more convenient ways to shop for the Customer.
- Expand the Target Audience with wider reach (via more and different Online Channels)
- Sustained Customer Engagement via different Channels (like different online channels)
- Increased Customer Acquisition as there are more ways to shop for the Customer.
- 24 Hr access to Customer Builds Brand Loyalty.
- Higher Customer Lifetime Value as Customer prefers to stay with the Brand
- All of above lead to an Increased Customer Retention Rate.
Omnichannel Retail Vs Multichannel Retail
The key central focus in Multichannel Retail is the more channels for Product Distribution. In OmniChannel Retail it is the Centralised Data Repository to provide 360 Degree holistic view of Customer on any given channel at any time. Customer is at the heart of overall strategy in Omnichannel Retail. This contributes to enhanced Customer Experience and higher CLV.
Multichannel Retail lacks data uniformity between different Channels i.e. its not possible to get 360 Degree Single View of the Customer While OmniChannel Facilitates 360 Degree Single View of the Customer.
Below are some Omnichannel Strategy Examples
- Omnichannel Customer Strategy of Walmart
- Omnichannel Strategy of Nike
- Digital Transformation Strategy of Walmart
View, Read and Learn More Here on:
- Omnichannel Retail
- Retail Failure Stories
- Retail Success Stories
- Startup Failure Stories
- Business Learning Stories
- Business Failure Stories
- Travel Food Culture
- Retail Articles
- Customer Articles
