Case Study: Major Global Retailer
How a major retailer plans to leverage cutting-edge technology to wow customers, keep them in store and increase sales
About the customer
This iconic multinational corporation designs, develops, manufactures, markets and sells footwear, apparel, accessories, equipment and services throughout the world. Based in the U.S., the company has billions in annual revenue and employs tens of thousands of people globally. It also has a thriving retail operation with more than 1,000 brick-and-mortar stores worldwide, an e-commerce site and sells to thousands of retail accounts, independent distributors and licensees.
This is very unique, leading-edge technology that will enhance the retailer's in-store shopper experience.
Challenge
Rise of online sales, less opportunity to engage in-store
Emergence of "buy online pickup in store" trend
Business as usual wouldn't distinguish retailer
Need for consumer experience with wow factor
Like most retailers, this global powerhouse had seen a shift from in-store purchasing to online sales in recent years. This trend isn't likely to diminish, but it has given rise to another trend--buy online, pickup in store. Increasingly, consumers who order online are opting to avoid shipping charges by retrieving their purchase at a convenient, nearby store and getting their items in hand the same day.
With the uptick in consumers opting to order online but pick up at brick-and-mortar retail stores came renewed opportunity to engage customers and drive loyalty. So business as usual practices--issuing more coupons or revamping the store layout or signage--wouldn't be enough to impress increasingly digital savvy and convenience-focused customers.
The retailer needed to create a distinctive consumer experience to entice its online customers and set itself apart from the competition. Something with a wow factor to make a big impression and keep customers in the stores longer to make additional purchases and keep coming back.
Solution
This is an exciting way to grab a customer's attention when they are in a store and make them want to come back.
Integrated unique software with our Intelligent Lockers
Conducted proof of concept at retailer's headquarters
Provided a leading-edge technology to enhance the customer experience
Rolled out technology to new concept stores
The retailer saw one of our Intelligent Lockers being used to distribute packages to employees at its corporate campus. That led to a big idea. They approached us to see if our lockers could be programmed to create a unique, highly engaging experience when customers who order products online enter the store to retrieve their merchandise.
We conducted a proof of concept to bring the retailer's idea to life. By using customized software integrated with our Intelligent Lockers, when a customer enters a store, they receive a text welcoming and alerting them that their order is ready to pick up in a specific locker. As the customer proceeds to the locker, near field technology activated through the customer's smartphone makes their locker door light up and display a personalized message. The locker door then pops open so the customer can retrieve their order. And once the merchandise is removed, the customer receives an electronic coupon to use before they leave the store.
The proof of concept at the retailer's headquarters was a success and the retailer now plans to unveil the technology at its new concept stores opening on the West and East Coasts. In the future, there's also talk of integrating app technology that could grab an audio file of the customer's favorite song and play it as they approach the locker--making the in-store experience even more personal, fun and engaging.
Results
Greater customer engagement
Improved customer loyalty
Increased time spent in store
Revenue growth from upselling
The new Intelligent Lockers will be on display at the retailer's new concept stores soon and expectations are high. The retailer anticipates the technology will improve the customer experience at these locations and lead to greater engagement with its brand. The goal is for the customers to be so satisfied by the convenient and personalized in-store experience they will become brand ambassadors and frequent the stores more often.
The retailer also expects that this solution will result in customers spending more time in its stores after they pick up their merchandise--especially with the incentive of a digital coupon they can use during their visit. Overall, customers spending more time in the stores is likely to increase the retailer's margins, revenue and opportunity to upsell.