Catching consumers’ attention within the retail brick-and-mortar landscape is harder than ever given competing forces such as the smartphone. That means retailers need to be more creative, dynamic and savvy with point-of-sales display strategy and technology.
The ever-changing retail environment is proving a challenge for retailers striving to innovate when it comes to customer display strategy, according to a recent Retail Customer Experience blog, written by Ryan Lepianka. It's a challenge retailers need to take on given the return-on-investment, according to Lyle Bunn, a digital media advisor who has assisted hundreds of brands.
"Consumers reward a good customer experience with visits and purchases. Digital displays at point of sale captures attention through compelling graphics and deliver conversion by presenting the core benefits and value propositions," Bunn told RetailCustomerExperience.com in an email interview. He said that a sales lift of 5 to 60 percent on items promoted using digital POP display are commonly realized with up-sell and cross-selling being easily supported
"In addition to better merchandising, branding, as measured by recall is generally increased by 40 to 60 percent," he said. "The displays bring vitality to the shopping experience and when used on an end cap or at shelf level bring additional attraction of consumer attention."
The fact that today's smartphones are a big consumer attention getter in the retail they pose big value for the retailer as it provides another channel to reach the consumer, in or out of the storefront.
"Lift and compare POP capability allows a consumer to get information on one or several products toward their selection decision," explained Bunn. "This is increasingly used in retail for cell phones, electronics, sporting equipment and other information-enabled product sales. Since many shoppers use on-location Wi-Fi, the digital display can direct consumers to a product website to further promote product features."
Bunn also cited shared insight on the value of digital displays relating to the check-out experience.
"At checkout, digital displays reduce perceived waiting time by 40 percent. At busy check outs this reduces 'basket drops' and customer anxiety, and may bounce the customer back for additional promoted items, while at least, as has been shown at Wal-Mart and other locations, having the customer mentally add the promoted items to a future visit shopping list," he said.
Given the multi-level value proposition of digital display technology, and in a quest to help retailers take the big initial step, RCE reached out to Realfiction, a global maker of 3D holographic retail displays headquartered in Copenhagen, Denmark, and talked with CEO and Co-Founder Clas Dyrholm.
Retail Customer Experience: What is one of the most common misconceptions retailers have regarding deploying a new POS – costs, time, resources?
Clas Dyrholm:I’d like to say that on a general level, I think one of the most common misconceptions is still believing that you can continue using the same tactics and tools as you’ve done forever - not facing the fact that your customers’ buying behaviors and what they respond to are in fact changing at a rapid pace.
The effect of your roll-up banner, cardboard sign, poster or any other traditional means of advertising is diminishing fast. It might have low cost but it’s just not gonna wow anyone today or attract the interest you really want. Even the digital screens that are now placed nearly everywhere has been proven to have incredibly low effect.
RCE: What is one of the common missteps retailers stumble on when embarking on a POS effort?
Dyrholm: A classic misstep is forgetting to remember what actually drives the conversion at POS. I often see really impressive solutions that still fails dramatically in enabling customers to actually engage with the product, clearly communicate the unique product values and to allow the customers to touch and experience the product at first hand. With such a massive load of advertising and smartphone notifications that consumers are being bombarded with today, you need to create a POS solution that makes people stop in their tracks and immediately establish an emotional response with your brand/product.
Another one is focusing the messaging around a price promotion or other devaluating tactics. Instead you should present your product for its true value to the customer - tell me how this product works, how does it make my life better and so on. Do this in an interesting way so the dwell-time increases.
On the really practical side of things, I also see that some brands have a tendency to over-complicate their POS and actually end up demanding too much engagement from the customers. You’ve got only a few seconds to convince me enough that I’ll want to spend my precious attention looking at your brand/product. And if it’s either too bland or too complicated my brain doesn’t get that reward of curiosity instantly, and well then I’ll just keep walking or look back at my phone again.
Lastly, if you rely on store staff to execute and set up the POS, keep it really easy to assemble. Retailers are busy people and if your POS is too difficult to set up then chances are that it’ll just never get executed.
RCE: What tips can you share to retailers considering a new POS or revamping a POS?
Dyrholm: Create or optimize your POS so that it allows your audience to spend longer time with your product. The longer the dwell-time, the bigger the chances of converting your audience into customers.
RCE: In light of how fast technology is changing what do you expect to see or predict may soon come down the road in regard to POS technology?
Dyrholm:Seamlessly integrated technology that attract your attention in a nonintrusive way, and gives you value adding experiences that differ vastly from what you can get online.
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