E-commerce

Using in-store methods to drive online conversions

Raj B. Shroff, founder and principal at Pine Strategy & Design, believes it's time for retailers to understand exactly what prevents consumers from buying.

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September 7, 2020 by Raj Shroff — Principal, PINE Strategy & Design

How many times have shoppers walked out of your store without getting what they wanted? How many times was that item available on your website if shoppers had just known or remembered?

One would think that in this day and age, retailers would be on top of their omnichannel game. Many are. And many aren't.

Oftentimes when teams are so internally focused, they can't see the forest through the trees and omnichannel efforts fall short. This results in missed opportunities to drive satisfied customers and ensure a full basket.

According to the 2018 Global Path to Purchase Survey, 96% of global shoppers having left a store without making a purchase on at least one occasion. So it's up to retailers to understand exactly what prevents consumers from buying. The survey reveals 67.3% leave because they couldn't find the product they needed and 66.3% because the store didn't have the items they wanted. What a scary thought.

Align your teams

First and foremost, retailers have to align their e-commerce and store teams and incentives around the shopper. "Put the Customer First….", Bezos. The teams should be combined into one group or have representatives from each form a council of sorts with the shopper as boss. This improves communication and collaboration which often leads to great ideas to improve omnichannel.

Once your teams are aligned, they can start the work. One of the biggest misses I see is that retailers assume the shopper, while shopping in-store, will remember the store's online presence. Shoppers' first inclination, if what they want isn't on shelf, might be to check your store online but it's likely they are instead looking to Amazon to find the item they want. They end up finding that item, or an alternative from another trusted brand. This could lead to them transitioning away from your brand for that item or category. In essence, you've lost them forever.

According to one study, 26% of customers admit to checking Amazon for alternatives, background information, and prices when they find a potential purchase in a physical store. Although this figure seems low, we know shoppers are online while in-store, let's hope it's on your site. Imagine the figure when it's not in-stock on your shelf.

Revisit the basics

Can your shoppers even access the internet in your store? Let's face it, it's often hard to access the internet inside stores. So tackle that first, then move on.
In order to drive awareness and remind shoppers of your online presence, retailers should communicate through signage. Signage programs, often overlooked, must be clear and concise and provide high-level descriptions of the benefits of shopping online. Let shoppers know they should download your app, let them know you have more inventory online. And let them know (if it's true) that you can get the item they want into their hands quickly and affordably.

Signage should be positioned in places shoppers will see. High visibility places such as entrances, exits, endcaps and in-aisle. Key notices at checkout, pick-up and returns. Do not forget to include it in your FSIs, on signage in the parking lot, on shopping carts and in digital media.

These are very simple tactics. However, we think internal teams assume their shoppers know and remember. Shoppers don't. They are busy and in a hurry, it is amazing what they miss. And their use of Amazon or other retailers as an alternate is high. Loyalty to price and availability often trumps loyalty to stores.

Beyond the basics

Ensure that all of your marketing programs talk about the online availability. We've even seen retailers make announcements over their in-store speakers reminding shoppers to look online. Create cross-promotions that drive shoppers online to explore available items.

Consider interactive displays in key areas which allow shoppers to easily navigate your site to find the item they are looking for. An abridged UX on those displays can lead to an easier shopping experience, especially for those not wanting to use their small phone screen.

With the advent of COVID, people will probably shy away from displays that many other shoppers have touched so take caution. However, old habits of hands-on shopping and experiential retail will eventually return.

Leverage QR codes or image recognition methods to allow shoppers to scan items and have the other options immediately pulled up online. Digital natives will be more comfortable shopping this way. We've seen them effectively used in China for many things, especially at retail. And QR codes have seen a resurgence in use during the COVID-19 pandemic, as retailers and restaurateurs look to drive no-touch experiences.

Stay vigilant

How often were those items shoppers wanted available on your website? Did they know that? Why not? Did they order? Why not?

Be careful not to get complacent and think that shoppers don't need you to address the basics. A simple sign can go a long way to suggest their shopping journey can continue online. A well-executed strategy means that a shopper should rarely walk away empty handed and if they do, the item will be at their home soon, shipped by you.

Raj B. Shroff is founder and principal at Pine Strategy & Design.