How the Widely Adopted Omnichannel Strategy Impacts the Mobile Retail Market
Increasingly, retailers and consumers are adopting omnichannel strategies for managing and purchasing technology in the retail space. As technology continues to integrate further into our daily lives, Stephen Wakeling. Co-founder and CEO of Phobio, LLC shows why it’s important – now, more than ever – to accept and embrace the digital transformation
It’s no secret that technology has played a big role in taking over the commerce space. Unfortunately, the ease of e-commerce has brought on a series of damaging events to some retailers (for example, Toys R Us claiming bankruptcy). But, instead of being concerned about the potential negative effects, this can be used as a lesson for retailers and consumers alike, that technology doesn’t have to be a negative for brick-and-mortar stores.
Retailers should embrace e-commerce and intertwine technology into their retail strategy to boost awareness, sales, productivity, and more. As technology continues to evolve, new strategies will present themselves and should be considered, as the pros could outweigh the cons.
The Evolving World of Retail
Customers want convenience – no matter what industry is being discussed. The internet has brought this upon all markets and it’s time that retail makes the shift to accommodate what the customer is looking for – if they haven’t done so yet.
Consumers are drawn to the flexibility of omnichannel experiences. Adjusting to provide customers with physical and digital storefronts in harmony allows for the delivery of a better overall experience. Not to mention, it’s proven to reduce churn rate and increase revenue opportunities. The Harvard Business Review reported that a 4% spend increase is attributed to in-store customers, who receive omnichannel marketing, and for those who received omnichannel marketing online contribute to a 10% spend increase.
For the mobile retail market specifically, consumers now choose to purchase a new device and start an upgrade online and then immediately go to their local retailer to pick up the new device in person. This allows them to migrate important data at home, and either drop the old unit off in a brick-and-mortar store or drop it in the mail.
Omnichannel retail has been adopted by many in the wireless retail space, but for those who haven’t, it’s not too late to start.
Value and Advantages that Come Along with Omnichannel
As retailers begin to blend channels, omnichannel programs will lower costs and boost efficiency. Wireless retailers will be able to avoid shipping costs and materials that they would typically have to send out for trade-ins and further be driving foot traffic into their physical locations to upsell / cross-sell opportunities.
Conversely, customers won’t have to go through the process of receiving boxes, packaging and shipping the device, and then waiting for their credit. Omnichannel trade-ins have been putting money directly and immediately into customers’ wallets that they otherwise wouldn’t have – or must wait an extended period for – and present them with the opportunity to purchase newer devices and accessories in-store or online at a reduced cost.
Benefits of Omnichannel Retail Model
Recently, eMarketer shared that global projections expect the total retail market to reach nearly $28 trillion by 2020. As the retail market continues to grow, the want and need for added convenience is surely expected to increase, too. Implementing an omnichannel strategy is auspicious for retailers, as the study conducted by Harvard Business Review mentioned above, also revealed that 73% of consumers use various channels during shopping journeys.
With the mobile market continuing to release new devices that are highly appealing to the public coupled with the simplicity of various retail channel options, the market is continuing to move the needle toward a new and effective model of retail.
Omnichannel platform adoption has and will continue to benefit consumers, differentiate retailers, disrupt the status quo, and benefit store associates from the mobile market specifically by transforming device buyback programs into a quick and easy process.