We’ve been talking about omni-channel for a long time but are we any closer to making it an everyday reality for consumers? Back in autumn 2014, The Economist Intelligence Unit surveyed retailers to ask their top six barriers to improving customer experience and silos within an organisation and a lack of integrated information systems came out joint top.
Fast forward two years and those exact same problems are still standing between multi-channel retailers and a successful omni-channel service. This is because their operational systems remain fragmented, making it difficult to serve the increasingly complex needs of today’s shoppers.
Add to this the number of opportunities for customer interaction increasing year-on-year, the landscape is only going to become more complex. Social commerce is set to take off in a big way over the next 12 months, which will have a significant effect on the economy as it’s already worth £900 million to UK retailers.
The once simple acts of giving customers what they want, when and where they want it – be that products, services or answers to their queries – has become difficult to achieve effectively and smoothly. All because we continue to operate in a state of ‘omni-confusion’.
Throughout the customer experience, there are omni-channel inefficiencies affecting standard of service. This includes frustrating experiences such as a lack of product information in the store, stock running out in one location where demand is high but remaining unsold in another location, additional customer service enquiries as shoppers demand to know why they can’t return an online purchase in store.
To add to this, the pressure on profitability grows. Consumers want the same level of functionality in all channels, with the ability to move seamlessly between them. They want consistency at the same time as personalisation, convenience at the same time as choice – and if one retailer can’t provide it, they’ll go elsewhere.
It sounds like the stuff of nightmares but the crux of the problem is that retailers are making omni-channel promises they can’t deliver, because they lack the intelligent operational solutions to do the job efficiently.
Too many businesses are trying to patch legacy systems with new technology, which is difficult to integrate and easy to overload. Not only that, but retrofitting new software can make the entire operational ecosystem too complex to scale and evolve in the future as demand shifts. Ultimately, it’s an expensive exercise that will prove unfit for purpose in a couple of years or even sooner.
The only way to future-proof back-end systems for the continued evolution of omni-channel is to invest in a single cloud IT system to give you synchronised and accurate data across your business. This will give head office true insights into customer behaviour in all channels, allowing them to make more effective business decisions, while providing staff on the ground with the ability to carry out their job more efficiently.
After all, if shoppers want retailers to respond in line with what they’re thinking or how they’re feeling at any one point in time, retailers need the 360 degree, real-time data visibility across their multiple channels to achieve this.
For further information on the multi-channel challenges retailers are facing and how they can overcome them to achieve a truly omni-channel experience, download our guide by visiting: http://www.retailstore.co.uk/multi-channel-efficiency/.
Rachel is passionate about retail and the ever-changing retail technology environment, with a keen eye for upcoming retail trends that are set to shake up the sector.
