Marquezine Vol. 2

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Marketing Magazine 2015 Edition, Vol. 2

“High Expectations are the key to everything”

- Sam Walton, Founder of Wal-Mart

Adidas’ World Cup Campaign

World’s First Shopping Centre

Retail Success Mantra

Online to Offline?

Internet of Things in Retail

The Social Store

Retail Social Media Model

Retail 2020

5 Ancient Retail Tips that can be directly applied to Modern Retail Market

1. It’s all about the experience

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2. Each Product must tell a Story

3. Theory of Reciprocity

Retail has always been aboutdelighting the customers,whether making the productlive to watch or giving anaesthetic appeal to what yousell. It is always interactive

Though the world is moving away from the traditionalunorganized format of retailing (and we get to see much lessof the weekly bazaar in India), there is still so much to learnfrom the old market style retailers:

and reminds us that retail is more of an “experience”which involves a lot of energy and vibrancy to deliver.

To get the customers to attach their hearts to theproducts, you must have a story behind procuring/creatingthe product or brand to make it feel as part of the legacy.

4. Importance of touch and feel

5. The fresh feel

It simply means you get back what you give away.Distributing free samples is a good idea to get yourcustomers to reciprocate the same by opening their wallets.

It is important to remove thebarriers between the productand customers. Let them tasteand touch so they believe more.

Let the vegetables have somedirt clinging on them, the crabsdisplayed alive in a water etc. tomake them look real & raw.Source:

1. http://www.newretailblog.com/what-ancient-markets-can-teach-today%E2%80%99s-retailers/

The concept of retail originatedwith markets, a place wheregoods were exchanged sincecenturies back. Built in 100-110AD, Trajan’s Market in Rome, Italyare regarded as the world’s firstshopping mall. The multi-storiedbuilding with tabernae(singleroom shops) at its base where theshop-owners took deliveries ofgoods, stocked their shelves, and

World’s First Shopping Centre: Trajan’s Market, Rome

hawked every commodity under the sun - from pungentspices to gone-over vegetables - and everything in-between.For centuries the crowded Via Biberatica hummed with the

The ruins of the Trajan’s Market (2nd century AD) have a structure strikingly similar to a modern day

shopping mall

Source:1. https://www.karwansaraypublishers.com/pw/site/assets/files/5704/ahm_issue_0.pdf

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ksounds of everyday streetlife; a far-cry from the sullensilence which today hauntsthe empty basalt road. Thesmaller rooms above arespeculated to be the officesof the bureaucrats foradministrative work.

TESCO drops private labels from its pricematching scheme

TESCO’s current scheme, Price Promise, gives shoppers adiscount voucher if their whole basket of goods could havebeen bought more cheaply at Asda, Morrisons orSainsbury’s. Recently TESCO took the lead in supermarketprice wars by revamping its scheme to include only brandedproducts.

Source:1. retailweek.com 2. http://retail.economictimes.indiatimes.com/

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While Google’s chrome leads thepersonal computer segment,Alibaba’s UC Browser is at thenumber 1 amongst the Indianmobile market with 51% share inthe browsing space.

TESCO overhauls its Price Promise Scheme

What’s going on?!

Who’s the Top Browser?

Being #1 in the mobiles

A survey by Cone Communications and Echo Researchuncovered that 87 percent of global consumers, factor inCSR into their purchase decisions. Companies are nowpracticing CSR in a way that generates significant returns totheir business.

Source:1. https://www.vendhq.com/university/retail-trends-and-predictions-20152. http://www-935.ibm.com/services/us/gbs/bus/pdf/gbe03019-usen-01.pdf

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From agent-less cash countersto cloud-based POS, retailersare experimenting withtechnology to increase thecustomer delight. Some of thetechnologies that are trendingin the retail world are –Beacon (in fig.), wearables, 3Dprinting and augmentedreality.

Banking on Corporate Social Responsibility

Retail Success Mantra

Technology Twist

In 2014, a number of ecommerce-first businesses expandedinto the offline realm. Former online pure-play Birchbox, forexample, opened its first physical shop in Soho, whilecompanies like Bonobos and Warby Parker doubled down onbrick-and-mortar by opening even more physical stores in2014.

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eCommerce expanding to the Offline Realm

From Online to Offline

Why?

1. Market Share

2. Better Experience

Source:1. https://www.vendhq.com/university/retail-trends-and-predictions-2015

The majority of overall retail sales are still taking place offline, and ecommerce sites have realized that they need to set up physical shops if they want to gain significant market share.

To provide seamless shopping experience requires successfully pulling off both a digital and physical presence.

Source:1. http://www.gartner.com/it-glossary/internet-of-things/

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dayWhile there are a lot of possible applications of IoT in retail,

(Apple’s Beacon already in place) there would be a hugechange in the retail dynamics once it is widelyimplemented. In the above example, smart shelves couldoperate without human intervention – sending stockreplenishment calls to warehouses, deciding the lot sizebased on the average consumption rate, offeringcustomized discounts to nearby smartphone users andmuch more…

IoT in Retail

What is Internet of Things(IoT) ?

IoT in Retail: Smart Shelves

Image Source: www.pccwsolutions.com/

The Internet of Things (IoT) is the network of physicalobjects that contain embedded technology tocommunicate and sense or interact with their internalstates or the external environment.

Facebook and Twitter are the latest shopping platformsalong with Curalate’s “like to buy” platform for Instagram.Brands have already been using social media tostudy/generate the trends, attract attention, communicatewith customers, but a lot of retailers are now entering thesocial media platform for the sale of their products.

Source:1. https://www.vendhq.com/university/retail-trends-and-predictions-2015

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Retailers like Nordstorm, Target,(RED) and Burberry are alreadyplanning to leverage the social

The Social Store

Who’s the Top Browser?

Source: Survey by adweek.com

Social Media as a Shopping Platform

Leveraging the Social Platform

mediaplatform tosell theirproducts

1. Department Integration:

Social media is the latest platform for driving online sales.Despite its novelty, it is seen as the fastest growing and themost influencing platform for e-retailers. A lot of initiativesand referral/reviews have impacted the sales of a brand andhas made this media channel a vital point of focus.

Source:1. http://uk.businessinsider.com/social-commerce-2015-report-2015-6?r=US&IR=T2. https://www.socialmediaexplorer.com/social-media-marketing/the-retail-social-media-model/

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All the departments must work in coordination and convertthe social media campaign into a positive in-store experience.

The Retail Social Media Model

The Retail Social Media Strategy

2. Brand Integration:

3. Shared Purpose:

4. Relevant Content:

To communicate a consistent brand message across all modes.

Having all the stakeholders connected to the strategy

To attract potential leads and a good image

The consumer-driven supply chain

With the predicted growth in non-store retail movingtowards the Omni-channel Strategy (covering both onlineand offline modes) and the growth of recession-trained andfixed-income shoppers, this is what PWC has to say aboutthe US Retail Markets in 2020:

Retailers would be more focused on

balancing localization with personalization and creating a

“wall-less” retail environment

Source:1. https://www.pwc.com/us/en/retail-consumer/publications/assets/pwc-retailing-2020.pdf R

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The Polarized World of 2020

What lies in Store…

Internet & social media will allow retailers to look acrossnational or geopolitical borders for common solutions

Fully integrated brand retailing

Improved accuracy of the demand signal throughanalytics will help to drive the supply chain efficiency

From multichannel to Omni-channel:

Consumer-centric retailing

Growth fragmentation of US retail channels

Globalization:

Growth focus on smaller targeted segments

The “endless aisle” online engaging existing and newcustomers through online and brick-and-mortar

By 2020: