October 10 2008

IR2008 session report — Cross channel: beyond multichannel

Stream three at Internet Retailing 2008 examined the latest trends in multiple channel retailing, moving beyond multichannel to true, integrated cross channel solutions. Stream chairman Ray Fowler from CVL reports on the key messages from the session and the tips delegates received

Key messages from the 'Cross channel: beyond multichannel' session at Internet Retailing 2008 were:

• A single overriding key message that you have got to consider your customer; cross channel retailing is different for everybody.
• David Tarbuck from Argos had a large audience eager to hear what he had to say. The perception is that the company has succeeded where others are still trying to achieve true multi-channel retailing. Consumers think of 'Argos' not 'Argos online' or 'Argos shops', just 'Argos'. 'Listen intensively to your customer' was a key message, and then personalize their experience with you to meet their needs.
• Customers don't see retailers as divided into different channels, they just see one retailer. And if that retailer messes up in one channel, the customer will stop buying from all the channels.
• Achieving true multi-channel retailing is not only a technical issue, it is a cultural and environmental issue. Is now the time to create fully integrated retail operations so that staff can begin to serve customers, not just serve in-store customers or online customers or telesales customers?
• Richard Burrell from QVC explained that they have changed their business model to allow them to invest in new ways to serve customers, ways that they knew from the outset might only have a lifespan of 18 months or so.
• To find out if something is working successfully or not, you should test, then test, then test again — and then test again was the message from Tony Smith of Jessops, which has seen a big take-up of its collect in-store offering.
• 'Don't believe it's easy' was the message from a panel discussion on the logistics of European expansion. Colum Joyce from IMR World advised that retailers should pick a single country, really get to understand that market and ask why someone from that country would want to buy from you rather than from a local retailer.
• The final panel discussion looked at the future of internet retailing. Mobile is now becoming important, the panel agreed, and by next year a key issue will be better integration within organisations so that channels are brought together, costs are driven down and a single view of the customer can be maintained. More personalisation is also key as is understanding customer values on an individual basis. Are they driven by time, by price or by offer and are they driven by the same things for all products or do they have different priorities for some types of purchase than for others?

Internet Retailing 2008 took place at the Novotel in Hammersmith, west London, on Tuesday 7 October. Delegates will be able to access all the presentations online from 20 October. For those who weren't able to attend on the day, the proceedings are also available to purchase from the show office.

by Sarah Clark (Web Editor)