Focusing on customer service boost retailers’ ecommerce

When operating brick-and-mortar locations, retailers know that providing effective customer service is vital to boosting retention and loyalty. That also applies to merchants that run ecommerce sites, as online shoppers expect the same service aspects while browsing for and purchasing products through the internet.

According to the American Customer Satisfaction Index (ACSI), consumers are becoming happier with online shopping. On a 100-point scale, the current index for February stands at 81.1, which is a 1.2 percent jump from last month. This points to improvements in ecommerce customer service, as more companies are focusing on these elements to create loyal patrons.

"Just as we have seen in the public sector, consumers enjoy the convenience and power of ecommerce and online transactions," said ACSI founder Claes Fornell. "Ecommerce is maturing, and even the smaller companies are improving, keeping up with or sometimes surpassing larger, more established companies."

To further improve online customer service, Business 2 Community suggests that retailers give shoppers options for reaching out to companies through their preferred channels. In addition, asking for feedback on where enhancements can be made is an effective strategy.

Mobile technology being used for many retail purposes

When smartphones and tablets first hit the market, they were used by individuals for a variety of personal purposes. However, a new trend is fast emerging in which consumers utilize these mobile devices to browse for, compare and purchase products from retailers. And merchants are moving quickly to capitalize on this shopping practice, as customers are beginning to prefer buying the merchandise they want through their mobile gadgets. Many businesses are developing mobile marketing strategies to entice consumers through smartphones and tablets, and these efforts are translating into increased mobile commerce sales. The technology is set to become one of the biggest trends that has hit the retail industry recently, so merchants need to create approaches that focus on accommodating mobile-carrying customers or risk losing out to competition.

Mobile being used for marketing campaigns
To attract individuals who like to shop via their smartphones and tablets, retailers are sending out marketing emails filled with promotions and discounts. And it seems as though their efforts are paying off, as a recent study by marketing firm Knotice revealed that approximately 38 percent of these emails were opened on consumers' mobile devices during the last six months of 2012.

When it comes to deals and other marketing content being clicked on after these messages were opened – which is known as the click-to-open rate – Knotice discovered that the figure for this on smartphones was 6.92 percent and tablets came in at 7.72 percent. While these mobile devices have not yet brought retailers as much success for their efforts as laptops and desktops computers have, experts state that the prevalence of smartphones and tablets will continue to grow in the coming years.

"If retailers are using email to engage customers, each campaign needs to be great on mobile devices," said Patti Renner, director of marketing at Knotice. "That includes the links throughout as well – each destination needs to both work well and look great on phones, tablets and desktops to make sure the best brand experience is maintained."

Mobile becoming more of a retail focus
The growth of mobile devices has certainly not been lost on retail professionals. Drug Store News reports that research from BDO USA found that merchants are putting more effort into developing effective strategies for boosting online shopping, including through smartphones and tablets. Sixty percent of the retailers surveyed stated they will continue investing in mobile this year, while 38 percent will start implementing the technology into their operations.

Mobile technology making large impacts on retail industry

Mobile technology is no longer being used just as an additional and effective purchasing channel for retailers. While many consumers prefer to shop through their smartphones and tablets – and merchants are meeting these demands – these devices are also being used by businesses in the retail industry to keep operations going.

Internet Retailer reports that a study by Alibaba Group found that if web-based retailers were to experience natural disasters or emergencies, 62 percent said they would rely on mobile devices to continue running their companies. These merchants would utilize the devices to stay in touch with customers through email, phone calls or text messages, and they would also update their websites with pertinent information for vendors and consumers, the source reports.

Besides using gadgets such as smartphones and tablets to keep things going, retailers are also adopting strategies to boost their revenues through mobile commerce, writes Internet Retailing. Shoppers are increasingly using their own devices to browse for and buy products, which was highlighted in research from Affiliate Window. Retail purchases from smartphones and tablets during January increased 116 percent year-over-year.

Retailers need to capitalize on mobile commerce growth

Mobile has been steadily making its way into the forefront of the retail industry over the past few years, as consumers increasingly use smartphones and tablets to research, browse and purchase products. Merchants can no longer ignore the importance of this digital channel, especially as it is forecasted to continue its significant growth over the coming years. Developing strategies now for accommodating device-carrying customers – both in brick-and-mortar locations and on websites – will help businesses get a better grip on the mobile revolution and boost consumer satisfaction and loyalty.

Mobile retail use growing worldwide
Consumers across the globe are increasingly using mobile devices for many retail purposes, whether it be to purchase items, compare products or seek out customer service from brands. One country that has seen strong growth in mobile commerce is the United Kingdom, reports Mobile Entertainment.

The source cites research from Intela, which revealed that 40 percent of individuals in the U.K. are more likely now to make a mobile purchase than they were a year ago. This highlights consumers' increasing confidence in the buying channel, and they feel more comfortable spending money through their smartphones and tablets. Of the customers surveyed, 50 percent stated they would purchase £10 ($15) or more through their devices, which could give way to bigger priced merchandise in the near future, the source points out.

"Waves of innovation in smartphone technology has meant mobile commerce is finally becoming a tangible reality for consumer facing businesses," said Guenole Le Gall, head of mobile at Intela. "As people get more dependent on their devices, mobile commerce's prominence will grow – just as e-commerce did as online technologies improved."

Leverage mobile channels successfully
So how can retailers best capitalize on this growing channel? Independent Retailer notes that focus should be put on developing elements such as applications and mobile-optimized websites to accommodate consumers who prefer to shop through their smartphones and tablets. However, mobile strategies should not only be limited to the internet, as merchants can incorporate some digital elements into their storefronts for device-carrying shoppers.

One example is the use of mobile point-of-sale software and solutions that allow customers to use their devices to purchase products in stores, making transactions quicker and more efficient. In addition, retailers can use information gathered from mobile purchases to offer tailored deals and discounts to consumers, further boosting loyalty and retention.

Meeting the needs of mobile retail customers

Consumers are using their mobile devices for a variety of daily tasks, and this is carrying over to retail. Smartphones and tablets have quickly become effective tools for browsing for and purchasing products, and merchants need to move now to implement successful strategies for accommodating mobile customers.

In its recent MobileTrends Report, Allot highlights several categories of mobile retail consumers, one of which is the "Info Seeker," or someone who utilizes their device to obtain information about brands and merchandise. There is also the "Social Mingler" who take to social media sites on their gadgets to interact with brands. Also, the "Digital Mover and Shaker" are constantly online and are using social media as well as other platforms for their retail needs. For merchants to have successful mobile commerce strategies, they will need to develop methods to meet the needs of these consumer types.

The Financial writes that mobile applications are effective resources for customers who shop through their devices, and retailers may want to look into creating an app for their operations. In addition, the source cites research from Adobe and Harris Interactive, which found that two-fifths of mobile consumers using a retail app stated it "strengthened their connection to the brand."

Consumers’ spare time is optimal for mobile retail shopping

Mobile devices are used increasingly by consumers to research, review and purchase products, and it seems as though, when individuals have some downtime on their hands, they are also more likely to pick up their gadgets for some shopping. Smartphones and tablets are giving merchants additional tools not only for sales, but for marketing and consumer feedback as well.

Internet Retailer reports that a recent study from Monetate found that during 2012’s fourth quarter, mobile traffic on retailers’ websites grew significantly, and consumers used their devices the most on December 25, Christmas Day. On that day alone, merchants saw 16.05 percent of site traffic come from smartphones, while 15.57 percent derived from tablets. The rest was comprised of visits from laptops and desktop computers, the source notes.

The research report suggests that consumers are more likely to use their smartphones and tablets for shopping purposes when they have leisure time, such as on vacation, during the holidays or on the weekends. This information provides retailers with prime opportunities for extending their marketing efforts to customers through mobile devices. By using this approach, businesses can significantly drive their mobile commerce and reach out to shoppers through their preferred channel.

Online customer experiences are essential for successful ecommerce

As more consumers go online to purchase retail products, merchants will be focusing their efforts on creating attractive and easy-to-use websites as well as applications to boost mobile commerce. One aspect that needs more attention when it comes to internet shopping is the consumer experience that brands are providing.

Many retailers are not offering their web shoppers the experiences they are looking for, leading to decreased satisfaction and retention, according to recent research from Econsultancy. More than half (60 percent) of companies surveyed stated they are providing their customers with only average or less-than-average digital experiences through the internet and mobile channels. Merchants are not taking consumers’ expectations into consideration, and are therefore failing when it comes to offering satisfactory experiences online.

Fortunately, there are several strategies that businesses can use to enhance digital shopping experiences for shoppers. Business 2 Community recommends that including a frequently asked questions page can give many customers the answers they are looking for. For consumers needing more information, offering live web and even video chat helps to significantly boost satisfaction. In addition, letting patrons know about shipping and delivery charges up front keeps them from being surprised by extra fees at the end of their transactions, the source notes.

Retail ecommerce sees significant growth, expected to continue in 2013

Research has revealed that consumers went online increasingly over the past few years to browse for and purchase retail products. This behavior is forecasted to see significant growth in 2013 and the years beyond, as shoppers begin to prefer the convenience and efficiency of web transactions. What this means for merchants without an existing internet storefront or those that need improve upon their current ecommerce methods is that now is the time to consider effective ecommerce strategies. Failing to implement options for consumers who prefer to use the web for shopping could result in patrons going to competitors, leaving businesses to see declines in retention and loyalty.

More than $180 billion in ecommerce in 2012
According to a recent study by comScore, for the fourth quarter of 2012, approximately $56.8 billion was spent online for retail merchandise. This represents a 14 percent year-over-year increase in ecommerce purchases. Overall, consumers bought $186.2 billion worth of retail products through the internet in 2012, a boost of 15 percent from the previous year. There were several sectors that saw more growth than others last year in terms of ecommerce, including consumer electronics, books and magazines, apparel and accessories and toys, the report states.

“2012 was a year in which – for the most part – ecommerce continued to grow strongly, despite an uneven macroeconomic environment showing signs of recovery but also cause for continued concern,” said comScore chairman Gian Fulgoni. “With e-commerce growth rates consistently in the mid-teens throughout the year, it is clear that the online channel has won over the American consumer and will increasingly be relied upon to deliver on the dimensions of lower price, convenience and selection.”

More ecommerce increases in 2013
The growth of ecommerce is expected to continue into 2013 and the following years, according to research from the National Retail Federation (NRF). The organization forecasts that retail sales through the internet this year will jump between 9 percent and 12 percent from 2012’s totals. This will be boosted by increasing consumer confidence and shoppers’ preference of digital channels for reviewing and buying items.

To help improve online storefronts, Promotion World offers a few suggestions for retailers, including implementing clean web elements into their sites. This will make navigation easier for customers and simply transactions. In addition, making sure consumer inquiries and issues are handled quickly and effectively fosters satisfaction.

Mobile technology changing retail industry – in a good way

Retailers are used to the many changes and trends that have impacted their operations over the years. The latest technology set to significantly alter the industry is mobile, as consumers are increasingly using the devices to search for, compare and purchase products.

The Drum reports that smartphones and tablets have already changed many aspects merchants deal with on a daily basis, such as marketing, sales and customer satisfaction, but businesses need to be ready for more impacts in the near future. Shoppers are becoming more comfortable with the idea of making larger purchases on their devices, meaning that companies can market bigger items to consumers through the channel. In addition, the source notes that more interactive retail experiences can be delivered through mobile, such as the use of location-based services, image recognition and other technological solutions.

Retailers need to start paying attention to mobile solutions for their operations, as supply chain firm Manhattan Associates predicts it will not be going anywhere anytime soon. To best suit the needs and wants of device-carrying shoppers, the source suggests that merchants optimize their websites for viewing on smartphones and tablets, as well as offer mobile POS systems for consumers.

UK retailers seeing more sales from mobile devices

Retailers in the United Kingdom are experiencing an influx of sales made from mobile devices, as consumers are using the technology to browse for and buy products from their preferred brands. Merchants will need to implement solutions to accommodate these customers or risk losing out on valuable businesses, industry experts say.

Boxing Day 2012 was an exceptionally high day in terms of retail sales from mobile devices, according to research from Usablenet. Purchases made from smartphones and tablets were 38 percent higher on the day after Christmas than they were on Cyber Monday, the source states.

“Data from Boxing Day and other key shopping days such as Cyber Monday has demonstrated that consumers are fundamentally changing the way they shop,” said Usablenet marketing chief Carin van Vuuren. “Mobile is now a fully-fledged channel and the best mix of multichannel combines it with in-store platforms.”

Gulf News writes that if merchants fail to adopt mobile technology to accommodate device-carrying shoppers, they could see sharp decreases in satisfaction, revenues and retention. The source notes that some brands could even be forced to close their doors if mobile is not implemented.