Insights

Excerpt from Synchrony press release

According to new data from the Synchrony 2018 Digital Study, 77 percent of consumers rated credit card features on an app as very or extremely valuable.

The study comes as SyPI, Synchrony’s native app plug-in, hit $1 billion in credit card bill payments since the product’s launch in 2016. SyPI is embedded within a retailer’s app and functions as a complete credit experience - consumers can apply for credit, perform all servicing functions, view available rewards certificates, and more, without leaving the retailer’s mobile app.

Off-price retailers are projected to increase profits by 5.4% this year, and it’s no coincidence that this growth comes when e-commerce is finally a commonplace in the sector.

Five years ago, when the broader universe of apparel, home and accessories brands had perfected online and were venturing into mobile commerce, off-price retailers were struggling to accurately reflect inventory available for purchase beyond the store. But as supply chains and real-time inventory technologies have become more efficient in recent years, offering customers an omni-channel shopping experience has become a no-brainer for off-price retailers like T.J. Maxx.

It’s no secret that today’s society is addicted to social media. With the average person spending nearly two hours per day on social channels, there’s an immense opportunity for retailers to increase sales and brand awareness. Below is a list of 10 social media marketing best practices to consider and implement as you continue to invest in additional ad spend and resources for your social strategy.

1. Keep the human element alive.

Let’s face it - we all crave human interaction. When you have a problem, question, or even just a comment, you want to feel heard. Yes, chatbots can be useful in certain circumstances, but only 9% of consumers look positively on chatbots in the shopping experience. Customers want to communicate with a real person. They want to know the retailers they’re loyal to genuinely care about their satisfaction, and if they’re frustrated, empathize.

If you’re anything like me, you don’t have $2,000 to drop on a new outfit. However, there are many well-made duplicates at a fraction of the price…it’s just a matter of finding them. In the past, I’d see someone on my Instagram feed wearing a beautiful dress and wonder where they purchased it. In most cases, if the person isn’t a fashion or affiliate blogger, the brand can be tough to identify. That is, until now.

With most online shopping beginning with search, it’s no wonder why retailers like Asos, Express, Urban Outfitters and Neiman Marcus have implemented visual image search in-app.

Visual search removes roadblocks and decreases friction in the shopping experience, taking shoppers directly from inspiration to satisfaction. Because taking a photo of a product is the #1 most popular in-store mobile shopping activity, more and more retailers are implementing visual search as a way to engage customers and drive sales.

Here are a few examples of retailers that have implemented the technology well. 

Screenshop  

Screenshop’s app leverages artificial intelligence to identify shoppable items in a user’s screenshots. Once fashion-related photos are detected, the app will generate an assortment of clothing, footwear or accessory options. In addition to finding the same outfit, their custom catalogue will also offer up similar styles by many different brands at a wide range of price points.

Are you ready to hire 10,000 marketing managers to compete with AI?

For the better part of a decade, retail has looked to “personalization” as its primary marketing strategy in an effort to combat a rapidly deteriorating landscape. It’s time to admit it’s not working. True personalization, a 1:1 marketing experience between the brand and the consumer, is incredibly difficult, if not impossible with the current tools at a marketing team’s disposal. In fact, it would probably take upward of 10,000 marketing managers to pull such a strategy off. Artificial intelligence and machine learning, on the other hand, could handle it in mere minutes.

With a rising number of store closures this year, already up to at least 3,000, retailers can’t deny they’re struggling to find a strategy that works across the board to bring shoppers back into the fold and generate the loyalty they desperately need. AI, particularly as a marketing function, has the transformative power to cure some of these ills, but as it stands, only major companies like Amazon or Google are harnessing the technology in a way that impacts the bottom line. The challenge many brands face is how to catch up or even begin to compete.