Study: Consumers engage with retailers’ Facebook pages more than brands’ websites
New York — Consumers engage with retailers on Facebook more than they do on the retailers’ own websites. Nine-in-10 consumers say how much they spend is impacted by their social media engagement with a brand. These are some of the findings of a study by Infosys, a leader in consulting, technology and outsourcing.
In addition to the impact of social media on spend, the “Rethinking Retail” study reveals how retailers are struggling to create the kind of consistent and personalized experience online and in stores that drives increased sales. Nearly two-thirds of consumers say that consistency plays a role in their tendency to spend with a brand (63%), while 34% say high consistency across a brand’s channels would mean a greater spend, while a lack of consistency results in a reduction in their spending (39%).
Other key findings of the report include:
• Eighty-nine percent of those who interact with a retailer online through any social media outlet say that the interaction has an impact on their purchase.
• Women are twice as likely as men to be influenced by Pinterest; YouTube influences twice as many men as women.
• Only 2% of all people polled say that FourSquare has any influence on their purchase.
• Though 62% of retailers reported that they offer personalized offers in store, only 20% of consumers report seeing ‘in-store only’ personalized offers. And 59% of consumers who have experienced personalization believe it has a noticeable influence on their spending.
• Consumers are three times more likely to impulse-buy in a store than online.
• Nearly all (96%) of consumers expect retailers to inform them of new products. Only 34% of retailers, however, can track consumer trends in real-time, reducing their ability to rollout appropriate offers which can drive sales.
• Lack of technology is the most common factor (38%) preventing retailers from creating a more integrated customer experience within their organization.
Report: More data breaches expected to surface
New York — Following news that luxury giant Neiman Marcus experienced network breaches over the holiday shopping season, similar to those of Target Corp., unidentified sources told Reuters that at least three other attacks on well-known merchants could be revealed in the coming weeks.
According to the report, the sources said the additional breaches involved retailers with outlets in malls, but no more details have been given. Law enforcement has said that they suspect the perpetrators hail from Eastern Europe, and the latest reports suggest all the breaches could have been instigated by the same hackers.
Neiman Marcus said its cyber attack was discovered on Jan. 1 by an outside forensics firm. The retailer first reported the breach on Jan. 10, just three weeks after Target revealed that some 40 million payment card numbers had been stolen in its cyber attack. On Friday, Target said the data breach was worse than initially thought.
On Monday, Reuters reported that Democratic members of the Financial Services Committee of the U.S. House of Representatives are calling for the panel to investigate the Target breach.
Jos. A Bank shareholder pushes toward Men’s Wearhouse deal
New York — Eminence Capital, a 4.9% stakeholder in Jos. A. Bank and a 10% shareholder in Men’s Wearhouse, said it supports Men’s Wearhouse’s proposed acquisition of the company and demanded that Jos. A. Bank’s board sit down and engage in "meaningful, good faith negotiations."
Efforts to merge the two retailers have dragged on for months, with each chain having their offers to acquire the other rejected.
Eminence filed suit against Jos. A. Bank on Monday for rebuffing the latest $1.54 billion bid from Men’s Wearhouse and for toughening the retailer’s anti-takeover defenses in the wake of the offer. Earlier this month, Jos. A. Bank’s board changed the trigger on its “poison-pill” anti-takeover defense so that it is activated when someone buys 10% of the company’s shares, instead of 20%.