ECOMMERCE

Study: Retailers struggle to deliver personalization

BY Deena M. Amato-McCoy

Retailers know that personalization equates to higher sales, but companies still struggle with execution.

Specifically, retailers are eager to offer personalized experiences to achieve higher sales. Failing to remove unintended barriers are only overwhelming shoppers, who then abandon shopping carts.

This message was presented in “Personalization Pulse Check,” a report from Accenture Interactive. The study, which surveyed more than 1,500 consumers aged 18 to 60 across the United States and United Kingdom, revealed that consumers do have a positive attitude toward personalized offerings and services.

For example, 56% of consumers are more likely to shop at a retailer in store or online that recognizes them by name, and 58% are more likely to make a purchase when a retailer recommends options for them based on their past purchases or preferences. Remembering purchase histories will win over 65% of shoppers, and three-quarters (75%) of shoppers will more likely to buy from retailers that provide any of these three services, the report said.

Where the challenges lie, however, is when messages get muddied in their execution, whether through irrelevant recommendations or too many options. For example, 39% of shoppers have left a business’ website and made a purchase elsewhere, because they were overwhelmed by too many options.

With so much competition in this omnichannel landscape, retailers are in the hot seat “to make it easy for customers to engage, buy and consume what they want, how and when they want,” said Jeriad Zoghby, global personalization lead at Accenture Interactive.

Despite the availability of data and digital technology today that allows for a deeper level of personalization, “many brands are still grappling with delivering upon customers’ desire for more personalized experiences,” he said.

One issue is the creation of unintended barriers, such as onsite searches that deliver irrelevant results or landing pages don’t match known customer intent or profiles. “In an era when your brand is the experience, it’s imperative that retailers deliver the ultimate user-friendly and tailored experiences or risk sacrificing sales and loyalty,” he added.

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TECHNOLOGY

Report: Good deals ring in stronger holiday sales

BY Deena M. Amato-McCoy

Holiday sales may be on pace to increase this year, but sale-savvy shoppers will drive this boost.

The 10th annual “Accenture Holiday Shopping Survey” found that 42% of consumers said they rarely or never expect to pay full price for an item during the holiday season, and this year is no exception.

Two-thirds (67%) said they will purchase items from different stores or websites to get the lowest price, and nearly three-quarters (72%) said they would be enticed by promotions or coupons to shop at a store they have not used in the last year, the study revealed.

Keeping in the spirit of the holiday, shoppers are also looking to “give” more this year — specifically, they are willing to “give” personal details in order to receive personalized offers. According to the study, 54% said they are open to sharing personal information and shopping preferences with retailers in order to receive personalized offers, compared to 51% last year, and 33% in 2014.

The factors most likely to entice shoppers to share personal data are discounts or coupons (78%), loyalty card points (52%) and highly relevant promotions (47%), the report said.

“The good news is that U.S. consumers plan to spend more, and are increasingly willing to share personal information to receive offers – but they remain focused on frugal bargain hunting,” said Jill Standish, senior managing director of retail, Accenture.

“The clear opportunity for retailers is to learn all they can about their customers and use these insights to provide the personalized and timely deals consumers are seeking,” she added. “By optimizing inventory and marketing, they can increase the profitability of each customer visit to their store or website and maximize each click.”

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TECHNOLOGY

Abercrombie & Fitch Co. tries on a new — and friendlier — brand identity

BY Marianne Wilson

Those shirtless, perfectly sculpted male models and highly sexualized images are officially out at Abercrombie & Fitch, replaced by a more inclusive and welcoming identity.

The teen apparel retailer has launched an ambitious brand overhaul that includes a new marketing campaign, an updated logo and a totally redesigned website. The company will also introduce all-new digital advertising across video streaming websites, music platforms, and social media.

Abercrombie’s new brand identity will be launched with the company's largest ever advertising campaign, which kicks off this holiday season. It will launch in two parts, beginning with "teaser" advertising designed to pique consumers' interests and challenge their notions of the Abercrombie brand. The first part of the campaign does not have any images. It only features a tagline: “People have a lot to say about us. They Think They've Got Us Figured Out.”

The second part of the campaign will feature the chain’s holiday messaging, This is Abercrombie & Fitch, illustrated by imagery that the retailer described as “optimistic, inclusive, and emotional.”

“This new brand position is the product of an 18-month effort to create a brand identity that communicates our focus on our customers' needs and aspirations," said Fran Horowitz, president and chief merchandising officer, Abercrombie & Fitch Co. "Rather than buying clothes that symbolize membership in an exclusive group, today's consumer celebrates individuality and uniqueness. Our new brand reflects that confidence and independence of spirit as well as our own dedication to a more diverse and inclusive culture.”

Abercrombie has been working to transform its brand and reputation ever since former — and controversial — CEO Mike Jefferies left nearly two years ago. Among other things, the chain was challenged with diversity issues, and was criticized for its hyper-sexual advertising campaigns and “cool kids only” mentality.

The chain has been updating its merchandise mix, with less emphasis on logo clothing and better quality fabrics. The retailer’s efforts to rebuild its brand still have a ways to go in terms of winning back customers. For the second-quarter, net sales were down 4% to $783.16 million and same-store sales also fell 4%.

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W.Melton says:
Mar-28-2017 06:52 pm

Google
Skilled designers have to work to design a logo and this takes work. To design a logo, you need to invest time and effort. It is not equivalent to just playing on the computer for a few hours. https://www.google.com/

W.Melton says:
Mar-28-2017 06:52 pm

Skilled designers have to work to design a logo and this takes work. To design a logo, you need to invest time and effort. It is not equivalent to just playing on the computer for a few hours. https://www.google.com/

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