Posts Tagged ‘online’
We’re committed to changing the way we do things around here. A lot.
One of the changes on the horizon is to push our design services in a direction closer to a human-centered approach. That’s a tall order when we practice a medium that is roundly criticized for doing more to make people anti-social than anything else. Adopting design methods historically reserved for industrial design and product development won’t be easy in interactive design, but we’re committed to it as a path for Gorilla.
Aren’t you just talking about user-centered design?
I get that question a lot. In some ways yes, but Chad Camara has a post on his blog that encapsulates the differences very well in my opinon. We’re striving to focus on real, human improvement in our offering, not just improving efficiency. I will be challenging all of Gorilla’s clients to consider how their product or service improves the lives of their customers. Focusing on holistic design concerns in addition to efficiency is something we’re seeing as critical to the mutli-channel environment. People are smart enough these days to know when you’re trying to sell to them versus have a relationship with them. For a lot of our clients, user-centered just isn’t going to cut it anymore.
We’ve got a lot of work to do in this respect. The ephemeral nature of digital media is going to be an advantage and a drawback. The technology moves far too quickly to be mired in research for too long, but the relative ease of deployment means when you consider the long view, you can take a cyclic approach that will put human concerns first.
It will be interesting and challenging no doubt to see where this direction takes us in the years to come.
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28% of shoppers cited low perceived security
Use a service such as McAfee Secure with PCI scan to give confidence and increase conversion.
23% avoid shopping online due to shipping costs
Lower or eliminate shipping costs or load them into the product costs to maintain margin
20% cited in adequate return policy
Easy to find and simple return policy including sending return shipping label with all orders
20% were concerned with the quality and availability of customer service
Provide online chat and clearly list you 8xx customer support number, which will also increase conversion %.
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Forrester has put together a simple matrix to help ecommerce professionals decide what channels you should provide as outlined below.
All these technologies can be implemented on the Magento platform as well as the higher cost ECP’s. Another technology that is garnering a lot of momentum is video chat to help increase conversions on high ticket or complex items. We are implementing this for two clients that will be live this spring. Looking forward to its affect on conversion as well AOV.
Characteristics of Customer Service Interactions Based on Complexity and Corresponding Technologies
Low complexity
• Low value
• High volume
• Repeatable
• Single-source answer
o Self-service
o FAQ’s
o Site search
o Virtual Agent
Medium complexity
• Medium value
• Circumstance related
• Multiple sources required to answer
o Virtual agent
o Email
o Click-to-call
o Reactive or proactive chat
o Community Forums
High complexity
• High value
• Complex issues
• Multiple sources required to answer
• Significant customer info required
• High-value customer segment
• High technical complexity
o Click-to-call
o Reactive or proactive chat
o Co-Browse
o Telephone
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Forrester is estimating online sales growth will increase by 16% year over year vs. 1.5-2% growth estimates for in store. Affluent consumers will drive a larger portion of this growth. Online retailers are planning aggressive promotions throughout the holiday season and especially on Black Friday and Cyber Monday, 34% offering deep discounts at peak times.
Consumers continue to shift their spend to the online channel. In 2009, 30% of consumers’ wallet was spent online with 37% expected in 2010 per the North American Technographics Retail Online Survey.
Online retailers continue to see the shift online with a robust rebound; 70% reporting gross online sales increased YOY in Q2, and 80% reported increases in 3Q per a Shop.org/Forrester survey.
Other stats from Forrester:
12% growth in new US online buyers
Average Spend of $338 in 2010 vs. $303 in 2009.
87% of US online buyers with household income over 100k will spend more online in 2010 vs 2009
16% will use mobile devices to compare online and in store pricing
31% of US online consumers will only buy online if offered free shipping.
How to Prepare as a Retailer
Ensure your site is redundant and has the ability to scale for the spike in traffic on Friday and Monday.
Free Shipping
Benchmark vs competition and ramp up promotions if behind
Ratings and Reviews
Targeted marketing
Measure mobile traffic
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Gorilla has carved a niche helping apparel companies better position their eCommerce channel with better design, usability, functionality, and integration utilizing Magento Enterprise. This is not a bad market to serve since it grew 17% last year with expected double digit growth over the next 3 years outpacing electronics and computer hardware and software.
This growth does not include the web influenced offline sales that are tough to measure for many multichannel retailers. 70% of consumers have researched online prior to an offline purchase.
Many younger tech savvy consumers are buying their apparel online especially when they find a brand and site that meets their shopping experience expectations. Many of our clients and others in the apparel industry are trying to create an experience similar to an offline purchase using visualization tools, fit explanation and consistency along with lenient return policies. Mastering the cross channel experience is not walk in the park, but companies now understand the importance of consistency.
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