Marketing Channel Strategy



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Marketing Channel Strategy An Omni-Channel Approach

online-only
stores, the cost of customer acquisition remains 
rather high; they have to battle to achieve customer awareness, attention, and share 
of wallet.
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In response, some e-tailers have opened physical, offline stores, which 
they must integrate into their omni-channel strategy. Real Real, the luxury con-
signment site, maintains physical locations mainly as fulfillment centers for online 
orders. When a customer tries on an item in the physical store, the website automat-
ically puts it on hold, to ensure that the same item does not get sold simultaneously 
to two people. The fulfillment centers also provide repair and valuation services for 
items sold through a consignment arrangement, and staffers help customers learn 
about the potential resale value of items they are considering purchasing.
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Brick-and-mortar stores
have a different problem: customers tend to view 
them solely as physical locations and ignore their e-commerce websites or offer-
ings. Such a situation restricts the e-commerce operations from reaching their 


OMNI-CHANNEL STRATEGY
348
full potential,
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including their ability to help consumers purchase anywhere and 
anytime, in support of an effective, seamless experience.
EXAMPLE: WALMART (USA/GLOBAL)
Walmart sells more than 67 million items in its stores and online.
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Yet its online portfolio of 
approximately 19 million items is dwarfed by the 365 million items available on Amazon.
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Still, even as same-store sales have fallen flat, Walmart has achieved a significant boost in its 
e-commerce sales,
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prompting the retail giant to embrace its omni-channel future—and com-
pete even harder against Amazon—through several notable moves. It acquired an Amazon 
competitor, Jet.com.
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It introduced a scan-and-go app that allows consumers to scan items 
as they place them in physical shopping carts, provide a mobile payment, and then simply 
show their receipts as they exit the store.
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To enhance the synergy between in-store and 
online shopping, Walmart requires its suppliers to deal with a single buyer, responsible for 
making purchase decisions for both e-commerce and in-store merchandise. Anticipating dras-
tic changes to the overall shopping environment in the next few decades, Walmart aims to 
allow its mobile site to evolve into a personal shopping assistant that helps consumers make 
informed choices, wherever they might be.
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 Then the brick-and-mortar stores can emerge 
as desirable, go-to locations, attracting shoppers by featuring compelling experience goods, 
such as restaurants, hair salons, healthcare services, demonstrations, and sampling. Taking the 
omni-channel even further, Walmart seeks to integrate consumers into the supply chain, by 
encouraging them to create original content and serve as beneficial influencers. Accordingly, 
Walmart’s omni-channel strategy highlights the ongoing need to develop better consumer 
analytics, especially those that can attribute sales to specific channels.
For both types of retailers, a key question revolves around whether they should 
target the same customer base, both online and offline. Brick-and-mortar retail-
ers can overcome their shelf space and 

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