retailing in a global marketplace: creating a …...2019/10/01 · create a customer experience...
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Retailing in a Global Marketplace:Creating a Customer Experience
Anne L. Roggeveen
Charles Clarke Reynolds Professor of Retailing & Marketing, Babson College, Babson Park, Massachusetts, USA
Honorary Visiting Professor of Retailing & Marketing at Center for Retailing Stockholm School of Economics, Stockholm Sweden
Guest Professor of Business, University of International Business and Economics, Beijing, China
Extramural Fellow, Maastricht University, Maastricht, Netherlands
Joint Editor‐in‐ChiefJournal of Retailing
Academic CouncilAmerican Marketing Association
The World is Changing
Boundaryless Retail
Boundaryless Retail
Retail Apocalypse vs. Retail Renaissance
Customer Experience
Frictionless & Enjoyable
Customer Experience
Match consumer’s values & world views
Customer Journey & Touchpoints
Lemon, Katherine and Peter Verhoef (2016) “Understanding Customer Experience Throughout the Customer Journey”, Journal of Marketing
Creating a Pre-purchase Experience
Creating a Purchase Experience
Creating a Post-purchase Experience
Using Sensory Elements to Create a Customer Experience
Vision Audition
TouchTaste
Olfaction
Spence, Charles, Nancy M. Puccinelli, Dhruv Grewal and Anne L. Roggeveen (2014), “Store Atmospherics: A Multisensory Perspective,” Psychology & Marketing, 31 (July), 472–488.
1. Path
2. Landmark
3. Edge
4. Node
5. District
5 Elements of Retailscape(PLEND)
Roggeveen, Anne L., Dhruv Grewal, and Jens Nordfalt, “Five Elements of Storescape – A PLEND Framework”
PATH• The perceptual element most obvious to the shopper• Affects where the shopper is moving• Affects how far into the shop the shopper goes
1. Path
Think about the Path
Smart Carts
Website Path
LANDMARKS• Easy to identify or recognize• Used for navigation• Visible location• Contrast from the background
2. Landmark
Landmarks
Landmarks
Landmarks
EDGES• Affects where the shopper looks (hot spots)• Affects the speed of the shopper
3. Edge
HOT SPOTS
Navigation Inspiration Sales
HOT SPOTS
HOT SPOTS
Roggeveen, Anne L., Jens Nordfält and Dhruv Grewal (2016), “Do Digital DisplayEnhance Sales? Role of Retail Format and Message Content, Journal of Retailing, 92 (March), 122-131.
HOT SPOTS
NODESTechnology Infusion
4. Node
Conceptual Model of Technology Infusion
Grewal, Dhruv, Stephanie Noble, Anne Roggeveen, and Jens Nordfalt, “Tech Infusion: How In‐Store Technologies Influence Sales through Social Presence and Identity Expression”
Kiosk with Digital Screen
Smart Displays
Augmented Reality
Sephora Virtual Artist
Robots
Chatbots
Voice Assistants
Technology Infusion
Grewal, Dhruv, Stephanie Noble, Anne Roggeveen, and Jens Nordfalt, “Tech Infusion: How In‐Store Technologies Influence Sales through Social Presence and Identity Expression”
Inventory Robot
Technology Infusion
Grewal, Dhruv, Stephanie Noble, Anne Roggeveen, and Jens Nordfalt, “Tech Infusion: How In‐Store Technologies Influence Sales through Social Presence and Identity Expression”
Grab & Go Solutions
Grab & Go Solutions
Technology Infusion
Grewal, Dhruv, Stephanie Noble, Anne Roggeveen, and Jens Nordfalt, “Tech Infusion: How In‐Store Technologies Influence Sales through Social Presence and Identity Expression”
Digital Price Tags
DISTRICTS• Consists of elements that are found to have common characteristics• The shopper looks like he / she "enters" a district
5. District
Assortment Organizations
Substitute-based
Complements-based
Sarantopoulos, Panagiotis, Aristeidis Theotokis, Katerina Pramatari, and Anne L. Roggeveen (forthcoming), “The Impact of a Complement‐Based Assortment Organization on Purchases,” Journal of Marketing Research.
Field Study
Fortune Global 500 grocery chain
Two stores – same firm, similar floor space, assortments, number of staff and customer socioeconomic properties
Development of the Complement-based Organization• Analyzed sales affinities on all purchases over
17 month period
Development of the Complement-based Organization
Development of the Complement-based Organization
Sales - Pre & Post
Using the Retailscape to Impact Customer Experiences
P L E N DPath Landmark Edges Nodes Districts
Firm A Firm B
Customer
Goal is to increase your relevance
Relevance is Key
Use Data to Help Understand Relevance
Retailer A
Customer
Retailer B
Personalization
Privacy Concerns in Retailing
Privacy
Personalization
Aguirre, Elizabeth, Anne L. Roggeveen, Dhruv Grewal and Martin Wetzels (2016), “The Personalization-Privacy Paradox: Implications for New Media,” Journal of Consumer Marketing, 33 (March).
Customers can now be tracked at all stages of customer journey
online offline
Facial analytics Smartphone
tracking
Retailers Must Have Customer’s Trust
John, Kim, and Barasz (2018); PWC (2019); Inman and Nikolova (2017); Farshidi 2016; Aguirre et al. (2015, 2016)
Understanding the Personalization-Privacy Paradox to
Create Customer Experiences
Customer Experience
Vision Audition
TouchTaste
Olfaction
Privacy
Personalization