The Benefits of Omni-channel Strategy in Marketing and Commerce

An omnichannel strategy entails providing customers with a seamless, fully integrated shopping experience that spans physical stores, virtual stores, mobile applications, and the full range of possibilities offered by both the offline and online worlds.

According to Harvard Business Review, 73% of customers use multiple channels during their purchase journey. Only when the customer has gathered as much information as possible from various sources to support their purchase decision will they decide to buy from a retailer.

Core Benefits of Omnichannel Commerce:

1. Better Customer Experience - What do your customers expect? The top expectation is a unified experience. According to UC Today, 9 out of 10 consumers want an omnichannel experience with seamless service across communication methods. As the number of touchpoints grows, so does the necessity for seamless integration from one touchpoint to the next. This includes social ads, email newsletters, mobile push notifications, conversations with your chatbot, or face-to-face chats with your store staff. By breaking down the barriers between channels in a business, consumers can engage with a company more effectively and naturally.
   

2. Increase in Sales and Traffic - Making your sales strategy omnichannel-proof isn't simple, but it will be worth your time and money. A study of 46,000 shoppers shows that omnichannel customers spend more than single-channel customers. Furthermore, with each additional channel they used, omnichannel shoppers increased their in-store spending. Customers using four or more channels spent an average of 9% more in-store than those utilizing just one channel.

   
   

3. Increased Customer Loyalty - Not only do omnichannel customers spend more, but they are also more loyal to your brand. The same study shows that within six months after an omnichannel shopping experience, these customers logged 23% more repeat shopping trips to the retailer's stores. They were also more likely to recommend the brand to family and friends than those who used a single channel. You can stop pushing discount coupons, mid-sale campaigns, and other traditional marketing tricks in favor of an engaging brand story. Focus on customer loyalty, and your brand will be secure. This means that an omnichannel strategy will not only increase sales but also enhance customer loyalty. Sounds good, right?
   

4. Better Data Collection - Retailers that track their customers across multiple channels can offer a more personalized experience, effectively serving their needs. The omnichannel approach allows businesses to gain valuable insights for creating compelling content that resonates with their target audience. It provides incentives that encourage customers to shop more, both online and in physical stores.

Omnichannel vs Multichannel

Although both multichannel and omnichannel involve selling across multiple physical and digital channels, the key difference lies in how the customer experience is combined across those channels. A traditional multichannel retailer may have a website and physical stores. These two channels are generally very siloed and have very little interaction with one another.

Stores will maintain their stock and sell directly to customers, while the website will manage its inventory. Items purchased in-store can only be returned in-store; however, online orders may not be eligible for in-store returns. As a customer, your online interactions with the retailer are entirely separate from your offline interactions. In essence, the online and offline channels are treated as individual businesses.

Today's consumers do not tend to see a brand in silos. They are likely to have multiple touchpoints with a retailer and expect their customer journey between each touchpoint or channel to be seamless.

I want to be able to interact with the brand online, through social media, on my mobile device, or in-store, and I want each of these interactions to be unified and seamless.

Why apply an omnichannel approach?

A recent study by Omnisend examined the evolution of omnichannel marketing in 2020. According to the survey, marketers who integrate three or more channels in their marketing campaigns increase their purchase rate by up to 287%. In 2019, an omnichannel approach could increase the purchase rate by 12% compared to 3.21% for single-channel campaigns. Most importantly, consumer references for omnichannel campaigns have also increased by 14.8% between 2019 and 2020, demonstrating the importance of this approach in enhancing customer engagement with your brand message.

Ultimately, maintaining consistency in your omnichannel marketing strategy is essential for driving business growth. The marketing team of every business should constantly be evaluating where you are as a brand, where you want to go, and most importantly, understand that the future of commerce is the unification of both in-store and online shopping, enhanced and customized for complete user experience across multiple channels through whichever method your customer prefers.

Marketing analytics helps us understand how everything interacts to inform decisions on how your company may want to invest moving forward. Re-prioritizing how your team spends its time and the resources, channels, and efforts you invest in are critical steps to achieving marketing success and improving sales. At DuartePino, our analytics experts analyze your business's data to evaluate the performance of your marketing, content, and products more effectively and use these insights to reach the right people. Contact us to learn what our trust advisors can do for you.