Christian Retailing

NEWSLETTERS Current Issue Study: Personalization, social media key to retailer success
Study: Personalization, social media key to retailer success PDF Print E-mail
Written by Jeremy Burns   
Thursday, 23 January 2014 02:34 PM EST

22020366Sm__Istockphoto-GalaxyPhoto-webConsumers engage with retailers’ Facebook pages more than they do with stores’ websites, according to a new study from Infosys, a global consulting, technology and outsourcing firm. Even more important for retailers’ bottom line is the fact that nine in 10 consumers say how much they spend is impacted by their social media engagement with a brand.

The Rethinking Retail study is a detailed report based on interviews with 1,000 consumers and 50 general market retailers across the U.S. In addition to the impact of social media on spending, the study reveals how retailers are struggling to create the kind of personalized experience online and in stores that drives increased sales.

The study also found that women are twice as likely as men to be influenced by Pinterest, while YouTube influences twice as many men as women. Foursquare, meanwhile, influenced only 2% of consumers, women or men.

Nearly two-thirds (63%) of consumers said that consistency across channels plays a role in their spending tendencies with a particular brand. High consistency across a brand’s channels means greater spending for 34% of consumers, while 39% say a lack of consistency results in a reduction of spending.

“Creating a consistent experience across all physical and digital touch-points has a direct impact on sales,” said Sandeep Dadlani, senior vice president and head (Americas) of retail, consumer packaged goods and logistics at Infosys. “However, with the dominance of social media, creating a consistent and personalized relationship with consumers is now much harder. Retailers and brands need to arm themselves with the technology that can ensure their fans and brand advocates receive the same personalized service across channels to increase sales.”

Although 59% of consumers who have experienced personalized offers believe it has a noticeable influence on their spending, many retailers’ offers are not hitting the mark. Nearly two-thirds of retailers (62%) reported that they featured personalized offers in store, but only 20% of consumers reported even noticing that sort of offer.

This may be due, in part, to some retailers’ focus on online channels versus in-store offers for product recommendations (39% online versus 10% in-store) and personalized promotions (48% versus 3%). A minority (45%) offer product recommendations or personalized offers online and in-store. Getting those offers in front of patrons in-store may be paramount, as the study shows consumers are three times more likely to impulse-buy in-store than online.

Lack of technology was cited as the most common factor preventing retailers from creating a more integrated customer experience, with 38% claiming it as a key barrier. Nearly all (96%) of consumers expect retailers to do the obvious and inform them of new products, while only 34% of retailers can track consumer trends in real time, reducing their ability to roll out appropriate offers to drive sales.

 

In this current issue:

ICRS addresses industry concerns but sees big attendance drop

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Christian retailers gathered with suppliers and distributors at the Orange...

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Integra introduces in-store kiosks to grow wall-art sales

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Interactive technology is redefining the way consumers can shop for...

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Vendors display skill and scripture with new gift items

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Gift vendors at the 2015 International Christian Retail Show displayed...

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General Session panelists ‘hug It out’ after heated exchange

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Tuesday morning's ICRS General Session was supposed to stay focused...

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Don Piper's '90 Minutes in Heaven' draws capacity crowd at ICRS

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Faith-based films were big business at ICRS Orlando, with screenings...

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Film buzz big among retailers, authors and suppliers

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The buzz about films at ICRS took center stage at...

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Study: Christian fiction readers buy, read more books

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Christian fiction readers read more than the national average and...

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Josh McDowell offers charge to church bookstores

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Church bookstore managers and staff and those considering entering the...

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Retailers offer input in new version of children's workshop

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A panel of children’s suppliers and experts told retailers Monday...

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Logos retailers celebrate the power of the book

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Members of the Association of Logos Bookstores have nominated and...

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Graphic novels help stores make 'cultural connection' with fans

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Graphic novels continue to demonstrate tremendous growth potential in the...

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Virtual Storehouse CEO shares tech tools for ministry

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Don Olson, CEO of Virtual Storehouse and Foreign Christian Books focused...

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