Omni-channel Marketing: A Neustar Retail Brief

Retail marketers want the rewards of omni-channel marketing, but struggle with the analytics to make it work. Sound familiar? The good news: this is changing and progress will continue in 2014.

 

If you’re in retail, you know what omni-channel marketing offers: a way to lift sales by personalizing and synchronizing experiences across every customer touchpoint. In fact, over 70% of retail marketers believe a strong omni-channel retailing strategy is very important/critical or important to their organizations, according to a Neustar-sponsored survey by Multichannel Merchant. The survey included more than 350 marketing executives across retail, media/advertising and other industries.

Read the full report.

Omnichannel marketing is poised to drive retail sales.

The prospect of higher sales is driving retail interest—over 65% of retail respondents are seeing or expect a lift. How can omnichannel help? Retailers are drowning in data—about website visitors, customers, loyalty and retention, you name it—but struggle to use it effectively to target and convert buyers.

According to the report, retailers’ top data priority is using information to deliver “a more personalized and satisfying” customer experience. The industry sees it as the key to driving sales. Also high on the list: synchronizing the consumer’s experience across numerous channels, conveying the same personalized message, whether in call centers, emails or direct mail, to convert more shoppers as they touch your brand.

Today, few retailers say that they can consistently employ customer data across channels. They lack the ability to analyze vast amounts of data and find the most profitable insights. But momentum is growing. Seventy-three percent report that they currently have or will soon build an omni-channel strategy. Retail is reaching a tipping point. Winning companies are moving from disconnected touchpoints to high-impact, high-return omni-channel tactics.

Key Findings

  1. Retail marketers are embracing omni-channel
    • 71% say it’s essential.
    • 68% are seeing or expecting a lift in sales. 52% of retail marketers are enjoying or anticipate a lift of 6-20%.
  2. Many lack the means to act on data across all touch points
    • 56% have issues with IT integration and data silos, preventing them from turning real-time insights into profits.
    • Some retail marketers can’t link customer identifiers—email addresses, mobile and home phone numbers and more—to enable accurate targeting.
  3. Omnichannel’s future: the industry is investing in the tools to succeed
    • 44% currently have an omni-channel retailing strategy; an additional 29% plan to invest in a strategy.
    • Retailers are increasing their omnichannel spend twice as much as those in other industries—22% versus 11%

Download full report.

Next Steps

The report further reveals that marketers in general want to create a single customer view across all channels. However, less than one-third of respondents actually do this. When retail marketers, like their peers in other industries, fail to act on omni-channel consumer information—demographic, psychographic or behavioral—they miss the chance to optimize customer experiences, identified by many as their top priority.

Neustar can help. Read about Neustar omni-channel marketing solutions.