This document discusses lessons for the automotive industry from omnichannel retail. It defines omnichannel retail as providing a seamless customer experience across online and offline channels. Retailers are integrating physical stores, websites, apps, and other channels to simplify the customer experience from information gathering to purchase to after-sales support. However, omnichannel also presents challenges like ensuring sales associates have the knowledge and tools to assist informed digital customers. The document argues automotive must also adopt customer-centric omnichannel strategies to understand individual customers across all touchpoints.

1. OMNICHANNEL IN RETAIL:
LESSONS FOR THE AUTOMOTIVE INDUSTRY
PROF. GINO VAN OSSEL
GINO.VANOSSEL@VLERICK.COM

2. source: British Retail Consortium / KPMG – Dec. 13 (growth is vs. year ago)
growth
overall
retail
+1.8%

3. source: British Retail Consortium / KPMG – Dec. 13 (growth is vs. year ago)
growth
non-food
online
+19.2%
growth
overall
retail
+1.8%

4. source: British Retail Consortium / KPMG – Dec. 13 (growth is vs. year ago)
growth
non-food
online
+19.2%
growth
overall
retail
+1.8%
online
share of
retail
+18.6%

5. source: British Retail Consortium / KPMG – Dec. 13 (growth is vs. year ago)
growth
non-food
online
+19.2%
growth
overall
retail
+1.8%
online
share of
retail
+18.6%
growth
John Lewis
online
+22.6%

7. AGENDA
1. omni-channel
2. challenges?
3. in practice
4. automotive?
5. conclusion

8. AGENDA
1. omni-channel
2. challenges?
3. in practice
4. automotive?
5. conclusion

9. mono-
channel

10. multi-
channel
mono-
channel

11. cross-
channel
multi-
channel
mono-
channel
360°
communication
and
360° sales

12. 1
93% of visitors
are store customers

13. 1

14. 1

15. 1

16. OMNI-CHANNEL
omni-
channel
cross-
channel
multi-
channel
mono-
channel

17. customer centric
commerce

18. THE CONNECTED STORE
 benefits of offline:
 experience, service & advice
 merchandise in stock
 trust

19. THE CONNECTED STORE
 benefits of offline:
 experience, service & advice
 merchandise in stock
 trust
 enriched with the internet…
 free wifi, screens, tablets,..
 website, webshop,…

20. THE CONNECTED STORE
 benefits of offline:
 experience, service & advice
 merchandise in stock
 trust
 enriched with the internet…
 free wifi, screens, tablets,..
 website, webshop, app…
 … & the benefits of online:
 access to info, reviews &
ratings
 order in-store & at home
 choice

21. THE CONNECTED WEBSHOP
 benefits of online:
 easy to shop
 choice
 content (orientation)

22. THE CONNECTED WEBSHOP
 benefits of online:
 easy to shop
 choice
 content (orientation)
 enriched with “bricks”…
 connected stores,…
 pick-up & return points,…

23. THE CONNECTED WEBSHOP
 benefits of online:
 easy to shop
 choice
 content (orientation)
 enriched with “bricks”…
 connected stores,…
 pick-up & return points,…
 … & the benefits of offline:
 experience
 service & advice
 merchandise in stock
 trust

24. OMNI-CHANNEL !!

25. source: British Retail Consortium / KPMG – Dec. 13 (growth is vs. year ago)
growth
non-food
online
+19.2%
online
share of sales
John Lewis ‘13
> 30%
growth
John Lewis
online
+22.6%
growth
John Lewis
click & collect
+62%

26. 2
“We are seeing about 34% of (pick-up) visits translating
into additional sales in shop and that number is growing
exponentially at the moment.
It’s typically or increasingly for purchases that the
customer didn’t think they would make. So it is quite
out with whatever they were going to collect.”

27. TOP 10 BIGGEST ONLINE RETAILERS 2013
(EUR)
source: Internet Retailer

28. AGENDA
1. omni-channel
2. challenges?
3. in practice
4. automotive?
5. conclusion

36. 3
“the launch of a webshop
compares to omnichannel,
like a wedding
to life as a married couple”

38. “We started to think about ourselves as a pure play e-commerce company
that happened to have really great, differentiated stores
in 500 locations around the world”
Matthew Kaness, chief strategy officer for Urban Outfitters

39. AGENDA
1. omni-channel
2. challenges?
3. in practice
4. automotive?
5. conclusion

40. CUSTOMER-CENTRIC COMMERCE
orientation purchase after-sales
enrich
simplify
information
need
current
mood

41. CUSTOMER-CENTRIC COMMERCE
orientation purchase after-sales
enrich
simplify
information
need
current
mood
touchpoints

46. path to
purchase
in-store
experience

52. CUSTOMER-CENTRIC COMMERCE
orientation purchase after-sales
enrich
simplify
information
need
current
mood
single view
of the
customer

53. SINGLE VIEW OF THE CUSTOMER

54. SINGLE VIEW OF THE CUSTOMER

56. AGENDA
1. omni-channel
2. challenges?
3. in practice
4. automotive?
5. conclusion

57. CUSTOMER-CENTRIC COMMERCE
orientation purchase after-sales
enrich
simplify
information
need
current
mood

61. CUSTOMER-CENTRIC COMMERCE
orientation purchase after-sales
enrich
simplify
information
need
current
mood

62. 6

63. CUSTOMER-CENTRIC COMMERCE
orientation purchase after-sales
enrich
simplify
information
need
current
mood

64. “After having looked up information online, I often have the feeling
that I know more about a product than the sales associate.”
source: “Retail in Belgium,” InSites/Vlerick, 2012 (n = 165)
0 20 40 60 80 100
9 10 37 24 20
totally disagree disagree neutral agree totally agree

65. SERVICE 2.0
pre-digital
sales
associate:
knows little
about a lot
ignorant
consumer:
knows
nothing
digital
sales
associate:
knows little
about a lot
informed
consumer:
knows a lot
about little
result
conversion:
increasing
interactions:
less & shorter
satisfaction:
decreasing
(customer
& staff !!)

66. from selling to helping to buy…

67. CUSTOMER-CENTRIC COMMERCE
orientation purchase after-sales
enrich
simplify
information
need
current
mood
single view
of the
customer

68. SERVICE 2.0

69. CUSTOMER-CENTRIC COMMERCE
orientation purchase after-sales
enrich
simplify
information
need
current
mood

70. AGENDA
1. omni-channel
2. challenges?
3. in practice
4. automotive?
5. conclusion

72. Jamie Nordstrom
head of Nordstrom Direct
“If we focus on the customer,
the outcome will be right”

73. CUSTOMER-CENTRIC COMMERCE
orientation purchase after-sales
enrich
simplify
information
need
current
mood
touchpoints

74. digital dreams digital budget

75. DNA context

76. 7
one size
doesn’t
fit all

77. 7

78. CONCLUSION
8
Prof. Gino Van Ossel
Retail management
E-commerce & omni-channel
Shopper & trade marketing
Channel management
gino.vanossel@vlerick.com
@ginovanossel