eCommerce isnât exactly taking off in retail, like we have been led to believe. eCommerce contribution of retail sales is 6.3% and has only grown 2.3% in the past 5 years. Add to that online cart abandonment rates are 75-85% on most sites which is worth a staggering $4Trillion in lost sales globally. The fastest growing companies in the world at the moment are all Online-to-Offline (O2O) Commerce players - Uber, Airbnb, Groupon, Alibaba and more - where the interest is generated online and the transaction occurs in the physical world. So with 93% of retail sales still happening in-store and the high value of multi-channel customers, there lies a huge opportunity for retailers who can bridge the gap between online and offline.
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Â
The Trillion Dollar Commerce Opportunity
1. Online 2 Offline (O2O)
The Trillion Dollar Opportunity
Online to Offline
2. eCommerce Growth Slow
2010
4.4%
Online Sales
$7.45 BIllion
2015
6.7%
Online Sales
$16.6 BIllion
Source: NAB eCommerce Report
eCommerce sales have only grown 2.3% in the last 5 years
â the store still hugely influential
3. Online Cart Abandonment Rates High
Abandonment Rates In Retail
Consumer
Electronics
Style &
Fashion
Food &
Drink
Health &
Beauty
Home
Furnishing
Sporting
Goods
Source: SaleCycle
Global retail cart abandonment rates are 70%+ and growing
4. Research Online, Purchase Offline Is Huge
86%
69%
Research a product online before buying in-store
Research a product in-store before buying online
53%
Buy online and get item delivered to your home
51%
Buy online and pick up the item in-store
53%
Buy in-store and have the item delivered to your home
Source: DigitalLBi 2015 Connected Commerce Study
86% of people researching online before purchasing offline
5. There Lies The Trillion Dollar Opportunity
Source: Business Insider
$US 4 Trillion
Dollars abandoned
in shopping carts in
2014 â of which
$US 2.52 Trillion
could have been
captured.
6. O2O Commerce The Next Big Thing
CURRENT
The worldâs fastest growing companies are all O2O Commerce players
8. Giving Rise To The Connected Store
Source: PWC
Popup
store
Rise of
e-commerce
Rise of
mobile/social
Rise of
multichannel
Rise of
cloud
Connected
store
Seamless Customer focused
Experimential
Channel inclusive
Interactive
Loyalty/member
stores*
Retailers gain control
PC/internet
high
low
Importance
of the stores
1970s 1990s 2000s 2005s 2010s future
Customers incontrol
Smartphones
The rise of technology has meant a change of role in the store
â customers now drive retail and the traditional store needs to adapt or die
9. Source: DIGIDAY
Mobile, Cloud, Beacons,
Bluetooth all helping to
connect stores.
Technology Is Needed To Bridge
The Gap Between Online & Offline
10. Source: Business Insider & iBeacons Blog, 2014
Forecast For Beacons As The
Most Important Retail Technology
2013 2014 2015 2016 2017 2018 2014 2015 2016
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
Thousands
Total
Retails
CAGR = 287%
4,500
5,000
FORECAST:
US Beacon Intalled Base
Percent Of US Retail Locations with Beacons
(Top 100 Retailers)
with Beacons
8%
92%
32%
68%
85%
15%
Business Insider presents a report on beacons that shows a forecast which places this technology as a pioneer in the retail
sector. More than half of the top 100 retailers in the United States are trialling beacons in their stores. The overall number
of active beacons is forecast to be 4.5 million by the end of 2018.
12. O2O - The Trillion Dollar Opportunity
ONLINE SHOP
THE
COMMERCE
GREY
AREA
O2O - A huge opportunity for those who can crack
âThe Commerce Grey Areaâ
13. Thank You
Contact
Cameron Wall
CEO & Co-founder
mobile: +61 423 530 318 email: cameron@getraincheck.com
oïŹce: Sydney, Australia url: getRainCheck.com