online to offline ecommerce
Post on 07-Jan-2017
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O2O TO YOU@OUTREACHDIGIT
CONTENTSINTRODEFINITIONMACRO APPROACHMICRO APPLICATIONWHATS NEXT?QUESTIONS
SPEAKER : PIERRE ERFANHead of Account ManagementGreenlight Power E-commerce platform and Customer Success9 years of experience in e-commerce and digital marketingElectrolux, Harper Collins, Hoover, Club Med, 20th Century Fox, Philips Consumer Lifestyle
SPEAKER : PIERRE ERFANPretty good cat cushion
O2OCurrently 3rd result on Google search(link)
Both O have different meaningsCould be read in both directionsDescribes where consumer, not product, goesToo broad ?#
O2O WHAT IS IT?Online-to-offline commerce is a business strategy that draws potential customers from online channels to physical stores. Online-to-offline commerce, or O2O, identifies customers in the online space, such as through emails and internet advertising, and then uses a variety of tools and approaches to entice the customer to leave the online space. This type of strategy incorporates techniques used in online marketing with those used in brick-and-mortar marketing. (link)
Ok, whats wrong with this off the bat? What about off to online? + Recognition that large part of traditional brick-and-mortar retail sales can be replaced by e-commerce, there are elements to physical shopping that cannot (or should not) be replicated digitally. #
WellO2O JUST A BUZZWORD?
O2O WHY?New corporate strategyApp gold rush (mobile payment)E-commerce sales still only 7.5% of retails sales in US (Q1 2015, link)Chinese O2O market is more than $150 billion in size (link)Current fastest growing companies are O2O (Uber, AirBnb)
Large company already gone through multiple platform, have internal online expertise
Data to expand and have more qualified data, we need offline attributes / value
The first one is about is the sheer number of people connected on mobile, on mobile internet, and, even more, on powerful mobile internet. Out of Chinas 555 million mobile users, 162 millions are already on 4G, a figure expected to reach 250 million by the end of 2015.http://www.innovationiseverywhere.com/o2o-why-china-leads-the-online-to-offline-revolution/
The Trillion Dollars market http://techcrunch.com/2010/08/07/why-online2offline-commerce-is-a-trillion-dollar-opportunity/
https://ycharts.com/indicators/ecommerce_sales_as_percent_retail_sales = 7.5% Q1 2015
O2O EXAMPLESIn-Store pick-upIn-Store online orderDirect marketing of online offersOnline push of geo-localized offersPackaging marketingMobile payments (app to shop)Deliveroo / Groupon / ApplePayEtc.
O2O PURPOSE?Consumers : Seamless transition between shopping and browsing, customized purchasing experience, savings (time & money)Retailers : Conversion rate, loyalty retention, qualified data, advertisement ROI.
Advertisment ROI making sure your ads dont benefit your competitors#
O2O MAIN TRENDSOn-Demand Economy: instant customer satisfaction, outsourced workforceFull Stack Start-Up: End-to-end product/service instead of selling or licencing
Full stack : completely control the customer experience using all the channel(s) required to deliver it. #
O2O FROM MACRO TO MICROTranslates into business model philosophyEnsure the transfer and conservation of your customers from
Your online presence: sites, apps, advertising, emailsToYour offline presence: shops, distributors, packaging
If youre not planning on being the next Uber
Electrolux product registration example#
O2O HOW?Seamless transition : shortened URLs + dedicated landing pages, recognition appCustomized experience : universal user accountsTime-saving : scheduled product push, priority queueMoney-saving : promotion incentives, bulk order
=> Conversion / Loyalty / ROI /data
Recognition app : QR code, shazam, etc.
Nespresso new machine#
O2O HOW?Is all your data able to synergize?Are UX Analysts talking to Store Managers?How is Customer Service contributing to the Marketing plan?Are your clients incentivized to share they experience post-purchase?
O2O ultimately boils down to data. The more we know about our customers, the more data we can collect and useInterestingly enough, today this path to purchase is driven by human behavior and needs, rather than technology.
O2O CUSTOMER LIFECYCLE What is your user story? Are you looking at the entire journey?Are you reaching out (or reachable) at every step of the way, off and online?
Example for Review : share your photo of you wearing our item.#
O2O BLOCKERSManagement mentalityOrganizational legacyCostDistributors power balance
Ironically could be said to work both ways : O2O where technicians categorization of products influences the websites.#
O2O WHERE SHOULD WE LOOK?Watch the Asian markets : Baidu, Alibaba, and Tencent are moving hard and fast (e.g. Singles Day)The winner-takes-all app : ApplePay, GooglePay, Facebook MessengerOpen source approach : GooglesPhysical Webtechnology, enables a connection between any object and a mobile device, without a dedicated app.Legislation : O2O companies are changing the employment behaviours
collectively known as BAT.
Imagine if you saw a sign in a shop that directly spoke to you as an individual, with the ability to say, So good to see you! Today, Id like to offer you this pair of trousers, in your favorite color, and in the right size. However, be warned that this also happens to be the last pair available, but if you head to the cashier now, you can enjoy 20 percent off!Would you head to the cashier? I most probably would. How could anyone ignore a pitch that convincing?
THANK YOU! QUESTIONS?@outreachdigit
Too broad?On-demand Economy Full Stack Start-Up http://www.ft.com/cms/s/0/6621068e-3c1b-11e5-8613-07d16aad2152.html#axzz436wJWhfNHigher cost ? (low labour cost in China) http://www.ft.com/cms/s/0/6621068e-3c1b-11e5-8613-07d16aad2152.html#ixzz437DG7C8X whether they can keep the high-margin online profits to themselves while shuffling off the more prosaic offline aspects of the job to others. In the US, this is under threat due to legal questions about whether the independent contractors that on-demand companies use to keep their costs low should be reclassified as employees.Switching cost for usersas an interesting if somewhat academic look at the changes facing us as individuals, organizations and as a society as we shift to an on-demand world.