retail tech ecosystem

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NOTICE: Proprietary and Confiden5al This material is proprietary to Shopsense. It contains trade secrets and confiden5al informa5on which is sole property of addSale. This material is solely for the Clients internal use. This material shall not be used, reproduced, copied, disclosed, transmiBed, in whole or in part, without the express wriBen consent of addSale. © 2014 Shopsense Retail Technologies, All rights reserved. www.shopsense.co [email protected] @shopsenseco The Retail Tech Ecosystem

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NOTICE:  Proprietary  and  Confiden5al  This  material  is  proprietary  to  Shopsense.  It  contains  trade  secrets  and  confiden5al  informa5on  which  is  sole  property  of  addSale.  This  material  is  solely  for  the  Client’s  internal  use.  This  material  shall  not  be  used,  reproduced,  copied,  disclosed,  transmiBed,  in  whole  or  in  part,  without  the  express  wriBen  consent  of  addSale.  ©  2014  Shopsense  Retail  Technologies,  All  rights  reserved.  

www.shopsense.co  [email protected]  

@shopsenseco  

The  Retail  Tech  Ecosystem  

2  ©  2014  Shopsense  Retail  Technologies.  Confiden5al  document,  not  for  circula5on.  All  rights  reserved.  

Compe55ve  Landscape  All  product  companies  that  are  in  the  space  that  Shopsense  is  in  

Consumer Facing

Retailer Facing

Interactivity Data Analytics

3  ©  2014  Shopsense  Retail  Technologies.  Confiden5al  document,  not  for  circula5on.  All  rights  reserved.  

Compe55ve  Landscape  All  product  companies  that  are  in  the  space  that  Shopsense  is  in  

Consumer Facing

Retailer Facing

Interactivity Data Analytics

Ini5al  Euphoria;  Small  Sales  Cycles;  Customized  Offering  

Communica5on  with  the  consumer;  Highly  commodi5zed;  

Not  too  differen5ated  

Only  observes  behavior;  Highly  commodi5zed;  Intense  compe55on;  Do  

not  control  the  source  of  data  

4  ©  2014  Shopsense  Retail  Technologies.  Confiden5al  document,  not  for  circula5on.  All  rights  reserved.  

Consumer  Facing  -­‐  Interac5vity  Broadly  breaks  into  three  segments  that  provide  an  engaging  experience  to  the  shopper  

Interactive Applications

High  Level  of  Customiza3on  

High  Level  of  Customiza3on   Capture  Consumer  Experience   Deeply  Engage  Consumer  

Difficult  to  Produc3ze  

Augmented Reality

High  Level  of  Customiza3on  

Very  High  “Sexiness”  factor   Can  Deeply  Engage  Consumers  

High  Cost  of  Content  Crea3on   “Sexiness”  appeal  lost  very  fast  Current  Experience  not  Pixel  Perfect   High  Cost  of  Development  

Location Based Notifications

Need  to  Switch  on  Something  on  the  phone  

Addi3onal  Source  of  Data   High  Relevance   Fundamentally  Mobile   High  Adver3sing  Poten3al  

Can  get  irrita3ng   High  level  of  False  Posi3ves  

Capturing the consumer experience and engagement creates high entry barriers and makes the solution relevant to retailers and is habit-changing

5  ©  2014  Shopsense  Retail  Technologies.  Confiden5al  document,  not  for  circula5on.  All  rights  reserved.  

Retailer  Facing  -­‐  Interac5vity  This  segment  is  driven  by  enhancements  to  exis5ng  solu5ons  that  are  sold  as  modules  on  exis5ng  retail  infrastructure  

POS Based MIS

Very  High  Entry  Barriers  

Highly  Produc3zable   Very  well  Integrated   Piggyback  on  POS  for  distribu3on  channel  

Not  Differen3ated  

This segment is driven by making existing systems efficient (payments), beautiful (ERP) and modern (POS)

New Age Payment and POS Companies

Very  High  Entry  Barriers  

Addi3onal  Source  of  Data   Controls  Consumer  Transac3ons   Easy  to  Upsell  other  products  &  services  

High  Compliances   Intense  Compe33on  

ERP Visualization

Very  High  Entry  Barriers  

Highly  Produc3zable  

Not  Differen3ated  

Piggyback  on  ERP  for  distribu3on  channel  

Intense  Compe33on  

6  ©  2014  Shopsense  Retail  Technologies.  Confiden5al  document,  not  for  circula5on.  All  rights  reserved.  

Consumer  Facing  -­‐  Data  Analy5cs  Led  by  Loyalty  Programs,  this  segment  is  where  personaliza5on  happens  to  consumers  in  the  stores  

Loyalty Programs

Loosing  its  sheen  with  high  street  and  bridge  to  luxury  brands  

Capturing  the  consumer   Perfect  Customer  Iden3fier  

Segmentation and Campaign Management

Not  Differen3ated  

BeSer  Targe3ng   Piggyback  on  Loyalty  programs  for  Distribu3on  

Do  not  own  the  source  of  data   Easy  for  Loyalty  Programs  to  provide  Difficult  to  showcase  results  3me  over  3me  where  low  wallet  share  of  consumer  with  one  retailer  

Clienteling Solutions

Not  as  Consumer  Engaging  

Integrated  across  various  data  sources   High  Relevance   Complements  Sales  Associate  

Needs  Integra3on  Across  Various  Data  systems  

Personalization, Omnichannel Enablement and Consumer Connect drives the maximum ROI for a retailer

High  entry  barriers   Not  Differen3ated  

7  ©  2014  Shopsense  Retail  Technologies.  Confiden5al  document,  not  for  circula5on.  All  rights  reserved.  

Retailer  Facing  -­‐  Data  Analy5cs  To  beBer  understand  consumers  and  op5mizes  stores,  products  and  staff,  Retailer  Facing  Data  Analy5cs  solu5ons  have  been  the  poster  child  of  retail  tech  for  the  beBer  part  of  the  previous  decade  

Purchase Behavior - POS, Loyalty, Inventory

Data  captured  at  the  end  of  shopping  journey,  post-­‐hoc  analysis  

Understand  Buying  Behavior   Piggyback  on  POS,  Loyalty  and  Inventory  for  Distribu3on  

Browsing Behavior - Video, BLE, WIFI

Leakage  in  capturing  data  

Understand  Behavior  that  leads  to  Buying   Own  the  source  of  data  

Need  to  install  addi3onal  hardware  Not  totally  passive;  Need  to  get  consumers  to  download  app  or  opt  into  services  

Important to own sources of data and integrate across all. Major drawback is that these are just observers, not interceptors to consumers to influence purchase

8  ©  2014  Shopsense  Retail  Technologies.  Confiden5al  document,  not  for  circula5on.  All  rights  reserved.  

Our  Opportunity  

Targeted  &  Personalized  Offers  &  Discounts  

Browsing  the  website  while  in  the  store  

Price  Comparison,  Product  Reviews  

Virtual  Dressing  Rooms,  Sharing  via  Email/Whatsapp  

SoLoMo  Based  Apps  

Point  of  Sale,  Payment,  Loyalty  

Value lies with one who controls consumer experience whilst owning and inventing new sources of data in the store that understand shopping

-  Drive Shopper Engagement and Enhance Experience -  Invent and own new sources of Data in the Retail Environment -  Understand Shopper Behavior to Sell More and Sell Better

9  ©  2014  Shopsense  Retail  Technologies.  Confiden5al  document,  not  for  circula5on.  All  rights  reserved.  

Problem  Landscape  

Data Devices

Context

Deployment across devices that invent and own new sources of data in the store

10  ©  2014  Shopsense  Retail  Technologies.  Confiden5al  document,  not  for  circula5on.  All  rights  reserved.  

Crea5ng  and  Understanding  Consumer  Ac5vity  Streams  

1980s 1990s 2000s Today

Consumer  Ac3vity  Across  Touch-­‐points  

Transac3ons  in  Store  &  Online  Browsing  

Point-­‐of-­‐Sale  Data  in  Modern  Trade  stores  

Proprietor  of  Mom-­‐&-­‐Pop  Store  

“Software will not replace all offline retail. Instead it will be used to transform certain retail experiences”- Reid Hoffman

Mumbai  www.shopsense.co