The LEGO Group’s Niall Edwards on Customer-Centricity and Going MACH

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Consumers today are hard to keep up with. Meeting their demands, as well as keeping pace with rapid market change, requires embarking on a holistic digital transformation. One person who knows this well is Niall Edwards, VP of Marketing & Channels Technology at The LEGO Group.

In an interview on the Endless Aisle podcast with Marcus LaRobardiere, NewStore’s VP of Marketing, Niall spoke about customer-centricity and transformation and how MACH is the new standard in retail. Read on for several highlights from Marcus and Niall’s conversation, some of which have been edited for clarity.

On Brands Adapting to Market Dynamics

Prior to the pandemic, The LEGO Group invested a huge amount of energy into its platforms and systems to make them more resilient, flexible, and able to scale. While LEGO maintain its strong position as the market shifted, not all brands were as fortunate.

In speaking about the last few years from his perspective, Niall commented, “Something that fascinates me about retail is the obsession with wanting to stitch together channels. Quite often this is driven by companies seeking to suit their needs; however, what the pandemic highlighted is that we’re not resilient if we take the point of view of doing what’s right for us as a business. What we do, what we change, and what we invest in has to be right for us as a business AND it has to be right for the user.”

How to Drive Successful Transformation

Behind the changes we’re seeing in retail is often someone or a team who questions the status quo. But what does it take to get buy-in for a project that flips the script?

According to Niall, “There is a lot of pressure to remain in the status quo because it works. Transformation and being united in a pressure cooker – when something happens that forces transformation – can actually cause positive change. One of the things that is critical to making this happen is customer-centricity. Again, all too often we do the thing that we want to do as an organization and we forget to think about the shopper. Being user-centric and doing the research is important because it often reveals that what you’re offering is actually not convenient or helpful. So, the best thing you can do to drive transformation is know why you’re doing it and who you’re doing it for.” 

What MACH Helps Businesses Achieve

The commerce technology landscape is crowded, but it doesn’t have to be confusing. For Niall, one way to make technology decisions is to align them with the MACH philosophy.

“What MACH represents is the notion of flexibility. All too often organizations buy monolithic systems. But increasingly what brands are finding is the constraints that forces on you. You can’t have the experience you want or the ability to do a certain thing between channels. MACH services bring flexibility into the technology running your business so you can adapt to what your customer needs. The other thing MACH represents is composability. History will tell anyone that’s in technology that there’s been way too many multi-year projects that run forever. The thing you wanted to start is not the thing you get at the end. There’s a lot of sunk cost. It’s all complicated and big, and the change is huge. With composable technology, you can make smaller choices. You can decide on a vendor for this and a vendor for that, which opens up the door to innovation.” 

Empowering the Future of Customer-Centric Retail at LEGO

For LEGO, the future of retail lies in creating digitally-enabled physical experiences that elevate customer interactions. Niall spoke of an existing experience where customers can scan a box and get a 3D rendering of the product in front of them. They plan to reimagine this experience and bring it into a more connected ecosystem. “This is how technology should be. It should be deeply connected to the marketing ecosystem and also to the commercial experience. It should be delightful and invisible and helpful.” 

Customer-centricity is the driving force behind modern retail. By harnessing the potential of MACH services and fostering a culture of business-driven innovation, LEGO continues to build meaningful connections with its digitally savvy customers, setting a remarkable example for the retail industry.

To explore how your business can embrace customer-centricity and leverage MACH technologies for retail success, speak to one of our experts today.

Avery Dennison’s Kris Barton on the RFID Retail Revolution 

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While many different technologies help drive omnichannel retail, RFID technology is uniquely positioned to streamline both retailers’ and customers’ experiences. Thanks to its ability to track products in real time, RFID technology can significantly enhance inventory accuracy on the retailer side while facilitating easy in-store checkouts for shoppers. It also assists with loss prevention and returns fraud, among other features – which are revolutionizing the retail sector.

RFID, which stands for radio frequency identification, lets brands track products from their initial shipment to the point of purchase. RFID technology leverages wireless communication and electromagnetic coupling to give an item a unique identifier. This identifier then becomes an RFID tag that brands can link to particular products, in lieu of a barcode. With many retailers attempting to streamline their physical and digital shopping channels to maintain a more accurate overview of their inventory and create better in-store experiences for customers, RFID technology is rapidly rising in popularity.

Kris Barton, Senior Director of Market Development at Avery Dennison, discussed RFID’s transformative impact on retail operations during an Endless Aisle podcast episode with Marcus LaRobardiere, NewStore’s Vice President of Marketing. During their conversation, Kris and Marcus explored how brands can leverage RFID technology to glean more valuable data, improve inventory management, and provide product authentication.

Read below to learn more about how RFID technology is enhancing omnichannel retail, and listen to the full podcast episode here.

How RFID Technology IDs Retail Gaps

RFID technology’s access to real-time data enables those who leverage it to identify gaps across retail operations and inventory management practices. By giving retailers insight into these analytics, the technology can help reveal any supply chain issues, as well as consumer demand for certain products.

“The interesting thing is when people ask, ‘what does RFID do?’” Kris said. “The short answer is it tells you where your problems are. I tell people, ‘RFID doesn’t fix your problems, but it helps you see your problems.’

“I often talk about it like a flashlight in the corner,” Kris continued. “Everything looks fine over there. You put the flashlight [on] and you’re like, ‘Look at all that dust.’ What RFID does is allow you to collect a lot of data in a very precise fashion in a very fast period of time. Now you have the ability to react to real-time data.”

Kris also detailed how a variety of industries are taking advantage of RFID technology’s many benefits – not only the apparel sector.

“Apparel remains the largest penetrated group for item-level RFID,” Kris said. “But there’s a lot of other activity going on in pharmaceuticals. There’s a lot of stuff going on in aerospace, in automotive, and other industrial settings. We’re seeing these other areas see the benefits of RFID and leverage that technology to handle the gaps they’ve got.”

RFID’s Impact on Inventory Accuracy 

RFID technology is widely recognized for equipping retailers with better inventory insights. This results in retailers being able to make more informed decisions on stock levels across their locations and the types of products they carry. Inventory accuracy also helps minimize overstocking, which can significantly impact a brand’s sell-through rate.

“When I think about a typical retail environment, the inventory accuracy is going to be in the neighborhood of 65 to 70% accurate,” Kris said. “That doesn’t mean [retailers] think they have 100 items and only have 65 items across the entire store. What it means is…if you think you have five [items] and you only have four, that’s inaccurate. If you think you have five and you have six, that’s inaccurate.

“So when you are trying to capture data, it becomes a bit more tricky…like, ‘hey, what can I promise to the consumer in terms of online sales?’”

Investing in technology that yields better inventory accuracy is also helpful for companies that measure their inventory on an infrequent basis.

“Typically, retailers will do inventory once or twice a year,” Kris said. “It’s very expensive, so they don’t want to do it very often. A lot of times, they’ll do it in periods where they’ve got the lower level of inventory so that it takes them less [time] to count. But ultimately, over time, that inventory will degrade. 

“The ability to collect this data and make better decisions is really driving RFID across the board.”

How RFID Technology Reduces Returns Fraud

Another use case of RFID technology that’s growing in popularity is returns fraud. Once products receive their unique identifier, it becomes more challenging for individuals to engage in returns fraud and attempt to collect a refund or store credit for an item they didn’t purchase.

“Inventory accuracy is at the heart of almost every installation we do,” Kris said. “But some other use cases have emerged. Combining a digital ID with the garment that gives that EPC value, which is basically a serialized version of the SKU – some representation at the point of sale – is a big unlock. 

“Most retailers are utilizing a linear barcode,” Kris continued. “You’re checking out at the SKU level, not at that particular item level. So somebody brings something in – it’s another one of this particular SKU…did they buy it? You don’t know. They don’t have a receipt.

“You give them store credit. You don’t know that might have been a shrink incident. So if you have that as a 2D barcode and you’re matching that with the EPC and ringing out at that level, now you know this item has been purchased or it’s not been purchased. Returns fraud is an area that we’re seeing grow very quickly with several different retailers.”

Enhancing Checkout Experiences with RFID Technology

In addition to reducing returns fraud, one of the fastest-growing use cases of RFID technology revolves around in-store checkout experiences.

“The other one that’s been growing a lot would be self-checkout or assisted checkout,” Kris said. “We’ve all been to stores, especially during peak season, [where] queue lines are long. I could [take] all my items and put them in a basket; it rings it all up, shows it on a display. I swipe my credit card, and I’m out the door in 30 seconds.”

This method of line busting can serve as a major incentive for retailers seeking to enhance their in-store shopping experiences. They can also invest in mobile point-of-sale (POS) systems equipped with RFID technology. These solutions allow customers to check out from any point in the store using contactless payment methods, like Tap to Pay on iPhone.

Additionally, brands can use RFID technology to offer product authentication and information – such as details about the materials found within the item. If the item is sustainably made, retailers can promote that as a selling point for environmentally-savvy shoppers.

“We’re seeing some other things around product authentication,” Kris said. “If I get a digital ID, I can do consumer engagement things through a QR code and look at the origins of this or the production methodology, the material makeup – all the sustainability things people are starting to become more focused on.”

More Data = Better Omnichannel Practices

Ultimately, retailers that can collect and leverage more data will be better positioned to upgrade their omnichannel practices. With so many brands offering both digital and physical shopping options these days, the ability to more accurately manage their supply chains will streamline retail operations, reduce extraneous costs, and enhance their customers’ shopping experiences.

“The people that can have the data better in a faster period are going to be able to react better and make the right decisions,” Kris said. “Their costs are going to go down. Loss prevention is becoming a huge piece, in the U.S. especially. I also think it’s going to allow people to be a little leaner in their supply chains because they’re going to know, ‘Hey, I can ship this down here and know that when it’s gone, I can replenish faster.’”

Companies must also realize that omnichannel now plays a crucial role in retail operations – and data-driven solutions like RFID technology can truly revolutionize the sales journey for staff and customers alike.

“Omnichannel has been around for a while, but people still call it omnichannel, and to me, it’s called retail,” Kris said. “If you’re not doing omnichannel, you’re not doing retail.

“This is something everybody talks about – how do I do omnichannel? Why do I need RFID to do omnichannel?” Kris continued. “You need RFID because you need to do retail. And being omnichannel enabled is part of table stakes right now.”

“You can’t do good retail without good information about what you have and getting all those benefits that you see with RFID every day.”

To learn more about how your business can take advantage of omnichannel data, speak to one of our experts today.

Ellis Brigham’s Chris Rigg on Technology-Enhanced In-Store Experiences 

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Advancements in technology aren’t only driving omnichannel retail – they’re also impacting how brands can enhance their in-store experiences. From equipping sales associates with mobile devices containing customer data to installing technology that scans shoppers’ bodies to determine which products fit them best, the possibilities are vast. However, customer-centricity should be at the forefront of all retailers’ efforts to personalize their shopping journeys. 

Chris Rigg, Retail Director at Ellis Brigham Mountain Sports, recently discussed the importance of brands maintaining a brick-and-mortar footprint during an Endless Aisle podcast episode with Marcus LaRobardiere, NewStore’s Vice President of Marketing. Chris and Marcus also addressed how technology can elevate in-store experiences for shoppers and demonstrate retailers’ commitment to customer-centricity.

Read below for key takeaways from Marcus and Chris’s conversation, and click here to listen to the full podcast episode.

Why In-Store Retail Experiences Remain Critical

Although many consumers opt to make purchases via online or mobile channels these days, a true omnichannel experience also encompasses in-store shopping. Some retailers may have believed that the pandemic’s effects would result in consumers moving away from wanting in-store experiences, but that has not been the case.

Shoppers still want to experience the adventure of finding new items in a physical location and then walking out with those products after paying. To reach the widest audience possible, retailers should ensure they keep up-to-date stock in their physical locations and maintain their brick-and-mortar presence.

“People still want to walk into a store, have a great experience, pay, and walk out with that product – and there’s a reward and value in it for them,” Chris said. “There’s a real desire to do something you are passionate about, and part of that journey is coming into a store and [experiencing] it.

“One of the great learnings after the pandemic was that things are different, but things are still pretty much the same as well,” Chris continued. “We came out of the pandemic and our strategy was…it’s going to move into the full omnichannel world. Stores will be experiences; there’ll be less product in there; it’ll be more showrooming and showing the great brands we’ve got and people will be happy to purchase through technology in store or purchase at home on their app.

“That hasn’t not happened, but what the last six months has shown me [is] a lot of people want to walk into a shop, drop their cash, [and] walk out with their latest jacket or snowboard. We got slightly caught out by that because we had to work very fast to make sure our stock holding was where it [needed] to be [and] make sure we had the right people in the shops to sell those products. Going forward, we are probably more positive about brick-and-mortar retail than we were two years ago.”

Evolving the Customer Journey

Brands should ensure they evolve their customer journeys to adapt to both digitally savvy and more traditional shoppers’ needs. However, they must also keep in mind that there is no one-size-fits-all approach to maximizing the customer journey, as each shopper has different needs.

“I think we’ve seen evolutions of shoppers’ journeys,” Chris said. “A shopper that is time poor, maybe cash rich, wants to walk into a shop and buy something because they need it tomorrow. 

“If someone’s thinking about a longer-term purchase, they might research that online. They might actually buy it online and get it in two weeks. We can’t say what a consumer’s behavior [is] because everyone is vastly different than how they shop.”

Retail and Technology’s Symbiotic Relationship

Retail and technology will always maintain a symbiotic relationship, especially as brands seek to attract consumers around the world. Not only does technology allow for brands to compete in the global marketplace, it also enables retailers to further personalize in-store experiences with innovative features, like virtual try-on options.

“I think retail is going to be intrinsically linked with tech forever, and that’s only going to grow,” Chris said. “There’s some great innovation out there, which we continue to look at. We’ve recently been trialing foot scanners within our stores – partly from a customer experience point of view – but partly from a CRM data collection point of view.

“The logical step would be that you’ve been in our Ellis Brigham store, and you’ve had your foot scanned, and you have a 3D avatar of your foot. Now we should be able to apply that to any model on our website and get something that fits your foot. The technology’s not quite there yet, but it’s pretty close. And your ability to scan a body or a foot and apply ‘perfect fit’ to it is going to be [a] massive jumping forward in retail.”

Why Understanding Customers’ Needs is Critical

One pitfall that retailers should avoid is adopting certain technologies because their competitors are doing so. Any new technology vendor or platform should address customers’ current needs. If customers feel that their needs are being solved, they will be much more likely to increase their average basket size with the retailer.

“Understanding your customer’s needs is really key,” Chris said. “I could go and spend millions now, just phone up various companies, put retail tech solutions in, but without a need to do it. And that’s how we’ve always challenged it as a business. We will go out and we’ll talk to people about what’s out there and then we’ll look at it and go, ‘Well, actually, does that satisfy you?’

“The business has to accept that things have to innovate. And then you’ve got to find a way you can test it. You have to go back to your customer, back [to] what is the customer journey…what do they gain from this? If they’re gaining something from it, they’re going to spend more money with you.”

How Clienteling Drives Better Retail Experiences

If retailers choose to integrate the right technologies for their audiences, they will eventually gain a more holistic understanding of each customer. In turn, this will help sales associates do their jobs more efficiently and engage in better clienteling. Clienteling enables sales associates to provide more customized shopping experiences as a result of seeing a 360-degree profile of each consumer.

By investing in engaging in-store experiences and equipping staff with technology to further personalize the customer journey, retailers will be able to grow their existing client base and attract new audiences. Ultimately, leveraging technology to facilitate stronger customer connections is key – while ensuring that the human element remains present.

“I’d like to believe that human interaction will stay with us in some way,” Chris said. “Our job at the moment is to use tech to make that experience as good as possible.”

AllSaint’s James Reid on Personalizing the Customer Journey

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As consumers enjoy a larger variety of shopping options thanks to the globalization of retail, brands must differentiate themselves from their competition by further personalizing the customer journey. Retailers can tap into more resources than ever to accomplish this, including leveraging omnichannel platforms to bridge the gap between physical and digital shopping experiences. The growth of artificial intelligence will also likely play a role in customizing the shopping journey.

James Reid, Chief Innovation Officer at fashion retailer AllSaints, recently sat down for an Endless Aisle podcast conversation with Marcus LaRobardiere, NewStore’s Vice President of Marketing. James and Marcus discussed strategies with which brands can bring omnichannel shopping to life. From finding ways to connect in-store and online experiences to leveraging bots to provide sizing information, retailers can transform each step of the customer journey to include more personalization.

Read on for more insights from Marcus and James’s discussion, and click here to listen to the full podcast episode.

Bridging the Gap Between Physical and Digital Shopping Experiences

Today’s digitally-savvy consumers might begin their customer journey on one platform – for instance, a mobile app – and end it on another, such as in a brick-and-mortar store. To best meet customers’ evolving needs, brands must bridge the gap between their digital and physical shopping platforms to create a true omnichannel experience. This results in retailers gaining greater omnichannel insights, including holistic views of customer profiles, past and current orders, and store performance.

“I know everybody’s talked about this principle for the last 10 years, but [we] very much want to blur the line between the in-store experience and the online experience,” James said. “One of the things that the retail platform will bring us is the principle of a common account across in-store and online. We need to do that in a way that’s adding value for the customer, even down to [tracking] your receipts.

“If you want to bring a return in, we can find that transaction and refund [it] to the original payment method, which then gives us value in terms of accuracy of tracking how that’s actually working. It’s an interesting area when you start getting into that level of data, because from my perspective, the capabilities are enormous and the service we can provide off the back of it is enormous.”

How BORIS Helps Drive In-Store Sales

One way in which retailers can connect online and brick-and-mortar shopping experiences is by offering BOPIS (buy online pickup in store) and BORIS (buy online return in store) fulfillment options. This lets shoppers make purchases via mobile app or website and visit their nearest store to pick up the items or return them, if needed. The in-store visit offers opportunities for sales associates to recommend additional or alternative items that the shopper may not have initially considered.

“In terms of buy online and return in store, it’s a capability we’ve had for a little while now, and it is a footfall driver,” James said. “It’s an opportunity for cross-sell and upsell [opportunities] when the customer comes back in and maybe turning a return into an exchange if it’s a sizing challenge. So it’s always good to get an opportunity to put a customer in front of the stylists in store.”

How Bots Can Impact the Customer Journey

Retailers can also opt to leverage bots to add further personalization to their customer experiences. These can include chatbots that field shoppers’ more basic questions or bots that offer product and sizing recommendations based on customer profiles.

“One of the things we are considering is whether to put a slightly more invasive step to the online customer journey,” James said. “To put a little bot in place that says, ‘I can see you’ve put two of these in two different sizes in your basket…would you like some guidance as to which one’s going to be the better fit?’

“We’re working through how we do that, what information we base it off, et cetera.”

Balancing Personalization with Transparency

While personalizing the customer experience will likely result in greater brand affinity among shoppers – and higher sales – retailers must keep transparency around the use of customer data top of mind. More shoppers are paying attention to the ethics around data collection as artificial intelligence continues gaining popularity.

“If a customer walks into [a] store and says, ‘I’ve seen one of your black leather jackets online; I’d love to see if you’ve got that in stock,’…now, we have a number of different options available,” James said. “The ability to look up that customer from a browsing history point of view, work through with them what it is they’ve seen and give them a better service to identify, ‘Oh, you mean that one,’ in theory is great.

“People understand and appreciate there’s a lot of information gathering and tracking that goes on in the background, but it becomes a different response when you put it in front of their face. It’s something we are very cognizant of – to make sure that we are not being overly invasive, but doing it in a way that’s win-win for the customer,” James continued.

“And that win-win works in a number of different ways because it helps get better accuracy; it will help with gathering customer feedback. For example, you’re trying a particular jacket on and maybe the sizing is slightly [off] in terms of the customer expectations, so you end up sizing up. We can feed that back into the design cycle and through the supply chain to [fine]tune what we are producing to better match those customer expectations.”

Maintaining a Customer-Centric Focus

However retailers choose to revitalize their customer journeys, they must ensure they always maintain a clear vision and commitment to putting consumers’ needs first.

“You have to be very clear about what you’re looking to achieve and what’s driving you to achieve that,” James said. “The customer being the boss…having that as a guiding principle informs everything else. 

“For me, the goal is to maximize access for the customer however they choose to deal with us, whether that’s online or in-store or through a concession or through a third party. We have to meet the customer wherever they are, and we have to provide the service they’re requiring. And that strategy is working very well.”

To learn more about how your business can further personalize your customer journey, speak to one of our experts today.

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Faherty Brand on Why Inventory Management is Key to Omnichannel Success

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As consumers’ shopping demands shift and market trends evolve, retailers must scale their omnichannel operations to meet these needs. One key strategy is ensuring inventory management remains a top priority. Effective inventory management provides retailers with valuable customer data and helps mitigate supply chain challenges in a global marketplace.

Mark Engebretson, Global Operations Lead at Faherty Brand, shared several takeaways related to this from his 40-year-plus retail career during an Endless Aisle podcast conversation with Marcus LaRobardiere, NewStore’s Vice President of Marketing. Mark and Marcus discussed why inventory management is important for omnichannel success and how approaching retail with a solution-first mindset yields better results than chasing trends.

Read on for more key insights from Marcus and Mark’s discussion, and click here to listen to the full podcast episode.

Inventory Management’s Pivotal Role in Retail Success

Mark emphasized that retailers should prioritize inventory management and omnichannel capabilities. This allows them to meet consumers wherever – and however – they prefer to shop.

“Your inventory is probably your greatest asset outside of your people,” Mark said. “Managing inventories [is] going to be critical. An omni world is also critical, and folks that aren’t in that yet are going to struggle.

“You have to be lean in your purchasing – and smart. You have to be reactive. And you have to enable tools that will move product where you need it to be, as quickly and as efficiently as possible.”

Better inventory management leads to more inventory visibility. This refers to retailers’ ability to track and manage products’ movement through the supply chain – all in real time. Inventory visibility also gives retailers more accurate data on sales, inventory stock levels, and consumer demand for products.

As a result, brands can make more informed decisions about products they want to stock and better forecast demand for certain items. Additionally, they can mitigate potential challenges around buying too much or too little stock from manufacturers.

Avoiding Supply Chain Challenges

Developing a strong supply chain should be of utmost concern to retailers, especially since omnichannel fulfillment helps them reach customers worldwide. According to PricewaterhouseCoopers’ 2023 Digital Trends in Supply Chain Survey, many executives are prioritizing near-term supply chain priorities instead of focusing on actions that can yield long-term value. Additionally, only about 33% of executives claim that increasing resilience remains a top priority as they invest in supply chain technology.

“The supply chain itself, as you think of it from end to end, is doing a lot of expanding and contracting,” Mark said. “The problem is the pieces that make up that supply chain – whether it be inbound, raw materials, factory manufacturing, shipping warehouse operations, allocations, shipping, and third mile – all of those are expanding and contracting at different rates.

“So what you constantly have is stuff banging up against each other. And it’s one of the reasons that people are sitting with a ton of inventory – that expansion and contraction happened at different paces. All of that multiple expansion and contraction [is] going to take a while to finally settle down.”

One way in which retailers can increase visibility into their supply chain is by investing in the right inventory management technology. This will enable them to keep track of serialized inventory, simplify product transfers, and seamlessly receive new items – therefore giving staff more time to spend with customers.

Focusing on Solutions Versus Trends

Mark also noted that brands should focus on chasing solutions rather than trends. Retailers should not assume a one-size-fits-all approach for the technologies they choose to integrate into their systems. Instead, they should prioritize the business’s needs when searching for the best technology vendor.

“I’m not trend driven,” Mark said. “I’m problem-solution driven. In terms of our business, I try to run a race backwards. I always go to the finish line first and then run it backwards and figure out what I need to do to get to the finish line.

“So I’m constantly trying to see what we need next and then how we want to solve it. If it turns out that the new technology that’s out there solves it, great. But particularly right now, we need to be focused on our needs and not distracted by the new shiny toy.”

How Inventory Management Drives Better Omnichannel Strategies

Brands seeking to make a bigger impact within today’s competitive retail marketplace must prioritize developing robust omnichannel strategies. Inventory management plays a critical role in driving omnichannel success, as it enables retailers to evaluate and optimize their current systems and processes.

It also helps retailers bridge the gap between their digital and physical shopping experiences. They can leverage inventory visibility to offer real-time product availability across channels, let customers engage in mixed cart transactions, and allow shoppers to use a variety of fulfillment methods, like buy online pick-up in store (BOPIS).

Ultimately, maintaining real-time views into inventory and related data results in better experiences for retail staff and consumers. If brands invest in the right technology to power their inventory management needs, their chances at omnichannel success will significantly rise.

To learn more about how your business can maximize its inventory management capabilities, speak with one of our experts today.

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UNTUCKIT’s Kaitlin Gottlieb on the Importance of Clienteling

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The rapidly evolving digital landscape has significantly impacted the retail industry, making it easier than ever for retailers to reach potential customers worldwide. However, continuing to foster customer loyalty and enhance shoppers’ in-store experiences remain top priorities for many brands.

That’s where the practice of clienteling comes to life – by incorporating human connection into the essence of retail. Kaitlin Gottlieb, Senior Director of Omnichannel at UNTUCKit, emphasizes clienteling’s critical role in building long-term connections between customers and store associates.

What is Clienteling?

Clienteling helps store associates offer personalized shopping experiences by giving them a full 360-degree profile of the customer. Associates can leverage clienteling to message customers on a mobile app and search for a specific shopper in a database. They can also access shoppers’ purchase histories to recommend products they may like, and note customers’ personal preferences – such as sizes and styles – in their digital profiles.

How Clienteling Empowers Store Associates

During an Endless Aisle podcast interview with Marcus LaRobardiere, NewStore’s Vice President of Marketing, Kaitlin discussed the symbiotic relationship between technology and store associates. While today’s world grows increasingly digital-first, particularly for many shoppers, technology should not replace store associates’ roles in assisting with the customer journey. Instead, technology should augment their roles. Equipping in-store staff with the right technology solutions will provide additional opportunities for personalizing the shopping experience for each individual.

Read below for several key insights from Marcus and Kaitlin’s conversation, and click here to listen to the full podcast episode.

How Clienteling Fosters Better Customer Connections

As retailers consider strategies to boost in-store traffic, leveraging clienteling should be a priority. Clienteling helps bridge the gap between the physical and digital worlds by offering store associates valuable customer data that they may not obtain as easily without the help of technology.

This data then facilitates more personalized in-store interactions with shoppers, which could result in greater brand affinity and more sales. As an example, store associates can leverage data from customer profiles to cross-sell or upsell products that the customer may not have initially considered.

“Clienteling is fostering relationships and all about getting them back,” Kaitlin said. “And so associates [are] able to not only engage with customers that they connect with, continue to text them, but influence and inspire them across all different product categories – perhaps for another family member or friend.”

The Intersection of Human and Tech Collaboration

Although many consumers are no stranger to shopping on digital platforms, human interactions are still paramount to retailers’ success. When store associates gain access to the right technology, they can do their jobs more efficiently. This increases employee engagement and reduces the potential for staff turnover.

“The best technology enhances the store associate’s role and allows them to focus on [being] beneficial in that face-to-face contact,” Kaitlin said.

Additionally, store associates can collect valuable feedback from customers on digital tools that will enhance their shopping journeys. This could include adding a new feature to a mobile app or improving an existing function. This results in continuous optimization to improve the in-store experience.

How Apps Fuel Collaborative Shopping Experiences

Store associates can also leverage retailers’ mobile apps to further collaborate with customers on creating personalized looks. Some brands enable app users to virtually try on items and receive customized product recommendations. 

“I love that the app for associates oftentimes becomes a collaborative tool with the customer,” Kaitlin said. “It’s almost like you can dive into the product in the fitting room and then [say], ‘Let me show you some inspirational ways to wear it.’ 

“Our products often are easy to flip through those product images to really enhance [the shopping experience]. It’s really easy to pull up the app and demonstrate what this looks like on the model wearing the product and bring it to life that way, in addition to all of the amazing visuals that we have in our stores.”

This type of clienteling can increase customers’ average basket size by helping them create new outfits or garner inspiration for gifts for family and friends.

The Need for Personalized Retail Experiences

Per Kaitlin, customer engagement does not encompass a one-size-fits-all approach. She underscores that retailers must offer personalized experiences that resonate with a slew of customer personas.

She cited Sephora as a prime example of a retailer providing personalized in-store experiences to different types of customers. Those who visit a Sephora store can select a shopping basket in one of two varieties: a black basket that indicates their openness to being helped by a store associate or a red basket that signals a preference to be left alone while shopping.

Other retailers may opt to leverage clienteling to follow up with customers via text or mobile app about new inventory they may like or to inform them that their preferred product’s size or style is now available. 

“Not every customer wants to text when they leave the store; it’s not for everyone,” Kaitlin said. “But when you identify, connect, and find that genuine, authentic relationship, it’s natural to want to stay connected.”

How Retailers Can Maximize Clienteling 

Retailers can maximize their efforts to build stronger customer brand affinity via clienteling by embracing a growth mindset and striving for continuous optimization. This extends to technology – such as taking feedback from shoppers about certain app features that would augment their experiences – as well as improving one-to-one human interactions. 

Brands should obtain a clear focus on specific challenges or needs they are trying to address and be willing to innovate – even when it’s risky. And if they experience failure, they can treat it as a learning experience that will fuel faster growth in the future.

Ultimately, retailers can foster more loyalty with consumers by leveraging technology’s massive reach while remaining rooted in key elements of human connections – such as personalized interactions and consistent communication. This type of approach to developing a unique customer journey not only builds brand advocates among individual shoppers, but it may extend to their friends and family as well.

“One customer has a great experience – you’re probably going to tell a lot of your friends and family about that experience,” Kaitlin said.

Interested in learning how your business can use clienteling to enhance the customer journey? Speak with one of our experts today.