New research from strategic information management company Stibo Systems offers an insight into the primary technology challenges faced by retailers, and reveals that these are largely led by the need for improved mult-channel strategies.
The study found that cross-channel retailing remains a clear priority for UK retailers, with 78 per cent of respondents stating that strategic investment to enhance consumers’ multichannel experience will drive retail sales this year.
The study, which was undertaken in January 2012 by independent research house Coleman Parkes, surveyed 100 senior executives at the UK’s top retailers. The findings highlight a growing need for retailers to have proper multi-channel strategies in place, revealing mobile as the key growth channel for 2012. Indeed, the research found that retailers are finally recognising the importance of mobile commerce, with 48 per cent planning to enhance their mobile offering by the end of the year. Of those, 53 per cent are looking to enable their online websites for mobile, while 44 per cent plan to facilitate mobile transactions.
The research also suggests that retailers are looking to invest in transactional mobile websites which are rich in multimedia and strengthened by detailed product information. However, retailers reported lack of budget (58 per cent), and legacy technology systems (37 per cent) as the biggest barriers to investment in their mobile strategies.
The study also identified a trend towards convenience, with 71 per cent of retailers reporting a sharp rise in the number of consumers demanding same-day delivery. Similarly, half of retailers state that consumers expect shopping on the move via transactional mobile sites.
The research demonstrates retailers’ need for a strong product information management solution underpinning their strategy, to accommodate the rise in mobile commerce. To illustrate, comprehensive product information was identified as the most important aspect of a retailer’s website in terms of product pages (56 per cent); ahead of images (13 per cent); consumer reviews (12 per cent); links to similar products (9 per cent); and rich content (8 per cent). Retailers are also witnessing high demand from shoppers for detailed information about products, with 58 per cent stating that this was a top consumer requirement.
“Mobile is a growing facet of a retailer’s multichannel strategy, and while retailers have long been aware of it, most have not actively moved towards putting a proper mobile strategy in place,” notes Stibo Systems MD, Mark Thorpe. “Our previous research has found that consumers aren’t satisfied with their mobile shopping experience, so it is promising that retailers now recognise the need to focus on their multichannel offerings. Worryingly, lack of ‘know how’ was cited by 15 per cent of retailers as a reason for slow implementation of mCommerce. This, coupled with consumer demands for a more enriched shopping experience, including more social interactions and product information, shows that retailers need to invest in the right technology to underpin their multichannel offering to manage master product data across all channels.”