Omnichannel Retailing
A deep dive into omnichannel retailing, and how to implement it.
What is Omnichannel Retailing?
Omnichannel retailing is when businesses provide an integrated and personalized shopping experience to customers across channels, removing any start-and-stop that could occur when a consumer switches between touchpoints or devices. An example of an omnichannel retailing experience could be a shopper reserving an item online for in-store pickup, and then receiving a discount code via the company’s app when they’re checking out at the brick-and-mortar location.
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Why omnichannel is the future of retail
If retailers want to survive, they have to embrace omnichannel strategies – plain and simple. Consumers want and expect omnichannel experiences, frequently switching between channels throughout the customer journey. (81% of consumers said they research items online before purchasing in person, as just one example of cross-channel behavior.)
Omnichannel customers also bring in more revenue for a business. One study found that for every additional channel a customer used, they spent more money in-store (e.g. if a customer used more than four channels, they spent 9% more at a physical location compared to single-channel shoppers).
Frequently asked questions
One example of omnichannel retail is with LensDirect.com, which has helped customers get low prices on contacts for the last 27 years. Having matured during the rise of the internet, LensDirect.com knows how to leverage the latest technology to deliver superior customer service. Here’s a closer look at how the company uses a diverse set of communication channels:
Prescription verification: When a customer’s prescription expires, they have the option to share their new prescription via fax, email, or SMS before the company approves it and allows them to complete their order.
Reordering contacts: The company sends customers an email or SMS reminder when they’re running low on contacts. Customers can quickly and easily place an order by simply replying to the message.
Customer service: If customers need help, they can contact their dedicated account representative via live chat, email, phone, or SMS. Their rep can quickly pull up and reference all previous interactions to better serve them. By offering customers the flexibility to do business on their preferred channels, LensDirect.com makes it faster and easier for their users to buy contacts.
Omnichannel experiences are becoming the baseline expectation among consumers. People want to be able to move fluidly between channels, and often use up to ten different channels when communicating with a business. If businesses aren’t offering continuity and personalization at each touchpoint, they’re going to lose customers to omnichannel-focused competitors. In fact, 73% of consumers say a superior customer experience is a deciding factor when it comes to customer loyalty.
Omnichannel and multichannel both refer to businesses operating on many channels (e.g. social media, email, SMS, brick-and-mortar, etc.) – but there is an important distinction between these two terms. Omnichannel means that each touchpoint is connected, so that a consumer can easily switch between channels without encountering points of friction (like an unpersonalized interaction). From a business perspective, omnichannel means that each team within the organization is working with a singular, real-time view of the customer.
A multichannel approach lacks this integration, which can lead to a fragmented view of the customer and a disconnected customer experience.
Twilio Engage gives retailers an up-to-date, holistic view of consumer behavior across channels, and empowers organizations with extensible communication APIs to personalize each customer interaction.