Retailers lost the battle against in-store mobile phone usage. An InsightExpress study indicates that 82 percent of retail shoppers use their phones in the store while shopping. Yet, consumers still make 90 percent of purchases in physical stores, which means there are plenty of opportunities to use mobile marketing to encourage buying. Instead of fearing the showroom effect, many retailers are embracing the use of smartphone technology to help them close a sale while the customer is in their stores.
Offer Opt-In Discounts With Text Codes
One way to encourage customers to start a mobile-based relationship with a retailer is by offering a discount code. Many retailers have in-store small-format digital displays that tell consumers they can get a discount on a product they are considering if they text a code to a specific number. Once they text the number, they get the opportunity to opt in to downloading the store app or accepting limited text advertising. Not only will this small discount encourage customers to make an immediate purchase, but it will also help the retailer gain insight into how the customer relates to their store.
Carefully Use In-Store Push Notifications
For consumers who have already committed to putting a store-specific app on their smartphone, iBeacons coupled with in-store push notifications are a powerful way to give consumers information at the moment they are making their purchasing decisions. Adding information found online, such as personal recommendations, to the in-store shopping experience is a strategy that major retailers are starting to embrace.
Businesses that choose to use this technology should be cautious. Research indicates that store visitors who received two or more push notifications during a shopping trip were less likely to continue to check their phones. The more messages they received, the more likely it was that these consumers would delete the app from their phones. The app should also highly personalize suggestions for better customer response and to make the most out of their limited push notifications.
Embrace QR Codes
Before making a major purchase, most consumers will research the product online. Putting QR codes on the store price tags for electronics and other big ticket items helps consumers find information about the product, but it also encourages them to make a buying decision while they are at the store. Best Buy, for example, includes QR codes on all of their products. The QR codes direct their customers to their mobile website or app, so consumers can examine product reviews and other information about the product.
Create Apps That Deliver In-Store Perks
Nielsen estimates that smartphone users access approximately 27 apps per month. This statistic means that most shoppers are unlikely to download a retailer-specific app for every store they visit. Stores should strive to find other ways to communicate with smartphone users, such as QR codes, but they should also consider what features their app needs to make the cut for the average consumer. Starbucks has persuaded large amounts of smartphone users to download its app, but the app allows customers to pay for their purchases in the store, get free music and other perks, and receive significant rewards to the purchase of new items. Retailers that create an app that is only an advertisement for their stores won’t experience the same level of adoption.
Mobile marketing is already a proven way to encourage customers to visit brick-and-mortar retailers. Now that retailers are forced to accept that consumers will always use their smartphones, these businesses are finding new ways to encourage buyers to purchase the items they want. While price will still be the driving factor for some consumers, the lure of the instant gratification of an in-store purchase or the ability to choose an item using a hands-on assessment will ensure that brick-and-mortar stores will continue to grow.
Source: SANS ISC SecNewsFeed @ May 31, 2016 at 03:09PM