Solutions

Brand Tracking

Manage, track, and grow your brand with always-on, actionable insights.

Marketing Mix Modelling

Monitor and optimise the long and short-term effects of your marketing efforts.

Campaign Evaluation

Measure and track your campaign’s performance before, after, and as it happens.

Blog Posts
Back

How to Embrace the Retail Revolution

August 02, 2018

Sam Richardson


Share this article:


Dramatic changes in technology and shopper expectations are fueling a revolution in the retail industry. Retailers that embrace the change and meet today’s omnichannel demands will emerge victorious. Matt Nitzberg, Nepa’s Chief Client Officer, recently opened the Retail Revolution Summit at the Shopper Insights & Retail Activation conference with 10 changes that are redefining the new retail world.

This post introduces a few of those concepts and some strategies to win the Retail Revolution. If you want the full list – check out Matt’s 12-minute webinar.

Unlimited Choices

Shoppers have unlimited choice readily available at their fingertips – both digitally and physically. This can be a challenge for retailers that have relied on reducing assortment complexity as a strategy. As new brands emerge to meet a diverse range of consumer needs – be it an eco-conscious toothpaste or convenient men’s razor subscription – retailers must never give a product-based reason for the shopper to choose another retailer. A great example of this is Target’s decision to subscription-based Harry’s Razors, which helped them to compete strongly on Amazon’s Prime Day.

More Choices, Less Store Space

Despite the need to offer more products to win and maintain shoppers, the old retail mentality of “more stores, more sales” is no longer an effective strategy. Today, having “more stores” is a possible indication of more overhead that risks distracting a retailer from the omnichannel priorities of shoppers. As we forge into the retail revolution, it is better to think about the role of the physical store in the total customer experience than merely the number of stores.

Effortless Shopping

The days of increasing basket size by leading shoppers on a treasure hunt through the store are numbered. The new reality is a demand for effortless shopping experiences – where retailers make it convenient for shoppers to get what they desire, when and where they want it. This change is fueling another change that Matt introduces, from “going to the store” to “the store comes to me”. Delivery services like Instacart, meal subscriptions like Blue Apron, and the rise of small format stores are proof of the effortless shopping trend.

How Can Retailers Grow amidst the Revolution?

As you consider these trends, Amazon will surely come to mind as both a source and benefactor of these seismic shifts. Their share of total US retail sales has increased from ~1.5% to over 5% today. The time is now for retailers to start adopting new techniques to compete with Amazon’s impressive growth – here are some useful strategies:

Accept the Omnishopper Reality

Headlines about eCommerce eliminating traditional brick and mortar retail have been replaced with eCommerce-players expanding their physical presence (e.g. Amazon and Warby Parker opening stores, Casper opening showrooms and partnering with major retailers). The Retail revolution will reward companies that adapt the role of physical and digital channels to provide shoppers with more choice and frictionless shopping experiences.

Master the complex Path to Purchase

Shoppers are not only buying in multiple channels – our research confirms they are moving seamlessly between physical and digital interactions as they research and compare brands and products. According to Nepa UK’s Managing Director Lindsay Cowan, “Marketers that connect these dots across online and offline touchpoints will influence action at different stages of the shoppers’ journey – allowing them to invest more effectively to attract new shoppers, get on the shopping list, optimize conversion and increase penetration.” For more on how to succeed in this “New Era of Shopping” – check out our Q&A with Lindsay.

Optimize CX for Revenue & Profit

While companies have appropriately pursued Customer Experience strategies to create loyalty in advocacy, there has been too much focus on improving intermediate metrics like NPS or C-SAT. Tracking these metrics and driving them upward is important, but leading brands are now collecting CX feedback on a continuous basis and aligning it to operational data to prioritize investments that improve the customer experience and the bottom-line.

Make no mistake – Retail is in the middle of dramatic changes due to technological disruptions and shopper expectations. Companies that fully embrace the drivers of this revolution can adapt and make the investments needed to thrive.

At Nepa, we take an omnishopper view that blends “why” and “what” research competencies to help clients embrace this new reality, master the path to purchase, and improve ROI on CX investments. Click here to contact us.

Blog Posts
Back

Important Customer Experience Learnings From The CXPA Insight Exchange

May 22, 2018

Sam Richardson


Share this article:


It’s been two weeks since we’ve returned from New Orleans where we connected with over 300 other customer experience professionals at the 2018 CXPA Insight Exchange. The overarching theme during this two day event was to create business value – something that we really relate to at Nepa.

A keynote delivered by Graham Tuttom from Comcast was a great start to the two day immersion into CX. He is no stranger to these events and his experience in CX is impressive. His philosophy is that organizations should think of CX as their best product. According to him, the holy grail of CX is having all business units behave as a team and employees that are empowered to empathize with customers. This makes CX part of the company culture and employees feel like owners. At Nepa we agree that our mission as CX professionals is to create tools that provide information and opportunities for empowerment. For the majority of the organization, CX is a strange and complex animal, it’s our job to make it more approachable with better tools and technology.

Another great talk by Bruce Temkin of Temkin Group, was a state of the union address for the CX Industry. Titled Past, Present, Future of CX(PA) he expounded where the CX profession is heading and stressed four principles for making CXPA grow within a well managed organization:

● Focus on people

● Connect CX to business and brand

● Stay positive and passionate

● Support our collective community

His main point was that we as CX professionals have a great opportunity to take our rightful place at the C-level discussions, but in order to achieve that goal we need to continue to push our industry forward by following the four principles.

If you were at CXPA to meet new partners, you were in the right spot. It was a who’s who of vendors providing a broad array of services from CX design to Customer Service solutions, to CX feedback platforms. It was great to see many complementary solutions that we use as inputs in our CX analytics applications. If you felt a little overwhelmed by the number of partners, drop us a line – we’ve worked with many and are happy to share our experiences.

The most valuable takeaways came from the opportunities we had to exchange ideas with other CX professionals during shorter round table discussions and one-to-ones. In smaller groups, we explored a diverse range of subjects from creating a CX cultural change to the growth trends in the industry to methods on how to calculate ROI on CX investments. In discussions with our fellow CX professionals, we sense a budding optimism that organizations are realizing how important CX is for future business success, but with attention comes expectations.

A CX professional needs a diverse set of skills: change management, business development, analytics, technology, story telling, financial, design etc…the list goes on. We need to understand how to improve the experience and drive business efficiently. Are CX professionals the birth grounds for future CEO’s?

We can talk CX all day. Have a question? Email us at sales.us@nepa.com.

Blog Posts
Back

CX Next Recap: Empathy, Emergence, and Money

May 11, 2018

Sam Richardson


Share this article:


As Customer Experience (CX) professionals gather in New Orleans for the Customer Experience Professionals Association (CXPA) 2018 Insight Exchange, I’m still reflecting on key themes from the recent CX Next 2018 conference in Boston. This exclusive event, which Nepa was honored to Chair, featured heavyweight CX thought leaders and a great roster of practitioners. Here’s what still resonating two weeks later:

Empathy is the bedrock of Customer Experience

Understanding and embracing customers’ needs and their context is the basis for delivering great experiences. Katherine Deschene of Steward Healthcare preaches that hospital staff must first connect with the patient before completing the task. Marijke Maartense from Philips Healthcare doubled-down on this point with an insightful talk about how to keep it human amidst a sea of technology and digitization.

CX professionals have an obligation to help every person in the organization understand their customers and their context. CX Author & Thought Leader, Kerry Bodine, introduced a bold vision for moving from orchestrated experiences to emergent experiences, guided more by simple principles or rules than a detailed playbook. Kerry borrows the concept from emergent properties in the natural order, best exemplified by the beautiful formations of starling flocks. Every employee in your company should act as individual starlings do –  following a simple set of shared rules – to create beautiful customer experiences. Companies that are already doing this, like Zappos.com and Southwest Airlines, are already reaping the customer retention benefits.

Delivering on Customer Experience is heavy lifting

While empathizing with customers and having a vision for better experiences is the starting point, there is a lot of nuts-and-bolts work behind the scenes to make improvements a reality.

Dave Hodgman, Digital Transformation Strategist at Comcast, shared what goes into meeting his team’s goal of having customers spend less time on routine service requests (like paying a bill or changing a plan). Enabling new experiences for customers requires applying a deep understanding of available tools, data management systems, and corporate policies to customer needs. And, creating new experiences is not enough – CX professionals need to drive the customer adoption of new service methods. This work requires collaboration across many groups at Comcast, and without it, dreams of better experiences would not become reality.

Customer Experience Professionals need to learn a new language

The standard measurements for Customer Experience success – C-SAT, NPS, Customer Effort Score – are no longer sufficient to gain the commitment of executives. The essential metric of business is money, and we must point to financial results – including increased revenue and decreased costs – to earn the investment required to deliver better customer experiences.

Diane Magers, CXPA CEO, hammered this point in “Building and Executing a CX Strategy in an ROI Driven World”, a workshop on mapping techniques that lead you to the business value of a strategy. Diane cited an example of a CX professional who delivered on their goal of improving NPS. The program was then closed, in favor of other investments that visibly demonstrated cost savings and/or increased revenue.

The good news for CX professionals is there are many opportunities to demonstrate how their strategies and programs are driving bottom line results. There are also new ways to translate your CX measurements into financial values – a topic that I spoke on in my “Level up Your CX Measurement” presentation. The key is to link each aspect of customers’ experience to its financial impact on company financials, which both validates the current impact and enables further optimization. It’s all available in our Cultivating Customer Experience Measurement eBook.

I’d like to thank Knect365 for organizing this great event and for asking Nepa to chair this gathering of CX professionals. Look forward to next year!