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Report: Click and Collect - Creating a service that suits the needs of the connected shopper

 As we all know, Amazon has cracked the code on a convenient shopping experience, and they’re quickly extending this into grocery. The result will be a redefined set of consumer expectations around how quickly and easily they can get their groceries.

Transforming the shopping experience with digital retail

To combat Amazon, retailers have recognised they need to enhance their online offerings via their click & collect service, as the importance of connecting with customers through multiple channels and touch points, is critical to encourage customers back into physical stores. 

 

One click & collect opportunity that many retailers have yet to embrace is
offering in-store scan, click & deliver.

This gives the consumer the ability to come into the store, find the products they want, scan the label and select click and deliver at a defined time that suits them. 

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A great example of how this benefits the consumer is the lunchtime shopper.  Shoppers are able to pop into a supermarket by their workplace, decide what they want and get it delivered to their home. 

Consumers shopping habits are shifting

Fresh Collective - Mairangi Bay – New Zealand. New small format store created to suit the changing needs of the urban customers.   *  http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11885126

Fresh Collective - Mairangi Bay – New Zealand. New small format store created to suit the changing needs of the urban customers.

* http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11885126

This shift in consumers shopping habits, has forced retailers to rethink store formats and services they are providing to consumers. Retailers need to offer a convenient and fast service. In New Zealand there has been a prime example of this, with the opening of the new Fresh Collective stores. 

 

 

Chris Quin, Foodstuffs North Island chief executive, said: “For some time now, we’ve been analysing what we offer our urban customers. We wanted to give them a smaller grocery experience that answers that question of ‘what will we eat tonight’ with plenty of fresh produce and take-home meal solutions,” 

 

 

 

 

 

 

 

Create an experience that delivers on speed, convenience and timely communication to win consumers loyalty

Both Coles and Woolworths have also being adding metro stores, online only stores and enhancing other services to stay competitive. As Coles and Woolworths have many physical locations close to consumers, it gives them the advantage and therefore the scale and logistical strength to expand their online capabilities through options such as click-and-collect.

Woolworths having just announced they will have in-store grocery pick up in all stores by the end of September.

Implementing click and collect makes sense for retailers, as they are providing a service that is increasing in popularity, and that can help drive more impulse purchases when customers pick up their items. 

Woolworths Double Bay, NSW -  new signage emphasising the click & collect pick up in store offering

Woolworths Double Bay, NSW -  new signage emphasising the click & collect pick up in store offering

49% of people were likely to purchase an additional item when picking up their online order

In addition to providing the speed of fulfillment that many customers are looking for, ‘click and collect’ services provide omnichannel engagement and a way to level the playing field against the online only retailers.  

In order to meet customers’ needs and expectations, retailers are seeking ways to make click and collect more efficient. One way to do this is by using technology to improve efficiencies and improve that in-store experience. Electronic labels provide a way to create this complete loop.

Alibaba store “HeMa” – customers can scan in-store and get groceries delivered to home. 

Alibaba store “HeMa” – customers can scan in-store and get groceries delivered to home. 

 

So how can click and collect - 020 drive efficiencies and improve customer experience

Retailer Benefits

  • Able to compete with online retailers
  • Increase/drive more impulse purchases
  • Precision marketing
  • Better consumer engagement
  • Use of labels to push personalised instore promotions
  • Improve operational efficiencies and save time

Customer Benefits

  • Ideal for inner city workers who are time poor – go to metro supermarket - scan products and get delivered to your home at a specified time  
  • Convenient – fast – easy
  • Use APP or wallet pay to pay for shop – cashless
  • Product information using QR codes
  • Personalised promotions via an APP