Omnichannel 2018: Winners Emerge Amidst the Retail Apocalypse
NEW YORK, Feb. 8, 2018 /PRNewswire/ -- Digital benchmarking firm L2 Inc releases its 5th annual Intelligence Report: Omnichannel 2018
The L2 report evaluates the strengths and weaknesses of omnichannel strategies for 97 US and 15 UK brands across the Activewear, Specialty Retail, Fashion, Beauty, Big Box, Department Stores, Watches & Jewelry, and Grocery sectors. The report provides key strategies for brands to drive in-store traffic and enhance the in-store experience through digital initiatives. Measured across 219 data points, brands are categorized as Leaders, Store-First, E-commerce Focused, or Laggards in relation to their omnichannel performance.
"Warnings of store closures and the retail apocalypse have been rampant over the past few years," explained Evan Neufeld, VP of Intelligence at L2. "However, what's often overlooked is the Darwinian-like process by which retail is evolving. Year-on-year, brands have been making smarter, more consumer-focused investments in omnichannel marketing, with traditional players such as Target and Walmart fighting alongside digital-first brands like Warby Parker and Away for consumer dollars."
Key Findings from L2's report include:
Advancing Table Stakes: Key omnichannel features such as store hours (92 percent), store directions (89 percent), and in-store returns (78 percent) have become table stakes in successful retail strategies. However, leading brands have begun to focus on advanced features such as the option to filter products by in-store availability (23 percent) and the use of individual store images to make them more recognizable and inviting to consumers (31 percent).
Balancing Fulfillment: As of December 2017, over 75 percent of analyzed brands offered free shipping, 65 percent of who required a median $50 spend in order to qualify. Forty-three percent of brands who offer free shipping at a conditional spending threshold also feature a countdown to indicate how close a customer is to reaching the minimum.
Flexible Checkout: Eighty-four percent of analyzed brands allow customers to modify their shipping method at checkout, but only 58 percent of brands that offer in-store pickup allow shoppers to switch to this option at checkout. Target's provision of same-day pickup at checkout is the mark of an omnichannel pacesetter, as only 33 percent of analyzed big box retailers support this feature.
"Brands have become more sophisticated in integrating their digital and physical assets, making it easier than ever for consumers to switch between competing brands," noted Evan Bakker, Senior Associate at L2. "Brands must enhance their omnichannel investments by doing things like drive-through pick-up, allowing online shoppers to collect their orders without having to enter busy stores."
The report features case studies on brands including but not limited to: Bed Bath & Beyond, L'Occitane, Nordstrom, Petco, Walgreens, and Walmart.
To access a complete media-only copy of L2's Intelligence Report: Omnichannel 2018, contact johanna.azis@l2inc.com.
About L2
L2 benchmarks the digital performance of over 2,200 brands across 12 industries globally. Our proprietary Digital IQ Index is the global standard for measuring digital competence. We analyze 1,250 data points to provide brands with actionable, data driven insights on their digital performance.
View original content with multimedia:http://www.prnewswire.com/news-releases/omnichannel-2018-winners-emerge-amidst-the-retail-apocalypse-300595887.html
SOURCE L2
