Unified Commerce
Greg Cantlon
Changing your POS? 7 critical tests your ...
Changing your POS? 7 critical tests your software must pass
Customer Experience
Greg Cantlon
From points to personalisation: Five steps to ...
From points to personalisation: Five steps to galvanise the liquor retail loyalty experience
Team
Carmela Salisbury
Kelly Brown steps down as Triquestra CEO
Customer Experience
Triquestra
6 omnichannel retail painpoints ...
6 omnichannel retail painpoints unified commerce solves
Customer Experience
Triquestra
Delivering a unified CX: liquor retail's new ...
Delivering a unified CX: liquor retail's new priority

Customer Experience

Retail remix: Six moves to make to match unpredictable consumer behaviours 

There's been a significant upheaval in the approaches retailers take to attract, retain and incentivise their loyal customers. And the catalyst for this change is the increasing volatility in consumer behaviours.

Consumers are defying economic predictions by behaving in unconventional ways. They’re more selective, preferring experiences over products, while also looking to get maximum value from their dollar. And even if something's made sustainably, it must be priced competitively or they're not buying. 

This is keeping retailers on their toes, because all the old approaches for keeping customers coming back just aren't cutting it anymore. 

The retailers that build a clear picture of customer activity, behaviours and preferences – to deliver more personalised and seamless experiences - will be best positioned to succeed. 

Here are six strategies to help your retail business meet the demands of today’s and tomorrow’s consumers: 

1. Adjust inventory based on anticipated demand  

Soon, up to half of all online purchases are expected to be fulfilled directly from physical stores, and up to 50% potentially being returned to these locations. Now’s the time for retailers to refine their strategies for inventory management, allocation and replenishment. 

Consider lowering your safety stock levels, while still complying with existing merchandising rules and practices. Implementing this one change alone can lead to considerable savings on inventory costs. To optimise your inventory effectively, focus on the destination of demand rather than just the fulfilment of demand. This ensures that your initial stock placements mirror historical buying patterns as closely as possible. And transform selected stores into mini-distribution hubs. By choosing a handful of well-positioned stores that have the right storage capacities, you can streamline the pick, pack and ship processes which help to maintain profit margins and adapt to the fluctuating demands of omnichannel retailing.

2. Revamp pricing and promotion strategies  

Most shoppers are concerned about costs and heavily influenced by promotional strategies when making their purchasing decisions. However, with rising input costs many retailers are finding it necessary to increase prices to protect margins. And despite price sensitivity now at an all-time high, 35% of retailers have inconsistencies in their pricing across channels. In addition, few retailers integrate their loyalty programmes and pricing strategies and are missing out on opportunities to create a cohesive and distinct customer experience.  

There are simple ways to provide value to customers while also managing costs. Implementing value promotions can provide compelling reasons for customers to make purchases more frequently. Price pack architectures can be changed to align what consumers want with what they’re prepared to pay. By synchronising loyalty and pricing strategies and developing tailored pricing tiers and product assortments specific to local and channel needs, you can not only address cost of living pressures but also enhance overall value perception among customers. 

3. Maintain commitment to brand loyalty  

It might seem appealing to dial back brand marketing efforts to focus on performance marketing where results are directly attributable. However, it's crucial to keep investing in strategies that enhance consumer acquisition and foster brand loyalty. Cultivating brand advocacy is critical for standing out from the pack and encouraging wary shoppers to direct their purchases your way.  

Increase your loyalty programme's membership by introducing rewards and experiences that not only retain current members but also broaden its appeal. Implementing exclusive pricing promotions, such as discounts for loyalty members, can significantly boost customer retention. These loyal customers are typically more inclined to make frequent and larger purchases compared to their non-member counterparts. 

4. Enhance microtargeting capabilities  

Retailers are moving away from putting consumers in predefined and sometimes outdated segments and adopting microtargeting strategies to gain a deeper insight into individual consumer preferences.  

This approach uses detailed consumer data to pinpoint very specific groups of customers with similar shopping behaviours and preferences. Using generative AI, retailers can efficiently scale these efforts, boosting the creativity of their campaigns and automating much of their marketing outreach. By connecting with high-value consumer demographics, such as millennials in emerging markets or affluent seniors, retailers can deliver highly personalised experiences that foster brand affinity, enhance loyalty and encourage repeat purchases.   

5. Elevate the social-digital connection  

It's critical to actively engage customers via social media and other digital channels. This strategy requires choosing the most effective channels and platforms, crafting compelling content and adapting these strategies to keep pace with consumer needs as they evolve. This is becoming increasingly vital as boundaries between industries blur - for instance, when retail ventures into services such as consumer finance - and as cross-industry ecosystems gain importance.  

We are seeing innovative clients experimenting with new approaches to social commerce to forge deeper local connections. For instance, Cue Clothing is at the forefront of 'contextual commerce', integrating buying options into regular daily activities and settings to make shopping a seamless part of life. And using social media and private messaging platforms like WeChat, retailers can maintain constant interaction with their customers, enhancing engagement and loyalty. 

6. Refine product assortments  

As consumers preferences become more thoughtful, reassess your product lineup and investment strategies. Consider phasing out products that no longer align with consumer demands or intensifying focus on categories that are seeing increased interest.  

This strategy might involve broadening your range within certain price brackets or popular sectors like health and wellness. In addition, introducing high-end items for consumer segments that indulge in impulse purchases can be beneficial. You could also explore exclusive online merchandising options that vary in size or packaging compared to their in-store counterparts and cater to a distinct online market segment. 

Want help to modernise your ability to match unpredictable consumer moves?  

As you transform your customer experience to attract and retain loyal customers, your retail systems must transform as well. If you’re looking for help to meet the demands of today’s and tomorrow’s customers, get in touch. We’d love to help you keep pace with changing consumer demands.  

If you’re driving the CX transformation at your retail business, our unified commerce maturity model is the perfect tool to create your roadmap. Learn about the capabilities you need to create a rich mix of omnichannel experiences. 

From points to personalisation: Five steps to galvanise the liquor retail loyalty experience

Liquor retailers now realise there is enormous untapped potential to revamp their loyalty programmes to drive customer engagement and expand share of wallet. Here’s how to elevate liquor loyalty solutions to create more relevant and personalised omnichannel experiences that meet changing customer demands.

With cost-conscious consumers hopping between sources in their search for bargains and customer acquisition costs soaring, customer retention is a top priority for liquor retailers.   

For many years, loyalty programmes were a simple way to help drive customer acquisition and retention. However, with changing consumer behaviours and formidable new competition, few meet the needs of today’s retailers or consumers.  

Many retailers can’t access data on their customers’ preferences, purchasing behaviour or communications, and end up extending the same set of offers to all customers, regardless of what they care about.  

Local regulations can limit the types of rewards and promotions that can be offered, making it difficult to align with customer expectations for fast and easy personalised services.  

And retailers face powerful competition from food delivery and online-only retailers working hard to provide convenience to customers, but ultimately preventing people from going into liquor stores in the first place. 

The reality is, today customers don’t just compare your service to that of your competitors, but to the best service they’ve ever received, anytime and anywhere.   

At a time when consumers are visiting liquor stores more often but spending less, you know that loyalty schemes are well overdue for an overhaul.  

Liquor retailers are investing in innovation, digitisation and branding to launch new loyalty solutions that deliver a complete view of customers’ preferences and purchasing behaviour, with the ability to create fast and memorable experiences. 

If you’re looking at how to develop your loyalty and personalisation capabilities, here are the steps to take to deliver an exceptional CX:  

1. Take control with a standalone loyalty programme  

Modern loyalty systems offer a dual benefit: in addition to helping acquire, engage and retain customers, they give you a 360-degree view of all customer preferences, purchase behaviours and trends.   

Equipped with this information, you can adapt your pricing, product recommendations and offers, and tailor events and experiences to every individual in your customer base.    

While points-based programmes and certain types of events or offers may not be possible in your state, region or store location, there are many ways to build customer trust and loyalty.  

Many retailers are implementing tiered systems where customers earn different levels of benefits based on their spending or engagement. Higher tiers offer greater rewards, such as larger discounts, early access to new products, or exclusive services like personalised shopping assistance.  

Subscription services are also gaining traction. These can offer members regular deliveries of their favourite spirits, access to limited edition items or curated selections at a fixed price. Subscriptions encourage repeat purchases and deepen customer relationships.  

2. Extend your loyalty programme to your mobile app 

Today loyalty programmes are an integral part of a smartphone app: : 63% of smartphone users are more likely to purchase from companies whose mobile sites or apps offer them relevant recommendations on products.   

Mobile apps facilitate on-the-go access to loyalty rewards and special offers, plus the ability to track purchases and points. Features like push notifications can also drive engagement by alerting customers to new products, upcoming sales or last-minute deals.  

By delivering loyalty discounts and rewards at point-of-sale and on the app – not just via a card - they lowered the hurdle for customer adoption and made it faster and easier to use.   

The customer essentially manages their own loyalty experience and should be able to collect points, make payments and redeem points straight through their mobile device at any time.  

3. Differentiate your offering with exclusive events and experiences 

Retailers are extending rewards programme into tailored experiences and promotions that create memorable and enjoyable shopping experiences.  

They can include exclusive access to special in-store events like mixology classes, wine and liquor tastings, meet-and-greets with distillers and vintners, new product launches and other educational or experiential events.  

Events can help you understand your customer demographics and build heat maps to predict how much of a specific product customers will want to purchase during key periods of the day or week. It gives you the customer data to customise future promotions and ensure you have the right stock on hand and right specialist staffing for your customers’ needs.  

These experiences also build a sense of community among customers to foster loyalty and repeat business. You could create exclusive clubs or groups that offer members-only benefits, such as special discounts, first access to limited-edition items or invitations to private events.  

4. Apply analytics to create more relevant and personalised offers  

The next stage is to use the data-driven insights to create cluster- or even site-specific offers. Tailor your offers for local buying opportunities and use your customer data to make informed decisions about stock, promotions and marketing strategies. That lets you customise product bundles, pricing and promotions to increase sell-through without compromising margin.  

You can then capitalise on opportunities to craft offers that feel personally relevant to everyone in your database by combining internal data (such as transactions and location) with external data (such as competition, weather, traffic conditions and demographics).  

This includes tracking the effectiveness of different loyalty strategies and continuously refining them based on customer feedback and behaviour patterns. 

5. Use AI-driven marketing tools to hyper-personalise the CX  

AI and machine learning helps you to analyse and predict customer preferences, automate personalised marketing and manage inventory more efficiently.  

These tools let you tailor the shopping experience to individual preferences and behaviours by offering personalised recommendations, promotions and rewards that resonate with each customer's tastes and buying habits, such as suggesting new wines or spirits based on past purchases or offering special deals on favourite brands.  

By interacting with customers at the right moment, with the right offer and in the right channel, you can drive behavioural changes in customers and multiply the lifetime value of loyalty customers.  

Want help to modernise your liquor retail loyalty programme? 

As you transform your customer experience to deliver the seamless and personalised buying journeys your customers crave, your retail systems must transform as well. If you’re looking for help to develop your loyalty and personalisation capabilities, get in touch. We’d love to help you develop more meaningful relationships that deliver profitable growth. 

For more on how to deliver every customer a personalised, fast and seamless experience, download our ebook:  

Mine the loyalty gap: Four steps to take to improve customer retention and boost profits

How do you drive growth in a muddled economy? Kelly Brown explains why customer loyalty is the best path to capture share of wallet, the biggest hurdles to anticipate and how to overcome them.

The modern shopper is calculated, prudent and detached. They expect more from their favourite retailers, demanding consistency across your channels, efficiency from your service and a relationship with your brand.

But with bargain-hunting consumers hopping from source to source, and a retail recession on the horizon amid inventory, pricing and interest rate uncertainty, retailers are looking for new ways to go above and beyond to stand out in a crowded market.

So, it's no surprise that retailers’ most cited growth opportunity for 2024 is strengthening loyalty programmes.

Customer loyalty and retention is the best path to capturing market share and maximising profits because:

  • Retaining customers costs less than acquiring new ones - customer acquisition costs have increased a whopping 222% in the past decade - and returning customers are more likely to spend than new customers.

  • As more customers opt out of being tracked, retailers need a persuasive reason for consumers to readily share their details when engaging with different channels or touchpoints.

  • In return, retailers get a clearer picture of customer activity, behaviours and preferences, and can deliver more personalised and seamless experiences.

However, it’s a challenge to develop engaging loyalty programmes that attract and retain loyal customers while still ensuring you deliver customer value and drive profit margins.

Here are the four biggest challenges retailers face as they build customer loyalty and how to overcome them:

1. Creating a customer service mentality

One of the most significant shifts that retailers must take to retain customers is creating a strategy and culture that thinks about how to best serve them.

It’s about investing in the things that make their customers happy. It’s about addressing and resolving customer issues or concerns quickly and effectively. And it’s about going the extra mile for customers to maintain good relationships, with an extreme service mentality deliberately designed into your culture, hiring processes and business model.

But it’s a challenge to bring together the customer-centric view of marketers and customer service teams, with the product-centric view of sales and merchandisers. To deliver a truly unified customer service, these teams need to be deeply integrated and connected.

The solution: Create cross functional teams and provide the tools they need to provide exceptional service

To integrate and connect these functions you’ll need a unified platform that gives you a single source of truth for all inventory, order and customer data. With all your customer details captured and stored in single unified commerce hub, you can recognise customers consistently, wherever they shop with you.

Your marketing, sales, merchandising and customer service teams can build a unified strategy and bridge the functional gaps traditionally limited by different tools, technologies and approaches.

Your store teams can view this information to offer personalised service and recommendations that encourage conversion at point of sale. And by providing an exceptional customer service, you’ll strengthen relationships with happier and more loyal customers.

2. Delivering greater value through integrated loyalty, pricing and promotions

Most retailers already provide value to customers through loyalty tactics, pricing strategies and promotional offers. However, with ever-increasing channels and customers demanding more from their favourite brands, many can’t integrate these activities for a unified CX.

While 94% of retail leaders are deploying multi-channel strategies, only 65% say their pricing and promotion strategy is consistent across all the channels. That leaves a significant 35% with inconsistencies in pricing and promotions. And few look at combining their loyalty and pricing tactics to create a unified and differentiated customer experience.

This lack of a unified value proposition can lead to disjointed experiences for customers. At worst, it results in consumers spending less when they shop or switching to a competitor.

The solution: Unify your customer data and inventory for a differentiated CX

To integrate your loyalty, pricing and promotions, you’ll need a unified commerce platform that combines data from every system and channel across your organisation.

You can then start increasing your numbers of loyalty members by offering rewards and experiences that improve and expand the reach of loyalty programmes. Exclusive pricing promotions - such as percentage or cash discounts for loyalty programme members – can create more loyalty customers, who often make more frequent or larger purchases than non-loyalty members.

3. Unleashing omnichannel experiences through stores

With the ability to see, touch and feel products and assess alternatives, stores remain the dominant sales channel, still generating more than 70% of sales and expected to continue to grow at 4% year on year. Stores are also the best channel for driving loyalty. Store conversion rates are typically 20-40% - around ten times more than ecommerce channels (only 2.5-3%).

But at a time when 75% of retailers can’t connect their online and in-store transaction data, they struggle to deliver the cohesive, consistent unified experiences customers now expect.

And despite stores being the most preferred medium of engagement, they have lower trust scores then digital channels, indicating a significant opportunity for retailers to use stores to boost customer trust.

The solution: Modernise your point of sale for elevated in-store experiences

To transform your stores to be the driver of customer loyalty and retention, your store retail systems must transform as well. A modern point of sale is now the anchor for a unified commerce platform that unifies online and store data with back-end systems so that you can create a cohesive and consistent omnichannel experience.

These systems let you create the personalised and tactile experiences customers now demand, such as accurate stock positions by store (including out of stock, in stock and on order), in-store pickups, fast fulfilment via stores and staff recommendations based on wish lists and order history.

They not only elevate the overall shopping experience to increase customer retention and loyalty but also equip you with a more nuanced understanding of shopper profiles, and a competitive advantage by offering a personalised and complete omnichannel experience.

 4. Driving personalisation at scale

Today consumers don’t think in terms of channels. They now expect a “one-brand” experience that lets them shop at any time, using any channel, from any device, at the best price.

And with consumers today also wanting more bespoke experiences, retailers are looking for ways to personalise at scale. They are transitioning from mass-market approaches to strategies that delight consumers with personalised product recommendations and tailored interactions.

But if you’ve got siloed backend systems and processes that mean your customers must deal with inconsistencies and gaps, you simply cannot offer a seamless and personalised customer experience.

The solution: Combine mass, at-scale touches with micro, personalised experiences

The ability to see each customer’s shopping preferences and purchase history across all channels is critical for building personalised shopping experiences.

With a unified commerce platform providing a holistic view of your customers, you can better plan your loyalty, pricing and promotion strategies and get the right offer or message to the right customer, at the right time and right place.

These personalised messages and offers should supplement mass, at scale touches to keep customers engaged. By balancing strategies across occasions (such as mass-market events like Click Frenzy and Black Friday) plus personalised messages (such as a birthdays) you can keep customers engaged. By creating remarkable customer experiences that meet or even exceed consumer expectations, you can ensure customers return, again and again.

Want help to modernise your loyalty programme? 

As you transform your customer experience to retain loyal customers, increase market share and maximise profits, your retail systems must transform as well. If you’re looking for help to develop your loyalty and personalisation capabilities, get in touch. We’d love to help you develop more meaningful relationships that deliver profitable growth.  

If you’re driving the CX transformation at your retail business, our unified commerce maturity model is the perfect tool to create your roadmap. Learn about the capabilities you need to create a rich mix of omnichannel experiences.

Fuel retail: How to capture the EV charging opportunity

Are you looking at how to transform your fuel & convenience retail business into a preferred destination for electric vehicle (EV) charging?

Fuel retailers launched their energy transition strategies following predictions of a rapid expansion in EV adoption, with estimates that EVs could make up 30% of all vehicles on the road globally by 2030​​.

They recognised that while EV charging was a significant threat to their core business by reducing fuel sales, it was also a massive opportunity to add a new, stable revenue stream.

By building on their existing infrastructure in prime locations, access to capital and customer knowledge, they could diversify income streams and future-proof their business.

It’s an essential element for growth by keeping a strong stream of customers at fuel forecourts and convenience stores. With customers spending more time at sites charging their cars, the extended dwell time provides opportunities to increase revenue.

It’s also critical for achieving their goals of net zero emissions and meeting regulatory commitments.

Today, the majority (70%) of fuel retailers are either already offering or planning to offer EV services, and retailers not investing in this area may miss out on capturing a share of this growing market.

However, as car manufacturers worldwide grapple with slower than expected sales of EVs amid intensifying price wars, fuel retailers have been forced to revise how they execute their EV strategies.

While most have not changed their EV ambitions, they are now executing their goals with more precision by focussing on the key opportunities for growth.

They also recognise that the move to EV charging is a major business disruption and risk:

  •  Fuel retailers face formidable competition from other entrants, including OEMs, power companies and pure-play charge point operators (CPOs).

  • Any large-scale investment in EV charging points must not only earn back the capital expenditures invested, but also operate profitably.

  • With the large electricity demands from fast chargers and extremely high power prices, many EV charging businesses still operate at a loss.

Despite these hurdles, the future is clear. Without significant changes to their business models, at least a quarter of service stations worldwide are at risk of closure by 2035.

So what are the key factors for success?

To become a preferred destination for EV charging, retailers are exploring three areas:

Offer on-the-go charging  

While EV drivers can charge at home or at work, these charging stations are likely to be slow, low voltage points. On-the-go stations use higher power, DC charging points that let EVs fully charge their batteries in under an hour.

With their existing infrastructure in prime locations and established fuel retail operations, fuel retailers can fill in a gap in the EV charging infrastructure and capture a convenience premium.

As more people transition to EVs and not all have access to home charging facilities, there’s a growing dependence on public charging infrastructure. For example, in the UK about 36% of EV drivers regularly charge their vehicles at service stations​.

However, it will require significant investments to develop an attractive, competitive and profitable EV offering. With recharging taking far longer than refuelling, operators need to adjust their station formats to provide expanded services and facilities. And ideal EV charging locations won’t necessarily correspond with the best fuel locations.

Capture commercial fleets 

EV charging for large business-to-business fleets is a growing opportunity as governments and businesses move to decarbonise their vehicles. Electric vehicles are already being deployed en masse in short-haul transport, last-mile logistics and commercial business fleets. 

While likely to become highly competitive, fuel retailers can secure first-mover advantage with an end-to-end offer, combining “on-the-go” and “at-depot” charging.  

Create a compelling CX 

Innovative fuel retailers are investing early to learn about customer needs and experiment with new propositions and formats.  

They’re creating a compelling mix of convenience, speed, reliability and affordability: 

  •  Mobile apps will cement customer loyalty and increase return visits 

  • Reliability is a focus - drivers with a low battery charge will prioritise sites where chargers consistently work properly 

  • Clean and safe locations, with expanded seating and decent restrooms will increase dwell time 

  • Reservation systems will remove the frustration of waiting for a charger

  • Barista-made coffee, fresh food options and other premium services (such as high-end car washes) will provide customers with more reasons to visit and generate additional revenue 

  • Cluster- or even site-specific offers tailored for local buying opportunities will increase sell-through without compromising margin

  • Customised product bundles, pricing and promotions based on customer transaction histories will attract and retain loyal customers

This blog was originally published on 28 March 2023 and updated 6 June 2024.

Want help to differentiate your EV charging offering? 

If you’re looking for help to innovate to serve customers, not vehicles, get in touch. We’d love to help you develop the distinctive and frictionless c-store experiences consumers now expect. 

For more on how to deliver every c-store customer a personalised, fast and seamless experience, download our ebook:  


The perfect blend: Four capabilities to look for in a liquor retail tech partner

Can your liquor retail business keep up with customer demand for new digital experiences?

Brick-and-mortar sales still dominate the liquor retail sector, with online sales languishing at single-digit percentages of total sales.

However, the move to online is real, with liquor online sales globally estimated to grow 4.5% between 2022 and 2027, reaching nearly US$40 billion by 2027.

This growth in online sales is introducing more complexity into the business, with channels becoming less physical and more digital. And that’s why everyone’s focussed on finding the right systems to rebuild their businesses from the bottom up for omnichannel retail.

But at a time when 2 in 5 retailers (40%) lack in-house expertise to make the most of new technologies, and only 25% of retailers can connect online and store data, they know that working with the right people and the right technologies will make the roll-out of new customer experiences much easier, and deliver results much faster.

So, how do you evaluate a new retail platform provider?

There are four important capabilities they will need to provide:

1.    Expertise across all retail, not just liquor

You’ll want a mature retail platform that supports liquor and convenience, rather than a narrow, liquor-specific POS system.

A partner with experience in highly competitive retail industries - like fashion and big-box retail - will have expertise in disrupting the customer experience, with APIs and a retail ecosystem few can match.

They’ll bring best practice ideas and capabilities from other retail sectors - not just liquor retail - and have POS omnichannel expertise distilled into all the essential modules you need to deliver seamless and differentiating experiences in stores, online and on mobile apps.

And with all the core liquor features you need out-of-the-box - plus localised functionality and the ability to customise – you’ll achieve a faster return on investment.

2.    Real-world customer experience

A strong track record and referenceable customer base means less risk.

You’ll want a partner with recent and proven success in liquor and convenience retail, with a track record of complex, large-scale deployments across multiple stores, multiple formats and multiple geographies.  

They’ll need to understand your environment where fast service is non-negotiable, staff require specialist knowledge and transaction volumes are highly variable. Make sure they have people who can help you plan and implement your projects, so that they deliver now and well into the future.

Their experience in the liquor sector will give them a deep understanding of the trends changing mobility and convenience, and bring you the best of consumer, retail and CX applications and technologies.

3.    Broad product capability and innovation mindset

Choose a partner that can give you a holistic portfolio and expansive retail ecosystem.

Offering a unified customer experience means unifying all the front- and back-end systems that run POS, inventory, ordering, customers and loyalty, pricing and promotions, analytics and fulfilment. You don’t want to be tied to a point player that can only provide segments.

When you choose a partner with a mature platform, they can focus on delivering innovation because the critical functionality you need already exists.

An open architecture and APIs will let you cultivate a modern retail and CX ecosystem that reduces risk and increases flexibility.

And with agile methodologies plus experience working with agile retailers, they’ll have the ability to move to fast and change direction as opportunities develop, competitors act and customer needs evolve.

4.    Local and committed to your success

A local partner means you can have more influence on the product roadmap and expect faster turnaround.

Liquor retailers are creating distinctive omnichannel customer experiences by developing strong brands, offering tailored convenience, expanding the breadth of their product offerings (or moving into specialist categories) and generating new revenue streams.

They recognise the risk that comes with global vendors that have a narrow focus on liquor POS or an indirect model of engagement and support.

A local business means you can enjoy direct engagement with on-the-ground people focussed on your needs, and not distracted by offshore business activity. With direct access to second and third level support and simple processes, you’ll enjoy leaner, faster support services.

Biggest isn’t always best. A mid-sized company will have fewer layers of bureaucracy, giving them more agility and responsiveness.

It also means that you’ll be an important customer of influence to your partner - they will value your business and work hard for it.

Want help to deliver a personalised, fast and seamless CX?

Our product and people are supporting award-winning retailers delivering disruptive, world-first customer experiences that build loyalty and grow sales. If you’re experiencing technology challenges that prevent you from unifying your physical and digital channels, get in touch. We’d love to help you digitise your business to create the unified experiences your customers now expect.

For more on how to deliver every customer a personalised, fast and seamless experience, download our ebook:

6 omnichannel retail painpoints unified commerce solves

With rising customer expectations for a cohesive and consistent shopping experience, many retailers have hit a wall because their omnichannel efforts can’t meet today’s retail demands. Here Kelly Brown describes six major challenges you will face in omnichannel retail, and how to solve them.

Customers today are delightfully unreasonable, and expect to transact when, where and however they want. They don’t care how you achieve it and will reward you if you have it - or shop elsewhere if you don’t. 

Retailers are responding by building a customer-centric approach to retail, using technology and experiences to enhance the brand, drive sales and grow loyalty.  

However, it’s complicated.  

Many omnichannel retail solutions can look smooth on the surface but have rough patches underneath. They include legacy solutions that are no longer fit for purpose, and channels operating in functional silos. Things can easily unravel.  

And when 75% of retailers are unable to connect their online and in-store transaction data, most struggle to create a unified user experience that traverses easily between online and offline channels.  

If you’re looking at how to keep pace with changing customer expectations, here are the most common challenges retailers face as they build their omnichannel systems, and how they can be remedied with a unified commerce approach. 

1

Inventory that isn’t real time

Managing inventory is a retailer’s biggest challenge — no matter their size. It’s also the biggest cost. Many retailers launched digital commerce channels without getting their inventory right and can only access rudimentary sales and inventory positions. That prevents them from offering the ‘buy anywhere, fulfil anywhere’ options that are best for customers and most profitable for them.  

The solution: Optimise inventory and availability  

One of the most compelling benefits of unified commerce is a single view of stock across all stores and DCs. This means you can quickly see where inventory is and therefore the fastest place to fulfil from. You’ll improve inventory accuracy, reduce stock requirements, minimise fulfilment costs and get products to customers faster. And you’ll increase sales by using ranging and fulfilment capabilities that enable you to sell products across channels (and even sell products not normally stocked within any channels).  

2

Blending physical and digital experiences 

Services such as click-and-collect, ship-from-store, find-in-store and returns anywhere are all just table stakes today. Many retailers implemented quick-fixes to swiftly get new capabilities up-and-running, but now need a long-term unified solution to connect backend systems and deliver the omnichannel experiences customers expect. 

The solution: Create relevant and agile experiences 

With a unified inventory you can increase your purchasing, ordering and fulfilment options to provide customers with frictionless experiences and access to your entire range from any location. A single platform gives everyone across channels and stores the ability to view all customer touchpoints in real time. And you can extend your range across more sales channels such as in-store kiosks, shoppable screens, pop-up stores, concessions and mobile devices. 

3

Obtaining a single view of the customer  

Today consumers don’t think in terms of channels. They now expect a “one-brand” experience that lets them shop at any time, using any channel, from any device, at the best price. But if you’ve got siloed backend systems and processes that mean your customers must deal with inconsistencies and gaps, you simply cannot offer a seamless customer experience.  

The solution: Personalise your customer experience  

The ability to see each customer’s shopping preferences and purchase history across all channels is critical for building personalised shopping experiences. With a unified commerce platform providing a holistic view of your customers, you can better plan your pricing and promotion strategies and get the right offer or message to the right customer, at the right time and right place. By creating remarkable customer experiences that meet or even exceed consumer expectations, you can ensure customers return, again and again. 

4

Integrating data silos

Retailers use multiple customer-facing and back-office systems, spanning POS, mobile apps, inventory management, ecommerce, CRM, fulfilment, finance, marketing and more. Often loosely connected with manual processes and custom integrations, these omnichannel solutions are fragile, inefficient and costly to maintain. 

The solution: Lower cost of ownership 

A single commerce platform gives you a leaner and more flexible architecture that reduces the need for reconciliation and manual processes to maintain and manage data and functions, and there is only one system to secure. Exposing data and functions (rather than moving and replicating them) makes integration faster and standards-based, improving efficiency, decreasing errors and increasing accuracy. Third parties can easily plug in, building the ecosystem of retail software, tools, resources and devices you can add and change to match your business needs.  

5

Adding modern technologies and capabilities  

To keep pace with consumer demands for omnichannel services, retailers need to create and deploy new apps, services and channels. However, connecting legacy systems with modern technologies requires custom integrations, and creating new brand experiences is complex, costly, time consuming and risky.  

The solution: Accelerate speed to market  

With a single platform, there’s less work required to plug in and implement new functions across channels, test cycles are reduced, and you’ll use development capacity more effectively. You can run experiments to test new customer experience innovations and easily move the successful experiments into enterprise-wide operations. These improvements in IT efficiency and flexibility let you launch new tools and services to meet business demands and start seeing revenue benefits faster. 

6

Unifying employee experiences 

After years of underinvestment, many retailers are playing catch-up with the employee experience. Their stores often lack the tools and systems that enable their people to deliver the relevant and personalised customer experiences that match online shopping’s price, speed and convenience.  

The solution: Boost in-store productivity and sales

By arming your store staff with the right customer data and tools, combined with AI-driven recommendations, they can more easily make decisions, provide personalised upselling advice, sell inventory at any location and serve customers faster, anywhere in the store. You’ll enhance customer interactions, improve the employee experience and increase conversions.  

This blog was originally published on 13 December 2022 and updated 20 May 2024

Can you keep up with your customers’ expectations? 

Retailers are unifying their backend systems to create the seamless and convenient experiences customers now expect. If you’re experiencing technology challenges that prevent you from unifying your physical and digital experiences, get in touch. We’d love to help you develop the ability to create a compelling in-store experience harmonised with a digital offering for competitive advantage.

For more on how a move to a unified commerce strategy gives you the flexibility and agility you need to keep in step with consumers’ changing needs, download our ebook:

Delivering a unified CX: liquor retail's new priority

Can you keep up with consumer demands for an omnichannel retail experience that doesn’t stop when they enter a store? Kelly Brown explains why liquor retailers are overhauling how they plan, build and deliver their CX, and shares three steps to take to remain relevant.

Customers today expect retailers to offer convenience, speed and value throughout the end-to-end shopping journey. They are more discerning and impatient, and don’t care that it can be hard to deliver – they only care about a great experience.  

That is driving a massive shift in how liquor retailers plan, build and deliver their customer experience.  

The retailers making the first move know that a compelling bricks-and-mortar presence blended with an improved digital offering can be leveraged for competitive advantage. And that means seamlessly integrating all back-end systems and channels to deliver experiences that align with customer expectations.   

However, it’s complicated.  

While liquor retail has always been challenging – fast service is non-negotiable, staff require specialised knowledge and transaction volumes are highly variable – this requires a fundamental transformation of the standard business model.  

Liquor retail has been a laggard in creating new digital experiences and investing in technology to improve front- and back-end operations. Many liquor retailers have legacy solutions that are no longer fit for purpose and have bolted on solutions for the digital space that don’t easily integrate.   

Brick-and-mortar sales still dominate, with online sales growing but still languishing at single-digit percentages of total sales-digit percentages of total sales. Change is difficult in a sector with regulatory restrictions on alcohol delivery, age verification requirements and the more ‘sensory’ experience a store can offer.  

And at a time when 75% of retailers can’t connect their online and in-store transaction data, many struggle to deliver the cohesive, consistent unified experiences customers now expect.   

So what steps can you take to differentiate your liquor retail business?  

Here’s a three-pronged strategy that will help create the distinctive omnichannel experiences customers now expect: 

1. Deliver a unified customer experience 

Focus on the end-to-end needs of your customers and revamp the customer journey to expand your relationship beyond quick visits to stock up on beverages.  

That means making purchasing online and in stores seamless and convenient through digital payments, endless aisle and ‘buy anywhere, fulfil anywhere’ services coupled with fast and flexible on-demand delivery options. In-store pickup can drive foot traffic to physical locations. And leveraging data from online interactions can help in upselling and cross-selling.  

Take advantage of the shift in preference for neighbourhood shopping, with local product ranges tailored to each location and community, supported by bespoke promotional programmes.  

Use apps and your website to provide customers with personalised recommendations, invites to virtual tastings or opportunities to reserve products for in-store pickup, increasing their engagement and loyalty.  

The solution: Create a distinctive omnichannel customer experience by developing a strong brand, offering tailored convenience, expanding the breadth of product offerings (or moving into specialist categories) and generating new revenue streams. 

2. Unlock the value in your inventory

As you work towards delivering a compelling in-store experience blended with a digital offering, you’ll need to see a real-time view of all your inventory. If you don’t know the quantity of an item, where it is located, its current price nor status, you can’t offer the ‘buy anywhere, fulfil anywhere’ options that are best for customers and most profitable for you.   

However, the average inventory accuracy rate for retailers is estimated at 63%, meaning around one third of inventory records are inaccurate due to discrepancies between physical stock and what's recorded in inventory management systems. And liquor retailers face additional challenges, such as strict regulations, varying product availability and high SKU diversity, that compound these difficulties.  

Inaccurate inventory stems from both systemic and operational challenges. Retailers often rely on traditional ERP systems or custom-built software that can’t provide the real-time updates needed for online sales and instant stock checks. On top of that, legacy systems not designed for real-time data exchange struggle to keep up with the demands of new sales channels, resulting in delayed or inaccurate product availability and pricing information.   

The use of multiple, often disconnected systems for various retail operations further compounds the problem, creating data silos that hinder the development of a unified view of inventory, sales and customer interactions. And when things go wrong, many resort to a quick fix rather than real, lasting solution, which means missing out on chances to really improve the shopping experience and operational efficiency. 

The solution: You’ll want a unified commerce platform that provides an accurate, real-time view of all your inventory and customer data across stores, DCs and digital channels. You’ll improve inventory accuracy, reduce stock requirements, minimise fulfilment costs and increase ranging capabilities.  

3. Pivot into retail media services   

To remain relevant and competitive in the future, you’ll want to venture beyond traditional retailing and enter new service categories with a higher level of profitability.  

Retail media networks are emerging as one example in retail. A retail media network is a retailer’s advertising platform where they can sell ad space across all their digital assets, such as their website, apps, social channels and in-store digital screens.  

With the demise of revenue from third-party cookies, retail media helps alcohol brands to advertise to the right audience - people who want to purchase alcohol and are legally entitled to do so - and drive higher conversions that increase sales. And as online alcohol sales grow – 15.2% growth is expected between 2022 to 2030 - so will advertising revenues for retailers.  

The solution: With the alcohol industry’s advertising spend expected to reach $6bn in 2023, create a retail media division (or subsidiary) to capitalise on the advertising revenue opportunity and drive additional new growth. 

This blog was originally published on 30 May 2023 and updated 30 April 2024

Want help to differentiate your liquor business? 

If you want to create distinctive and frictionless customer experiences across all physical and digital channels, get in touch. We’d love to help you develop a unified customer journey. 

For more on how to deliver every customer a personalised, fast and seamless experience, download our new ebook:  

How new customer loyalty programmes fuel the c-store retail experience

Fuel retailers now realise there is enormous untapped potential to revamp their loyalty programmes to drive customer engagement and expand share of wallet. Kelly Brown explains how to elevate fuel loyalty solutions to create more relevant and personalised experiences that grow customer value and differentiate the business.

For many years, fuel retail loyalty programmes were an easy way to drive customer engagement and revenue. However, with changing consumer behaviours and formidable new competition, few meet the needs of today’s retailers or consumers.  

Most are simple “earn-and-burn” transaction or discount-based programmes that extend the same set of outdated offers to all customers, regardless of their different behaviours.   

They typically relinquish ownership of customer data and relationships to third party coalition loyalty providers that can’t differentiate retailers from their competition. And, crucially, with no access to data on their customers’ preferences, purchasing behaviour or communications, retailers can’t assess what their customers care about to provide the fast and easy personalised services they increasingly expect.  

The reality is, today customers don’t just compare your service to that of your competitors, but to the best service they’ve ever received, anytime and anywhere.   

At a time when industry regulators like the NZ Commerce Commission say that “motorists are often better off simply choosing the petrol station with the lowest board price or the site with a one-off ‘discount day, rather than counting on a complicated loyalty scheme”, you know that loyalty programmes are well overdue for an overhaul. 

Leading fuel retailers are investing in innovation, digitisation and branding to launch new loyalty solutions that deliver a complete view of customers’ preferences and purchasing behaviour, with the ability to create fast and memorable experiences.  

And they’re seeing the benefits - loyalty programmes are linked to an 18-30% increase in visits and spends at restaurants and c-stores, and loyalty members annually spend 38% more on average.  

If you’re looking at how to develop your loyalty and personalisation capabilities, here are the steps to take to deliver an exceptional CX, and examples of fuel retailers doing it best:  

1. Take control with a standalone loyalty programme  

In contrast to the third party loyalty programmes, modern loyalty systems give you a 360-degree view of all retail and trade customers, with their entire purchasing history and preferences captured and centrally stored in one database.    

By reclaiming ownership of your customer data from all channels and touchpoints – ranging from fuel selections to coffee preferences and convenience items within stores - you can recognise customers consistently wherever they shop with you.  

Example: in the UK, Shell Go+ is a very simple mechanism: customers earn visits, instead of points. All they have to do is spend £10 or more on fuel or £2 or more in the shop. They get 10% off all hot drinks and deli by Shell food ranges, and money off fuel every 10 visits, and plenty of treats and surprises along the way.  

This programme stands out due to its simplicity. Gaining and redeeming points is simple and doesn’t involve complicated calculations. 

2. Extend your loyalty programme to your mobile app 

Today loyalty programmes are an integral part of a smartphone app: loyalty mobile app users typically spend 10-20% more a month, and visit 20-30% more frequently each month.  

The customer essentially manages their own loyalty experience and should be able to collect points, make payments and redeem points straight through their mobile device at any time. And to really differentiate your offering, make it a simple and engaging experience by enabling both fuel and in-store transactions. 

Example: Z Energy, now part of Ampol Australia, expanded its Pumped loyalty programme back in 2019. Customers now save 6 cents per litre every day with no minimum spend at Z and participating Caltex stations, on up to 50 litres. They can choose to stack their discount when spending $40 or more to get an even bigger discount next time. And they earn Flybuys or Airpoints Dollars by scanning their Z or Caltex App, or Flybuys or Airpoints card.   

Z’s mobile app plays a key role in their loyalty programme. By delivering loyalty discounts and rewards at point-of-sale and on the app – not just via a card - they lowered the hurdle for customer adoption and made it faster and easier to use. For many users of the app, the big draw is another essential daily fuel: Coffee. The ‘jump the queue’ feature is one of Z’s most popular mobile offerings, with one in four coffees sold now pre-ordered.

3. Apply analytics to create more relevant and personalised offers  

The next stage is to use the data-driven insights to create cluster- or even site-specific offers. Tailor your offers for local buying opportunities and use your customers’ transaction histories to customise product bundles, pricing and promotions to increase sell-through without compromising margin.  

You can then capitalise on opportunities to craft offers that feel personally relevant to each individual in your database by combining internal data (such as transactions and location) with external data (such as competition, weather, traffic conditions and demographics).  

Example: The Chevron Texaco Rewards program rewards Chevron and Texaco customers for their fuel and qualifying in-store purchases at participating stations. But Chevron has also had success offering short-term loyalty schemes. Its AFANity program, which debuted in 2016, gave members points for specific activities, such as visiting a Chevron or Texaco gas station or checking in on the Chevron or Texaco mobile app. They then redeemed the points for rewards, including tickets to football games, autographed memorabilia, officially licensed team gear and unique once-in-a-lifetime experiences with their favourite teams.  

Chevron understands that people are not emotionally attached to petrol or convenience items but are very emotional about sports. Their loyalty programme tapped into that to create a positive affinity with the brand.  

4. Use AI-driven marketing tools to hyper-personalise the CX  

AI algorithms let you analyse customer preferences, predict many aspects of customer behaviour and develop personalised communications, experiences and offers.  

By interacting with customers at the right moment, with the right offer and in the right channel, you can drive behavioural changes in customers and multiply the lifetime value of loyalty customers. This is why gamification is the number one loyalty trend businesses plan to invest in during 2024.  

Example: Ireland’s Circle K understands the value of gamification with it Play or Park loyalty game. Members get 1 point for every litre of petrol or diesel and 4 points for every €1 spent on eligible purchases at Circle K stores. Members collect points and can play or park: each batch of 200 points qualifies for one entry which they can ‘Play’ for the prize of the month or ‘Park’ for an upcoming prize. And the prizes are big: February 2024’s ‘Experience of a Lifetime’ prize offers two friends the opportunity to drive free for a year, and March 2024’s prize awards 10,000 euro in cash.  

This is a great example of an engaging loyalty programme. It includes elements of gamification and has fantastic, tangible prizes for winners.   

5. Ecosystem loyalty programmes are next 

Looking ahead, large retailers are learning to drive customer loyalty and growth by pooling data within an ecosystem of brands. Multiple companies are tapping into their complementary product and service offerings to develop a joint loyalty programme around a unifying customer value proposition. 

 While still in their early stages, these ecosystem approaches promise many benefits: 

  • Consumers will receive heightened experiential benefits in addition to faster loyalty rewards growth, more flexible redemptions and an unmatched simplicity and daily relevance. 

  • Retailers and brands will see a rise in reach and frequency of usage. They will gain access to richer, more privileged consumer data, shared infrastructure and cross-marketing opportunities.  

Example: bp’s Everyday Rewards loyalty scheme in New Zealand is simple - customers earn 1 point for every litre of fuel and $1 spent on convenience products in-store. It includes ongoing loyalty promotions, such as 6 cents per litre off the fuel price up to 50 litres. And customers benefit from savings across a range of everyday purchases from multiple partners including Woolworths, ASB and Vineonline. 

Everyday Rewards is a powerful purchase motivator. Users gain points across a variety of partners and aren’t locked into spending rewards with one brand. People will be more motivated to use bp stations if they know their loyalty will be rewarded with other experiences and offers, not just fuel discounts or free car washes. 

As you look at how to modernise your loyalty programme, ensure you focus on the end-to-end customer experience. You have a fantastic opportunity to leap-frog your competition by taking an ecosystem-centric approach that gives your customers a ‘next-generation’ experience. 

Z Energy fuels more sales and repeat visits

Z Energy, New Zealand’s largest fuel retailer and part of Ampol Australia, developed Pumped to replace a third-party loyalty scheme and create a more seamless mobile and in-store customer experience.

Built using Infinity’s Loyalty module, Pumped uses a QR barcode on Z’s mobile app to identify the customer at point-of-sale or self-serve online payment terminals and add any relevant offers to their transaction. It also lets them consume any offers they have earned, such as free coffee, carwashes or LPG bottle swaps.

Z can now create new offers that help engage customers, offer them valuable rewards and encourage repeat visits. And Pumped is now Z’s cornerstone for innovation, with the ability to deliver the unified and personalised experiences its customers expect.

“With a single view of the customer we are right in the middle of the transaction with the customer in real-time. We know where, when and how they shop and, over time, will find new ways to interact, personalise and reward each customer’s experience.”

Andy Stewart, Head of Digital & Operations – Low Carbon Futures, Z Energy 

This blog was originally published on 12 February 2023 and updated on 21 February 2024.

Want help to modernise your fuel loyalty programme? 

As you transform your customer experience to deliver the seamless and personalised buying journeys your customers crave, your retail systems must transform as well. If you’re looking for help to develop your loyalty and personalisation capabilities, get in touch. We’d love to help you develop more meaningful relationships that deliver profitable growth.  

For more on how to deliver every c-store customer a personalised, fast and seamless experience, download our new ebook:

Stock smart: How to elevate the omnichannel CX with real-time inventory

Is your inventory visibility good enough for today’s omnichannel retail? 

Inventory visibility has always been important in retail. But with the proliferation of touchpoints and channels – both online and in-store – retailers now need to see a real-time view of all their inventory, right now. 

If you don’t know the quantity of an item, where it is located, its current price nor status, you can’t offer the ‘buy anywhere, fulfil anywhere’ options that are best for customers and most profitable for you.  

With the average retail inventory accuracy at a low 63%, that can mean problems with a whopping 2 in 5 orders. And as the customer journey continues to evolve to meet changing consumer demands, providing a seamless omnichannel experience will only get more difficult. 

The challenge of inventory visibility 

After the stock shortages of 2020 and 2021, many retailers have spent the past year or more cleaning up excess inventory as steep inflation forced consumers to cut their spending. 

While understocks lead to the opportunity cost of lost sales and dissatisfied customers, overstocks came with the financial costs of storage and financing. Excess inventory also ties up working capital, results in markdowns that can hurt your margins and, perhaps most importantly, means the loss of new products and innovations that can give you a competitive edge.  

Without a real-time view of inventory, retailers are virtually guaranteed to interrupt the flow of an omnichannel shopping journey.   

Overselling can occur when products ordered online are not in stock. That results in cancelled orders, fewer sales and frustrated customers.  

Underselling happens when safety stock levels have been set too high to protect customers from cancelled orders, or when buffers are put on inventory to make it available for click-and-collect. But taking an item off the website when you really have it available elsewhere means you’re disappointing customers and missing sales.  

Rejected orders can result when online orders are routed to a fulfilment location that doesn’t hold the items and the order must be rerouted to a new location. This results in delayed deliveries and more unhappy customers.  

These challenges affect a customer’s confidence in your omnichannel offering and drive new shopping behaviours. Customers don’t just use click-and-collect because it’s convenient - they’re using it to ensure the inventory indicated online as in stock will definitely be there when they walk into the store.  

And poor inventory visibility doesn’t just result in botched sales and increased costs. Store and call centre employees have to deal with all the problems that rise, including upset customers, misplaced products and inaccuracies across different systems. That means inventory inconsistencies not only churn customers – they also churn staff.  

What causes inaccurate inventory data? 

The problem with inventory visibility is typically down to four underlying challenges: 

  •  Using ERP or in-house systems to manage inventory  

Retailers often use ERP systems and homegrown software which aren’t built to provide accurate, real-time inventory data. ERP systems are designed to process financial transactions but can’t handle the volume and speed of stock availability checks from digital sales channels. Nor were they designed to consume updates from point-of-sale systems in near real-time. Many retailers end up pouring money and resources into fixing problems that didn’t need to happen in the first place. 

  •  Connecting legacy systems 

Enterprise retailers have to spin up new channels and touchpoints as customers demand them.  But legacy or outdated systems weren’t designed to send and receive real-time data. Delayed or incomplete product availability and pricing across various channels results in inaccuracies, and means the data is always stale.  

  •  Integrating data silos 

Retailers use multiple customer-facing and back-office systems, spanning POS, pricing & promotions, order management, fulfilment, inventory management, mobile apps, ecommerce, loyalty, CRM, finance, marketing and more. Often loosely connected with manual processes and custom integrations, these omnichannel solutions are fragile, inefficient and costly to maintain. When data isn’t centralised, retailers can only access rudimentary sales, stock, pricing and promotions data and can’t build unified views of their customers. 

  •  Resorting to quick fixes, not long-term innovation 

When problems emerge with inventory visibility, some retailers resort to quick fixes and point solutions to get capabilities up-and-running, instead of tackling the underlying problems with existing systems. And by diverting resources and budget into short-term solutions, they neglect to create the innovations that can differentiate the CX.  

3 steps to take towards real-time inventory  

When the cost overruns outweigh the expected gains – higher customer satisfaction, increased revenue and better margins - it’s time to invest in new technology and process improvements.  

A unified commerce platform will provide an accurate, real-time view of all your inventory and customer data across stores, DCs and digital channels. This means you can quickly see where inventory is and therefore the fastest place to fulfil from. You’ll improve inventory accuracy, reduce stock requirements, minimise fulfilment costs and get products to customers faster. And you’ll increase sales by using ranging and fulfilment capabilities that enable you to sell products across channels (and even sell products not normally stocked within any channels).  

There are three steps to take as you start the process of solving inventory pain points:  

1. Plan your journey over the next decade

Your investment in a new retail system that meets your inventory visibility needs is a significant undertaking with huge returns that requires a strong business case. That means starting with a vision for the business in 5-10 years from now.   

Assess where you can improve and expand your traditional products and services, and where you can launch into new market segments or introduce new business lines. Plan how the business model will be disrupted and the new skills and capabilities you will need to compete with unfamiliar competitors.   

Use these insights to develop a deep understanding of customers and their shopping preferences and figure out what you need from a new retail system to create that single view of customers and inventory for a truly unified CX.   

2. Bridge the gap between stores and back office 

Customer today expect a harmonised shopping experience for every shopping journey. That means your stores, departments, systems and channels can’t run in parallel to each other. The entire organisation must align on the value of a seamless customer experience.  

To get your stores and enterprise on the same page, form a cross-functional team representing various departments and stakeholders across the business. Consult these key individuals about their needs and pain points and agree clear goals for the transition, such as reducing stockouts, improving data accuracy or enhancing order fulfilment. 

  3. Get the CFO’s buy-in . . . and allocate budget 

Your CFO can be the most important stakeholder in the move to a new solution. Getting their buy-in and endorsement means assessing how the investment helps to deliver cost savings and real value over its entire lifespan.  

Create a budget by calculating how much the system will cost in terms of licenses, implementation, training and maintenance. Then compare these costs to the benefits you expect to see from an accurate enterprise-wide view of inventory, including tangible and intangible returns, such as cost savings, increased revenue, improved decision-making, enhanced scalability or competitive advantage.   

A cost-benefit analysis should show with absolute clarity how a new system can deliver a positive ROI. 

Want help to achieve deliver a successful omnichannel CX? 

If you’re struggling with inventory accuracy and are looking at how to build a foundation for a seamless customer experiences, talk to us about how to start with a real-time view of inventory.  

For more on how a move to a unified commerce strategy gives you the flexibility and agility you need to keep in step with consumers’ changing needs, download our new ebook:  

The four trends shaking up liquor retail and four bold recommendations

As we reach the height of peak holiday season, most retailers are hard at work preparing for 2024. And the big question on everyone’s mind is how to battle declining sales growth. 

The outlook for next year is uncertain.  

While retail spending has slowed, with predictions of subdued sales until late calendar 2024, it’s not yet falling off a cliff. The latest ABS/MST Marquee data also reveals that liquor retail is holding up well compared to other categories, with liquor sales rising 2.2% in September. 

But as retail spending starts to lose share of wallet to non-retail spending – like travel, dining out, housing and health - retailers are urgently looking at how to boost sales growth. 

To secure a profitable future for your liquor retail business, you’ll want to understand the latest trends transforming our industry.  

Here’s the outlook for liquor retail, plus the four steps to take to remain relevant: 

1. Digital-first world order 

A compelling in-store experience that is harmonised with a digital offering can be leveraged for competitive advantage.  

Global online alcohol sales are back at pre-pandemic levels, with growth of 15.2% expected between 2022 to 2030. That is creating new online shopping habits and changing expectations of the in-store experience.   

As more customer journeys begin on mobile apps or online, and consumers increasingly demand digital convenience within stores, the ability to convert fleeting transactions into enduring relationships will rely heavily on unified experiences across all channels.   

Recommendation #1: Deliver a unified customer experience 

Liquor retailers will need to make shopping a fast, easy and compelling omnichannel experience with personalised products, prices and promotions pre, during and post their purchases, plus fast and frictionless on-demand delivery options.   

2. Changing consumer behaviours 

Liquor stores that deliver a unified and memorable CX are best positioned for long-term growth and loyalty.  

Changing consumer preferences and rising expectations for convenience are creating new growth opportunities.   

Conscious consumption is driving sales of local and sustainable alcohol brands. An increased focus on balanced lifestyles has fuelled the no- and low-alcoholic drinks category, with global sales topping $11bn in 2022 and growth accelerating. There’s explosive growth in ready-to-drink (RTD) and canned cocktails, and a continuing rise in premiumisation and viral craft cocktails.  

Recommendation #2: Adapt products to meet consumer expectations 

Liquor retailers need to create a distinctive omnichannel customer experience by developing a strong brand, offering tailored convenience, expanding the breadth of their product offerings (or moving into specialist categories) and generating new revenue streams.   

3. Economic headwinds 

High inflation, increased costs, supply chain disruptions and changing workforce roles are creating financial pressures.  

The liquor retail sector has changed significantly over the past decade. Independent retailers are increasingly joining banner groups, and brick-and-mortar retailers face formidable competition from new entrants, such as on-demand delivery providers and online-only retailers.  

With increasing costs, pressure on consumer spending and the cost of doing business on the rise, there’s likely to be more consolidation and business failures. The climate crisis is also putting pressure on retailers to create a sustainable future for their businesses and the planet.  

Recommendation #3: Embrace complexity to build new capabilities 

Resilient companies invest during tough times, and evolving new businesses takes a long time. Those that don’t invest in their customer experience will get left behind.  

4. Rise of services businesses 

Services are a tremendous growth opportunity for retailers – and a way to start building ecosystems that satisfy more consumer needs.  

Retailers can achieve up to 20 to 30% additional growth by expanding into services businesses and developing ecosystems that attract and retain loyal customers. Technology is blurring industry lines and allowing different operators – including retailers – to move into services such as healthcare, finances, travel and entertainment. 

Retail media networks are emerging as one example in liquor retail. A retail media network is a retailer’s advertising platform where they can sell ad space across all their digital assets, such as their website, apps, social channels and in-store digital screens. 

The most significant benefit of a retail media network for retailers is that they can monetise their valuable first-party data by selling and delivering relevant ads to customers – resulting in a better customer experience, stronger supplier partnerships and a new, high-margin revenue stream.   

By offering suppliers the opportunity to promote their products through their store networks and digital assets, it enables supply partners to reach the right audience - people interested in purchasing alcohol and legally entitled to do so – and boosts their sales at the point of purchase.  

Recommendation #4: Monetise your customer data by selling advertising 

With the alcohol industry’s advertising spend expected to reach $6bn in 2023, liquor retailers are launching retail media subsidiaries to capitalise on the advertising revenue opportunity and drive additional new growth for their business.  

Are you experiencing technology challenges that prevent you from exploit these trends and opportunities? 

Our partnerships with retailers delivering disruptive, world-first experiences give us a deep understanding of changing consumer needs and technology trends. Get in touch if you’re looking for help to develop a unified customer journey. 

Want to deliver every customer a personalised, fast and seamless experience? 

Get our ebook to find out how to revamp the liquor retail CX.