|HOME||MEDIAVILLAGE.com||WOMEN ADVANCING||HOOKED UP||MEMBERSHIP INFO||MEMBER COMPANIES||MEDIA BUSINESS REPORT||ECONOMIC FORECASTS||RESEARCH|
Published: December 12, 2013 at 10:16 AM GMT
Last Updated: December 12, 2013 at 10:16 AM GMT
"You gotta tame the beast before you let it out of its cage." – Derek Zoolander
“We love showrooming...when Target gets to book the sale,” says Casey Carl, president of multichannel at retail giant Target. “For retailers to survive and thrive in the future, we’ve got to up our game, play to our strengths and seize the upper hand by enhancing both our physical stores and digital channels.” Target’s not alone in this relatively new attitude about the phenomenon known as showrooming. Shoppers are busy looking for the best deal and more and more are using their smartphones and tablets for showrooming. They’re checking prices and product information while shopping in stores and this has significant implications for retailers. Their biggest fear is this: Shoppers will comparison shop “in the store” and then order online for a better price.
In fact, it may turn out that showrooming is not as bad as some retailers thought it would be. Deloitte's 2013 Annual Holiday Survey found that 44 percent of consumers use their smart phones for reading reviews, 36 percent use them for receiving discounts and coupons and 32 percent use them for scanning product barcodes.
Target’s on to something. This holiday season it looks as if BestBuy is taking a similar route in an attempt to work showrooming to their advantage. The company recently launched a new holiday TV ad campaign featuring four celebrity storytellers – Will Arnett, LL Cool J, Maya Rudolph and Jason Schwartzman - reading tales of potential holiday shopping nightmares prevented by the magic of Best Buy.
This is in sharp contrast to some of the early reaction to showrooming. Many retailers were caught off guard a few years back when the consumer practice gained in popularity. Perhaps the most “famous” example of the panic setting in for some retailers came from this example: A specialty food retailer based in Brisbane, Australia posted a sign in the window warning shoppers that the store would impose a $5 fee for people who are "just looking."
Obviously, threatening your customers is not the path to success. Instead, smart retailers understand that although consumer behavior constantly changes, certain solid marketing principles still apply. Concepts like loyalty, adding value and creating a great customer experience will win the day. In other words, it takes work to earn and keep your customer’s business – but in the long run it’s well worth it.
What’s more, it may turn out that retailers don’t have to resort to automatic price-matching to combat the negative effects of showrooming. A recent study from Columbia University and loyalty management company Aimia, Inc. supports this. Shoppers show a strong willingness to join loyalty programs in exchange for rewards delivered via mobile. The study goes so far as to identify five types of mobile-assisted shoppers and offers insights to retailers on how best to market to each shopper type. There’s good news for brands that invest on this front. More than half of mobile shoppers are more likely to purchase a product in-store when their mobile device helps them find online reviews, information or trusted advice.
The omni-channel or multi-channel consumer is here to stay and retailers have a choice – either threaten customers so they never return to your store again or embrace the mobile-assisted shopper and get creative. Toys R Us plans to embrace the mobile shopper this holiday season with what they believe is a winning formula - strong in-store experience and a successful Internet business. In fact, the company says there are “81 different ways we can get product to the customer.” Good thing, because when it comes to toys , no parent wants to see OUT OF STOCK on their computer screen – especially during the holiday season.
Savvy retailers are busy enhancing the in-store experience, offering free Wi-Fi to make the information shoppers are seeking available and creating in-store exclusives. They’re finding that shoppers linger longer and the data collected is helping with future targeting and special offers via mobile coupons – and they've joined the chorus of “We Love Showrooming!”
Beverly Macy is author, educator, and thought leader in social and digital business and a frequent contributor to Say Daily . She is also the author of The Power of Real-Time Social Media Marketing and the host of Social Media Radio .
Say Media is a digital publishing company that creates amazing media brands. Through its technology platform and media services, Say enables its portfolio of independent content creators to build passionate communities around key consumer interest areas such as Style, Living, Food and Tech. For more information visit www.saymedia.com.
Read all Say Media's MediaBizBloggers commentaries at Say Daily.
Check us out on Facebook at MediaBizBloggers.com
Follow our Twitter updates at @MediaBizBlogger
The opinions and points of view expressed in this commentary are exclusively the views of the author and do not necessarily represent the views of MediaBizBloggers.com management or associated bloggers. MediaBizBloggers is an open thought leadership platform and readers may share their comments and opinions in response to all commentaries.
Video of the Week: Fuse Brings Transcendent to TCA
As ever, one never really knows what’s coming next during a typical day at a Television Critics Association tour – especially during the cable portion. Case in point: The grand finale to the many presentations on Friday was a party thrown by Fuse that proved once again that a smallish network largely off the radar of most critics can break right through and be noticed at this twice-annual event. The Fuse bash topped off a day of memorable panels for such well-received offerings as BBC America’s new adventure series “The Last Kingdom” (from “Downton Abbey” producer Gareth Neame); Starz’ upcoming horror action series “Ash vs. Evil Dead” (instantly one of the most talked about new series of the tour) and dramatic limited series “Flesh and Bone” (about a young woman who joins a prestigious ballet company in New York City); the IFC comedies “Gigi Does It” (starring David Krumholtz of “Numb3rs” as a 70-year-old widow and grandmother) and “Documentary Now!” (a series created by Fred Armisen, Bill Hader and Seth Meyers starring Armisen and Hader that will consist of parodies of well-known documentaries), and AMC’s breathlessly anticipated “Fear the Walking Dead.”
What Might Replace the Set-Top Box?
As Cisco punts legacy SA boxes to Technicolor, I thought I'd look around my home at the existing set-top boxes and the like. We've got a whole-home DirecTV set up so that's two boxes and two remotes (though a DirecTV app can replace the remotes). At the set in the living room are two more boxes with remotes: Apple TV and Amazon's Fire make it four so far. In my office is a Comcast box; that's five. And a router makes six. We've also got three TVs, a couple of laptops, a couple of iPads and a couple of iPhones … not to mention an iPod somewhere. And, oh yeah, an Amazon Echo ("Alexa, did I miss anything?" "You missed Chromecast.")
TCA Stand-Outs Large (Hallmark, Nat Geo) and Small (WGN, Up, El Rey)
One of the most interesting things about covering the cable days of the twice-yearly Television Critics Association tours is observing which networks or network groups most successfully grab the attention of the hundreds of reporters and critics attending their press conferences and which ones don't make much of an impression at all. The results can be very surprising.
The CFO/CMO Union
Will the CFO and CMO ever form a more perfect union? I recently saw a study produced by Ernst & Young and reported in the Wall Street Journal that claims collaboration between CFOs and CMOs is increasing. The survey also acknowledges that there is still a long way to go to establish a real partnership between their responsibilities, particularly as it pertains to "common practices and cultural differences." In my opinion a perfect union is unlikely but a better working relationship is not only necessary but critical to the success of a business. Let's explore.
Multi-Sensory Experiences for Brands
This week on Mindshare's Culture Vulture Live, Mark Potts explores multi-sensory opportunities for brands.
TV is from Mars and Video is from Venus
In a spring 2015 trend report Business Insider stated that video ad revenue will double in just two years and reach nearly $5 billion in 2016, up from $2.8 billion in 2013. Consumers' engagement online, over multiple devices, increases daily. As the landscape for what exactly constitutes "TV" or "video" changes rapidly, advertisers are racing to keep up.
The Macro Forces Behind Slow GDP Growth
Ever since the end of the Great Recession a few years ago, there has been much written about the lack of both economic growth and inflation. Much of this coverage mentions that the post-recession recovery is much slower than the recovery of past recessions of the late 20th century.
Early AT&T/DirecTV Merger Questions
Now that the consummation of AT&T's merger with DirecTV is done, how will this $40 billion-plus deal impact consumers from both parties and the TV world at large? Chances are you haven't heard much over that question up to now, in part because of how this deal was completed last week -- Federal Communications Commission approval mid-Friday afternoon, and AT&T putting out a press release, and only a release, of the consummation less than two hours later. That's way late for much analysis on the part of the business news channels or journalism in general.
Trevor Noah Hits TCA; Nat Geo Honors Cecil
In performance on stage Tuesday night and again in a press conference Wednesday morning, members of the Television Critics Association got to know the man they will likely honor in the years ahead with multiple TCA Awards in the category of Outstanding News Program – controversial comedian Trevor Noah (pictured at top), who will take over Comedy Central's "The Daily Show" on September 28. Noah, a smart and engaging guy who joined "The Daily Show" last year as a contributor, quickly and efficiently charmed the group, setting the stage for years of admiration and handily putting behind him lingering memories about a series of sexist and anti-Semitic jokes he tweeted a couple of years ago.
Is TV Currency Dead? Predictions from AOL Open Series
There is a lot of talk these days about the changing TV landscape, from the advancement of programmatic to the demise of dayparts, the Upfront and even our current currency. All of this made for a lively discussion at the recent AOL Open Series on Programmatic TV. The event featured a panel of media executives from across the spectrum including Dermot McCormack, President AOL Video and Studios; Jaime Power, Senior Partner at MODI Media; Dana Hayes Jr, Group Vice President of Global Partner Development for Acxiom, and Dan Aversano, Senior Vice President, Client & Consumer Insights at Turner Broadcasting. The panel was moderated by Dan Ackerman, Senior Vice President, Programmatic TV at Adap.tv.
Is the ESPN Bubble About to Burst?
It’s episode 24 of Media Unplugged with branding authority Tom Asacker and media strategist Mark Ramsey.
At Summer TCA 2015, Netflix is Everything
Is Netflix everything? It certainly seemed that way yesterday at the Beverly Hilton Hotel during the historic opening day of the 2015 Summer Television Critics Tour. In a quantum leap of participation, and perhaps as a reflection of its current position in the home entertainment marketplace, Netflix impressively filled an entire day with panels for current and upcoming programs, along with a session with Chief Content Officer Ted Sarandos (pictured at top). And just like that, the scrappy streamer joined the ranks of CBS, NBC, ABC, Fox and FX – the only programmers who consistently present full days of panels during TCA tours, at least those in the summer.
Stuart Elliott: A 'Gawkward' Media Moment
It probably won't be long before the gatekeepers at the world's dictionaries are asked to approve a new word: "Gawkward," meaning an embarrassing or discomforting situation drenched in schadenfreude, as when a website known for anything-goes posts that upset and provoke others gets a turn in the barrel.
The Generation Gap(s) in Digital Media
One of the less appealing characteristics of the more strident members of the digital community is their habit of suggesting that the world of media planning, buying and selling was ill-informed, ill served by its measurements and entirely unaccountable until they came along.
Media Execs' Priorities for New Media Marketplace
The rapid proliferation of new digital, mobile and social (DMS) channels has completely changed the way that companies are connecting with their consumers. DMS channels are increasingly becoming a top priority for advertisers when developing strategies and campaigns to target and engage their consumers. The opportunities and challenges that this shifting landscape presents have been well documented.