Marketing

SOI 2019: Creating Digital Experiences That Make Connections

Three sure ways to build loyalty via digital, in-store means.

Apr 10, 2019

By Steve Dwyer

It’s not as urgent as needing it yesterday, but consumers are seeking goods and services from their preferred brands in an alarmingly quick window of delivery.

In the age of digital empowerment, gone are the days when the average person was content to wait 10 to 20 seconds for a company webpage to load. Or, an in-store shopping trip that graded out as only “above average.” They demand far more as the threshold of delivery is significantly higher.

And, c-store operators—who are already in the business of shaving time off trips—see the clock ticking, as a referendum has been issued to enhance customer expectations—both from a mobile/digital manner, as well as with in-store engagement. 

"Consumers are hiring [not necessarily selecting] your brands to do a job for them,” said Jim Lecinski, associate professor, Medill’s Integrated Marketing Communications Program at Northwestern University. And, they’ll award the job to the brands—retailers included—that deliver best.

Lecinski said c-store operators need to eternally ask the question of whether they are proactively driving people to their stores: “Do consumers know you exist? Get out in front of the would-be customer about who you are and what you have to offer.”

Dubbing it the “zero moment of truth,” or ZMOT, Lecinski drove home these points during a presentation titled “Creating Digital Experiences that Make Connections” at the 2019 NACS State of the Industry Summit April 4 in Chicago.

Indeed, the digital evolution—or revolution?—is prompting brands and retailers to offer a quicker, more nimble experience combining digital and in-store engagement to win loyalties, said Lecinski.

As a point of reference, Lecinksi cited a recent Midwest family road trip where he established a personal brand report card consisting of six expectations: “Fast groceries, favorite breakfast, fuel, lottery, rest stop and snacks.” Each was graded on performance and quick, qualitative delivery. It started with a web search while in transit and continued when arriving at the brick-and-mortar location.

Lecinski said consumers loathe “friction” as they navigate the combined digital-in-store journey, emphasizing that brands have a chance to be his “wing man” in an assistive buying way.  

First impressions, like a job interview, make all the difference in determining the outcome. A brand’s mobile presence during initial engagement, for example, might load a few seconds slower than another’s. This won’t cut it, he said.

Raised Bar
The need to deliver higher comes just three to five years after many customers had more modest expectations, particularly with digital fulfillment, said Lecinski.

For instance, during an in-store shopping experience back in the day, most made decisions based on criteria such as accessibility (easy to get in and out), quick checkout lines, solid customer service and no out-of-stocks.

Those modest expectations have been replaced, thanks to the sophistication of technology and digital enablement. “It’s become a shock to the system [for brands and retailers],” Lecinski said. “And it’s become the brand’s moment of truth” to deliver.

Consumers—once content to learn of a retail offer before heading to the store to investigate—now gum-shoe in real-time during a web search, where they drill down for additional details before acting.

Consumers undoubtedly have the highest expectations when searching for bigger-ticket items like car-buying and vacation-planning, but c-store retailers can’t sleep on this trend, as consumers expect the same level of fulfillment with simple staples.

Deploying the ZMOT approach—from mobile to store—has the power to provide sustained customer loyalty, underpinned by three ideals, including:

Satisfying Curiosity. Even food brands—not just auto dealers and travel agencies—are being researched in a digital environment. People won’t travel to a store to buy until they get detailed upfront information, digitally and quickly. “People use their phones [via digital apps] to approve simple purchases,” Lecinski said.  

Satisfying Demands. Eighty-five percent of a consumer’s search involves the terms “Near and Now” and “Open Now.” Four years ago, this sense of urgency wasn’t at near the rate it is today, indicating the instant gratification mindset.

Relieving Impatience. Since 2015, two times more people are demanding same-day shipping; 150 times more people are asking for “travel today” regarding a same-day trip; and three times more searches are for the term “open now.” “Impatient consumers will leave slow mobile sites immediately [if brands fail to deliver],” he said.

Lecinski said there’s much on the line, too, as CPGs and retailers can lose 20% of sales conversations if their mobile site takes one additional second to load, and the conversion loss jumps to 25% if it takes 3.3 additional seconds. “Brands need to win the digital experience in these ZMOT occasions,” he says, adding that there’s zero tolerance for slow information feeds.

Benchmarking Against Digital Leaders  
Lecinski singled out several brands that have established leading-edge positions around digital fulfillment—all based on dynamic initiatives launched over the past year or more. One is Starbucks’ Virtual Barista. Rather than waiting in a drive-thru line (some people consider a two-car line too long) or inside, the Virtual Batista app allows customers to “tap, pay and leave.” The app takes on added meaning at Starbucks, where customization of drinks takes longer.

Six other notable mobile-driven initiatives introduced recently by national brands include:

  • Domino’s Zero Click Ordering. It’s low friction, which Lecinski likened “to reading a customer’s mind.” 
  • Fresh EBT. Instant SNAP benefits dispersal. Those in the SNAP food stamps program can conduct a benefits and balance check, which greatly outpaces what they traditionally do, which is make a 1-866 telephone call with multiple menu options to navigate through. 
  • Hilton Hotels. Skip the Front Desk. An e-key allows guests to avoid long check-in lines, which is a crucial feature for weary travelers looking to avoid long lobby lines. 
  • Liberty Mutual. One-Hour Auto Damage Claim Processing. It allows motorists in an accident to snap an image, and in less than one hour a claim number is generated, auto repair provider selected and appointment scheduled. 
  • Maybelline. Contour-Me Quick How-to videos. 
  • Waze traffic app. Asks drivers an intuitive and basic question based on their driving tendencies: “Are you going to….”? This intel allows motorist to avoid having to key in an address on a phone or car GPS, saving time. 

Lecinski said c-store companies can use mobile initiatives such as these as inspiration for their own—as well as think about these dynamic initiatives when they conduct a fiscal reset for the second half of 2019—and in the process “win the critical moment of truth.”

He served up three suggestions to thrive, and it starts with:

Fulfillment to serve impatient customers. “Seconds matter, so ask how do we take the ‘friction’ time out of the equation? Why would I wait nine minutes for an Uber if Lyft can pick me up in six minutes?”

The second suggestion is: “Know me better: How does a company’s data strategy predict and personalize the needs of the customer”?

Finally, a daunting and elusive third one: “Wow me everywhere.”

Steve Dwyer is a freelance writer and contributing editor to CSP Magazine.

NACS serves the global convenience and fuel retailing industry by providing industry knowledge, connections and issues leadership to ensure the competitive viability of its members’ businesses.


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