June 2020retailtechinsights.com9brands did not give associates the ability to access customer account information via a mobile device. The slow integration of mobile and physical channels to serve the always-on customer leaves them with growing levels of dissatisfaction, which leads to a loss of the customer--unless retailers make changes to their approach. The Retail Imperative: Shift from Transactions to RelationshipsRetailers must evolve from emphasizing transactions to focusing on building intimate, unique customer relationships with each individual consumer. One that not only keeps them engaged both in store and online, but also builds loyalty to ensure they will be a customer in the future. If you fail to engage your customers, someone else will. From traditional manufacturer brands going direct, to digitally native startups such as Dollar Shave Club and Bonobos, to disruptors like Uber-eats-conventional retailers are now experiencing an onslaught of new and unpredictable competitors. Retailers Blazing an Innovation Trail with CognitiveCognitive computing is able to comprehend both structured data, such as customers' past browsing history, and unstructured data, such as images, videos, and bodies of text--and learns over time from previous interactions. In essence, it builds the capability to understand and reason much like humans do--through senses, learning and experience--to personalize the customer experience. For example, YOOX NET-A-PORTER GROUP S.p.A. (YNAP)-- the world's leading online fashion luxury--is working with IBM to develop one shared technology platform across all of YNAP's multi-brand and mono-brand online stores. The streamlined order management system with cognitive capabilities will provide a personalized shopping experience for high-value consumers. This will support all of its customers and luxury brand partners. Besides Net-A-Porter, the Milan, Italy-b a s e d company, powers the online stores of brands such as Emporio Armani, Valentino, Moschino and numerous others. The technology will provide c u s t ome r s access to "one global virtual i n v en t o r y," aimed at creating higher s el l- t h r ou g h rates and retail margins.YOOX NET-A-PORTER GROUP is a pinnacle example of how brands can creatively use cognitive and cloud technologies to harness the customer to build relationships. Other technologies will form part of this approach in 2017 and beyond--for example, expect to hear and see more about chatbots, connected cars, and cognitive marketing solutions to help retailers identify hidden insights in massive amounts of data at industry events such as January's NRF Retail Big Show this past week. Consumers do not see channels; they see brands. Retailers must provide a consistent experience across all touchpoints--and leverage innovative, value-add technologies to actively interact and engage with shoppers to affirm, build and grow the brand relationship. Tackling these challenges should not be seen as a project, but viewed as a mindset of continual transformation. Retailers who embrace this mindset will win the hearts and wallets of the next gen shopper. Michelle PelusoRetailers must evolve from emphasizing transactions to focusing on building intimate, unique customer relationships
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