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Why retail robots are ridiculous
When it comes to the retail market in 2015, the key word is omnichannel. Consumers today need and want the ability to have a shopping experience their way, but that doesn’t necessarily mean we need to overstimulate them with alternative technology.
June 24, 2015
By David Lloyd, CEO of Intelliresponse
Today’s consumer is a rather fickle protagonist in the world of retail. As a vast variety of digital and mobile tools become readily available to consumers, we see rapidly changing views on how, when and where customers like to be contacted by brands. As e-commerce companies such as Amazon set their sights on world domination, retailers who still rely on brick-and-mortar stores for their continued success need to learn how to better connect the virtual customer experience to the in-store one. This is why so many retailers have begun to experiment with different technology kiosks, robots and holograms that are meant to improve the in-store experience with increased accessibility of information to customers.
However, with new technologies comes the need for customers to opt-in in order to be successful. This in itself can be a high risk for retailers who are investing a lot of money in technology that may or may not win over consumers. For this reason, robots and holograms are a grandiose investment and impractical for brief and engaging customer interactions. Apart from the few early adopters a store may have, consumers are likely to stick with what they know when seeking in-store resources and avoid a retail robot all together. In-store robots are also a needless strategy, because a more common and relatable robot is already in the pockets of most consumers, the smartphone.
Maximizing the In-Store Experience
Leveraging mobile technology for the in-store experience, allows retailers to engage with customers through familiar communication tools. According to a recent report from the Pew Research Center, over two thirds of the U.S. population now own a smartphone. This means that for most retailers, two out of every three customers who enter their store hold a personal robot that can be utilized to better engage and connect on an individual level. To tap this unused resource, retailers need to investigate virtual agent technology that fulfills consumers’ need for accurate, personalized and efficient customer service.
Most consumers can agree that in-store shopping can be exhausting, especially during those crowded holiday seasons. To battle the stress-free environment online shopping provides, brick-and-mortar stores need to develop strategies that translate exhaustion into excitement. In the past, if a shopper had a question about a sale or item, they would have to track down a sales associate in a store or wait in a long customer service line in order to get an answer. For many consumers this can be “the ditching point,” a time when they reevaluate their shopping impulse and weigh if the item is really worth the investment of time and money. In most cases the answer is no and the customer leaves without completing a transaction. Leveraging virtual agent technology, retailers are better able to translate the virtual engagement experience into real-world situations. Consumers can now find real-time answers to their questions and increase the chances that they complete their purchase. It’s as if the technology is able to give a voice to every shoe or dress a consumer picks up, bridging the gap between brand and consumer for an effortless experience.
Easing the Retail Environment
Virtual agents also benefit sales associates too. Encouraging customers to utilize the automated chat option frees up associates to deal with more intricate issues in store. This can help retailers increase revenue by assisting in the completion of more transactions with minimal needed time from associates. It can also improve employee retention and morale, by helping to reduce workplace stress during high traffic seasons. Feeling less inundated with repetitive questions thanks to the virtual agent, associates can focus their energy on customers that require more situational assistance in their buying experience.
Identifying the Buying Experience
When a consumer interacts with a sales associate in a store, who is there to capture all of the questions asked and interpret it into customer insights? Leveraging virtual agent technology with predictive analytics for the in-store experience, retailers have the ability to collect data on the types of interactions their customers are having and create a stronger picture of their audience’s true-buying behavior. Monitoring for repeated questions and roadblocks in the customer experience, retailers can better tailor in-store content, in conjunction with virtual resources, to ensure each consumer receives as much of an effortless in-store experience as they would online.
With predictive analytics, retailers can also create a guided customer experience by offering recommendations and incentives that align with customer needs. Utilizing the customer database, the virtual agent can improve the efficiency of a customer’s in-store experience by leveraging data recorded from previous online transactions including their home address for ordering or any eligible special discounts. This helps create a more effortless and personalized experience for the consumer. Predictive analytics can also help tie sales and customer loyalty incentives to the needs of a retailer’s target audience. Imagine a future where retailers can leverage geo-location and/or beacon technology to offer customized answers and promotions to consumers as they walk into the store.
When it comes to the retail market in 2015, the key word is omnichannel. Consumers today need and want the ability to have a shopping experience their way, but that doesn’t necessarily mean we need to overstimulate them with alternative technology. Strategies for retail innovation that include robots, holograms or the like are looking to Band-Aid a deeper customer issue. To better service consumers, digital tools need to be integrated into the in-store shopping experience, to provide consumers with an efficient omnichannel experience. In the retail world of tomorrow, stores will need to focus on personalizing every shopping experience to remain competitive, and find ways to make the most important moments count. Utilizing virtual agent technology to handle the everyday occurrences, retailers can equip shoppers with powerful tools that enable the best experiences for both the shopper and the store, each and every time they come through the door.
David Lloyd is CEO of Intelliresponse, where he works to provide virtual agent technology for clients from a variety of industries.
