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Building in-store interactive content that works
April 7, 2010
Has the thought of adding interactive media to your store been on your mind? If so, then you probably know the choices retailers face when starting out can be quite daunting. There are many potential applications, and each comes with an array of solutions and technology vendors. Further, there are uses for interactive media that can be unique to individual product categories.
While there is no limit as to what can be done with in-store interactive media, sorting through the noise and finding what works for your business is the central challenge. To help address this challenge, I've compiled these ideas for interactive media solutions that are gaining traction across several product categories.
Entertainment
Video games, DVDs and music — these products are uniquely well suited for in-store interactive systems, and major retailers are starting to act. Each product is digital and therefore intangible, so a screen is the best way for shoppers to sample a retailer's offerings. Why look at tiny print on the back of a DVD cover, when you can watch the trailer and experience a glimpse of the movie? The opportunity for retailers is to preserve their share of the entertainment market, even as direct-to-home digital delivery takes hold.
Furniture & Appliances
Furniture, appliances and other large items are especially problematic for retailers because they consume so much floor space, resulting in limited assortments on display. I recently visited a store where there was exactly one baby crib on the sales floor, while the same retailer's Web site sells nearly four hundred models. Retailers see interactive technology as extremely helpful in these categories because it delivers "virtual shelf space." Customers can review, customize and purchase from a large assortment of items. The highly visual, fun nature of the latest-generation systems makes this process a far cry from browsing a Web site in a store.
Grocery
One of the most interesting opportunities for grocers to implement an interactive system is in the wine department. But be cautious. A wine kiosk that simply displays text-heavy summaries of wine information will find limited appeal. Newer wine solutions integrate with a grocer's loyalty program to track a customer's purchase history. This information is then combined with product feedback entered at the screen to make instant, personalized recommendations. The customer does their browsing at the shelf, not the screen, while a quick scan of a loyalty card or wine bottle yields suggestions. With customers enjoying this quick convenience, the opportunity for retailers is to drive store sales by emphasizing food pairings and complementary recipes.
Apparel
Manufacturers of running shoes have long understood the power of interactive systems. Visit a Niketown, and you are likely to encounter a screen where you can design and order a personalized pair of shoes, while other footwear retailers offer systems that show your foot shape and allow you to order custom-fit shoes. The opportunities do not end there. Apparel retailers are using interactive screens as a way to compensate for inventory shortages. A customer can build her ensemble on a large, visually rich screen, enabling her to choose from a wide array of items that complement a favorite piece found in the store. Customers find what they want, while retailers benefit from large basket sizes.
Pharmacy
For many Americans, the pharmacy is an inexpensive, convenient visit to the doctor. Pharmacists, for their part, have limited time and are under pressure to fill prescriptions. With the explosion of online health information sources, the opportunity now exists to answer basic customer health questions using interactive technology in a quick, accurate way. Customers can be helped in a number of categories, from wound care to treatment of chronic conditions. Meanwhile, many pharmaceutical companies and medical supply makers want to reach potential customers with their products and are willing to fund this technology. The opportunity for pharmacies is to consistently direct customers to higher-margin products and sell more complete solutions to medical conditions.
Consumer electronics
Shoppers today do what they have always done—look at the items for sale, pick them up, and briefly inspect them. Consumer electronics, on the other hand, have changed a lot. An increasing number of products require significant time and engagement for consumers to understand why the product is compelling. So the challenge for electronics retailers is to boil this complexity down into concise experiences that motivate customers to buy. Think how masterfully Apple has educated the market on the value of phone applications, making (nearly) everyone want an iPhone. This same approach is being used in stores to communicate the value of all sorts of electronics products. The opportunity for retailers is to drive sales with interactive experiences that educate and excite customers, while providing product selectors that help customers make a final choice.
Conclusion
The number of uses for in-store interactive media is as diverse as the products sitting on the store shelves. With each application of the technology, a whole series of benefits lays waiting to be exploited. As the capital costs of hardware continue their relentless march downward, often all that is needed to uncover value is retailer initiative and determining the right technology partners who understand what will work best for your business.
Troy Carroll is CEO of Intava, a provider of interactive retail technology.
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