Offering a compelling omnichannel customer experience is now a must for retail brands to grow and thrive in an increasingly competitive market.

Indeed, more and more American retailers are striving to build omnichannel into their businesses.

Over half are working to enhance their ability to monitor consumer shopping data across their omnichannel network, with 34% looking to bring omnichannel into their payments systems.

In 2023, these efforts were bolstered by the National Retail Federation’s urging of US retailers to embrace omnichannel and offer “a range of products at affordable prices with great shopping experiences.”

And consumer tastes support this.

Gen Z and millennials are twice as likely as baby boomers to use an omnichannel shopping journey, and even across generations, 80.1% of consumers are turning online for their purchasing needs.

As such, retail executives have had to re-think their strategies and change their top priorities, focusing their efforts on a digital-first and omnichannel go-to-market model.

And for enterprise retailers, an omnichannel strategy offers an array of benefits. In this article, we explore some of the key benefits such an approach can bring to enterprise retail brands. 

Increased sales

More and more, consumers are shopping seamlessly across channels. Indeed, almost half of shoppers rely on social media, celebrities and influencers, and written content to inform their purchase.

As such, the purchase journey has become increasingly fragmented. A shopper might see the product for the first time on social media, research possible alternatives on search engines and finally complete the purchase at a brick-and-mortar location.

Consequently, having a broad, consistent presence across multiple channels helps retailers to generate product awareness and drive traffic to their website and store. Indeed, the omnichannel consumer spends 1.5 times more than a single-channel consumer.

By leveraging multiple touchpoints, retail brands can reach out to new audiences while retaining existing customers.

Consumers want to choose how to engage with brands – through apps, websites, in-store digital touchpoints and social media, for instance. As such, retailers who can meet this preference will experience higher customer retention and sales. 

Improved customer lifetime value

Over the last two years, the demand for omnichannel fulfillment has accelerated substantially.

50% of online consumers use buy online, pick up in store (BOPIS), and over half using click-and-collect services more than six times in a period of twelve months.

Same-day delivery, too, is on the rise, with 36% of US online shoppers using the service – indeed, the market itself is expected to grow by over 12% between 2023 and 2028.

Retailers who can blend the offline and online worlds effectively, using technologies such as location-based marketing, virtual reality and chatbots, are able to meet customer expectations of a seamless and connected shopping experience, delivering higher engagement and customer lifetime value.

This enhanced customer lifetime value is fundamental for retailers to better understand, target and serve their audiences and to engage with them efficiently while creating value.

Enhanced data collection and analysis

An omnichannel strategy enables retailers to gather more customer data from multiple touchpoints and analyze consumer profiles, preferences and behaviors to have a better understanding of their customer base.

As a result, brands can map out customer journeys more accurately by identifying how customers engage with them each step of the way, as they move through the awareness, consideration and purchase stages.

Having an in-depth overview of the customer journey allows retailers to make data-driven decisions and enables them to offer their target audience relevant and personalized content across all interactions, leading to greater engagement and satisfaction.

Indeed, 82% of consumers say personalized experiences influence their choice of brand at least half of the time when shopping.

A blended online and offline shopping experience

The new digital consumer combines online and offline interactions throughout their journey. Despite the surge of online shopping, the role of bricks-and-mortar stores remains crucial.

Most shopping journeys begin online – 44% with an internet search and 41% via online stores. However, 80% of US consumers will shop in person when purchasing a product they want or need straight away.

Consequently, retailers are adopting omnichannel business models to meet customer expectations and offer superior customer experiences both online and offline, bringing digital elements into their stores and complementing their ecommerce shopping experience with offline features.

For example, some retailers are opening stores where consumers do not need to queue to pay for items but are charged automatically via mobile apps with the help of in-store sensors and cameras.

Others are launching virtual shopping events where consumers can ask questions on the product they are interested in and engage with the brand in real time.

In this way, retailers can collect and unify online and offline customer data to create personalized and enhanced retail experiences that quickly meet evolving customer needs and wants.  

Today, an omnichannel retail strategy represents a great opportunity for businesses to thrive despite increasing challenges brought about by a competitive and fast-changing market.

As consumers progressively connect and engage across multiple touchpoints before making a purchase, it has become crucial for retailers to adopt an omnichannel model that merges the offline world with online one to boost sales and increase customer satisfaction.

Retail brands can leverage the power of an omnichannel approach to collect data across multiple channels and create personalized offerings and recommendations that will help to deepen the relationship with their audiences.

As customer trust grows, brands will increase their chances of developing and retaining a loyal and more cost-effective customer base.

THG Ingenuity has helped many retail brands connect with and engage new consumers bases with an omnichannel approach, supported by our technology, marketing and fulfillment infrastructure.

Get in touch today and optimize your omnichannel strategy.