There were times, and it wasn’t that long ago that online shopping consisted of a search box, a dropdown menu, and some filters, and that was about it. Today, outlets are designed to cater to consumers who are constantly looking for one.
Meanwhile, some retailers give us the opportunity to shop with a passion for values like udratenos, feminism or veganism, while others offer shoppers a red-carpet experience through tailor-made retail. For example, Octane AI is a customization tool designed for Shopify. It features features like quizzes that can help retailers learn more about each customer, thus personalizing their recommendations and overall shopping experience. Or Kabbex, retailers may make recommendations based on consumer mood, which plays a major role in the buying process. There are many other models, such as THE YES, that offer 100% customized daily fashion recommendations for your favorite brands. The more you engage with the suggested elements by selecting “yes” or “no,” the more relevant your informed channel will be.
If this phenomenon is on the rise, the “path to follow” is still a long way given what has been going on in China for several years. For example, in Taobao, the function of a thousand people, a thousand faces automatically creates a constantly improved interface for each user: product lists, live broadcasts, recommendations, games, etc. What is the benefit of this integrated model? Unlike traditional search-based shopping, users consume this informed channel even though they do not intend to purchase the product as a form of entertainment as such. The psychological experience of a “bottomless pot” is said to deceive users into consuming 73% more than when products are spread over several pages. Therefore, it is an effective model that increases the return on investment. In 2017, Alibaba, the owner of Taobao, reported a 20% increase in conversion rates after using such dedicated sites.
The personalization process can only thrive with human touch and authentic conversations, which are key factors in the customer experience. In recent years, the concept of “conversational trade” has appeared. Artificial intelligence is used to automate transactions or improve interaction with consumers through chat, messaging, and voice assistants. A recent study by Juniper Research revealed that by 2025, spending on these channels will total $290 billion worldwide, an increase of +590% over the next four years. Although the same study predicts that the three countries will account for more than 90% of spending on chatboats over the next four years, China, Japan, and Juna Korea do not mean that Western countries will not participate in this revolution. Conversely, some early adopters in the West are paving the way for game-changing experiences through valuable stories and relaxing character-client interactions.
Kee has seen a significant increase in the use of mobile devices; Communication via a mobile channel such as SMS can be effective, especially since it has a 209% higher response rate as compared to phone, email or Facebook. SMS can be used in different scenarios and in many ways. However, the effectiveness of this medium is not completely separate, it works with other channels, such as email. It is a misconception that text messages will soon replace emails, although the truth is that their strength lies in the knowledge they use in conjunction with email. When the connection is long, you choose email, when it is short, SMS is enough.
A good example of this is Great Jones Tableware, which in 2020 was ranked by OneWeb as one of the fastest growing brands with an annual growth rate of 401% and an average of 95,029 monthly site visits. The company has moved strategically from a large area of the site to buying pots and pans to a full content site. In addition to a strong social media presence, with her Instagram page, which has more than 85,000 followers, the character who launched a year ago is a non-automated live Potline that offers recipes and cooking tips in real time via text message. . Another advantage of Taika, which is highly dependent on texting. The identity of the characters converges with this practice to the extent that their phone number is displayed in XXL format on their products, coffee cans.
In addition to supporting content marketing strategies, SMS can also act as a business. You can provide information that the customer would have otherwise looked for online. When personalization encounters a conversational approach, the experience is very similar to helping a personal shopper. The converted store also includes an audio store that uses smart speakers, such as Alexa or Google Home. It is true that this trend is still slow and thus does not appear in retail applications. But we move from sound to image.
Today, blogs, movie tutorials, product demos, reviews, ad clips, and many other formats make up video marketing, a powerful sales engine and a legacy strategy. Needless to say, even within this medium, the show is particularly rich in entertainment.
Buy, sell and stream! Combine live broadcasting and e-commerce for real-time interactions between buyers and sellers. In interactive mode, it is dynamic and often broadcasts at the time of the main broadcast. This process, in the era of epidemics, is ubiquitous in China and even more widespread in the West. According to Coresight Research, the market could reach $6 billion this year and 4 times that by 2023. But despite a number of startups dedicated to this sector, direct shopping in this side of the world still lags behind.
why is that? There are several explanations given by the lack of platforms, in contrast to the many bridges between promises in China. Plus, we’re really lacking in reference players in this field: a celebrity or influencer won’t necessarily make you a good host. This requires a whole new type of celebrity who can sell things online without any issues with the elements of entertainment. In China, many of the key leaders come from specialized incubators like Ron, who inculcate the skills to help realize the full potential of direct shopping.
Netflix has shown on several occasions that it can make a commercial fuss about some of its shows. For example, Women’s Gambit began selling chess sets. And while the streaming platform hasn’t directly benefited from these financial side benefits, things are starting to change. According to Modern Retail, the Netflix show “Get Organized with Home Edit” partnered with The Container Store and jumped 16.8% after a month of sales for the show. Sure, much of that increase is attributed to Netflix, but the company refers to the so-called “hello effect.” The initiative, according to Beth Fossen, professor of marketing at Indiana University, “By agreement on product placement, only on the hub is more dense, because it is less common.” As Modern Retail would expect, over the past few years, companies have been working to create technology that can customize product placement for viewers, create streaming ads or precise targeting.
Inspirational films created by top productions are another rapidly growing area of marketing. Many players in the cosmetic industry are setting up their own film studios to produce their own shows. This can be seen in Japanese skincare brand SK-II (Procter & Gamble), which produced “The Center Lane,” a ten-minute film about swimmer Rikako Ikes’ return to competition after being diagnosed with leukemia. This content pushes SK-II’s marketing strategy beyond traditional advertising and focuses on empowerment and resilience through video and storytelling.
In this thriving ecosystem, another important trend is to tackle loneliness by accelerating shared group buying. Chat channels that can be integrated into an e-commerce site allow consumers to direct questions to other people browsing the site at the same time. Or such joint video display solutions, where the online customer journey can be followed in real time and thus easy to assist them in the shopping process.
For a fee, the consumer will receive expert advice and expert expertise if they need advice when shopping online. Book video design consultations with architects or architects, shop with impartial experts and get customized product advice, these are all services that will help you “discover the best features” and invite an expert to give you gift ideas. Why is this important? Thanks to the common shopping experience, the product has greater credibility. In addition, word of mouth has always been a powerful driving force behind purchases. Several studies have shown that you end up buying more with friends. It’s a kind of digital kinship, the internet’s response to the loneliness epidemic.
It also relieves loneliness through playing games that can help meet a number of psychological needs, such as independence, choices, and self-esteem, as they involve many associated functions, such as completing tasks and completing tasks, communicating with friends, etc. to that and so on. Therefore, it is not surprising that play during a pandemic has risen sharply. In e-commerce, these can be strong sales. If retailers and video games start connecting earlier, you will ensure that your customers are more engaged and engaged, generating profits for you. But this time they take it to a higher level.
Characters have traditionally launched in-game campaigns or entered into exclusive partnerships with popular games. Today, however, it goes beyond ordinary collaboration and digital billboards, because characters penetrate this new world, which we often call the “metaverse”. In this context, there is a huge market for fashion figures, because consumers are trying even harder to dress up their avatars. At the same time, we’re seeing the emergence of a new generation of “retail by design” games, where players can act as designers and create different avatars. Depending on how your peers rate your creations, your results and related rewards will be used to purchase virtual clothes from over 160 brands – including Prada, Stella McCartney, Valentino and Gucci.
The next logical step is to turn gaming brands into retailers and launch your own stores. Illustration Home, a popular design game, is an illustration. Although the creators have collaborated with the characters in the past, through their parent company Glu mobile, in 2020 they launched an entire retail store called Design Home Inspired. When players fall in love with the products in the game, they can buy them.
The trend is e-commerce websites as conduits for game characters. In China, this specific phenomenon is exploding. Since 2018, almost all e-commerce platforms, including Taobao, Tmall, JD, and Suning, have launched their own versions of mini-games, and their success as marketing tools is attributed to the well-developed mechanism. When consumers start playing the game and reach pre-determined stopping points, they can just take it to the next level by performing certain interaction-based tasks, such as keeping track of recommended products or current promotions and inviting other friends, all of which easily impact the retail experience.
Another effective strategy is to be tempted to play with rewards, especially those offered to support a purchase. Simulated toys are no exception, in Alibaba’s Taobao Life, consumers can build a house, cuddle a pet, or communicate with their friends’ avatars. The game allows consumers to dress up their characters in the latest character sets and, if they like it, buy these items in real life. The effectiveness of this strategy is enhanced by the use of intelligent calls to action.
Just as the Renaissance and the Industrial Revolution were all about pushing the boundaries of what we know and can do, today’s reality is changing at an unprecedented pace. With new and emerging technologies such as augmented reality and artificial intelligence, aroudian retailers, and magicians are able to improvise our senses. Meanwhile, retailers are still trying to replicate their physical products in a digital world where consumers are everywhere. But even if it is interesting, the characters have to go one step further. All these innovations say one thing, we can say with certainty that the world of retail is changing rapidly.
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