Leave a customer disappointed in the retail store he will share with 50 people. Leave the customer disappointed in e-tail world he will tell 50,000 people.
This is the impact of positive are negative campaigning in the E retailing.
E Retailing was first developed in the European countries. E-retailing has both passive and interactive retail system while all e-tailing is generally limited to passive, air ticketing and other entertainment booking is designed in interactive system. The common features for both are debit and credit cards usage.
Success of online retailing purely depends on:
- Fully loaded custom website
- Step by step action plan
- Low cost and no cost advertisement methods.
- Automated prospect and customer follow-up system
- No experience necessary
- Live weekly coaching
Factors to consider in Internet Retailing:
- Goodwill of retailer
- Merchandise characteristics
- Website effectiveness
- Ease to access the website
- Consumer access towards Internet buying
Items sold through Internet Retailing:
- Computer parts and accessories
- Computer software and hard wares
- Gift items including electronic toys
- Books and magazines
- Travel products
- Branded appliances
Present and future Internet retailing areas:
- Real estate retailing
- Petro retailing
- Catering retailing
- Pharma retailing
Information technology in Retailing:
Providing value for customers has become a challenge for retailers. Access to large amount of information shrunk the world into a global village and the market to a local market. Customers want value, price, ambience, appearance, relaxation, information, entertainment, selection, convenience, service and many more under one roof.
E tools, mathematical models and use of technology enhance shopping experience, convenience, better service, speed and value to customers.
Types of Technologies used in Retailing:
- In store and online technology
These technologies are used for information, display, identification, Checkouts, point of sale
( POS), signage, and hand-held shopping assistance and body scanning especially for physical store.
In store Technology is used as Kiosks, virtual display cases, RFID ( radio frequency identification tags) Electronic point of sale ( POS) , hand held assistance devises, body scanning systems, self scanning and self check-out systems.
With touch screen display customer can identify and select products. Kiosks help retailers in offering and expanded selection of items. Video kiosks and print a map of the store reduces time and energy.
Frequent shopper card, choice of goods, past purchases display recipes, special offers, samples and sweep stakes opportunities. Even interactive kiosks like movie videos, CDs, albums, artists list of songs enable a hassle free shopping experience.
Kiosks are useful for mom and pop stores in arranging for home delivery of goods. E retailing also helps in low inventory costs. It is a great boon for self- employment with very little investment. Kiosks fulfill the purpose of registry creation, retrieval, updating, uploading, product selection from palm type scanning device. Kiosks are used for gift card dispensing, collect and redeem points, awards, discounts, savings, and retrieve special offers.
Loyalty kiosks are helpful in tracking and collecting information about customers. With kiosks there is no need to have every single product in store.
Vehicle options, interiors, exteriors, color selection, designing, paints, optional features can be tried in the virtual designing.
In entertainment even online sporting, gaming, mountain biking, and snow- bowling can also be experienced in interactive kiosks. Kiosks also help in color selection in interiors, inspirational palettes, virtual rooms receive instant color co-ordination tips, provides paint calculator and supply list.
Airlines have started using check-in kiosks especially for frequent travelers. Consumers find product information, ordering kiosks, and frequent shopper kiosks useful.
76% customers rated kiosks as advantage
60% likely to shop at stores with aid of technology
80% used technology at some time when they shopped.
Kiosks make shopping interesting, easier and faster, get current product information, special deals, and offer and avoid carrying documents.
Opinion about Kiosks is mixed, though it takes time to bring major changes, kiosks is still experimental.
Ways and means to strengthen the position of the retailing industry, doing away with the causes for the inefficiencies, therefore, are to be taken up in an urgent manner. Such measures may include establishment of retailers co-operatives, merger and buy-out, use of technology to the greatest possible extent, setting up of nonstore retailing centers and increase in franchisee network which can predict return on investment.
Types of Retail theft:
Employee theft accounts to 50% of loss in retail units. Broadly retail thefts are of three types.
- Shop lifting
- Employee theft
- Card theft, without proper checking
According to Efficient Customer Response (ECR) in Europe, the top six measures used by retailers to reduce shrinkage are
- Cash protection equipments
- Electronic article surveillance equipment
- Employee integrity checks
- Intruder alarm systems live closed circuit television (CCTV)
- Mystery shoppers
Retail management from traditional to modern retailing has traveled a long and interesting journey. It has reached the top of consumer pyramid by gradually making shopping a pleasant and favorite time pass for most of the present generation consumers.
Shopping- A consumer Pyramid
This transformation of retail shopping from responsibility to pleasure is because of various factors in the economy. They are the expansion of visual media, satellite television, urban life styles, increased expenses on clothing, eating, and beauty and impulsive decisions.
Visual media is highly demonstrative, dominating and dictating through various channels. This has lot of influence and attraction on the individual tastes and preferences. Visual media picked up momentum because of the satellite television and networking systems. This has resulted into glamorous and universal urban life styles that are universal and have no place and area influences. Slowly the expense on clothing, eating and beauty have become very pronouncing, altogether the above changes are mainly due to increase in purchasing power, economic independence and impulsive decisions.
RM has proved excellent not only in disguised unemployment but also in tapping the underemployment areas of the economy. It also contributes to the excellent skilled and unskilled labor employment in the tertiary sectors.
This new emerging area of management has not only opened direct selling by the manufacturers but also enabled to read the pulse of the consumers. This way there is a perfect blend of product, pricing, marketing and the items displayed on the shelf. While the product range increases the choice of the consumers, the pricing becomes more competitive making marketing more challenging. The items displayed give not only information but also enhance the knowledge of the quality conscious consumers. In various ways RM is definitely a better choice for the educated set of consumers in the modern economic scenario.
Author is lecturer at Hyderabad