11 May Increase your Retail store sales amidst Retail apocalypse !!
As we hear more about retail apocalypse or meltdown, we tend to think as to why so many retail stores and chains are closing down.
The answer to above question lies within the retail brand stores; their inability to reinvent, forgetting the basics of retail, high cost of collateral loans or borrowing or project financing & failing to adopt technological advancements.
Many retail companies think and operate like financial markets and not like retailers. Hence the result that most of the big retailers are either queuing up for closures or bankruptcies.
So how do retail stores increase their sales? The answer is by using technological -Proximity Marketing.
What is Proximity Marketing? And how it could help reverse retail apocalypse?
Proximity Marketing is a term used to describe location technologies for attracting customers by direct communication on their smart-phones or Bluetooth or GPS enabled devices.
Retail store owners are using beacon technology to meet consumer demands and create an outstanding buyer in-store experience.
To back this up, a recent survey revealed that retail store proximity marketing practices have a strong influence on shoppers buying decision.
For instance, Swirl Networks Inc. shows that beacon-based marketing tactics can boost retail sales to over 70%, but when combined with loyalty programs, retail owners are able to better understand customer behavior.
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How does Proximity marketing works?
By using Bluetooth Beacon technology, a beacon is a small transmitter device that uses Bluetooth low-energy (BLE) wireless technology to identify shoppers location in and around stores and to transmit a notification to their smart mobile devices.
On this account, beacon technology will convey messages to your mobile phone and other mobile devices near you that have the application to make a more precise location-based searching.
But first, you must have your store mobile app that will connect beacons for it to work for you.
Why use Proximity marketing using Beacons in the store?
The proximity marketing–beacon technology is a must-use tool for every retailer because it enables you to attract local shoppers who are around your store, and helps them make more purchases by transmitting relevant content to their mobile devices.
The proximity marketing tool can transmit:
- Promotional messages
- Explain critical product features
- Upsell using styling features
- Free offers
- Provide useful content in regard to specific search or criteria.
It is called “proximity marketing” because shoppers receive alerts when they are at the proximity of your store.
How does Beacon technology work?
Below infographics explain its functioning.
Image Credit: Business Insider
Beacon technology allows mobile apps to receive signals from beacons in the physical world. They deliver hyper-contextualized content to users based on their location.
Benefits of Proximity marketing using Beacons
Retail 3.0 is all about the experience, its all about engagement with the customers and Proximity marketings delivers 100 percent on it.
- Offers power of personalization in communicating with the customers.
- Tracking shoppers buying habits and purchase history.
- Targeted delivery of your advertising content at the right time to the right audience.
- Creating seamless in-store navigation.
- Easy checkouts without standing the queues
- The flexibility of tying up with loyalty programs
- By providing virtual shopping assistants through push notifications, you can add chatbots as well.
Case Study: Macy’s departmental store.
Macy’s rolled out retail’s largest beacon installation in their stores.
As soon as shoppers entered Macy’s, they were notified to open their Macy’s apps in order to receive notifications, promotions, deals, and discounts.
Watch out this video to understand how Proximity marketing could be used using Bluetooth beacons.
If you are a retailer stuck with stagnant sales and want to relook at your retail strategy, please feel free to write to me at firstname.lastname@example.org.
In fact, I strongly believe in collaborative learning and growth for everyone.
About the author:
Ritesh Mohan is a passionate retail professional with over 20 years in the Retail sector, handling some of the biggest brands in beauty, fashion and fragrances retail & FMCG sector. Ritesh has been instrumental in the growth of some of the regional brands as well in the Middle East region. He specializes in Retail management, Product development, and Brand Management, Retail Operations, Sales Management, and Franchising & Business Management. He strongly believes in empowering business owners with his wisdom & experience of around two decades in the industry.