Although more than 90 percent of sales still take place in the physical store, retailers are well aware of the growing importance of digital channels. Even if they aren’t making purchases online, on their smartphones or on the emerging social commerce channel, customers are certainly using these touchpoints to research, compare and review products among different retailers.
The multiple channels utilized by shoppers are forcing CMOs to rethink their campaign management strategy and the technology used to achieve it. Left in silos and separate corporate divisions, multiple promotion campaigns within the same company can result in a cannibalization effect where one channel cuts into another and takes sales from it.
The best solution to prevent this potentially harmful effect is to synchronize promotional efforts across channels to achieve a multiplier effect instead of cannibalization. These omni-channel promotions management solutions provide a single view of promotions across all channels to ensure a unified and complementary marketing strategy.
This month’s Vendor Landscape focuses on omni-channel promotions management solutions. RIS lists some of the major vendors and highlights some recent retailer deployments.
Since implementing Acxiom’s Multichannel Marketing solution, Macy’s is better able to connect with shoppers and increase sales. “The goal was to have a single definition of the customer and a 360-degree view of all of our interactions with her,” says Gregg Aamoth, vice president of Customer Marketing Systems at Macy’s. “This includes her responses to our marketing efforts across the entire company, whether it’s direct mail, e-mail, telemarketing, clienteling, customer surveys, loyalty offers, or through any of our other customer communication points and media channels.”
With top Fortune 1000 retailers including American Eagle, Safeway and Walmart Canada among its customers, CrossCap recently added one of the top U.S. retailers to its impressive roster: Walmart. The retailer will utilize CrossCap’s Marketing Strategy Management platform to implement marketing and merchandising strategies across all channels.
Cost- and Time-Saving
Ahold USA has realized significant time and cost savings from using DemandTec’s End-to-End Promotion Management to manage supplier planning and negotiation and execute highly versioned, targeted events across all customer touchpoints. Using the solution, Ahold is able to efficiently access a single system of record for omni-channel promotions to deliver more targeted and localized messages to customers.
Need for Speed
IBM’s Enterprise Marketing Management is now even more convenient for retailers as it is now offered on the cloud. The integration allows IBM to offer retailers a faster, more efficient and cost-saving means of processing omni-channel promotion analytics and planning as opposed to the traditional alternative of building out data centers.
To promote the benefits of its APTRA eMarketing solution, NCR Corporation recently released the Quick Start program to help companies quickly and economically establish customer relationship management (CRM), social media and other multi-channel promotion activities. The promotion featured free hosting of applications including E-Mail Marketing and Online Surveys, delivered through a Software as a Service subscription.
In addition to managing campaigns across all consumer touchpoints, Predictix Promotions Forecasting can also be layered on top of existing merchandising systems to deliver a flexible forecasting application that improves legacy systems’ forecasts across all channels. The company improved the accuracy of promotions forecasts by up to 25 percent, delivering over $10 million in annual benefits and lowering working capital by $100 million for one of its retailer customers.
Using Retail Solutions Inc.’s Data Management solution for promotions management, Kimberly-Clark saw a 63 percent sales increase in Food Lion stores for a particular sales promotion. “The combination of its ease of use and the positive feedback from Food Lion created the perfect environment for an easy rollout,” says Greg Pike, customer development for Kimberly-Clark.
Aprimo won new customers for its Campaign Management solution, including AutoNation and Designer Shoe Warehouse (DSW), in the first quarter of 2011. The wins came as Aprimo was positioned in the “Leader’s Quandrant” of the “Magic Quandrant for Multi-Channel Campaign Management” by Gartner.
Give Promotions Life
Costco is using VeraCentra to manage promotions in its stores, on its Facebook page and through its mobile offers. “We looked at seven-figure solutions which were too much, over-robust and too costly,” says Robert Csonaki, director strategic marketing, Costco. “VeraCentra had the right deliverables, the most flexibility and the best value for Costco. The exciting part about implementing VeraCentra is that we are now able to breathe life into more conceptual ideas that have been sitting on the shelf.”
|VENDOR LANDSCAPE: OMNI-CHANNEL PROMOTIONS MANAGEMENT SOLUTIONS
The chart below is a comparison guide of product specifications and functionalities in a specific category to help retailers begin their search for vendors in the RFP process. The chart is not a comprehensive resource. Please visit vendor web sites for further information.
Company Name/Web Site
|Multichannel Marketing Solution bridges major communications channels with customer-centric solutions to enable retailers to deliver the right message to the right customer at the right time in the right channel. Provides multichannel insight about customers and prospects, allowing retailers to create integrated, optimized and personalized solutions across all channels and lines of business.
|Marketing Strategy Management with Execution and Analysis Solution delivers one view of marketing metrics and responsibilities across multiple promotional vehicles and customer touchpoints. Processes are tracked in real time at the item, category, campaign and partner levels.
||• American Eagle
|DemandTec End to End Promotion Management Solution allows retailers to manage promotions across all touchpoints. Solution provides advanced predictive analytics and streamlines processes from collaborating with vendors on planning deals to managing the entire promotion process.
||• Sam's Club
• Ahold USA
• The Great Atlantic & Pacific Tea Company (A&P)
|IBM Enterprise Marketing Management Solution offers Web and digital analytics, predictive analytics, segmentation, offer management, interaction history, behavioral targeting, distributed marketing, cross-channel planning, design, execution and measurement.
||• S&S Worldwide
• Ace Mart
• Lands' End
|JDA Promotions Management & Optimization Solution is a complete end-to-end promotion planning and execution suite integrated with JDA Advertising to seamlessly connect retailers’ marketing plans, products, locations, prices and other information across channels.
• Ace Hardware
• Hibbett Sports
|NCR APTRA eMarketing Single software solution that delivers messaging across multiple channels, breaking the silos between the digital and the physical. Solution identifies the channels customers prefer to use and allows retailers to reach them when they’re most responsive.
||• Wine Country Gift Baskets
• Tully's Coffee
• Veteran's Canteen Service
|Predictix Promotions Forecasting and Offer Management Solution produces highly accurate, cloud-based forecasts and real-time “what if” promotions comparisons. Also allows retailers to manage myriad campaigns and individual offers in a unified manner across all consumer touchpoints and channels.
• Best Buy
|Retail Solutions Inc.
|Retail Data Management Solution allows retailers to collect near-real-time, granular downstream data and cleanse, harmonize and reconcile this data across channels. Retail Solutions use cases for channel management include cross-retailer promotion effectiveness analysis.
||• Elizabeth Arden
|Saepio Marketing Asset Manager Single solution manages promotions across the storefront, e-commerce site and e-mail. Solution combines digital asset management, collateral customization and marketing automation technologies.
• BMW Motorrad USA
|Aprimo Campaign Management Solution is uniquely suited for the demands of the digital marketer, bringing together campaign management, event marketing, interaction management, lead management, distributed marketing and trigger marketing for both physical and online channels.
||• Warner Bros
|VeraCentra Complete Centralized system helps retailers create and automate meaningful customer interactions across multiple channels. Solution translates insights from VeraCentra Intelligence into action by empowering retailers to easily design and execute relevant interactions.
• Lombardi Sports