In the world of digital marketing, there are plenty of channels that can be used to reach consumers. And while some may swear by a specific channel or approach, marketers know that an omnichannel strategy is key for success. So what exactly is omnichannel marketing? In this blog post, we’ll provide a definition and outline some of the benefits of using this approach.
What is an omnichannel approach?
Omnichannel is defined as the integration of all physical channels (offline) as well as digital channels (online), in order to offer a seamless and unified customer experience across every touchpoint customers have with brands.
The evolution of technology has made possible the integration of multiple channels like mobile devices, augmented reality, virtual reality, chatbots, smart watches, and so on. The high number of available channels brought an increased gap between each one. Therefore, these additional channels need to be used in addition to traditional physical and human interaction channels and work seamlessly between them.
The omnichannel approach offers customers a better experience and higher engagement with brands. This happens because every service, product and support services are offered on all channels a customer has access to. This translates to a seamless customer experience.
What is an omnichannel marketing strategy?
Omnichannel marketing connects the offline world with the online world, creating seamless experiences for customers. This strategy is based on a consumer-centric view of marketing, meaning the customer is put first and has a positive and cohesive experience on each channel.
Marketing teams leverage the omnichannel strategy to deliver a more effective brand message, at the right time. As a result, it increases the chances to turn visitors and target buyers into leads. Besides that, an omnichannel strategy simplifies brand recognition and, consequently, brand awareness.
There are four key aspects regarding an omnichannel marketing strategy:
1. Convenience
Consumers are searching for convenience more than ever as 83% of shoppers say that convenience in shopping is more important today than 5 years ago. Customers generally prefer convenient goods and services and that factor has a great impact on buying decisions. It has been shown that convenience affects how customers perceive and evaluate such products or services. A study conducted in 2007 found that convenience is the most relevant factor when it comes to the use of mobile devices for online shopping.
Consumers are more likely to choose a brand that ensures a convenient experience. According to the National Retail Federation, over nine in ten are more likely to do so. Since time is money, and customers are so busy these days, they are willing to pay extra price for a convenient experience, product or service if that means saving time and effort.
2. Consistency
Consistency in omnichannel marketing refers to a seamless and effortless experience in the customer journey. This means having no gaps or friction between any online and offline touchpoint. It is not possible to recreate the experience of a physical store online. However, the closer you can blend the two, the more engaging it is for your customers. A pleasant experience is not just being present on every possible channel but whether those channels work seamlessly and in a consistent way.
3. Automation
An omnichannel marketing automation strategy allows marketing teams to maximize engagement across all channels, minimizing manual and time consuming efforts. This type of automation can be as simple or as complex as your specific business needs. These strategies can range from initial touchpoints (such as a simple welcome notification) to complex multi-step automated programs. The main aspect to consider is to provide the same brand message across all your channels.
4. Personalization
Personalization now extends to the whole customer experience, which means that every touchpoint the customer has with a brand is personalized. These personalized actions are not targeted just for the alike customer, but for the customer as an individual. Through AI mechanisms, and data collection it is possible to provide product suggestions, offers and communications that are uniquely relevant for an individual. This type of approach is specially important since several researches indicate that a more personalized experience leads to an increased customer loyalty.
Multichannel vs omnichannel
As mentioned above, omnichannel marketing is about creating a seamless experience in every channel a brand has a presence. On the other hand, multichannel is a much simpler business approach. Multichannel strategies aim to engage with customers, however the various channels work separately. This means lack of consistency and gaps between the multiple touchpoints a customer has with a brand along the customer journey.
Another huge difference between omnichannel and multichannel strategies is the customer-centric approach. Omnichannel puts the customer in the center and responds to the market’s needs according to collected data about customers. In omnichannel, the main goal is to create strong relationships with customers. Although multichannel strategies enable customers to reach brands, the main goal is to build engagement and lead the customer to complete a call-to-action, without providing personalized experience or focusing on what the customer is really looking for.
Benefits of an omnichannel approach
Even though creating an omnichannel can become a complex task, when done properly can bring great results to a company. This strategic approach can play as a differentiation factor and set you aside from your competitors. Some of the main benefits of adopting an omnichannel strategy are:
- Increased customer loyalty
- Better customer experience
- Cohesive brand identity
- Increased revenue
Omnichannel retail
Retail in particular is one of the industries that has faced dramatic changes over the years. A study conducted by Harvard Business Review found that 73% of shoppers use multiple channels throughout their shopping journey and 20% of them were store-only shoppers. This shows how customers are changing and evolving alongside technology.
For brick-and-mortar stores this means changing business operations and unifying the shopping experience by allowing customers to buy anywhere, anytime. Is it crucial that retailers start implementing an omnichannel strategy in order to keep customers and avoid losing them to competitors. For retailers, the omnichannel approach is about creating core customers channels and offering a single and smooth experience across all of them. To help, retailers must understand customer behaviour and what preferences they have, in order to respond accordingly.
If you’re looking to optimize your marketing efforts by focusing on a single channel, it may be time for an omnichannel marketing strategy. The benefits of omnichannel marketing strategies are clear. They increase customer satisfaction and retention, they offer a more seamless experience for customers across channels, and they help to reduce the cost of running an online business by allowing for efficiencies in resource allocation.
This strategy offers a more holistic understanding of customers, improved delivery efficiency, less friction during conversion processes, increased brand awareness, and better customer engagement through personalized content are just some examples. Have you experimented with any techniques that fall under the umbrella of omnichannel marketing strategies? Share them below!
Featured photo by NEW DATA SERVICES on Unsplash
