Agile Commerce – that’s Forrester’s word for “Omnichannel,” right?

Martin Gill

You’ve all heard the term “Omnichannel.” And since you are reading this blog I’m going to assume you’ve also all heard the term “Agile Commerce.” If not, then stop reading now and check out Welcome to the Era of Agile Commerce and Agile Commerce: Know it When You See It.

So either you are back, or you were with me all along. But now you are wondering “Ok, so what is the difference?” Let’s look at what the two terms really mean. Omnichannel doesn’t have a formal definition, though here’s what the oracle that is Wikipedia says…

Omni-Channel Retailing is very similar to, and an evolution of, multi-channel retailing, but is concentrated more on a seamless approach to the consumer experience through all available shopping channels, i.e. mobile internet devices, computers, bricks-and-mortar, television, catalog, and so on.”

On the other hand, Forrester defines agile commerce as…

“An approach to commerce that enables businesses to optimize their people, processes, and technology to serve customers across all touchpoints.”

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Why Visa’s V.me Digital Wallet Matters To eBusiness

Benjamin Ensor

I attended a briefing from Visa Europe yesterday, about its V.me digital wallet. Here’s what Visa said:V.me by Visa

  • V.me is more than a mobile digital wallet. Customers will be able to use V.me to make online payments too. It lets users check out at online stores using a one-click solution that remembers card details from multiple providers (including MasterCard and American Express cards) as well as billing details and postal addresses.
  • V.me is not just about mobile contactless payments. V.me will support a variety of ways to initiate payments including bar codes and QR codes, as well as NFC.
  • Visa intends to distribute V.me through its member banks, much as Visa cards are distributed today. BBVA will be the first issuer in Spain.
  • V.me is already in extended pilots in the UK and Spain to test the system and will launch formally in both countries soon. France will be next. V.me will start rolling out into stores in the UK next spring. Officially V.me will be available in France, Spain and the UK by next summer. (Visa Inc has already launched V.me in the US).
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Why eBusiness Needs To Rethink The Value Of Personalization

Sucharita  Mulpuru

In two recent instances in public forums, I’ve heard eBusiness executives talking about some rather disturbing uses of personal data. One was the CTO of a large big-box retailer who raised the possibility that health insurance companies could track our food purchases, sending dissuading texts to us whenever we chose to eat at greasy spoons or Burger King. Another was a software CEO who said it was inevitable that our cars would send real-time data on our speeds to our car insurance agencies. Laughter ensued from the audiences, but it should have been alarm and shock. I find it hard to believe that the good that could come from sharing this sort of data with companies (which, I would argue, don’t exactly have a reputation for benevolence) would outweigh the potential for abusing the data. Even in the retail world, there are a lot of companies trying to match users across different devices based on their IP addresses to create profiles of behavior. Call it lighter versions of the FBI “forensics” that took down David Petreaus. (Btw, Paula Broadwell has been a friend of mine for years and is one of the nicest, smartest, and most generous people I know. An issue that’s been overlooked is the violation of her privacy that kicked off this whole scandal. For the record, because people have asked me, I think she's been unfairly attacked at best and irreparably slandered at worst with digital information that should have never made its way to the light of day. I just hope she gets the last laugh when Angelina Jolie plays her in the movie.)

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As The Holidays Approach, Stores Need To Worry About Being “Showroomed"

Sucharita  Mulpuru

As mobile Internet use has grown, so has the usage of smartphones in stores. Much of that in-store phone usage is innocuous — using store maps, for instance — but some of it is threatening to brick-and-mortar stores, particularly when shoppers use phones in stores to research prices.  While "showrooming" isn't a term that many consumers know (only 16% awareness according to com Score), it's nonetheless happening.   

The good news: Consumers with smartphones only “showroomed” prices in stores on average a few times in a 6-month period. Aprimo, an marketing service firm that surveyed about 2,000 consumers in October about their mobile price-checking behavior in stores for that datapoint.  I suspect that amounts to a very small percent (i.e., less than 5%) of shopping visits. The bad news: That survey (and comScore's) confirmed the worst of what many in the retail industry have expected -- that showrooming is here to stay. And it hurts stores. After all, most of the showrooming shoppers told us that they usually find cheaper prices online when they research them. Some highlights:

  • It’s not just consumer electronics and high-ticket items like appliances for which consumers research prices in stores. In fact, the second and third most showroomed categories: grocery (!) and apparel/accessories/footwear. Yes, I was surprised by that, too.
  • A whole lot of people say they’ll be showrooming more in the future. In fact, the segment that’s most likely to spend the most online in the future (18- to 34-year-old men) is the group most likely to do this type of mobile price research in the future.
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Innovation Lessons From BBVA

Benjamin Ensor

BBVAI spent Tuesday and Wednesday at Forrester’s European Customer Experience Forum in London, which was based on the theme of Outside In, Forrester’s new book. One of the most interesting sessions I attended was ‘The Customer Centric Bank’ from Gustavo Vinacua, Innovation Center Director at BBVA’s Centro de Innovación in Madrid.

Over the past decade, BBVA has worked hard to become more customer centric and match its offerings to its customers’ needs. Given the pace of technology change, customers’ rising expectations and the digital disruption those forces cause, innovation is a critical part of the role of eBusiness and channel strategy executives. I thought I would share a few of Gustavo’s insights here for those of you who couldn’t attend. BBVA has become systematically innovative, launching a continuous succession of innovations many of which were a first in Spain, in Europe or in the world, such as:

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US Online Holiday Sales Continue To Grow At A Double-Digit Pace

Sucharita  Mulpuru

Forrester’s “US Online Holiday Retail Sales Forecast, 2012” launches today; in it, we predict that this November and December alone are expected to pull in $68.4 billion in online revenue, a 15% increase over 2011. We believe web retailers are well-positioned to benefit from this shopper spend if they realize that consumers are:

  • On the hunt for deals. More than half of US online adults are more price conscious than they were a year ago. As the Web channel has become synonymous with value, retailers should expect consumers to be searching for deals through a variety of touchpoints, at home and in-store on mobile devices.  Retailers need to prepare for aggressive holiday showrooming and the possibility of being undersold or being asked for a price match. 
  • Looking for free shipping. Fifty-seven percent of US online adults shop more with retailers that offer free shipping, and 27% add unplanned items to their cart in order to meet free shipping thresholds. Last year, 76% of the top 50 online retailers highlighted holiday deals on their home pages and 50% called out holiday shipping promotions. As price continues to be a top consideration for consumers, retailers must offer and prominently display holiday shipping promotions or risk losing customers to competitors that will.
  • Shopping on key dates. During the 2011 holiday season, the top 500 retail websites saw holiday traffic peak during Thanksgiving, Black Friday, and Cyber Monday, each of which drove more than 170 million unique US shoppers to the Web, and they together accounted for more than $2.5 billion in total online sales. Forrester expects that this trend will continue through 2012.
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Join Our eBusiness Team! We’re Hiring A Principal/Senior Analyst Focused On eCommerce Technology

Zia Daniell Wigder

eCommerce technology is a fast-growing, rapidly evolving industry – we’re looking for a Principal/Senior Analyst to help build our coverage of this incredibly dynamic area. 

Here’s a quick snapshot from the job description:

The Principal/Senior Analyst will write for, present to, and advise eBusiness & Channel Strategy Professionals in the retail, wholesale, and CPG industries to help guide their eCommerce and other multichannel commerce technology decisions. He/she will need a strong understanding of the business and technology issues facing eBusiness executives today and an appetite for conducting and writing research to stay abreast of the issues.

If this is you, we’d love to hear from you! Please feel free to reach out directly to me at zwigder at forrester dot com or submit via the job posting

How Sophisticated Is Your Approach To Mobile?

Julie Ask

Today, Forrester published an updated study to help eBusiness professionals understand how their peers in other companies with more experience are taking on mobile. The report (which clients can find here) is titled "Mobile Maturity Equates To Mobile Competency."

In the study, Forrester put eBusiness professionals into one of three groups based on the maturity of their mobile strategy - how many years a strategy had been in place. From there, the report provides an in-depth comparison of the approach to developing mobile strategies, level of collaboration, staffing, use of technology, spend, key performance metrics used, and approach to development.

A few key takeaways:

- Senior leaderships is essential. Only 54% of companies just getting started with mobile feel their company sees mobile as a strategic initiative. In comparison, 87% of eBusiness professionals with a more established plan have this support.

- eBusiness professionals with more experience are more likely to build in-house. They understand that mobile services cannot be one-off projects. Mobile services are assets, touchpoints, channels, and more that require infrastructure and ongoing maintenance and improvements. They also use consultants or agencies but lean toward custom builds to get the most out of the medium.

- eBusiness professionals often lead with iOS applications, followed by Android. Less than 10% of experienced eBusiness professionals build for BlackBerry or Windows today.

- Experienced eBusiness professionals have a process in place to develop strategy that either is mobile POST or strongly resembles mobile POST.

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The End Of A Long Week In eBusiness In New York

Zia Daniell Wigder

My colleague Patti Freeman Evans put up a great blog post yesterday about eBusiness efforts post-Sandy. I wanted to finish off the week with a snapshot of the ATM screen I took about 10 minutes ago at my local Chase branch - amazing what a multi-touchpoint world we now live in (I count up to six in this one message alone!).

Wishing everyone a safe weekend.

eBusinesses Use Digital to Deal with Sandy

Patti Freeman Evans

eBusiness professionals have disaster recovery plans in place to deal with nearly annual storms across the country.  How many times have we heard of a snow storm November and December slamming formerly robust holiday sales?  However, Sandy has put the northeast in uncharted waters.  The extent of the challenges we face in the nation's most populous region is vast and varied:  Gas, fuel and water shortages, road closures, and electrical outages affect both homes and businesses throughout the area.  NYC is an odd microcosm of the variety of issues we face:  Below 23rd Street has water but no electricity and no subway service. By contrast, north of 23rd Street - while it’s not business as usual - life is closer to normal.  Yet, in the outer boroughs and the tri-state area, the situation is often much, much more dire.   

I write this from refuge at my brother-in-law’s apartment at 100th Street because we lost power at home in Tribeca.  Since we are safe, I am more frustrated by lack of battery power and Wi-Fi variability than I am with the lack of electricity for other things.   I felt so cut off without internet access.  To see crowds of people leaning up against closed Starbucks locations’ outer walls to access Wi-Fi is an indication of how digital technology has become so critical to our daily lives.  Now, fully connected, I am able to work at near full capacity in spite of the devastation around me – I just wish my brain was up to my digital capabilities.

Across a broad search on how eBusinesses are dealing with the situation, a number of initiatives arose:

  • Local businesses are already using digital means to try to recover.
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