AUSTIN, Texas--(BUSINESS WIRE)--Retailers have barely reached the halfway mark in their journey to omni-channel maturity, according to the results of a new report from Starmount and Retail Systems Research (RSR).
The Starmount and RSR Omni-channel Maturity Self Assessment report, available for download here, is based on survey results from a wide range of retailers that rated themselves on six dimensions of omni-channel maturity: Customer, Product, Inventory, Order/Fulfillment, Locus and Technology. The report provides valuable insight into the steep challenges that retailers face in delivering the kind of omni-channel shopping experience that consumers demand.
Key findings from the study include:
- Retailers ranked weakest in order/fulfillment capabilities. The lowest overall rankings (an average score of 2.7 on a 6-point scale) were in omni-channel order and fulfillment capabilities, highlighting the retail industry’s struggle to reorganize supply chains for more flexibility and a lack of focus on delivering the services their customers expect.
- 67 percent of retailers were “inefficient” or worse in integrating in-store and digital experiences. While consumers expect a seamless shopping experience, retailers fall far short in providing this, especially at the store level. Retailers need to accelerate the pace of change in their stores in order to bring in omni-channel capabilities, particularly with in-store mobile devices.
- 71 percent of retailers are unable to successfully measure omni-channel customer engagement. Moreover, only 34 percent of retailers reported customer data collection capabilities at the “performing” or “differentiator” levels. Overall, customer engagement is not measured, and only basic statistics that are relevant to marketing are tracked at all.
- Half of all respondents were inefficient or worse at responsibility and ownership of omni-channel inventory. Moreover, 60 percent said they were inefficient or worse at maintaining inventory visibility across channels, and a disappointing 44 percent of respondents report “no capability” when it comes to measuring inventory performance.
“In today’s retail environment, shoppers don’t make any distinction among retail channels; instead, they expect an integrated physical experience that bridges the digital and in-store worlds,” said Jerry Rightmer, EVP and Chief Product and Strategy Officer, Starmount. “Delivering on that expectation is the core challenge of omni-channel retailing — and this new report indicates that most retailers still have a long way to go in meeting customer expectations.”
“Part of the challenge in navigating omni-channel change is understanding how much change is really necessary,” said Nikki Baird, Managing Partner at Retail Systems Research, LLC and an author of the report. “Up until now, I think a lot of retailers have tried to protect their businesses from change, rather than embrace it, and this report will hopefully help retailers not only understand how far they have to go, but what that future omni-channel end-state might actually look like.”
To read more results from the survey, download the full report here. Retailers will also have the opportunity to complete the survey for a free, personalized report from RSR detailing their own omni-channel readiness.
Starmount software solutions bring the richness of the Web and the power of mobile into the store, where retailers can create more personalized, relevant and dynamic interactions with customers. From mobile selling and cross-channel engagement platforms to digital signage, our retail solutions transform the store environment into a more connected, engaging shopping experience. Headquartered in Austin, Texas, Starmount works with a diverse client base of leading retailers around the world, such as Pep Boys, Urban Outfitters and Perry Ellis. www.starmount.com
About Retail Systems Research
Retail Systems Research (RSR) is the only research company run by retailers for the retail industry. RSR provides insight into business and technology challenges facing the extended retail industry, and thought leadership and advice on navigating these challenges for specific companies and the industry at large.
RSR’s services include benchmark reports covering the state of retailer technology adoption for topics ranging from merchandising and supply chain, store operations and workforce management, to customer-facing and multi-channel technologies. Custom research reports provide more in-depth views into topics of industry interest, and advisory services help retailers and technology vendors make the most of the insights RSR provides.
To learn more about RSR, visit www.rsrresearch.com.