Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR

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Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR
Riaprono i negozi
Moda e Lusso:
One-channel è la
stella polare
EY WEBINAR
Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR
Benvenuto
Stefano VITTUCCI
Consumer Products and Retail Italian Leader
Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR
Introduzione di Settore

Armando Branchini
Fashion & Luxury Senior Advisor
Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR
EY WEBINAR | FASHION & LUXURY

Riapertura dei negozi moda e lusso – cosa fare subito – nella direzione omnichannel

Benvenuto - Stefano VITTUCCI, Consumer Products and Retail Italian Leader

Coordinamento - Armando BRANCHINI, Fashion & Luxury Senior Advisor

Rifondare la customer experience
Armando BRANCHINI, Fashion & Luxury Senior Advisor
Elena DE CO', Head of TAS-Strategy Fashion & Luxury
Roberto LAROCCA, Retail and Distribution Senior Advisor
Cosa e come fare, oggi, nelle aree di interazione tra consumatore e marca&prodotto

Sicurezza e servizio: le priorità per la riapertura
Riccardo BOVETTI, Consumer Product and Retail Mediterranean Leader for Assurance

L’innovazione a sostegno dell’esperienza e del posizionamento
Riccardo BIGIO, Executive Director Fashion & Luxury and MED area leader Digital & Innovation

CRM e Clienteling per una relazione personalizzata col cliente, nella Fase 2
Luca GRIVET FOIAIA, Partner - Technology Advisory

Ruolo del Customer Care nella Strategia One Channel
Irene PIPOLA, Partner – Strategy & Operations

Verso il modello One-Channel

One Channel – La trasformazione nel breve termine
Giovanni PASSALACQUA, Partner - Strategy & Operation
Floriana D’ANGELO, Senior Manager - Strategy & Operation / Consumer
Product & Retail

Q&A e Conclusioni
Armando BRANCHINI, Fashion & Luxury Senior Advisor
Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR
Brick & Mortar Store and e-Commerce as two separate retail
                         channels

                 Often underperforming
                           and
 delivering poor service and experience to the customer
Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR
Brick & Mortar Store becomes a Hub

Delivering appropriate service and experience to the customer
                             and
Giving a new meaning to the huge investments made in brick &
                        mortar stores
Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR
Rifondare la Customer Experience

Conversazione a tre:
Armando Branchini – EY Fashion & Luxury Senior Advisor
Elena De Cò – Head of TAS-Strategy Fashion & Luxury
Roberto Larocca – EY Retail & Distribution Senior Advisor
Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR
Stores reopening and new Retail scenarios – Restart and Future Proof strategy

                   Pre Covid           During Covid                      New         Short term Strategy .
                                                        Next                         Protect the Business
                   Situation            Lockdown                        Normal
                                                                                     •   E-commerce boost
                                                                                     •   Cost management
                                                                                     Physical Stores reopening
                                        -30-40%
                        Organic                                                      •   Ensure safety
                                          F&L                          Penetration
                        Growth
                                                       Expected         at 20-27%    •   New selling ceremony,
  E-Comm.             Penetration
                                                      Penetration
                                      +40% Beauty       +6-12%                           stores as ateliers
                       12-15%*       and Cosmetics

                                                                                     Building the New Normal
                         Traffic             Stores   Traffic rebound expected to
                                                                                     •   Physical retail remains
   Physical            -7% CAGR              Closed        take 6 -12 months             strategic
    Retail                                                                           •   One Channel approach
                                                                                     •   Quick Wins (impact 2020):
                                                                                         loyalty and revenue boost

(*) 14,7% overall, 12% for Personal Luxury Goods
Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR
One customer, One Brand, One Channel

                                               Outstanding
                                               Personal
                                               Consistent
                                               Seamless
                                               Customer
                                               Experience
                                               across brand’s
                                               touchpoints

Source: EY Future Consumer Index, April 2020
Riaprono i negozi Moda e Lusso: One-channel è la stella polare - EY WEBINAR
Customers are multi channel – One Channel customer experience

                                                                  Online
                                            ~70%                 business   2008   2008   1994
    ~15%            ~10%
                                             Digitally            launch
 online sales                               influenced           Physical
                   Online
(12% in luxury)     ~5%                                           store     2017   2012   2015
                ShowRooming*                                     opening

                  ~55% Ropo:
                    Research online,               ~60%
                    purchased offline
                                                 Multi-channel

                        ~30%
                    Only physical
(*) Seen in physical store, bought online
One Channel «Recipe»

               Top Commitment and
                                                                 Organization &
               Change Management                                                         Sales & Marketing
                                                                 Accountabilities
                     Program

                                               Operational Processes                IT

Source: EY Future Consumer Index, April 2020
Winning the One Channel challenge – One brand, One Customer, One Channel

   Outstanding and seamless customer experience What consumer wants
             Web                   Physical Store-
                                    Franchising             How to achieve it
                                                            1. Strong ownership and top
    Sito                                         Physical      management commitment
E-commerce                                      Store-DOS
                                                            2. Selection of right partners
                                                            3. Capabilities
                                                            4. Strict program management
                       Apps                                    control

Social
media
                                                            Future proof strategy
                                                            BRANDS → Role and future
                                                            profits
                                                            RETAILERS → survival

                                     Customer
                                      Service
Final Recommendation

                                               4

                                                   3

                                                       2

  Identify the
  target and be                                            1

  focused on the
  next step
Source: EY Future Consumer Index, April 2020
Sicurezza e servizio: le priorità per la riapertura

Riccardo BOVETTI, Consumer Product and Retail Mediterranean Leader for
Assurance
Servizio e sicurezza: l’equilibrio che sposta le priorità

Sicurezza                                                                                  Servizio
Definizione e attuazione                                               Definizione e attuazione di
delle procedure volte a                                            nuove modalità di servire nella
salvaguardare la sicurezza                                                   ricerca di bilanciare la
dei clienti e del personale                                        potenziale minore propensione
                                                                       all’acquisto post lock down

                                 Store Operation Procedure
                   Strumento per cogliere anche l’evoluzione dell’equilibrio
Servizio e sicurezza: alcuni key topics

                                                     ►   Gestione degli ingressi e delle code
            ►   Nuove modalità di ingresso
                                                     ►   Vendita su appuntamento

                                                     ►   Gestione esposizione del merchandise
            ►   Gestione degli spazi e merchandise
                                                     ►   Ridefinizione layout fisico

                                                     ►   Chiusura del ciclo di pagamento

                                                     ►   Gestione del fitting room
            ►   «Cerimonia» di vendita
                                                     ►   Sanificazione spazi e merce

                                                     ►   Rivisitazione delle misure di performance del punto
            ►   Performance Management                   vendita

                                                     ►   Nuovo ruolo del venditore e definizione incentivi
                                                         compatibili con la nuova figura
L’innovazione a sostegno dell’esperienza e del
posizionamento

Riccardo BIGIO, Executive Director Fashion & Luxury and MED area leader
Digital & Innovation
«One Channel» roadmap: 4 fundamental steps to achieve short
term results coherent with the long term strategy

                                              ►   Company status and specific needs
           ►   Digital readiness assessment   ►   Benchmark with competitors
                                              ►   Implementation roadmap

                                              ►   Mapping of digital enablers
           ►   Innovation scouting            ►   Fit with specific value chain needs
                                              ►   Integration context and modalities

                                              ►   Removal of organizational boundaries
           ►   Organization                   ►   Mix of functions and competences
                                              ►   Objectives, incentives and top management support

                                              ►   Coherence with crisis management and restart plan
           ►   Test & Learn pilots            ►   Test & Learn pilots results
                                              ►   Large scale deployment
Innovation scouting: 200+ digital enablers that help facing the
most pressing market challenges in the short and medium term
WHAT                                               WHY                                                  HOW

►   Structured innovation                          ►   Anticipate market and                        ►   Providers of specific products
    scouting approach                                  technology trends and                            and services
                                                       potential future evolutions
►   Each solutions linked to                                                                        ►   Partners for the co-
    specific Fashion/Luxury value                  ►   Technology is necessary to                       development of technology
    chain needs                                        compete with market leaders                      and business solutions

►   200+ startups and innovative                   ►   More suitable to the current                 ►   Potential targets for
    companies mapped                                   crisis than ad hoc solutions                     acquisition
                                                       and enterprise transformation

Platform                             Product       Corporate                             Completion                Engagement

                                                                                                                      Web
            Integration                                                                                                         Intelligence,
 Ecommerce                                                                                                          marketing
              with 3rd    Other SW     Product     Merchand-                 Sales and   Logistic and                             analytics
  platform                                                      Operations                              Payments      and
            party online development development     ising                     retail     fulfillment                                and
development                                                                                                        communica-
             platforms                                                                                                            reporting
                                                                                                                      tion
Virtualization and online stores differentiation

 ►   VR / AR and virtual showrooms

 ►   Sizing

 ►   Progressive delivery, testing and personalization

 ►   Smart mirrors
Inventory, delivery and returns

 ►   Cross channel delivery

 ►   Inventory management

 ►   Returns

 ►   AI merchandising
Digital sales assistance

 ►   Sales assistance and feedback analysis

 ►   Appointment booking

 ►   Chatbots

 ►   Search (AI semantic & visual)
CRM e Clienteling per una relazione personalizzata
col cliente, nella Fase 2

Luca GRIVET FOIAIA, Partner - Technology Advisory
The new normal in the F&L sector
                                    DIFFERENT «SALES PLACE»

              Online Sales                                    In-store
             Increased traffic                ONE                  Reduced traffic
                                            CHANNEL

               CRM tools & techniques are key in the reshape of the
                      customer experience based on:
Personalization                                                Direct Engagement
Products /                 Preferred                          One-to-One   Personalization Communication
 Fit-size                 Sales Place                          dialogue          Channel & Types
The key capabilities of CRM

           5. Integration             1. Clients’ Database

      4. Marketing                           2. Segmentation
      Automation                             and Analysis

                          3. Clienteling
    Nothing new and maybe many companies already have this tools.
        HOW those are designed, deployed, used is key
The key capabilities of CRM

1    Clients’ Database                          2         Segmentation and Analysis
                                                Make In-store appointment a "privilege“
      Big & Rich of Attributes. e.g.                     maximizing conversion also Online with
     Collection of behavioral data during                              clustering:
     lockdown                                   •    Higher Customer lifetime value (CLV)
     Previous purchases phases for best fit /   •    Digital addictied vs adverse
                                                •    …
     size to leverage in store appointment
     …

         Otherwise start to create data              To drive personalized product
      collection campaign and build it              related communication and CTA…
            (with privacy rivalidation)
                                                             … considering trust
The key capabilities of CRM

3    (Mobile) Clienteling
                Store Managers / Sales Assistants to directly engage
                customers inviting for in-store visits ensuring trust.

            Engage                                                                                                  Ensure
     with pre-shopping sessions and
                                                           Schedule                                    the client with in-store presence of
          product presentation                         in-store appointments                              favorites product & security

                                 ALL IN THE CLIENTELING APP - Keeping the control of the client reations and data

        HQ CRM Team to plan Push campaign into the Store rep APP
The key capabilities of CRM

4    Marketing Automation                      5   Integration
        •   Personalized experience of         Full integration for data   collection
            massive online clients                       and experience

        •   Preferred Sales Place: Drive                personalization

            to store Drive to online                Front-end              Back end

        •   Based upon Clustering,
            personalized message & preferred
            Product focused                        Touchpoints,…      Supply chain
        •   …                                                         In store Stock

             Maximizing conversion                                    inventory, …
HOW the new normal is designed, deployed, used is key

                       There are also organizational implications
      Store Reps                                                CRM HQ team
       Key role in the client relationship                            Analytic CRM
       management

       Training and reskilling                                        Centralized campaigns
                                                                      management and planning

 The technology to achieve all this quickly and progressively is now widely available, and people
                              could be realigned to the new normal

 Consider a critical review of the available tools & technology,
    with related process, skills to design a complete and
      ambitious “now normal” and realize it quickly and
                          progressively
Ruolo del Customer Care nella Strategia One
Channel

Irene PIPOLA, Partner – Strategy & Operations
Customer Care is a fundamental component of the Omnichannel strategy

                                                   Client support through an effective Customer Care service should be seen:

                                                     as a caring channel and resolution point of contact with                       For customers
                                                     brands

            Digital                                  as an opportunity to collect customer information and                          For brands
                               Sales
           Marketing                                 additional sales channel

Content                                 Customer
                                                        “Customer care is the activity that 72% of the responders consider
                                          Care            fundamental for the increase of the corporate reputation for
                                                                        E-commerce player and carriers”
                  e-commerce                                        Customer care                                                        72
                   framework
                                                              Purchasing process                                           53
Finance                                Channels                           Delivery                          29
                                                                      Social media                        26
                                                           Resources involvement                     18
                          Customer                                Loyalty program               13
          Supply Chain     Insight                              Payment systems                12
                                                            Printing & Advertising            11
                                                              Events organization        5
                                                                                     0   10      20       30     40   50    60      70        80

                                                                                                                           Source: Il Sole 24 ore
An excellent Customer Care might turn into improved economic performances

 Typically complex Customer Care has been associated to the Service industry (Telco, Banking…) since it
 represented a competitive arena to retain customers

                                            •   Customer satisfaction in the short
                                                                                                          Increase percentage of
                                                term (especially for those with less
   An excellent Customer                                                                                  Sales from CC Upselling
                                                expertise with the full digital service)
    Care Service brings                     •   Higher purchase/repurchase
    different advantages                        propensity                                   + 6-10 %
                                            •   Promotion to friends & family

  A streamline Customer                     The optimization can lead to a first              80%
                                                                                                                   Single contact

    Care management                         contact resolution of 80% on the total
                                            contacts, resulting in a reduction of                   20%            Second interaction
  allows to optimize the                    contacts to be managed                                                 reqiured
     associated costs
Customer Care success factors

                                                               Customer Care Integration with every
                                                               sales channels (One Channel logic)
                                                               to:
                                                               •   Guarantee coherence
                                                               •   Allow agents to obtain the client
Solid competences and knowledge                                    information history
on products to enable:
•  Complete management service
•  Upselling possibilities during
   Inbound contacts

                                                                                  Easy access through different
                                                                                  channels: telephone and digital
                                        Key differentiating                       (e.g. chat, WhatsApp, mail and
                                                                                               social)
                                             elements
                                          of kick starter
                                         Customer Care

Customer Care Agent ownership to                          1°              First contact resolution through
   solve issues and maintain an                                          real time access of all the tracking
ongoing customer relationship – in                                           tools for every case & order
  case of no first contact resolution
Contact center agenda to enable a strong Omnichannel support - Priority list
                EY can provide immediate support and also pursue quick wins based
                            on clients Customer Care level of maturity:

                                                                                               WORLD CLASS
                                                    FROM COST TO
                                                                                               ✓Set up of digital advanced tools: e.g.
                                                   PROFIT CENTER                                 WhatsApp integrated with the sales platform
                                                                                                 to simplify the access to the customer
                                                ✓Change of the monitoring model to
FIX THE BASICS                                    foster sales (e.g. replace # of contacts
                                                                                                 care/social and to allow the easy switch of
                                                                                                 client management from public to private
                                                  and cost per contact to #contacts with         mode
✓Implementation of a monitoring system to         upselling outcome)
  evaluate service quality and to align those                                                  ✓Evolution of monitoring systems to
  mechanism with 3rd parties (#contacts         ✓Set up of commercial training to agents         guarantee the real time coverage of the
  solved/time of resolution/ etc.)                                                               new channels
                                                ✓Implementation of an incentive scheme
✓Set up of an HUB for continuous CC               to promote upselling                         ✓Implementation of advanced analytics to
  improvement to exploit collected info                                                          maximize sales and any proactive
                                                ✓Introduction of digital tools to facilitate     recontacts
✓Agents training and KM to address                cross-channels sales (e.g. digital agenda
  product info requests                           for store appointment)                       ✓Definition of profiling mechanism to
                                                                                                 guarantee the same agent and ease
✓Introduction of basic tools of CRM/ routing/   ✓Evolution of the investment business            “intimacy and emotional connection”
  tracking calls cases to automatize the          case model – to be based on topline vs
  management process                              cost
One Channel – La trasformazione nel breve termine

Giovanni PASSALACQUA     Partner, STRATEGY & OPERATIONS
Floriana D’ANGELO   Senior Manager, STRATEGY & OPERATION – CONSUMER PRODUCT & RETAIL
Looking Forward – Toward a One Channel Strategy transformation

GAIN TRUST & ATTRACT
    TOWARD STORES &
   PHYSICAL CHANNEL/
        TOUCHPOINTS

                                                             ADOPT A STRUCTURED
                                    ONE CHANNEL STRATEGY      AGILE APPROACH TO
                                   TRANSFORMATION GUIDING         INTRODUCE NEW
                                      PRINCIPLES FOR THE    SERVICES & SOLUTIONS
                                       NEW NORMAL NOW

                                                                   LAUNCH A COMPREHENSIVE
                                                                   CHANGE MANAGEMENT PLAN
       UNDERSTAND THE NEW                                          WITHIN THE WHOLE
       CHANGED NEEDS, PRIORITIES                                   ORGANIZATION
       AND EXPECTATIONS OF
       CLIENTS
Looking Forward – Gain Trust

             THE COMPONENTS OF THE VIRUS FREE RECIPE

                                                                    •   ACQUIRE THE RIGHT CAPABILITIES
                            REGULATIONS
                              monitoring
                                                                        MIX AND SET A MULTIFUNCTIONAL
      OPERATIONS                                    BUSINESS            TEAM TO ADDRESS THE DIFFERENT
       sustainability                              CONTINUITY           “RECIPE COMPONENTS”
                                                    guarantee

                             Health Services &
        Design of           operating guidelines
                             to guarantee the
     TRAINING and                                      Supporting        •   DEFINE AN INTERNAL – CROSS
   internal & external        HEALTH AND
  COMMUNICATION               SAFETY of all
                                                     TECHNOLOGY              DEPARTMENT TASKSFORCE TO
                                                      ENABLERS
       to all the              stakeholders
                                                        scouting             SPEED UP STRATEGIC DECISIONS &
     stakeholders
                                                                             EXECUTION

                  INDUSTRIAL
                                         WORKFORCE
                   relationships
                                         management
                  management
Looking Forward – Understand new customer needs

                             KEY COMPONENTS TO BE TAKEN IN CONSIDERATION

                                        NEW NEEDS, PRIORITIES
         The Centrality of                 & EXPECTATIONS                  A deep listening to
         ENGAGEMENT                                                         CUSTOMER voice
         ACTIVITIES

                                                                     <
  The potential related to                                                               Strengthened
  Sales ADVISORY SERVICES                                                        1-to-1 RELATIONSHIP

         The impact of                                                            Optimized
         PRODUCT                                                           CROSS-CHANNEL
         PRESENTATION                                                      purchase process
Looking Forward – Adopt a “structured” Agile Approach

                                        Learn from test

  EMPHASIZE               DEFINE             IDEATE           PROTOTYPE                      DEVELOPMENT
                                                                & TEST

                   Phases can be managed in parallel, be consequent or reiterated
               They are just different modalities that contribute to an integrated project
Looking Forward – Launch an adequate Change management plan

                                                  CULTURE &
                                                WAYS OF WORKING

                                                      PROCESSES, ROLES &
                                                         ORGANIZATION

                   MANAGING THE
                     CHANGE
                                                         EMPLOYEE
                                                        EXPERIENCE

                                                  COACHING
                                                  & TRAINING
One Channel, lessons learnt

One lesson learnt from the disruption caused by Covid-19 pandemic: physical and digital channel have to permeate and boost each other
along the entire funnel, while evolving their self-standing features

1. REVISE THE JOURNEY                                                        3. RENEW «EXCLUSIVE»
  ENGAGING ALONG THE                                                           RETAIL, 50% STORE &
                                                                                    50% HUB
    OVERALL FUNNEL                      2. RESHAPE THE SALES                                                            4. STRENGHTEN ECOMMERCE
  VoC & Light Sentiment                  «CARING» CEREMONY                 Drive to store & ship from store                 & PRODUCT DISPLAY
Survey, Customer Analytics                                                  processes activation, online
                                    Sales Process Review, Customer              booking launch, store                     Operating model features
Digital Audit, New service &
                                      profiling & Personalization,             premiumness strategy                     optimization, UX/UI and digital
     experience design
                                       Store Assistant training &                                                       boost, info commerce & virtual
                                       Coaching, virtual assistant                                                          showrooming support

   New Basics &    New Contents      FROM…                          …TO
   Foundations
                                                                                    Improve Store traffic & Upselling
                                                                                    • Online booking
                                                                                    • Click/Pay Collect
             CUSTOMER                                                               • Return in store
             PORTFOLIO                                                              Support Efficiency
                                  Store Assistant   Personal    Virtual             • Ship from store
                                                    Shopper    Assistant
 New Initiatives   New Services
Q&A
Contatti

Stefano Vittucci                                 Riccardo Bigio
Stefano.Vittucci@it.ey.com                       Riccardo.Bigio@it.ey.com

Armando Branchini                                Luca Grivet Foiaia
Armando.Branchini@it.ey.com                      Luca.Grivet-Foiaia@it.ey.com
Elena De Cò                                      Irene Pipola
Elena.De.Co@it.ey.com                            Irene.Pipola@it.ey.com
Roberto Larocca                                  Giovanni Passalacqua
Roberto.Larocca@it.ey.com                        Giovanni.Passalaqua@it.ey.com
Riccardo Bovetti                                 Floriana D’Angelo
Riccardo.Bovetti@it.ey.com                       floriana.dangelo@it.ey.com

                    Per ulteriori informazioni, visitate www.ey.com/covid-19

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