Numbers are in for Black Friday and Cyber Monday, and retailers are taking note. Technology -- particularly mobile -- has changed the face of retail forever, putting consumers firmly in the driver's seat and prompting both consumers and retailers to change their behavior forever. According to the Adobe Digital Index, the most comprehensive report of its kind based on analysis of aggregated and anonymous data from more than 1 trillion visits to 4,500 websites, Cyber Monday -- the Monday after Thanksgiving -- set a record as the largest online sales day ever, with $3.07 billion spent by end of the day, 16% more than 2014. (Adobe predictions for Thanksgiving and Cyber Monday last year were within 2%.) Emboldened and empowered, consumers will not be duped or delayed as they shop; informed and integrated, retailers leverage SAP-based solutions to provide a seamless, personalized experience across all channels that cements customer loyalty.
Black Friday, Cyber Monday by the numbers:
Shoppers show in large numbers
Traditionally two of the biggest shopping days of the year, Black Friday and Cyber Monday did not disappoint in 2015. According to the National Retail Federation’s Thanksgiving Weekend Survey conducted by Prosper Insights & Analytics, more than 151 million people said they shopped either in stores and/or online over the weekend. NRF reports that nearly 102 million shoppers headed to stores, while more than 103 million shopped online.
In-store sales stall
ShopperTrak estimates brick-and-mortar retail sales on Black Friday weekend – Nov. 26 - Nov. 29 – hit $20.43 billion, which is an estimated 10.4% decrease versus 2014.
Of those who shopped in stores over the weekend, 72.8% – 74.2 million shoppers – said they shopped on Black Friday, the biggest day of the weekend; another 34.6 million (34%) said they shopped on Thanksgiving Day and 46.8 million (45.9%) shopped on Saturday, according to NRF.
Cyber sales soar
Cyber Monday -- the Monday after Thanksgiving -- set a record as the largest online sales day ever, with $3.07 billion spent by end of the day, or 16% more than the $2.64 billion spent in 2014, according to Adobe Inc.’s Adobe Digital Index.
Thanksgiving Day through Cyber Monday, according to Adobe, will drive a total of $11 billion in online sales, a 15% increase year-over-year.
According to Adobe, brick-and-click retailers saw the strongest growth in year-over-year sales with an 18% increase, debunking the myth that Cyber Monday is an ‘online-only’ retailer day.
Mobile deepens its mark
As expected, mobile's share of online sales was sizable. 32% of online sales were made on a mobile device, with 20% from a phone and 12% from a tablet, according to Adobe. More than $156 million in sales is attributed to mobile devices -- $98 million from phones and $58 million from tablets.
The top takeaway for retailers – customer satisfaction
So what do these numbers vis-à-vis in-store vs. online shopping mean for retailers? No data scientist needed for this one. Today's consumers demand both; moreover, they expect nothing less than a personalized, effortless, and enjoyable experience across all channels and touch points -- and, of course, the very best value.
In essence, consumer behavior during the Black Friday-through-Cyber Monday shopping extravaganza illustrates what consumers want from their daily shopping experience, namely, satisfaction.
What’s your customer satisfaction (growth) strategy?
Clearly, consumer expectations have risen sharply over the past several years. The status quo is no longer sufficient. Consumers crave immersion in their world, not the world as defined by traditional retail. They want to participate with a brand that knows them, shares their values, and makes transacting business a natural activity, one that is as engaging as it is helpful, as enjoyable as it is practical, as honest and safe as it is easy, memorable and fun. Consumers crave interactions with retailers that are both effortless and satisfying.
SAP Sales Insight for Retail analytic application and e-commerce solutions from hybris help retailers leverage omni-channel excellence to provide the immersive experience consumers will embrace today, and talk about tomorrow.
Powered by SAP HANA and populated with real-time data from ERP, CRM and other systems (SAP and non-SAP), and integrated with SAP Analytics solutions, the hybris multi-channel solution delivered by NTT DATA empowers retailers to tap a customer’s individual profile, past buying behavior and relevant product information, and based on lightning-fast analysis of this information at the point of transaction, offer an incentive such as matching an online price, or waving shipping costs, or bundling product offerings, etc.
In addition to understanding customer behavior and individualizing the customer experience, a selection of additional capabilities of SAP-based solutions for retail by NTT DATA includes predicting purchasing trends, identifying new sales opportunities, maintaining inventory control, streamlining supply chain operations, and, of course, seamlessly unifying multiple sales channels.
At NTT DATA, we invest in SAP innovations to ensure that our retail customers always get the most from their SAP investment. We invite you to engage with us to help you define and execute your immersive, omni-channel customer engagement strategy.
Post Date: 2016-01-21