Top retail marketing techniques in 2020
To say that retail is in a period of crisis may be a bit of an understatement.
According to the Centre for Retail Research, the number of store closures in the UK is projected to reach 20,620, up from 16,073 in 2019. The crisis is mostly felt by bricks and mortar stores, who find themselves losing the competition against giant online retailers.
However, this doesn't have to spell the end for retail. People are still buying; they're just doing it differently. Thus, it's up to retailers to rise to the challenge and create relevant, engaging marketing that can pull more customers in. Here are just a few ways how.
Augmented reality
Augmented reality (AR) sounds like it should be a tool of the far off future, but you'd be surprised at just how well integrated it's become in the present. Much of that integration is due to the technology we keep close to us — most especially the smartphones in our pockets.
With current trends pointing towards an increasing shift to online shopping, it's up to retailers to adapt. Customers who don't feel comfortable going to physical stores may still be looking for familiar experiences, and that's where augmented reality can come in.
In a previous article, we discussed how fashion brand Asos is doing just that. Their AR tool See My Fit digitally maps the desired product onto a range of models with different body types. This enables customers to check out the fit of a product in detail without having to go to the store. Fast, convenient, and no waiting lines at the dressing room.
Geofencing
Digital advertising has played a huge role in 21st century marketing, and it's something that most retailers are certainly familiar with. However, as consumer habits grow and change, so too has advertising online become more sophisticated.
In that regard, strategies such as using Google ads may be helpful. Most online businesses with significant direct sales rely on google ads management to reach their target market.
Retailers, especially smaller businesses in need of more effective marketing techniques, may want to look into geo-targeted marketing or geofencing. An article on geo-targeted marketing by Triadex Services reports that 80% of customers' disposable income is still spent on stores nearest to them, which makes geofencing and locally-targeted digital advertising more relevant.
The truth is, it is easier and more convenient to handle this form of advertising. Undoubtedly, successful online retailers understand the tremendous power of this strategy, which may explain why it is not advisable to underestimate it.
Omnichannel
Times are a-changing, and retailers will need to change with them. As customers focus more on safety and convenience, the traditional marketing strategies that focus on store-based purchasing patterns may not work as effectively. Businesses must be prepared to adapt to customers' needs, and that includes all processes of the buying cycle. Many companies are doing this already by expanding their omnichannel services.
Rather than rely on in-store pickups, stores are now exploring other options to get products to customers. Curbside pickups, ecommerce, and same-day delivery are just a few of several omnichannel services that businesses can take advantage of. By offering customers convenience and showing adaptability, your company can stay more relevant than ever.
Pay later
Finally, another option that's worth looking into is the possibility of using Pay Later schemes. In an article by Vogue Business on Pay Later options, they state that they are already in use by major fashion brands like Marchesa and Givenchy.
By offering customers the option of making installment payments while giving them the products upfront, retailers can lower the barrier to purchases without having to resort to discounting. This can help retailers expand their audiences and appeal to customers who might otherwise not have purchased their products, including younger, more cost-conscious customers.