On the afternoon of May 29th, I had the pleasure to give a presentation titled “Digital Signage and Smartphones facing Showrooming at the shopping centre”. This presentation was part of the III Simposium hosted by Crambo Visuales in Madrid. I will post on the event shortly, though I can say that the first of this two-day event had a great relevance and attendance.
Showrooming has become a topic of great research today, as it shows how irruption of smartphones in the market has affected our shopping habits. However, let me say that showrooming is not new: mail shopping catalogs have been around at least since the 1880s (some say that Benjamin Franklin invented them one century before that), and Sony, by the way, opened its first “Showroom” on 1962 in Nueva York.
In my presentation I recalled some of the most relevant figures on smartphone shopping in the US (Source: Statista, 2013)
Also named during my speech, “classic” tips on how to fight showrooming:
- Make distinctive products
- Bundle your product with services: make your offer unique
- Cross-sell even with third party products
- Have the best sales assistant or associates… and reward them!
After that, I reviewed the top five on line shopping websites:
But, what happens after this analysis? The first two are pure on line shops, then Walmart and BestBuy have both on line and brick-and-mortar, and 4th is Groupon, so THERE ARE A LOT OF OPPORTUNITIES AROUND.
If we also review time spent on mobile shopping apps, we will see that Americans spend three times as much on Shopkick (3h 19min / month) than on eBay Mobile, and 50 times more than on RedLaser (a popular best price search app). (Source: BI Intelligence, Nielsen, June 2013).
So, where do we want to go? Shopkick is a good example of Social Media @ Shopping: integrates giving away coupons in exchange of visiting the shop, reviewing products at home or on the move, asking for a product demo, etc. Let us see how it works:
So how could we combine the muscle of these apps and Digital Signage (DOOH)? At the conference I gave some clues based on multichannel or omnichannel preparation. At first instance, in the planning cycle of our multichannel strategy. It is an activity that we should take betweens advertisers, content creators, media buyers, network owners and retailers. See graph:
Lastly, on how to leverage our strategy to counteract showrooming, here are the four key factors:
- Interactive Displays
- Retail mobile Apps
- The shopping experience: the shop (look and feel, shopping assistants, layout)
- And of course “rewards”. What we always call “something in Exchange of something” (I give you my time and loyalty, and you give me a discount)
So, how should we implement? In the Shopping Area, and at the Shop: integrating these mobile triggers in our DOOH display schedule and playlists… SomeDOOH!