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eMerchandising Enhancing the Online Shopping Experience ____________________________ part 2 of 3 © 2002 Novator Systems Presentation Overview Part One What is Online Retailing What is Online Merchandising? Aspects of Online Merchandising The Internet as Retail Channel

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emerchandising enhancing the online shopping experience part 2 of 3

eMerchandisingEnhancing the Online Shopping Experience____________________________part 2 of 3

© 2002 Novator Systems

presentation overview
Presentation Overview

Part One

  • What is Online Retailing
  • What is Online Merchandising?
  • Aspects of Online Merchandising
  • The Internet as Retail Channel
  • Merchandising Drives Revenue

_________________________________________________________________

Part Two

  • Customer is Key
  • Design Strategies

Part Three

  • Online Merchandising Tools
  • Online Merchandising Techniques
  • Net Take-Aways
customer is key impacting aov
Customer is Key: Impacting AOV

Better product presentation online would

increase purchases.

-- say 35 % of online buyers

customer is key impacting aov4
Customer is Key: Impacting AOV

In response to prevailing customer preferences,

de facto design standards are

beginning to emerge among e-tail sites

customer is key develop a customer centric pov
Customer is Key: Develop a Customer-Centric POV

Think like a customer:

  • What’s Appropriate : The Dialing Dilemma
customer is key develop a customer centric pov6
Customer is Key: Develop a Customer-Centric POV

Think like a customer:

  • Quality Assurance
customer is key music industry profile
Customer is Key: Music Industry Profile

What Customers Want

• Design Efficiency • Search • Sampling/Downloads/Demos

• Shopping Cart • Product Reviews • Value-Added Content

customer is key music industry profile10
Customer is Key: Music Industry Profile

• Help Desk • First-Time Visitors Welcome

• Reviews & Recommendations

• Cross-Selling • Product Shots • Track Listing

customer is key the physical experience
Customer is Key: The Physical Experience

Customers prefer to physically experience the products cited before buying them. Some products, like clothes and homes, are better suited for interactive presentation than other items, like books or travel.

-- Stacey Herron, Jupiter Analyst

customer is key the mechanics of online shopping
Customer is Key: The Mechanics of Online Shopping
  • There are certain physical and anatomical abilities, tendencies, limitations, and needs common to all people.
  • The online environment must be tailored to meet these characteristics.
customer is key the demographics of shopping
Customer is Key: The Demographics of Shopping

Women:

  • no longer think that a shopping trip is “the great escape.”
  • feel that shopping is still a social activity.
  • demand more from their shopping environments than men.
customer is key the demographics of shopping16
Customer is Key: The Demographics of Shopping

Women:

  • no longer think that a shopping trip is “the great escape.”
  • feel that shopping is still a social activity.
  • demand more from their shopping environments than men.
customer is key the demographics of shopping17
Customer is Key: The Demographics of Shopping

Men:

  • don’t like asking where things are.
  • take no apparent joy in the process of finding items.
  • are more easily “upgraded” than women shoppers.
customer is key the demographics of shopping18
Customer is Key: The Demographics of Shopping

Study of Actual shopping time at a housewares chain:

• •Woman shopping with

female companion: 8 min 15 sec

•• •Woman with kids: 7min 19 sec

•Woman alone: 5 min 2 sec

••Woman with man: 4min 41 sec

Men:

  • don’t like asking where things are.
  • take no apparent joy in the process of finding items.
  • are more easily “upgraded” than women shoppers.
customer is key geography
Customer is Key: Geography

Geomarketing is a phenomenon geared to the increasing diversity in tastes and preferences.

  • Retailers are attempting to develop offers that appeal to consumers in different parts of the country.
  • Online, the focus is on other factors such as age, income, education, and lifestyle.
  • English/FrenchCAN$
  • English/SpanishUS$
customer is key psychographics
Customer is Key: Psychographics

In life, people are motivated by many different things.

  • Certain attitudes and beliefs can be grouped together to develop key profiles of individuals who think and behave similarly.
customer is key price promotions
Customer is Key: Price Promotions

Merchandising must place:

  • greater emphasis on developing the appropriate image to match consumers’ lifestyle.
  • less emphasis on price promotions.
customer is key product characteristics
Customer is Key: Product Characteristics

Some products are difficult to sell online (i.e. gas, food).

Others are easier due to:

  • Convenience
  • Shipping Costs
  • High Value
  • Profitability
  • Suitability
design strategies principles of effective web design
Design Strategies: Principles of Effective Web Design

Fundamentally, Web sites must:

  • be visually appealing.
  • let users figure out where they're going, then get there logically.
design strategies principles of effective web design24
Design Strategies: Principles of Effective Web Design
  • Design Basics:
  • • Simple
  • • Easy to Read
  • • Line Lengths Short
  • • Paragraphs Short
  • • Sub-Heads
  • • Load Fast
  • • Communicate
  • • Accommodate
  • • Organize
  • • Sections. Departments
  • • Site Map
design strategies employ online business strategies26
Design Strategies: Employ Online Business Strategies
  • Effective Marketing Strategy
  • Remove Obstacles
  • Privacy Policy
  • Tracking System
  • Incentives
  • Shopping Basics
  • Submit Pages to Search Engines Properly
  • Learn About Your Customer: Hits, PagesViews, and Unique Visitors

Good design is good business:

design strategies strategic values of effective web design
Design Strategies: Strategic Values of Effective Web Design
  • Brand Awareness
  • Merchandising
  • Audience. Community
  • Information. Impact. News
design strategies tactical values of effective web design
Design Strategies: Tactical Values of Effective Web Design
  • Content • Design • Production • Usability
online merchandising tools content
Online Merchandising Tools: Content

Remind customers of brands and stimulate sales:

  • Text • Graphics
  • Product Photos • Product Information
online merchandising tools content31
Online Merchandising Tools: Content

Signage:

  • Location • Concise • Single-Minded
  • Communication Overload
online merchandising tools functionality
Online Merchandising Tools: Functionality
  • Rich Media
  • Demonstrations
  • Interactivity: Sign Up, Loyalty Programs
  • Functionality: Product Updating
  • Ability to Purchase
  • Customer Service
presentation overview33
Presentation Overview

Part One

  • What is Online Retailing
  • What is Online Merchandising?
  • Aspects of Online Merchandising
  • The Internet as Retail Channel
  • Merchandising Drives Revenue

Part Two

  • Customer is Key
  • Design Strategies

_________________________________________________________________

Part Three

  • Online Merchandising Tools
  • Online Merchandising Techniques
  • Net Take-Aways
  • Online Merchandising Checklist
emerchandising enhancing the online shopping experience end of p art 2 of 3

eMerchandisingEnhancing the Online Shopping Experience____________________________end of p art 2 of 3

© 2002 Novator Systems