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Omnichannel Strategy: How to Think in Terms of Customer Journey Without Boundaries
Modern consumers use various touchpoints throughout their purchase journey. They check social media, websites, mobile apps, reviews – almost every platform available before making a purchase. In fact, 50% of them regularly use four touchpoints in their purchase decision. For these reasons, businesses started to implement an omnichannel strategy.
But why is this approach so important? Businesses with cross-platform marketing are targeting customers on each platform and creating personalized experiences at every step.
In this article, we will explore how to develop and implement an omnichannel strategy for your business.
What is an Omnichannel Strategy?
An omnichannel strategy is a marketing approach that aims to engage customers across all available channels. This strategy is effective as long as customers are interacting with multiple platforms and devices, often simultaneously or in succession. An omnichannel strategy is important because:
- It aligns with modern consumer behavior
- Enhances customer satisfaction and loyalty
- Increases sales and conversion rates
- Provides valuable data insights for business improvement
Harvard Business Review found that omnichannel customers spend 4x more money than single-channel customers.
Difference Between Omnichannel and Multichannel Strategies
Both omnichannel and multichannel strategies involve multiple channels, however, they differ in their core principles, here is the comparison table to better understand the differences:
| Omnichannel Strategy | Multichannel Strategy |
| Integrated, seamless experience | Separate channels operate independently |
| Customer-centric approach | Channel-centric approach |
| Consistent messaging across all platforms | Messaging may vary between channels |
| Data shared across channels | Data often siloed within each channel |
Why the Customer Journey Needs an Omnichannel Approach
Probably, the last time you purchased something, you looked it up online, then read reviews, and maybe even asked your friends for their opinions, right? That is because the modern customer journey has become non-linear and that is exactly why businesses need an omnichannel strategy. Let’s break it down why:
- 88% of consumers research products online before buying, according to Think With Google.
- A Salesforce study says that 90% of consumers expect consistent interactions across channels.
- Customers have multiple touchpoints and an omnichannel strategy ensures these interactions are effective.
- Companies that have adopted omnichannel strategies see a 20% increase in customer retention rates if we compare it to those that haven’t.
An omnichannel strategy recognizes that customers don’t think in terms of channels, but rather they think in terms of their needs and how to fulfill them in the most convenient way.
Key Components of a Successful Omnichannel Strategy
A successful omnichannel strategy requires several specific components:
- To unify customer data, implement a CDP like Segment or Tealium.
- Develop a clear brand style guide and use tools like Frontify to ensure consistency across channels.
- For real-time time-inventory visibility use Oracle NetSuite or Brightpearl.
- For tailored experiences based on customer data: Dynamic Yield or Optimizely
- Implement omnichannel communication platforms like Zendesk or Gladly to maintain context across channels
- For each channel conversion tracking, you can use Google Analytics 360 or Marketo Measure.
These tools and components are useful for creating effective omnichannel strategies. However, if you decide you need an agency to help you in your omnichannel or multi-channel marketing efforts, consider Purplegator.
Steps to Implementing an Omnichannel Strategy
Mapping Out the Customer Journey
To create an effective customer journey map:
1. Use tools like LucidChart to visually map touchpoints
2. Conduct customer interviews and surveys to understand behavior
3. Analyze website analytics and heatmaps using tools like Hotjar
4. Create persona-based journey maps with UXPressia or Smaply
Example: A retail customer’s journey might include:
- Discovering a product on Instagram
- Researching on the company website
- Checking in-store availability on mobile
- Trying the product in-store
- Purchasing online for home delivery
Leveraging Data to Inform Each Step
Practical ways to use data in your omnichannel strategy:
- Implement Google Analytics 4 for cross-platform tracking
- Analyze user behavior in-depth
- Conduct A/B tests to optimize touchpoints
- Utilize IBM Watson or Adobe Sensei for predictive analytics
Example: An e-commerce company might use browsing data to send personalized email recommendations, then use in-store purchase data to refine future online recommendations.
Choosing the Right Tools and Technology for Integration
Key tools for omnichannel integration:
- CRM: HubSpot, or Salesforce
- ERP: Oracle NetSuite; SAP S/4HANA
- CMS: Adobe Experience Manager or Sitecore
- Data analytics: Tableau or Power BI
- AI/ML: Google Cloud AI
Case Studies: Brands With Seamless Omnichannel Strategies
- Disney
- Magic Band technology for a seamless park experience
- Integrated mobile app for planning, reservations, and real-time updates
- Starbucks
- Mobile ordering and payment system
- Rewards program that works across in-store, online, and mobile channels
- Nike
- Nike+ app for personalized product recommendations
- In-store digital experiences that connect with online profiles
- Bank of America
- Consistent banking experience across mobile, online, ATM, and in-person channels
- Across all platforms working appointment scheduling
The Role of AI in Omnichannel Marketing
Artificial Intelligence is changing almost everything including omnichannel strategies because:
- it can analyze huge amounts of data and based on that provide more personalized recommendations or content
- AI chatbots are 24/7 available across multiple channels
- marketers are making more data-informed decisions and predictions based on AI analytics
- AI algorithms are great at optimizing stock levels across channels
- AI systems can better identify suspicious activities and enhance security.
So, businesses can leverage AI tools for better and faster omnichannel strategies.
Measuring the Effectiveness of Your Omnichannel Strategy
Key Metrics to Track (Engagement, Retention, Conversion Rates)
You should monitor these marketing metrics of your omnichannel strategy:
- Customer Retention Rate
- Customer Lifetime Value (CLV)
- Cross-channel Engagement Rate
- Conversion Rates across channels
- Average Order Value
- (CSAT) Customer Satisfaction Score
- (NPS) Net Promoter Score
Analyzing Data for Continuous Improvement
You will need continuous analysis and improvement for a successful omnichannel strategy:
- Regularly review channel performance
- Identify bottlenecks in the customer journey
- Use A/B testing to optimize touchpoints
- Gather and act on customer feedback
- Follow industry updates
Common Challenges in Omnichannel Strategy and How to Overcome Them
- Data Silos
- Solution: Implement integrated data management systems
- Inconsistent Customer Experience
- Solution: Develop clear brand guidelines and train staff across all channels
- Technology Integration
- Solution: Choose flexible, scalable technologies and prioritize interoperability
- Organizational Resistance
- Solution: Foster a customer-centric culture and provide cross-functional training
- Measuring ROI
- Solution: Establish clear KPIs and use advanced analytics tools
Future Trends in Omnichannel Marketing
Increased Use of AI and Machine Learning
The future of omnichannel strategies will be heavily influenced by AI and Machine Learning:
- More sophisticated chatbots and virtual assistants
- AI content creation
- Advanced predictive analytics for personalization
- Automated, real-time channel optimization
Hyper-Personalization and Predictive Analytics
Expect to see:
- individual-level personalization across all touchpoints
- predictive models that anticipate customer needs before they arise
- customer journey real-time adjustments based on their behavior
- augmented and virtual reality integrations
As a business you should adapt your omnichannel strategies to these trends, to meet changed customer expectations in the future. If you need professionals to help you with your omnichannel marketing strategy, contact Purplegator for a free consultation.
FAQs about Cheap SEO Services
- What is an example of omnichannel?
When a customer browses a retailer’s website, then adds items to their cart using the mobile app and then finally picks up their purchase at the physical store. That is an omnichannel experience.
- What is omnichannel marketing vs multichannel marketing?
Both use multiple channels, however multichannel marketing operates each channel separately.
- Who uses omnichannel marketing?
Healthcare, retail, banking, hospitality and so on. Any business that wants to create a cohesive experience for their customers.
- Is omnichannel marketing effective?
Yes, researches consistently show that omnichannel customers spend more and have high retention rates.
- Is Netflix an omni channel?
Netflix has omnichannel traits, as it offers its service across TVs, mobiles and tablets. Also, syncing user preferences across these devices.
- What is omnichannel in simple words?
Omnichannel is a customer-centric approach, with integrated experience across all brand touchpoints, online, in-store, or any other medium.
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