For months now, retailers have been anxiously awaiting the second iteration of the world's most popular e-commerce platform, Magento. The first Magento has been a smashing success, with its Community Edition capturing more than 25 percent of the market. Overall, nearly 30 percent of all e-commerce retailers utilize either Magento Community or Magento Enterprise, according to research from aheadWorks released in May 2015.
In mid-July, the Magento team made a very exciting announcement: It had released the Merchant Beta version of its Magento 2 platform, representing the final stop on the road to general availability, slated for the fourth quarter of this year.
Right now, a specially selected group of merchants and Magento partners are testing out the Merchant Beta version, a good indication of what's to come with the full version of Magento 2.
"Magento noted that this pre-release will offer a sneak peek of what retailers can expect when the solution is fully available."
Merchant Beta: What can retailers expect with Magento 2?
In a blog post announcing Merchant Beta, the Magento team noted that this pre-release will offer a sneak peek of what retailers can expect when the solution is fully available. Magento noted that Merchant Beta "will be fairly close in look, feel and function to the GA product." In addition, it pointed out that the purpose of the Beta version is to enable certain vendors to test the platform in real-world conditions "to fully vet the software before general availability later in the year."
Those currently testing the Merchant Beta platform have been asked to leverage the system in actual working conditions, deploying new websites and upgrading existing ones. Magento noted that it recruited a wide range of retailers to ensure diversity during the testing process.
"We have signed up a variety of merchants across multiple industries and regions, and of various sizes and complexity, to ensure we are testing across [a] varied set of use cases," Magento stated. "We're deeply committed to ensuring that our merchants have the best platform possible at GA and that our robust partner ecosystem is prepared to help merchants through the upgrade process."
The retailers with access to Magento 2 Merchant Beta aren't working alone – Magento's team of expert consultants, support agents, system integrators and technology partners have been involved with businesses' Beta projects as well.
What's new in Magento 2 Merchant Beta?
Because Magento has noted that the similarity of its Merchant Beta to the full Magento 2 release, many are studying the Beta version's new features and capabilities. According to Magento and Amasty contributor Ksenia Dobreva, the Merchant Beta version comes equipped with a number of upgrades:
Overall, these updates and enhancements promise to provide a platform with considerably improved performance, on both the merchant and client sides.
Worth the wait: Preparing for general availability
While the magnifying glass is currently on retailers testing out the Merchant Beta version, Magento hasn't left other vendors out in the cold. The team has a number of assets – including its white paper on the new Data Migration Tool – and training sessions available for enterprises in order to prepare them for the launch of Magento 2.
"As we complete the final vetting of the platform, we encourage developers and partners to start taking advantage of the resources and tools that we have made available to prepare for general availability of Magento 2 later this year," Magento stated on its blog.
In addition, it's also helpful to have an expert Magento hosting partner by your side. Hostway ensures that Magento operates at its best, and also provides hundreds of extensions and resources to boost your site's performance and features.
To find out more, contact Hostway today.
We all have our favorite foods that, try as we might, we simply can't resist. Mine happens to be the ooey-gooey, sweet goodness that is the Cinnabon. It's not just the warm, flakey cake smothered in cinnamon, it's the sugary frosting that really ties it all together. The e-commerce industry could learn a thing or two from these masters of pastry about enticing consumers.
The world of e-commerce is more competitive than ever before, with mom-and-pop shops now able to access tools that level the playing field with industry giants. It's increasingly important to attract new and existing customers and encourage interactions, so businesses are looking for strategies to make these connections possible.
So how can you harness the temptation factor of your favorite food and apply it to your e-commerce business to stay top-of-mind for consumers? Let's take a look at how to make your company as tempting as a Cinnabon:
1) Tailor, customize and personalize
One way to become irresistible is to offer customers a more personalized experience using product recommendations and customized deals. Give the shopper something they won't see anywhere else. This boosts the chance that they'll not only visit more often, but make more planned and impulse purchases as well.
Practical Ecommerce contributor Armando Roggio pointed out that personalization in the e-commerce industry is similar to dating - the brand has to be willing to take a few risks to capture the attention of its clients. Roggio recommended working to understand the interests of each consumer, and being available to their clients when they need assistance.
2) Reach out on a frequent basis
When I see a Cinnabon - especially the one that's mere blocks from my house - it's hard not to crave the cinnamon-y goodness. E-commerce brands can use a similar approach to make their customers crave an interaction with the brand.
Instead of waiting for shoppers to come to you, tempt them with regular communications, including email campaigns, mobile app notifications and social media posts. Email messages are another opportunity for the brand to tailor content for customers by including names, product recommendations or special deals on items in the shopper's wish list. Frequent communication with the brand makes an interaction - and an eventual purchase - hard to resist.
3) Offer deals on the items your customers want
Discounts are tempting, but not as enticing as a deal on a specific item that a customer has been eyeing. If your favorite restaurant offered 20 percent off your favorite entrée, wouldn't it be difficult not to eat out that night?
Take personalization a step further by offering specials on items that shoppers have viewed before or have added to their wish list. Notifying a customer that the price of a product has changed or that shipping has been discounted encourages an interaction with the brand that will likely lead to a transaction.
"Companies stand to lose a staggering 25 percent of their business if pages take more than 4 seconds to load."
4) Ensure they don't have to wait
Once you've attracted the customer to the website there's one last piece to the puzzle: Ensure they don't have to wait for slow-loading pages.
KISSmetrics noted that a slow website can directly impact customer interactions. In fact, companies stand to lose a staggering 25 percent of their business if pages take more than four seconds to load. Considering that the average e-commerce site took nearly double that to load in 2014, it's possible that your brand has some work to do.
One way to prevent waiting is to utilize a robust hosting provider like Hostway. We can ensure your brand has the capacity it needs to support a fast website, as well as tools like Magento and other solutions crafted especially for e-commerce.
To find out more, contact Hostway today.
Recently, industry leader Amazon blazed a trail with its Prime Day event, promising specials and discounts that were unavailable to customers on Black Friday. While it came and went with mixed reviews from customers, Prime Day did showcase one way retailers can make a splash – so long as they're prepared for the resulting influx of customers.
Many brands host events like this, offering deep discounts and other incentives to customers to boost their client base and revenue. However, one important aspect to keep in mind here is preparation – the company's online platform, in particular, must be ready to handle the large number of consumers rushing to take advantage of these deals.
"Retailers can make a splash in the marketplace – so long as they're prepared for the resulting influx of customers."
It may seem obvious to have extra support and resources in place to handle the increase in customers during a large event. However, some companies get caught unprepared.
CDNetworks reported that there were several notable website crashes during the 2013 holiday season in particular, where retailers simply didn't have adequate support to account for the considerable boost in demand. Big names including Walmart, Motorola and Canada-based Future Shop were all inundated with customers on Black Friday and Cyber Monday, and some customers were unable to access the discounts they were promised.
This can be considerably damaging for the brand, and have a negative impact on the company's reputation. But it's not just a website crash that can cause business to suffer – if a website isn't performing as quickly or optimally as it should, shoppers will likely seek out a competitor. For this reason, it's imperative to ensure ahead of time that the platform is ready to support clients' needs during a large event.
What should retailers prioritize as part of their preparations? KISSmetrics advised putting security at the top of the list, especially in advance of a big sale. In addition to regular shoppers, an online sale could also attract the attention of cybercriminals with malicious intent.
When examining security, KISSmetrics recommended performing an audit with the help of an expert consultant to pinpoint any weak spots in the company's infrastructure. In addition, retailers should also run cyberattack scenarios to see how their platform would react to an infiltration. These activities will provide a blueprint for protection improvements, illuminating specific areas in need of patches or better safeguards.
It's also important that the security in place provides peace of mind for the customer, as well as the brand. It's common practice – and required by industry guidelines – to have SSL protection in place. KISSmetrics suggested ensuring that the trust seals associated with the certificate are prominently displayed so customers know their sensitive information will be protected.
In addition to website security, it's also essential to test the website to see how it will react to the target influx of customers that will come to take advantage of the online sale or event. Hosting providers recommend a few best practices when it comes to load testing, including pinpointing testing goals and initial benchmarks, as well as deciding on the data collection methods, scripts and testing environment that will be used.
Tests will often uncover common issues including needs for improved compression, a content delivery network, more efficient code or full page caching to enhance performance. Once the problems are pinpointed, the IT team can work to mitigate these problems to help ensure the best experience possible for shoppers.
Scale hosted resources to account for boosted demands
The final, and perhaps most important, piece of the puzzle concerns hosted resources. A robust hosting partner can help the company scale its environment appropriately to ensure the proper support is in place for the rise in customer demand. This will not only prevent the website from crashing, but will also ensure that the platform is as responsive as possible and performs at its best.
To find out more, contact Hostway today.
Today's e-commerce market is more competitive than ever, and customers have abundant options for purchasing the goods and services they seek. Thus, it's imperative that e-commerce organizations set themselves apart.
This, however, is often easier said than done. The market is expected to hit $395 billion in revenues by 2016 in the U.S. alone, and exceed 215 million shoppers by 2018. This creates high stakes for even the most well-known online retailers, vying for customers' attention and loyalty.
Thankfully, there are a few best practices these businesses can adhere to in order to better position their brands for success.
"The market expected to hit $395 billion in revenues by 2016 in the U.S. alone, and exceed 215 million shoppers by 2018."
1) A robust online presence
You know an e-commerce organization requires a website. What other components should be considered?
Many retailers are branching out beyond product descriptions and a payment portal. Blogs, videos and social media engagement have become increasingly popular. Web content can also be diversified beyond the traditional sales-geared material, helping to educate customers and spread awareness of industry-specific news and how-tos.
2) Support for a variety of payment portals
There's nothing more frustrating than heading to the store with your debit card, only to realize that the vendor only takes cash. The same can be said for e-commerce payment methods. As a result, it is important that retailers offer support for a range of options so that customers can utilize their preferred method.
While nearly every online site accepts traditional credit and debit cards, payment options like PayPal, Apple Pay and Google Wallet are widespread as well. Without support for these payment portals, a business could be missing out on sales.
3) Speed
As noted previously, customers have several options at their disposal when it comes to e-commerce: If one retailer can't deliver they will find another vendor. One way to differentiate a brand in this competitive marketplace is with a fast website with pages that load quickly.
According to KISSmetrics, nearly half – 47 percent – of consumers expect that a retailer's page will load in 2 seconds or less. After that time, the chance for abandonment steadily increases. The vast majority of customers – 79 percent – are unlikely to visit a website again if they have been dissatisfied with it in the past.
In order to offer the best customer experience, speed is key. And with a best-in-class hosting provider by the company's side, they can be assured that the proper support is in place to enable a fast, responsive platform.
4) The very best in content management
Managing all the content included in a company's online store and blog can be quite the daunting task, especially when the right tools aren't in place. In recent years, the go-to option in the e-commerce industry has been Magento, and for good reason. Magento offers all the capabilities today's e-commerce firms need to ensure their website stays up-to-date and resources are quickly made available to customers.
Magento includes a range of options for user interface and user experience, as well as support for mobile sites. Magento also offers the ability to reach out to clients that have abandoned their shopping carts, and includes support for PayPal and several other payment portals. Magento is also supported by a large, active community creating mods for a wide variety of purposes.
When paired with the services of a leading hosting provider, Magento can make all the difference for e-commerce firms. Magento hosting from Hostway can help ensure that your store is always reliable and accessible, even when special promotions or events drive traffic through the roof.
To find out more about how Hostway takes Magento to the next level, contact one of our Magento specialists today.
We've all heard the phrase "the best thing since sliced bread," used to denote a game-changer, an innovation that really made an impact.
This first time this phrase was recorded was in the early '50s, when comedian Red Skelton told a local news publication not to fret the rise of television, as it was "the greatest thing since sliced bread," according to Today I Found Out contributor Matt Blitz.
"The invention of sliced bread was yet another case where things humans used to do by hand were now being done by machines, making it significantly more convenient than ever before," Blitz wrote.
Nowadays, it's a bit more difficult to create something as ingenious.
However, the Magento team is definitely coming close with their upcoming release of Magento 2.
Magento has been the industry leader among e-commerce platforms for a number of years. According to the latest statistics from Datanyze, Magento currently claims a 25.12 percent market share of the Alexa top 1 million websites, with more than 20,000 websites supported by the platform. Within the last month, nearly 2,000 websites have been launched with Magento. Over its lifetime, Magento has been downloaded a staggering 4 million times.
Magento: Already an industry-leading technology
Before packaged, sliced bread was available, people still ate sandwiches: They just had to slice the bread themselves. Magento 2 will be similar: It's simply a follow-up to something that's already great.
"Providing their clients with world-class service and cutting-edge tools, Magento gives online retailers the ability to take their e-commerce business to a new level," hailed Datazyne.
Magento 2: What's the big deal?
So if the original Magento platform is so great, what's with all the buzz about Magento 2? Scheduled to be released for general availability in Q4 of 2015, it promises to build on the greatness of its predecessor, taking this leading technology to new heights.
"Magento currently claims a 25.12 percent market share of the Alexa top 1 million websites, with more than 20,000 websites supported by the platform."
The Digital PM noted that the Magento team has a number of improvements and advancements in mind for Magento 2, including updates to the technology stack, more simplified external integrations and enhanced performance and scalability. In addition, Magento 2 promises a streamlined customization process, easier installation and upgrading processes and improved testing and documentation resources.
What else can users expect from Magento 2? Let's take a closer look:
The industry is currently buzzing about the release of Magento 2, and for good reason. The platform promises to be even greater than its predecessor, and for the e-commerce sector in particular, it will be the greatest thing since sliced bread.
In recent years, the retail industry has shifted its focus increasingly toward more security-centered business processes. As the threat environment continues to evolve, the personal information of retail customers is still incredibly valuable for hackers, and thus remains a prime target.
In addition, instances of breached retail data have been on the rise. The past year brought us a number of high-profile cases that impacted millions of customers, affecting Home Depot, craft store Michaels and Dairy Queen.
As vendors collect ever-expanding databases of information about their customers for marketing and customization purposes, the retail industry becomes an even more attractive target.
"With some retail stores suffering data breaches affecting millions of people and recovering after data was stolen from customer credit cards, businesses need to balance a desire for more data while keeping IT systems secure," wrote Tech Page One contributor Brian T. Horowitz.
As a result of these conditions, retailers are placing a higher importance on security.
Hoarding data: Protecting sensitive customer information
These days, a rising number of retailers use predictive analytics, where historical and real-time consumer information is leveraged to predict future preferences. While the plethora of data collected can provide real benefits for both the brand and its clients — including a more tailored, enjoyable end-user experience — it can also create considerable risk.
U.S. Representative Peter Welch noted at the National Retail Federation conference in early January that these practices have to come with a balance between information gathering for marketing purposes and concern about security and breaches. For this reason, Welch and other lawmakers proposed creating a single set of standards for the retail sector to rely on to prevent breaches.
"You can't have a retailer dealing with 50 different standards, so the challenge for us is to come up with a standard that's simple and straightforward for the retailers," said U.S. Rep. Marsha Blackburn.
Boston Retail Partners Principal Ken Morris told Luxury Daily that the current threat environment calls for more robust standards in the industry.
"Simply meeting PCI compliance standards is no longer sufficient to protect customer data," Morris said. "Hackers have become increasingly sophisticated, requiring retailers to reanalyze and revamp their current security protocols to adequately protect their customers and their brand."
Until a new standard is established, retailers can fall back on the protection measures that are consistently required in current guidelines. These include encryption to safeguard customer details as well as authentication credentials for the databases containing this information. With these security measures in place, chances of a breach or other unauthorized access are greatly reduced as only those with the proper usernames, passwords and decryption key are able to view protected data.
Securing payment systems
A recent survey from Boston Retail Partners found that 63 percent of all retailers reported that payment security is among their top three priorities this year. With Neiman Marcus and Kmart suffering through payment system infiltrations, it is more important than ever to make sure these systems are secure. A breach doesn't just impact the customers whose information was leaked, it's a bad reflection on the brand.
"To breach is to die. It is a brand killer and CEOs will lose their jobs," Morris said. "Retailers are taking this risk seriously, as the negative impact of a data breach can be massive in terms of financial cost and, more importantly, the damaging effects on customer perceptions and loyalty."
In this spirit, many retailers are looking to upgrade their payment systems to leverage the EMV standards set by Europay, MasterCard and Visa. Currently, companies must comply by October 2015 to avoid being held responsible — instead of the financial institution — for any fraudulent charges.
Other retailers are shifting their encryption processes so that the decryption key is stored by the bank instead of the vendor. In this way, hackers have to breach the bank as well as the retailer to access sensitive information. Luxury Daily noted that 45 percent of retailers are planning to increase their encryption capabilities by October.
Companies are also increasingly leveraging tokenization processes, where customers' payment card information is turned into a token. This prevents any third parties from gain access to the card number or other associated information.
Overall, one of the best ways to boost security is to work with an expert like Hostway. Hostway provides a range of security services via both its network presence and its application use. Hostway also offers anti-virus, threat analysis and testing. To find out more, contact Hostway today.
Hostway's #MoreThan Mania, our E-Commerce Roadshow, is coming to a city near you!
Emphasizing flexibility, expertise and responsiveness, Hostway's Magento offerings provide more than you'll get from most hosting providers. Learn more at our roadshow, which is coming to South Florida, Denver, Boston and Philadelphia in the next five months. Our first stop is in Fort Lauderdale:
We have put together a collection of leading e-commerce experts from around the country to join us in South Florida at the Marriott North in Fort Lauderdale for the eCommerce Expo. Our partners at this event include:
We will talk about Magento Community Edition and Enterprise Edition, along with various extensions that can increase your efficiency. Join in the social conversation by using #EcommerceSFL! Sign up for this free event here, or learn more about Hostway’s e-commerce solutions at our website's Magento sub-section.
Hope to see you there!
The phrase "The customer is always right," took hold in the early 1900s, when Harry Gordon Selfridge of Selfridge's department store first uttered it. As, the world of commerce changes, the commitment to addressing consumers' preferences and demands never fades.
In today's landscape, it can be challenging to ascertain what a brand's consumer base wants. Thankfully, some of the guesswork can be taken out of the equation by looking at current industry-wide trends.
So what exactly is today's e-commerce customer looking for?
Mixing channels through mobilization
Much of e-commerce requires utilizing an array of channels, including a company's website as well as its brick-and-mortar location. A recent study from PricewaterhouseCoopers illuminates some of the reasons customers worldwide leverage multiple channels.
The study found that over half of today's consumers — 52 percent — make their purchases through online platforms because they've experienced better prices or discounts. Another 47 percent also noted that online shopping capabilities enabled them to connect with brands and make purchases at any hour, whereas physical store locations were beholden to specific hours of operation.
The study also found that many consumers utilize several channels during their purchasing journey. For instance, 76 percent of participants said they visit stores to browse and check out merchandise in person before completing their transaction online. This enables these clients to see and touch the item, giving them a better idea of what they'll eventually be purchasing online.
Another 65 percent of consumers take the opposite approach, browsing online and then making their purchases in-store. This prevents them from having to pay shipping or other extra costs through the online channel.
While mobilization is a big part of these activities, only one-third of survey respondents said they were happy with brands' practice of mobile device location targeting. Although this strategy can enable more personalized, targeted advertisements, the majority of consumers were uncomfortable with the idea.
A personalized shopping experience
A separate study from MyBuys found that consumers do appreciate a certain level of personalization, especially when items are suggested based on their past browsing and shopping preferences. According to the survey, 53 percent of participants will spend more with a brand that makes merchandise recommendations according to the shopper's previous browsing or transaction activities. In fact, 39 percent noted that it can be frustrating when a brand does not personalize their shopping experience in this manner.
"Consumers want consistent personalization everywhere they shop and on every device they use," said MyBuys President and CEO Rita Brogley. "Consumers engage and shop more when they receive a truly personalized shopping experience across all channels. When done right, customers consider personalization a valuable service rather than an annoyance."
Brogley also pointed out that this strategy is beneficial for the brand as well, as it often leads to higher conversion rates, increased sales and boosted brand loyalty.
Personalized pricing: The future of the customized shopping experience?
Business of Fashion contributor Kate Abnett noted that some brands are taking customization a step further with a practice known as personalized pricing. This approach is nothing new, however, and is akin to a market vendor offering a specific price based on what they think a customer will pay.
By leveraging information including past browsing and purchasing behavior, it is now possible for a company to not only predict what a customer might be interested in buying, but when they are likely to make the purchase and the price they will be willing to pay.
"In theory, charging all consumers the same price is ineffective, because some of those consumers would have been willing to pay more, while others who opted not to buy would have responded to a lower price," Abnett wrote. "Personalised pricing, so the economic theory goes, can save companies this lost revenue. By analysing customer data, a retailer can work out a customer's 'reservation price' — the maximum amount they would be willing to pay for a specific product, before they had 'reservations' about buying it — and then charge them that amount."
Although this strategy has been leveraged by e-commerce giant Amazon for several years, it has yet to take hold in the majority of the industry. However, it could represent the future of the customized shopping experience.
Overall, these trends reveal one very important underlying aspect: Companies must have a robust online presence, including an optimized website, in order to address current consumers' needs. These resources can make all the difference, especially when hosted through an expert provider like Hostway. To find out more about e-commerce hosting and other essential solutions, contact Hostway today.
For merchants, agencies and technology partners, the Imagine Conference is one of the most highly anticipated events in e-commerce. With the excitement of the “next big thing” in the air, attendees witness announcements about new technologies and learn about what agencies are the best of the best. The Imagine Conference is the place to be, and the theme this year was “Unbound”: the idea that change is no longer something to be afraid of. Embracing change, not stopping it, is essential for the movement and discovery that drive the industry forward. Merchants, agencies and technology partners alike need to be unbound in whatever they do in order to see the benefits that come from risking change.
Here are five key points to take away from the conference this year.
Beta is Good Enough – Even Perfect: We all are timid when releasing a beta version of whatever it is we are putting out there. That needs to stop. In order to speed up innovation and creativity, we need to put our beta versions out there without hesitation and embrace feedback; the answers we get to the questions we didn’t even know we should ask are crucial to improving our products.
Examine the Shopping Experience: Understand your customer even better. Understand how they shop when they are not online, and bring that experience to your website. Data-driven personalization from on-site optimization to digital strategy when the customer has left your website will build brand loyalty and result in more sales. Show your customer that you know who they are and understand what they want.
Buzzword of the Week: “Omnichannel” It was only a few years back when the buzzword was “responsive.” Everywhere you went, every keynote speaker used the word responsive and we all went back and sold it to our clients. This year it was “Omnichannel.” It means shrinking the distance between your customer and your product, and optimizing the buying journey. Make your product available in every marketplace and every channel possible so that your customer can connect with your products and brands wherever they may be.
eBay Enterprise is the #1 E-commerce Platform Provider in the IR Top 500: This was announced and celebrated – it’s a huge deal! Everyone at this conference has been a part of the e-commerce ecosystem that is now eBay Enterprise. We all have succeeded in making Magento the most scalable and supportive platform on the market, allowing merchants to process hundreds of millions of dollars in annual online sales. That’s something to be proud of!
What About the Party? It wouldn’t be Imagine without a good party! The Legendary event was held at XS and was a big hit. Live music, aerial performers pouring us champagne from the ceiling and an open bar let us all become unbound!
The marketplace was full of some familiar agencies and new technology partners. The biggest take away is that while there are many changes taking place, Magento and eBay are still growing, still innovative and still an exciting group to be a part of. Just Imagine what it will look like next year!
Each year brings new patterns to the retail industry that can be leveraged to drive business strategy for companies with the capability to track them. Examining these trends can help retail leaders decide where to allocate funding, what sections of their organization need improvement, and how they can provide the best experience for their customers.
Experts have predicted that the following trends will help shape the way consumers do their shopping this year and beyond. Recognizing these patterns can put your company in the best position for success.
Strong retail growth for dollar, big box and department stores
According to the Chicago Tribune, experts expect considerable growth in the retail industry this year, including expansion for dollar stores, big box retailers and department stores. Considering that the industry's sales typically reach $2.6 trillion annually and make up 70 percent of the U.S. GDP, this is good news for more than just retail vendors.
In particular, dollar stores, mass merchants and department stores will see significant growth. The Tribune noted that there is rising demand for these types of retailers, both online and at brick-and-mortar locations. Kantar chief economist Frank Badillo noted that the bulk of this market expansion will be driven by younger consumers who have experienced considerable employment gains recently.
"As a result, smaller stores, from neighborhood convenience stores to upscale specialty stores, will be a key growth category because they appeal to younger people who tend to live in urban environments, dine out and shop on an as-needed basis," Tribune reporter Alexia Elejalde-Ruiz wrote.
Social media will provide purchasing power
In the past, social media has always offered a beneficial branding and marketing platform for retailers. A further shift is under way, particularly as top websites like Facebook and Twitter include buy button options enabling customers to make purchases directly from the platform. Currently, retailers like Target and Nordstrom are testing out these abilities through Twitter.
"A customer who'd like to purchase an item she sees on the retailer's feed can tap on the Like2Buy link found on…[the] Instagram profile," Vend explained. "Clicking on the link will take her to the retailer's Like2Buy site, which looks similar to its Instagram page. When the shopper taps on an image, she'll be taken directly to its product page, where she can find more details and proceed to checkout."
Social media buying features provide a more unified shopping experience for customers, especially as social media becomes increasingly popular with consumers. Thus, retailers must ensure their online footprint supports their brand and their clients' preferences.
Personalization through beacon technology
In addition to boosting online efforts, technology is on the rise in brick-and-mortar locations as well. Beacon systems - sensors placed at digital touch points in retailer's stores with the capability to connect with shoppers' mobile devices through wireless standards like Bluetooth - are being increasingly deployed. These systems allow retailers to better engage customers through a personalized in-store shopping experience.
This is often a way for brick-and-mortar companies to compete with e-commerce giants. Just as online retailers offer customized recommendations for consumers based on the items they view and purchase, beacons will enable brands to do the same in their physical locations. Vend noted that several vendors have already seen success with the beacon system.
Mobile will continue to be an essential channel
The further rise of smartphone and tablet use has significantly changed the way consumers connect with brands and shop. Mobile will continue to play an important role in retail this year, particularly as brands offer more applications for mobile ordering, loyalty programs and mobile payment.
One of the biggest changes seen in mobile retail is the increase in mobile payment systems like Google Wallet and Apple Pay. These technologies utilize near field communication systems to enable customers to pay from their phone instead of using cash or payment cards. These require specialized consoles at in-store locations to allow the use of these mobile payment technologies. As more smartphones come equipped with NFC, it will be important for companies to support this new payment trend.
Overall, this year will continue to bring considerable growth for the retail sector, particularly as brands work harder to offer a customized shopping experience based on consumers' preferences.