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ECommerceis an opportunity many luxury retailers have been reluctant to embrace. However, new study shows that thanks to information about their customers’ online activity luxury retailers have the chance to know 80% of the clients.
The research, Digital Frontier 2016: Digital luxury is turning mainstream, by Contactlab together with Exane BNP Paribas, showed that brands need to work harder to adopt the chances of linking eCommerce with their shops when it comes to supplying an integrated sales and marketing expertise.
The report shows that digitally contactable customers account for 27% of instore revenue and almost three-quarters (73%) of eCommerce revenue. These customers have a speed of cross-channel spending that’s 50% higher than in-store only customers.
Digital profiles crucial to success
“Luxury brands will need to change their perception and open their eyes to the mutual benefits of engaging with digital clients,”Massimo Fubini, CEO of Contactlab, stated.
“Digital touch with clients is transforming the luxury industry and with the rise of eCommerce and digital engagement tools, luxury brands are talented with information from clients’ online action, allowing them to know 80% of the in-store clients by name. A luxury brand’s success is dependent on its ability to leverage customers’ digital profiles and purchasing decisions in order to tailor engagement,” he added.
Fubini said that retailers can gain more sales by driving anonymous customers to a more engaged, cross-channel relationship. “In-store digitally contactable clients spend 20 percent more than those who are simply enrolled and those known customers who buy both online and in-store spend much more.
By ignoring online channels through which they can engage everywhere with brands, customers are leaving a blind spot that does not permit them to find an accurate image of their customers’ profile,behaviour,and tastes,” he explained.
