Taking the general movement toward online channels and the recent acceleration into account , telcos urgently need to align their channel mix accordingly . Consumers prefer an omnichannel strategy , i . e ., the seamless coverage of the sales process across all channels . Many of them start their sales experience in a retail store but finish it via a different channel , which requires telcos to connect their physical and their digital offerings more closely to create a smooth , overarching retail experience . When switching between channels , consumers expect their personal information to be saved instead of re-entering it again . Besides the call for personalized offerings , customers demand simplicity from telco providers in the buying and service process , similar to processes they know when purchasing other products e . g ., from Amazon .
The demand for convenience is not fulfilled by telco providers yet , as many of them are trapped in outdated and non-contemporary structures , also affecting overall customer satisfaction .
Omnichannel excellence and simplicity
In order to satisfy consumer expectations of a seamless channel experience , the development and implementation of an omnichannel strategy are required , which may also involve a review of the current operating model and the overall structure of the sales organization . An omnichannel
? KEY QUESTIONS
?? ?? ? ? ? ??
1
?
3
?
?
?
What is the current sales channel mix and future sales strategy ?
??
? ?
? ?
Source : goetzpartners
?
4
? ?
? ?
2
What is the optimal number of physical stores ?
?
? ?
? channel integration ?
? ?
??
? ?
?? ??
? ? ?
?
5
? ? ?
Are the operating model and sales organization
?? ?? futureproof for
?
? ?
omnichannel excellence ?
?
What is the future purpose of each channel ?
strategy involves different touchpoints , which aim to provide comprehensive coverage of all sales channels , both onand offline . Thus , the format of the offline store must also be adapted from undifferentiated store concepts to tailored store designs according to the location and purpose of the store . For example , as customers are increasingly looking for a shopping experience instead of the purchase itself , and flagship stores / showrooms can be introduced to vivid locations in the city center to serve the purpose of promoting brand awareness and products .
As physical and digital channels are increasingly conflating and retail stores becoming one part of an overall seamless customer experience , sales do not have to be the primary purpose and sole measure of store success anymore . The channel in which the customer eventually purchases a product or service becomes less important . A showroom , for example , does not need to have significant in-store sales , but should rather increase brand perception and awareness , attract new customers , and increase brand loyalty .
Consequently , to satisfy changing customer behavior in the future , operators not only need to continuously re-assess how to best integrate physical and digital channels , but also how the local network of physical stores with various store formats can offer best-in-class customer experiences and in which way they can contribute to overall sales .
What is the degree of physical and digital
??
? ?
SUMMARY
Consumers ' continuous shift toward online channels pushes telcos toward the improvement of their sparse online offerings . While telcos are significantly optimizing their physical retail footprint , an increased growth of digital channels has so far failed to materialize . The demand for an omnichannel strategy , personalized and simple , is currently not fulfilled by most of the telco providers . However , the current accelerated shift toward digital channels and the sustainable change in consumer behavior offers a great chance for telcos to act and re-assess how to best integrate physical and digital channels . By doing so , telcos need to examine the role of the various channels to offer a best-in-class customer experience and achieve an overall boost in sales . This means that , as an example , a store ’ s main purpose might shift from pure sales toward increasing brand perception , loyalty , and awareness .
THE AUTHORS
DR . ALEXANDER HENSCHEL
Managing Director , goetzpartners
YANNICK EISENBEIS Manager , goetzpartners
© goetzpartners , 2021