The Essentials of O2O For Growth Stage Startups
By Richard McGirr Head of Sales and Marketing
Agenda:
1. What is O2O?
2. What are the requirements of a successful O2O strategy?
3. The realities of modern retail
4. Strategy # 1: Local SEO
5. Strategy # 2: Optimizing your packaging
6. Strategy # 3: CRM/Marketing Automation
What is O2O? The links between physical and digital commerce
Problems in Brick and Mortar Retail
1. Difficult Search
2. No personal curation
3. Expensive/Lower Margins
4. Limited/biased information available on
products
Problems in eCommerce
1. NO physical touch and feel of product
2. Delay between purchase and receipt of
goods
3. Product may not meet customer’s
expectations
The realities of modern retail Key Statistics from Deloitte Digital
1. Digital interactions are expected to influence 64 cents of every dollar spent in retail stores by
the end of 2015, or $2.2 trillion.
2. Nearly 8 in 10 consumers (76 percent) surveyed interact with brands or products before
arriving at the store
Huge portion of purchase decisions made before custom enters the store
3. Consumers who use digital while they shop in-store convert at a 20 percent higher rate
compared with those who do not use digital as part of the shopping process.
What does it take to run a successful O2O strategy?
1. Retail distribution in their target markets
2. Pull with retailers.
Successful implementation of strategies require cooperation with
retailers, this will cost retailers money!
Strategy # 1: Local SEO (This is a random search performed when I wrote this presentation)
Ask to be added to your retailers websites!
If you are not on their website, you are not in the customer’s consideration set when they enter the store!
Strategy # 2: Optimizing Your Packaging
1) Upsells: Add an offer to your packaging
2) Conversion: Testing/Instructional Video
3) List signup in exchange for offer
Free accessory with input of mobile number
Buy one get one free with social share
Contest Entry
Etc.
Strategy # 3: CRM/Marketing Automation
1 to 1 personalized offers
1. Consumables restock based on usage data or average life cycles
2. “Friends of people that like your Fanpage” Facebook Ad Campaigns
3. Driving online traffic into a store from your marketing list
4. Flash Sales/Special events
Sample Facebook Campaign
Product: Consumable Product (i.e. hair product)
Objective: Convert retail customers into higher-margin eCommerce customer
Implementation: Set tracking pixel on store locator page
Assume user is about to make a retail purchase
1. After 60 days (lifecycle of consumable) begin showing ads to re-order online for a discount
2. Customer buys from online store, cutting out margin loss from distributor and retailer
3. Use customer data to develop profile of them for further communications to encourage re-orders and brand evangelism
THANK YOU
How GreyLoud.com fits into your O2O strategy:
5+ Years experience in Database Marketing
Developed O2O strategy and largest chain of electronics repair shops in Los Angeles
Headquartered in Hong Kong, offices in USA and Europe
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