Is Your Omnichannel Strategy Doomed to Fail?

It’s a dreaded scenario for any retailer: A customer chooses to buy your goods online and pick them up in-store later that day, but upon arrival, they find that the item is not available or cannot be located by your staff. Frustrated, the customer leaves to find a similar item from a different retailer. This inventory mishap loses you the sale and, worse, damages customer trust.

Inventory discrepancies will wreck your well-planned strategy

Regardless of the chosen shopping method, customers expect seamless, consistent brand interactions across all channels, including clear stock visibility, various fulfillment options, prompt pickup or delivery information, and easy returns. Failure to meet these expectations can result in permanent loss of business.

In addition to losing a sale and damaging customer confidence in your brand, inconsistencies call for excessive safety stock. This surplus inventory often leads to profitability issues and increased markdown costs that, in 2023 alone, amounted to $565 billion in losses for retailers globally. [1]

A recent McKinsey report found that many retailers still face challenges in effectively positioning their inventory across distribution centers, stores, and market fulfillment centers. Correctly forecasting demand and strategically placing inventory in different locations can significantly improve order fulfillment, which, in turn, boosts customer satisfaction. [2]

What is the key to success?

Retailers can ensure smooth omnichannel operations by adopting RFID software. This smart solution addresses inventory management challenges, ensuring precise stock counts that allow retailers to fulfill customer promises, avoid costly errors, and maintain operational efficiency. Whether managing ship-from-store, Buy Online Pick-Up In Store (BOPIS), or same-day delivery services, maintaining exact inventory levels is fundamental for any retail success story.

According to Accenture, retailers who integrate RFID to enable five or more omnichannel shopping experiences are seeing a 20% higher ROI compared to those who have implemented the technology in four or fewer experiences. [3]

With the ongoing adoption of RFID to boost efficiency and master the customer experience, incorporating innovative RFID solutions represents more than just an upgrade in retail technology; it’s a shift in the entire retail paradigm.

4 Strategies That Deliver Results:

1. Achieve omnichannel cohesion: From online browsing to physical purchase or delivery, a responsive, omnichannel approach caters to diverse shopping and fulfillment preferences for a smoother customer experience.
2. Enhance inventory accuracy: Achieving precise stock levels across all platforms ensures consistent, reliable inventory management, fostering trust and operational efficiency.
3. Optimise workforce efficiency: Smart use of technology can improve labor allocation and drastically reduce the time spent on manual inventories, enabling staff to focus on value-added services.
4. Elevate customer satisfaction: Assuring inventory availability and the capacity to meet customer demands in real-time are critical components for cultivating consumer loyalty.