April 1, 2020
Retail VS. Ecommerce | Natasha Courtenay-Smith

Retail VS. Ecommerce | Natasha Courtenay-Smith

– We’ve just driven across Oxford Street, and we’ve been looking at all
the shoppers in Oxford Street. And obviously what we
do is e-commerce retail, and similar sort of brands
that are on Oxford Street, like mass consumer brands. And it just got me thinking about the expectations between
a shop and e-commerce. Now nobody expects that every customer that comes to their store is gonna buy, so if you’re in a shop,
that’s really prevalent because however many people
walk through the door, not everybody buys. In e-commerce you see the same thing and it’s a conversion rate, like X number of people come in, 2.5% good target conversion rate, but you can get it as high as six. Some of our brands have it as high six. – Humble brag. – Humble brag. 2.5 to 6% of people convert and buy. In a shop you can always say to yourself, what can we do to make our customers buy? You can be like makes our
sales people more smiley. You know when you go
into shops they’re like, “Hey, can I help you today?” That’s all part of the– – What in America? (laughing) – In America. In London too, they’re like,
“Hey, can I help you today?” (laughing) That’s part of the conversion process, that puts someone at the door, and then you go and start browsing and someone else comes up and says, “Is there anything I
could help you with today? Can I see if I can find
that in your size?” That’s all part of the conversion process, and I think in a real world shop it’s really easy to sort of understand that you’re in a sales process and put in place real
measures to make that happen, i.e. let’s have someone super
enchanting on the front door, let’s have somebody who then comes up and gets the second place. Let’s have an amazing
person in the changing room if this that you’re fashion. If you’re beauty it’s
like let’s have someone who offers to demonstrate a product. So in the real world
environment it’s really easy, I think, to sort of think what can we put in place for the conversion process? – And let’s make the shop
look good and let’s put certain items… – And let’s make the shop look good. And let’s make sure our
shop is in the right street. I mean that’s part of our job in terms of running social ads. Customers is the same, like
get the right audience, make sure your shop’s on the right street. So what else can you do if
you’re in a real world shop? Let’s have a loyalty scheme. There’ll be all sorts of things
that you can think about, they’re very tangible because you can touch, feel and see them. On an e-commerce store you can’t so much touch, feel and see those things, so you’re more likely
to have the mentality of let’s just like sit back
and then be wondering why not more people are converting. But I think what’s really interesting is the e-commerce store has
gotta think about itself in exactly the same way. So for instance, when
we’re working with brands we always see conversion
issues all the time, because everybody does,
it’s competitive landscape. Like everyone’s going for that same money. It’s like whether you’re
selling baby products or you’re selling fashion products, you’re still going after the same person, a 30 something mum with only
X amount of money to spend. Is she gonna spend it with brand A or brand B or brand C or whatever. And it’s like it’s up to you to make the compelling case for your brand. So we’ll be saying to brands like, “Right, we can see a conversion
issue, do this, do that, “put this on your product pages.” It’s the same, as I was saying, get a really nice shop
girl on your front door, get somebody else to go
and make a touch point, somebody to demonstrate
the product, etc. etc. Same concept. So all my point is, is that the
process is exactly the same, whether it’s an e-commerce
process or a real world process. But it’s much easier in
e-commerce to take a kind of more lackadaisical approach
and not put the same graft in as you would in the real physical world. Once you start thinking about it as being this is the same as the
real physical world. Yes this person on my website might be just a traffic number in Google Analytics, but in fact it’s a real person. So why don’t I make the real effort that I would if this real
person was in front of me, in a real shop, on Oxford Street, at which point I would
be literally pulling out all the stops, doing some
sort of hula dance… (laughing) Well I might be anyway. In order to kind of
convince them of my case. So I guess the point is
for e-commerce brands, like every number on
your analytics traffic, yes it’s a number, it’s a
stat, it’s data, etc. etc. But every single visitor is a
real person in the real world, who needs the same
amount of consideration, and convincing to convert as you would a real customer inside your
store on Oxford Street.

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