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Retail Business Review | Thursday, May 12, 2022
Marketers in all sectors should not use the same technology to engage customers because of the variances in consumer preferences.
Fremont, CA: Retail, financial services, manufacturing, and business-to-to-business (B2B) marketers have very different approaches. Each industry has very different customer lifecycles, and each sector has a very different level of market saturation and competitiveness. For example, consumers have nearly unlimited options when it comes to retail products and brands, resulting in fairly frequent and quick purchase cycles. There are few options available to consumers when it comes to banking brands and products, resulting in longer purchase cycles for consumers. Because of this, all retailers should use a different marketing technology built specifically for their business.
Retailers must know that technology built for everyone satisfies no one
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The consumer purchasing cycle differs per industry, resulting in varied marketing requirements in terms of data, workflow, testing, and optimizations. Consumers buy retail products differently than they buy financial products, for example. Consider product replenishment, in which customers buy the same item at regular periods (for example, eye makeup), or the regularity with which new products arrive in a retailer's catalog. These are retail-specific scenarios, not ones that marketers in other businesses must anticipate.
As a result, having the same workflows and out-of-the-box capabilities across various verticals makes no sense for systems that manage customer data for the purpose of marketing across the purchase cycle. This is especially true when businesses shift from channel-first to consumer-first strategies, which has made understanding how people buy a critical component of responsive, targeted retail marketing campaigns. Critically, in their attempt to please everyone, these horizontal solutions frequently fail to do so.
Retail marketers need purpose-built technology for their retail goals
The realization has set in that technology designed for everyone satisfies no one. As a result, the emergence of vertical technology has begun, anticipating a world in which more data about consumers is available, and expectations for the experiences brands provide continue to climb. This vertical focus enables deeper use cases to handle a more focused collection of problems, in contrast to horizontal solutions' shallow, surface-level approach.
All of these results are particularly specialized to retailers, which means that only technology designed specifically for retail will grasp these objectives and the retail data model required to fulfill them. As a result of this natural understanding, different types of retail solutions established within the technology stack will be easier to combine. As a result, retailers who adopt retail-specific technology will see significant benefits ranging from better efficiency in launching programs to increased income connected to these types of critical outcomes.
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