Keys to a Great Unboxing Experience

Unboxing is more than opening a package

Unboxing is about providing a branded, aesthetic opening experience that builds excitement. The customer purchase experience shouldn’t end when the package arrives — that’s when the experience really just begins. The way customers feel about your brand after the purchase determines whether they become repeat customers or remain a one-time buyer.

The unboxing experience is an essential part of that journey and influences those feelings. This can be especially true for online-only retailers, as this is the only physical touchpoint the brand has with the consumer.

Click below to read my thoughts on the makings of a great customer unboxing experience, which includes:

• The package

• Product wrapping

• Packaging materials

• Inserts

• Samples

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Using Behavioral Science in Marketing

What is Behavioral Science in Marketing?

Behavioral science in marketing focuses on how people think, feel, and make decisions, then applies those insights to influence engagement and conversions. By using cognitive biases, social proof cues, and decision-making shortcuts, marketers can create more persuasive messages and higher-performing campaigns.

Using Behavioral Science in Marketing

If you ask a hundred people what makes a good article headline or email subject line, you may get a hundred different answers. After all, it’s subjective, isn’t it? 

Not entirely, as many marketers know. There’s a science behind what makes a consumer open an email, click on a call to action (CTA), and make a purchase. Whether it’s writing an attention-grabbing headline or getting someone to “click and convert,” understanding that people rely on certain decision-making defaults helps marketers nudge them to take a desired action. 

In this article, I discuss how to use behavioral science to improve marketing campaigns. Topics include:

• Strategies to write effective headlines and subject lines

• Using social proof

• Content and landing pages

• Choosing compelling images

• Use of charts and graphs

• Principle of authority

• The science behind pricing

• CTA colors

• The science behind “possession” and how it can reduce returns

• Tactile experience

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3 Holiday Promotions That Keep Subscribers Opening Your Emails

There’s no shortage of promotions retailers can choose when planning their holiday email marketing strategy. However, the holiday season is long, so retailers need to find ways to not only increase sales but also keep subscribers opening their emails.

Here are three kinds of promotions that I expect will be heavily used by retailers throughout this upcoming holiday season to accomplish these goals.

1. Category and Daily Deals

Category-specific sales, promotions where one category of products is discounted, have been an increasingly popular holiday promotion over the past several years. With Black Friday sales now lasting the entire week for many retailers, category-specific sales are a way to keep the discounts new and exciting, which keeps consumers checking their emails.

If you do plan to offer daily deals, there’s no need to leave them a mystery. Consider letting people know early on which categories will be on sale and when. This approach allows the consumer to better plan their purchases.

Sure, they may want to wait two days to purchase sweaters at an additional discount, but many will want to consolidate purchases, especially if there’s a free shipping threshold they need to reach. Use a sense of urgency in your marketing by reminding people that items may sell out quickly to encourage order consolidation.

Offering daily category sales can also help you plan additional ad campaigns and year-end promotions later in the holidays. By knowing that one category of products didn’t sell as expected, you can begin to offer deeper discounts on these products throughout the season or feature them in year-end closeout promotions.

2. Free Shipping

Free shipping has quickly become a consumer expectation. According to Deloitte, it was the second-most appealing discount to shoppers last holiday season, behind only price discounts.

This likely explains why, according to eMarketer, there was a year-over-year increase in holiday orders that were shipped free, starting with Black Friday week and continuing through Christmas Day.

Last season, there was a noticeable increase in retailers’ advertising free shipping as a primary incentive. Consumers will once again be drawn to free shipping, and you’ll want to be ready to take full advantage of it.

As the season begins to wind down and expedited shipping becomes necessary, consider offering free or upgraded shipping as the primary incentive, not as an add-on to another promotion. You may want to lower or remove the spend threshold to qualify for these offers, as many retailers did last season.

In a lot of cases, you may find consumers spend above the previous threshold as they round out their gift buying. Just be sure to promote free shipping in both the subject line and email body copy.

3. Buy Online Pick Up In-Store (BOPIS) is for everyone

Whether you’re an omnichannel retailer or not, BOPIS affects you. Forty-one percent of consumers used this service last holiday season, and 50% of consumers decided where to shop based on whether BOPIS was a fulfillment option.

If you are an online-only retailer, you need to account for your competition who offer it — and maybe even alter your free shipping strategy to account for it. If you’re a retailer who offers it, you’ll want to use this to your advantage.

According to the NRF, the No. 1 reason consumers chose BOPIS was to avoid paying for shipping. If you’re an omnichannel retailer, promote BOPIS as a stand-alone incentive, potentially offering a discount, gift card or free gift for BOPIS orders.

As the season winds down, focus on those holiday procrastinators by encouraging a sense of urgency and pitting free in-store pickup against costly next-day shipping offered elsewhere.

Source: National Retail Federation, “2018/2019 Winter Consumer View,” Jan, 2019

But this value-add does not have to be saved until the end of the season. Consider giving the service a little customer-friendly pizzazz, such as by offering free gift-wrapping on these orders or in-store coupons at time of pick-up to encourage unplanned purchases, or even by providing complimentary hot chocolate, coffee, tea, and holiday cookies.

If you offer BOPIS, be sure to promote it wherever you can:

• In a dedicated section of your emails

• Embedded into your primary email creative

• Even in lifecycle messages, such as in a welcome series.

And, of course, clearly provide a link to a store locator in your emails, such as in the header or navigation bar.

Wrapping It Up

The holiday season is long, but by planning promotions that can last the whole season and provide competitive differentiation, you can keep subscribers opening your emails and be ready to earn as much of the shoppers’ wallet as possible.

Top Holiday Email Marketing Planning Resources

Email marketers are always looking for holiday-related content, and I provide a few pieces this time of year. Between sifting through and analyzing tens of thousands of holiday emails in my personal inbox, charting daily emails received, identifying recurring themes, looking through the previous years' online sales data, reading industry analysis, interviewing podcast guests, and talking to industry peers, I am left connecting dots with what retailers and email marketers will be promoting this holiday season.

As a former email marketing consultant, I know email marketers are always looking for as many actionable holiday resources as they can get. So here you are — a collection of my holiday resources (so far — there's more to come), including articles, podcasts, and webinars, all in one place. I will continue to update this as items become publicly available. I hope you find these to be useful!

2019 Holiday PLANNING RESOURCES:

Cyber 10: The Holiday Shopping Sprint You REALLY Need to Prepare For (article, GrowWire)

3 Holiday Promotions That Keep Subscribers Opening Your Emails (article)

Five Often-Overlooked Holiday Email Marketing Tips (article)

How to Use Free Shipping to Boost the Power of Your Holiday Emails (article, Multichannel Merchant)

Holiday Email Lookbook - 2019 Edition (download)

The Most Important Things to Know About Holiday Email Planning (article, Multichannel Merchant)

Ready, Set, Sell: 7 Tweaks Retailers Can Make Now to Maximize Holiday Profitability (article, Brainyard)

2019 Consumer Insights: 6 Trends Dominating This Year’s Holiday Shopping Season (Whitepaper, Shopkick)

Holiday Webinars:

Holiday Email Marketing Trends, Tips, and Tactics for 2019 (Bronto Marketing Platform)

Call-To-Action! Top 2019 Holiday Email Marketing Trends and Tactics (RetailWire)

Holiday Email Marketing 2019: Trends, Tips and Tactics (Retail Dive)

Holiday Podcast:

The Commerce Marketer Podcast: Ep. 061: Preparing Email Marketing for the Holidays

Listen on: Spotify, Apple Podcasts

2019 HOLIDAY RECAP:

2019 Holiday Season Takeaways and Ecommerce Marketing Action Items

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Five Often-Overlooked Holiday Email Marketing Tips

As the holidays approach, email marketing teams are busy determining promotional schedules, designing messages, and inputting coupon codes into their e-commerce platforms, among a slew of other items. With all of this work happening behind the scenes, there are a few holiday items that all too commonly fall by the wayside. When preparing your email marketing program for the season, don’t overlook some of the items that can help you deliver a better customer experience and generate more sales. Here are five items not to overlook this holiday season.

1. Optimize transactional messages

Messages like order and shipping confirmation messages are some of the most read email messages. At a minimum, be sure these messages are branded, aesthetically appealing, and have clear and obvious customer service information. To make these messages do more for you, include other elements, such as product recommendations, suggested upsells or cross-sells, sister brand promotions, a customer-only promotion, and a callout to subscribe to your email marketing program. Remember, all customers receive these messages, not just email subscribers.

2. Audit lifecycle messages

Consider your current lifecycle messages, their automation rules, and how they impact the customer experience during the holidays. For instance, let’s say your welcome series spans four days and withholds new subscribers from receiving promotional emails. Do you really want to withhold new subscribers from marketing emails on Black Friday or Cyber Monday?

You may want to make adjustments to the series, which could include:

• Sending only the welcome message and suspending the series.

• Create a new welcome series that reinforces holiday content, such as gift guides, hot products of the season, extended return policies, BOPIS services, or other value-adds.

• Continue to send the welcome series, but allow subscribers to receive promotional messages.

This is just one example. Look at your other automated messages. Do you have a purchase anniversary message sent each year on Black Friday, offering a worse incentive than your Black Friday promotion? I receive one of these each year, and it provides no value to me as a subscriber. Do you need to adjust the timing, number of, or discounts with your abandoned cart messages? Remember, automated messages should never be considered “set it and forget it.”

3. Audit forms

You are going to receive increased traffic during the holidays, so be sure to audit each of your forms to ensure they work properly. These include embedded email subscription forms, pop-up signups, manage preference pages, and unsubscribe forms.

To audit the forms, go through the process of accessing the form like a web visitor, email subscriber or customer would. Do they display (and not display) as they should, do they close properly, are the landing pages correct, and do the desired actions (e.g., list assignment) function appropriately? You want to ensure the forms are not only functioning properly, but they are also assigning contacts to the correct lists.

When you are auditing your forms, don’t forget to test on mobile devices. Last year, for the first time, more than half of all retailer web traffic during the holidays was from smartphones. Ensure you test the forms not only on a laptop but also on smartphones.

Be sure to document where each of these forms lives on the backend, which employees have access to them, and how customers access the forms. This will give you the ability to quickly identify and resolve any issues that might arise during the season.

4. Preach your differentiators

During the holiday season, why should someone choose to shop with you and not someone else, especially seeing as many retailers are matching deep discounts with one another? You need to give consumers a reason to choose you by preaching your competitive differentiators. Some of these customer-first differentiators include free shipping, free returns, extended return policies, price matching, satisfaction guarantees, and buy online, pick up in-store (BOPIS).

Prominently advertise these value-adds with banners or dedicated sections of your email, on your websit,e and your social pages. And when it comes to email, prominently showcase these in high-consideration messages, such as welcome, abandoned cart, and browse recovery messaging.

By focusing on what the customer wants and how you, as a brand, can deliver that can mean the difference between securing a holiday sale or losing it to your competitor.

5. Plan for the unexpected

Things rarely go as planned, and good email marketers prepare for those times. When it comes to the holiday season, there are a few specific ways to prepare for those “what if” moments, whether that be a slow website, lagging sales, or errant promo code.

• Prepare back-up promotions: Projections are just that, projections. If you find your sales through the season are lagging, sending another promotion can help jump-start those orders coming in. Create emails that utilize alternate incentives (such as tiered discounts, or free shipping with no minimums) or tried-and-true discounts that you know will resonate with your customers. By preparing these promotions in advance, you will prevent those last-minute scrambles and rush errors from your creative team.

• Promo codes: Set any promo code you plan on using in your e-commerce platform before you need it. While you may not need to use some of the alternate or extra promotional codes, it provides the ability to easily deploy email campaigns as needed.

• “Oops” message: Websites and e-commerce platforms have become more reliable, but there is still one of those “oops” moments each year. Some of these include a slow or crashed website, a wrong promo code, and order processing errors. Creating an anticipatory email ahead of those moments will allow you to send a correction email as soon as possible. When errors like this occur, every second can cost you a sale.

Planning for the holidays means more than just creating a few emails and sending them off to your subscribers. It is ensuring all aspects of your program is optimized, and you are prepared for every scenario. Making sure every “I” is dotted, and every “t” is crossed means you are doing everything you can to maximize your holiday sales.

Cyber 10: The Holiday Shopping Sprint You REALLY Need to Prepare For

The holiday season is upon us, and, once again, it’s expected to set online sales records to the tune of $142 billion, according to eMarketer estimates. As online sales rapidly increase year-over-year, trends evolve and retailers adapt.

Take Gray November, for example. Over the past couple of years, we have seen those signature stand-alone online shopping days like Black Friday and Cyber Monday morph into a month-long series of discounts leading up to those days.

And now, within Gray November comes another consumer shopping evolution that will become a holiday season norm — the Cyber 10.

In this article, I discuss why marketers need to look beyond the Cyber Ten and pay attention to the Cyber Ten. Topics include:

• Which days make up the Cyber Ten

• Why the Cyber Ten is no longer a trend, but an annual occurrence

• Which days in the Cyber Ten are seeing the biggest year-over-year growth

• Why Cyber Monday, even with all of the changes, remains king

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How to Use Social Proof in Email and on Your E-commerce Site

Using social proof, a type of conformity where one person copies the action of another, as a part of the on-site e-commerce experience can be an effective strategy for increasing sales. A social proof strategy is essentially influencer marketing, except the focus is on real customers.

Luckily for companies — especially online retailers — they already possess a lot of content that can be used for social proof. Here are a few ways retailers can utilize this content in their email marketing programs and on their e-commerce site to influence purchases.

In these two articles, I write about ways to use social proof in both email marketing and on your website, and cover topics such as:

• How to Use Product Reviews in Email Marketing

• How to Use Social Media in Email Marketing

• How to Use Your Employees in Email Marketing

• Using product reviews, website Q&A sections, and employee picks on your e-commerce site

• Using social proof in other channels

READ ABOUT USING SOCIAL PROOF IN EMAIL MARKETING

READ ABOUT USING SOCIAL PROOF ON YOUR WEBSITE

Primed: How Amazon Finally Converted Me

If you know me or have ever listened to The Commerce Marketer Podcast, you know I am not a Prime member.

Until now. Dun dun dun.

I know, right? I spend my life analyzing the ecommerce world, ordering my products online, and yet I rebuffed all of Amazon’s attempts to draw me in. But the scale finally tipped. It was slow and gradual. I saw the writing on the wall. I finally got to the point where I could no longer rationalize not subscribing. This was years in the making. But in all of this, there is a lesson for retailers to learn from my journey.

So, what took me so long to sign up, and what changed? Let’s explore.

Why Not Prime?

Why was I so resistant to Prime? It’s not like I didn’t shop on Amazon, but, frankly, the value I received compared to my lifestyle did not match. Like other consumers, I have come to expect free shipping. While Prime offers a lot more than free shipping, I always viewed it as paying for shipping. People commonly point to the free shipping as a main reason for subscribing.

Competition with Amazon also benefits non-Prime members. Consumers today have options: If I needed items in a relative hurry, Target and Walmart would often get it to me within two days. Many times, it would arrive the next day. If I needed something that day, I would just run out and grab it. And, not to be forgotten, prices on Amazon were frequently higher — sometimes drastically — than elsewhere. Every time I would see this it would cause me to take pause on a free trial.

Were there times I would have liked one-hour delivery? Sure. But those occasions were more the exception rather than the rule.

And those extras, like Prime Video – I didn’t need them. I have Netflix, a television package, Apple TV, and Roku devices at home. I also have two children, which means my television time is further reduced. I have enough content to satisfy me. Others, however, may be able to take better advantage of those services.

What Changed?

It was a gradual change, but one I noticed along the way. First, I live in an area with one-hour delivery. I saw that as convenient, but again, more of a nice-to-have than a necessity. Then came the emergence of Alexa-enabled devices, which interests me – and I think this is going to be huge. Then came the big one: Amazon acquired Whole Foods (WF). I am a Whole Foods-first household. This acquisition intrigued me because I knew something would come of it.

I have also had an Amazon credit card for years. It is one I rarely ever use. However, as a non-Prime member, using this card at WF allows me to receive 3% cash-back at Amazon. Prime members receive 5% on the same purchases. This is something I had to take a serious pause to consider. The question I asked myself was whether the 2% difference would pay for Prime. After all, I am shopping at WF anyway. For one month, I tracked how much I received with 3% cash back and calculated how much the extra 2% would have been. Then, on two trips, I was given the in-store Prime member discounts while checking out. Amazon is sneaky like that. Based on my purchases, I saved roughly $3 per trip with the in-store discount alone. If I shopped two times per month (which I easily do), this would extrapolate to roughly $72 per year. Amazon was breaking down my walls.

Then came Prime Day 2018. It all changed. Not because I care about Prime Day itself, but because Amazon announced that if you shop at WF the week of Prime Day you would receive a $10 credit to spend on Prime Day. I bit the bullet and signed up for a free trial. GASP! Of course, I got the $10 credit. But to my surprise, so did my wife. Now I am at $92 saved. On Prime Day itself, I again saved $3 on member-only sales.

After Prime Day, I received an email from Amazon thanking me for everything and giving me another $10 credit toward an Amazon purchase through August. And of course, I ran out of batteries two days later. Guess what I did? Now I am up to $102. If you throw in the extra 2% I have spent during the first two weeks of my trial membership, I have surpassed the $119 price tag.

Is this enough to keep me renewing? Maybe. Maybe not. But I am excited to see what’s next. What I am most anxious about is same-day WF delivery to my area. I expect it sooner or later. Now you’re talking value that fits my lifestyle!

What Retailers Can Learn

At the end of the day, Amazon took a slow and steady approach. But they kept at it! Ultimately, they added value to my experience, with both cost and convenience. As a retailer, how do you compete with Amazon? It’s imperative you understand how your brand and products fit into your customers’ lives. Reinforce this value at every step along the customer journey, from email to your website to your social channels. Make it hard for people to say no to you rather than finding a reason to say yes.  

Consider email marketing, for example. When it comes to email, make sure your automated emails speak to what matters to them most. Do they care about price, convenience, quality of products, satisfaction guarantees, flexible return policies, a commitment to a cause, or a combination of these? Are your marketing emails relevant to consumers and help them along their journey?

Most importantly, be patient. Focus on improving one thing at a time. Improving 10% of 10 things will get you nowhere. Continue to make things better and see them through to completion. Optimizing the customer experience and providing value to your subscribers is what will ultimately win them over.

I am now a Prime member, but am I an Amazon loyalist? Certainly not. Amazon is hoping I am like other Prime members and will spend an extra $600 year more than non-Prime members. I am not confident that I will be that person, but I am 100% confident they will get more of my business than they had before.

Kudos, Amazon, you finally got me! But you have made me more paranoid than ever. I know that brunch, heat index, and wind chill are reading this and see this as their hope to win their own fight with me.

But those are topics for another day.  

Like reading my thoughts on Amazon? Here are a few other stories you might enjoy:

Amazon 4-star and What It Could Signal for Amazon’s Future Retail Business

Why Amazon is Trying to Out‑Walmart Walmart

Future of Ecommerce: How Amazon and Giant Retailers Will Change in 10 Years

Alexa, Order Me Browserless Commerce

The Commerce Marketer Podcast:

Episode 036: How to Get Amazon Reviews & Why Your First 50 Matter

Episode 034: Marketplace Bootcamp: Keys to Successful Selling

When Is the Best Time to Send Your Brand Emails?

When is the best time to send emails?

This question has been around as long as email marketing itself. If you do a quick search, you’ll find tons of different studies pointing to a variety of answers, leaving retailers just as confused as before. The common result: Brands are flooding consumers' inboxes with emails at seemingly random times throughout the day.

This over-saturation, especially when combined with a lack of relevant content, can quickly lead customers to unsubscribe or let unread promotions sink to the bottom of their inbox—never to be opened.

Let’s explore some of the nuances of the “best” email send times, debunk a few common myths, and review why you should be looking beyond the email open.

The Best Time of Day to Send Marketing Emails

Identifying the best time to send depends greatly on the products you sell and the makeup of your audience. For example, millennials and Gen Zers are digitally-native consumers. They have their mobile devices with them at all hours of the day and use them all the time. Assuming they’re only opening their emails somewhere around the 10 a.m. lull at work is a very misguided and antiquated notion. Sure, it might be true for some, but it’s not likely for both generational cohorts.

While millennials may be working, Gen Z consumers may be at school or just hanging out with their friends. The same principle holds true for evening sends. Does your target audience interact late in the evenings? For younger cohorts, the answer may be yes, but for baby boomers, it may be less likely. For me, 5 p.m. to 8 p.m. is a marketing black hole. During that time, I’m eating dinner, playing with my children, and getting them ready for bed. Sending me an email at 6 p.m. is a wasted effort. But for households without children, it might be the perfect send time.

Another thing to consider when sending an email is the dreaded time zone. Even though you may want to reach your West Coast customers at 10 a.m., remember that means the same email will reach your East Coast fan base at 1 p.m. Always be sure to factor this into the equation, especially for particular messages. If you run a “lunchtime” flash sale and send the email just before noon West Coast time, your message may miss the mark for those in other time zones who are already well into the afternoon.

The Best Day of the Week to Send Marketing Emails

A very popular school of thought has been that Tuesday, Wednesday, and Thursday were the best days to send, and weekends should be avoided. More on this in a moment. But this is another rule that has since gone by the wayside. Brands are sending more now than ever before, so focusing on one singular send day for your emails is not an option for most.

That doesn’t mean you shouldn’t find the optimal days for your customers. As I mentioned with determining the best email send times, when trying to find the ideal day, look at the products you sell, as well as your audience and their social lifestyle. Sure, some brands or products may not have much success on the weekends, but others may find that weekends are the best days. I have worked with companies on both ends of this spectrum. It’s all about understanding how your product appeals to your consumers and knowing how to engage with them.

Now, for those pesky weekends. Times have changed. People now have access to their email in their pocket 24/7. Are we really supposed to believe they don’t check it or shop on the weekends? Does Amazon not sell products on the weekend? Of course, people shop on the weekends! And with the ease and ability to shop whenever you want, there’s almost no reason to avoid sending on those days.

One more note: This shopping convenience has also given rise to the, let’s say, “tipsy” shopping phenomenon. This tendency to shop while feeling a little loose likely accelerates on Friday and Saturday nights. Based on your target audience, these days of the week may actually be quite powerful.

More on which days are the best to send your marketing emails here.

The Next Step

If you want to determine the best day and best time to send emails, testing and tools are critical. Use them to understand your audience. Using data analytics is a must. Take time to review your previous send data. Organize your email open and click-through results by the time and day when your brand emails were sent. But remember: If you’ve typically been sending on a particular day of the week, your data will be skewed and show that the best open rate comes from that day.

Begin by looking at the time of opens. You should see a relatively consistent pattern here, but try to look for patterns. For example, when sending an email, the majority of your opens will happen closest to the send time and decline accordingly. But if you routinely send emails at 9 a.m., but your opens spike at 1 p.m., this should tell you something.

Once you’ve determined your general baseline, formulate a testing plan for both send times and days of the week, but preferably not at the same time. Focus on one before the other. You can then optimize as you go along. Be sure to use the send time optimization tools your commerce marketing platform provides. This can help you maximize the effectiveness of your email send times.

Go Beyond the Email Open

While I’ve focused on the best days and times to send emails, the open rate is only a piece of the bigger email marketing puzzle. Of course, you want as many people to see the emails as possible, but if they don’t result in conversions, what good are they doing?

Finding the balance between improving open rates and conversion rates is critical. If you find your open rates increasing but conversions lagging, something is missing. We know that consumers today are predominantly checking their email on their mobile devices. Are your emails mobile-friendly? If not, you not only lose the potential sale, but the consumer may stop opening your emails altogether, knowing the experience will be lacking. Is the content of your emails relevant, helpful, and engaging?

Sending batch-and-blast messages is not meant to engage individuals. If you do send batch-and-blast messages, incorporate individual and engaging elements in them, such as intuitive, subscriber-specific product recommendations or user-generated content. If you’re sending an email about preparing for the snowstorm in the northeast to those who live in Miami, don’t expect strong conversions from that segment, even if they all open your email.

Final Thoughts

Connecting the right time to the best day to the right content will help you create a more consumer-friendly customer experience. Your goal is to refine your marketing programs, create unique customer journeys, and ultimately earn more revenue. Need help?

Email campaigns serve as a bridge between brands and consumers. When done correctly, they allow you to effectively communicate and interact with your customers. So don’t waste the opportunity. Adapt to the changing consumer behavior and look beyond the outdated “myths” to find the send time that’s right for you.

The Importance of Relevant Recommendations

Imagine this scenario. You’re staying at a hotel, and you visit the concierge for a great dinner recommendation. You give him all sorts of information, including your craving for surf and turf. You tell him about the vintage red wine you like and your wife’s favorite chardonnay. You say you want a relaxed, romantic atmosphere – nothing too loud. After sharing all of those details, the concierge recommends the local sports bar. Wouldn’t you have expected more? Would you think less of the concierge and even the hotel chain as a whole? This same kind of interaction happens between retailers and consumers every day.

Such a disconnect can quickly turn consumers off and send them searching for other options. They are demanding personalized experiences and have come to expect relevant recommendations in exchange for sharing information about themselves. In fact, according to a recent Bronto-commissioned survey of U.S. consumers, 60% of millennials and 45% of Gen Xers expect retailers to make product recommendations based on their past purchases. Yet just 21% of millennials and 9% of Gen Xers are always satisfied with the recommendations they receive. What a major gap between expectation and reality.

When they’re done well, product recommendations are a powerful tool for connecting with consumers and making them feel like you truly understand them. They can be used in virtually any email, from day-to-day promotional emails and automated lifecycle messages, such as post-purchase and browse recovery, to order and shipping confirmations. They can even stand on their own as recommendation-only emails. And the best part is they don’t cause any additional strain for your likely lean email marketing team.

In this article, I’ll discuss:

• The dos and don’ts f using product recommendations

• How to make your product recommendations stand out

• Potential pitfalls to avoid

Click here to continue reading on Multichannel Merchant.

Are Loyalty Programs Still Doing Their Job?

It’s a pretty disloyal world out there, but can you really blame the consumer? Online shopping has never been easier, and stores have been stepping over each other to see who can offer the deepest discount. While discounting your way to a one-time purchase might work in the short term, at the end of the day, you need to aim for a higher prize: customer loyalty.

Many retailers attempt to accomplish this with an official loyalty program. There’s just one problem – they rarely work.

In this article, I’ll discuss:

• What makes a good loyalty program

• Why customers don’t feel loyalty to programs

• Examples from Starbucks, Macy’s, Bruegger’s Bagels, and Amazon

>>> Click here to continue reading on multichannel Merchant <<<

The Threat of Disappearing Brands in the Age of Voice Assistants

When you see a red and white can of soda or a Peter Pan silhouette on a jar, you see a brand. You know the product. But what happens when you don’t have those visual cues to draw you to certain items when you shop?

Brands used to rely on traditional advertising to embed their brand imagery in our minds and remain visible and relevant to their audience. But in today’s digital-first world, consumer attention is more fragmented. Television screen time is declining, while time spent on smartphones and other mediums is increasing. This has created challenges for brands trying to stay in front of consumers.

Voice assistants add an additional layer of uncertainty to the traditional means of keeping us brand loyal. With devices like Siri, Google Home, and Amazon’s Alexa-enabled options, consumers are relying more and more on browserless interactions. In fact, comScore predicts that 50% of all searches will be voice searches by 2020. That’s not that far away.

But while performing informational searches is one thing, the idea of searching for products and actually buying them via browserless commerce is quite another. This begs the question: if consumers are searching and buying via voice, will this erode the value of brands as we know them?

The Age of Voice Is Upon Us

Amazon claims it sold millions of Alexa devices over the Black Friday weekend and that the Echo Dot was the top-selling item on the website worldwide during the holiday season. That equates to a lot of people saying, “Hey Alexa, order me batteries.” In this scenario, the first result you get is for Amazon private-label batteries. So how do Duracell and Energizer compete with this? How do their branding efforts influence a consumer’s purchasing decision when those visual brand cues are no longer available? Are either of these two brands stronger than Amazon? Battery sales figures from Amazon indicate they’re not.

And what about those instances when Alexa fails to deliver the brand name you’re looking for and suggests you open a browser to find it? With convenience so in demand, you may opt to purchase the suggested non-branded product just to avoid spending one more second shopping for batteries. If you’re willing to take the extra step to switch devices just to make the purchase, you must really love the brand.

What Do Voice-Assisted Consumers Want?

There is no doubt that the post-Gen Z generation, often referred to as Generation Alpha, will have voice assistants as a part of their everyday life. Gen Z is coming of consumer age during this evolutionary period, and they have the spending power and skills to navigate technology. And what about millennials? According to eMarketer, thirty million were expected to use voice assistants monthly in 2017. So, what do these consumers want from the experience, and how can brands provide it?

Millennials are loyal to strong brands. And they’re drawn to both value and hyper-convenience. What does this have to do with browserless commerce? In a recent conversation with millennial marketing expert Jeff Fromm, he said this age group is loyal to brands when the brand is strong, but will trade down when it is weak. If you pair that idea with the millennial interest in value and convenience, you understand the magnitude of the challenge brands are facing. Voice assistants are the definition of hyper-convenience.

Millennials also appreciate value, which doesn’t always mean the lowest price. Think bang for the buck. It’s one reason millennials often mix brand names and private labels. If we use the Amazon battery example, Amazon hits the trifecta: a strong brand, value, and convenience. How can brand-name battery makers compete?

But millennials are just one example. Other generational groups share many of the same values. In a browserless era, brand-name paper towels, peanut butter, ketchup, underwear, mouthwash, or any other branded basic runs the risk of fading away without the visual cues that advertising built and in-person shopping enhanced.

What Can Marketers Do?

Focus on communicating your value in a way that gives consumers a reason to verbally request your brand. For example. I love Utz’s old-fashioned hard sourdough pretzels. Not pretzel rods, or small twists, but the big ones that crack my teeth! I need to convey to my wife, who does the majority of shopping, why she should specifically request that product and not settle for the recommended sourdough rods.

The same goes for when the household’s usual shopper isn’t the one ordering from the voice assistant. In the store, I might be able to recognize the laundry detergent we use by its color and logo. Without that visual, how do I choose the right one? My instinct might be to order the recommended product or the cheapest one. How you differentiate your product from generic brands is critical.

Voice assistants also change the SEO game. How we speak will become more important than the words we type into a search engine. As a non-SEO expert, I would optimize for voice by writing and producing web content in a conversational style. Consider what consumers might ask when searching for your product and how your product or content might help solve their needs. For example, I might ask, “Hey Google, what’s the best way to keep my toes warm in cold weather?” Would the content you produce or the way you write your sock’s product description be relevant enough to return a query result?

In an age of voice, the potential for brand erosion certainly exists. How far will it go? Frankly, we don’t know yet. This evolution should force existing brands to rethink how they target and interact with their audience. Staying top of mind at a time when consumers are constantly connected, value is weighted, price comparison is commonplace, and convenience is essential is difficult. And it’s especially true when the actual device returning the consumer’s request may be a direct competitor. Will brands as we currently know them be forever changed by this evolution?

In the age of voice, a familiar logo is no longer enough.

This was originally published on Multichannel Merchant.

Millennials: From Punchline to Powerful Consumers

By now, you’ve heard the term “millennial” a million times over — and with good reason. They represent 25% of the US population and hold $1.3 trillion in spending power, which has turned them into quite a powerful consumer group.

Millennials have mostly been given the credit, for better or worse, for redefining consumer expectations. These expectations now go well beyond millennials, prompting retailers to change how they engage and market to consumers of all ages.

So, what do millennial consumers want? What do they care about? And how can retailers adapt?

It all starts with the smartphone. Thanks to the access these devices grant, millennials are consuming a lot of content. They read – and value – things like product reviews. They digest what’s happening on social media, both from brands and their peers. They watch videos. And yes, they communicate with their friends and family.

While content consumption is one thing, how brands drive action from them is another.

Building Millennial Loyalty

There is a notion that millennials are not loyal to brands, but this isn’t quite accurate. In fact, millennials are loyal to brands that clearly communicate a meaningful purpose and core values – and stand by them. They’re also more likely to stand behind a company that makes philanthropy part of its mission. They’re not going to go with a brand based on name alone, no matter how long the brand has been around.

For this generation, convenience is not only important, but it’s also essential. And ultimately, the consumer, not the company, defines convenience. Your brand may think four-day shipping serves its needs, but in this age of two-day, same-day, and even two-hour delivery, it may not be enough. To some consumers, four days can seem like an inconvenient eternity.

Millennial marketing expert Jeff Fromm takes it one step further and says it’s not convenience they care about, it’s hyper-convenience. As a retailer not named Amazon, you should think of ways to create customer experiences that make people want to engage with you and talk about your brand. After all, people don’t Google or ask Siri to find them an average restaurant or an average pair of shoes. To appeal to millennials, you need both a good product and good service. Here are a few ways to think about upping the experience you offer to millennial consumers.

Employees: Think about your frontline employees. Customer service representatives and store associates can help create an exceptional consumer experience. Train them to be advocates for the company. They are, after all, the face (or voice) of the business. If they’re unhelpful or treat people poorly, don’t expect repeat customers. In today’s age, news travels fast.

Content: The strategic focus here is to give consumers the information they desire when they go to look for it. Are your in-store product counts online accurate? Do you offer product reviews or how-to videos? Can I easily reach your customer service department to ask them a question? Providing easy-to-access content helps millennials navigate their customer journey.

Inspiration: Great brands inspire people to create great content. Does your brand inspire content creation, such as Instagram posts or product reviews? I don’t mean simply sending an email asking customers to review their purchase, but actually providing inspiration for doing so. Do you make consumers want to share with you on social media? Look at your messaging strategy – does it feel authentic or forced?

Email Marketing: Are your emails relevant and timely? Consumers, especially millennials, will quickly tune out generic batch-and-blast emails. Think of opportunities to send a more targeted email, such as browse recovery messaging, or adding product recommendations and user-generated content to your messages. In fact, according to one of our recent studies, 60% of US millennials fully expect stores to provide recommendations based on their past online purchases.

The customer journey today is more fragmented than ever before, especially for digitally native shoppers. Consumers today may still touch all four bases on a baseball field, but they may not do it in order. But if you can optimize your strategy and give them what they want at each stop, you’ll be a brand they remember and come back to time and time again.

For more information on marketing to millennials, check out episode 14 of the Commerce Marketer Podcast. Listen on Apple Podcasts.

Holiday Predictions Recap: Did I Hit the Mark or Shoot My Eye Out?

The holiday season exploded, much like a shot fired from a Red Rider carbine action, 200-shot, range model air rifle, with a compass in the stock and this thing that tells time. Back in October, I laid out my predictions for the 2017 holiday season. Now it’s time to take aim at my predictions and see whether I had Black Bart in the crosshairs or ended up shooting my eye out.

Where I Hit the Mark

Prediction: More Mobile Sales
Last year, mobile accounted for 30% of all online sales. I predicted mobile sales would increase to roughly 35%.

Result: We all saw this coming. Mobile accounted for 40% of online purchases, 33% of online revenue, and 56% of traffic, according to Adobe. If I’ve said it once, I’ve said it a million times; if you’re not optimized for mobile, you’re not optimized.

Prediction: Early Sales

Online holiday sales will start in October.

Result: Seeing as every day in November drove $1 billion in online sales, we know people were shopping the deals early. From my personal inbox, the incentives offered by retailers during the final week in October were right in line with those offered in November.

Prediction: Exclusions Apply

You will see fewer “off everything” promotions and an increase in discounts on “select items.”

Result: I did notice an uptick in select categories of sale items, such as discounts on pajamas one day and sweaters the next. While I did see exclusionary sales, I think they were handled much better than last year. Last year, in many instances, I would cart items only to find out at checkout that they were not discounted. This year, I noticed the sales having their own sections on websites and emails clearly defining which categories of products were on sale.

Prediction: Black Friday and Cyber Monday

I predicted both days would drive over $1 billion in mobile commerce and that the promotions for these days would start on Sunday or Monday prior.

Result: Black Friday raked in nearly $1.9 billion in mobile revenue, nearly 37% of all of Black Friday’s online revenue. Cyber Monday became the first day ever to reach $2 billion in mobile revenue, setting a new mobile benchmark.

Black Friday wasn’t just a day – it was a weeklong event. Even though Gray November was in full effect, many retailers started their Black Friday earlier that week. I made 92% of my purchases prior to Black Friday, and the other 8% on Black Friday itself. The deals were out early.

Prediction: Thanksgiving Day

I predicted that Thanksgiving Day would cross $2 billion in online sales for the first time ever.

Result: Online sales clocked in at $2.87 billion for the day. This day keeps growing as a critical online shopping day.

Prediction: Browserless Commerce

I predicted voice assistants would be the hottest sellers of the season, with Amazon devices being the No. 1 sellers in this group.

Result: Well, Apple’s HomePod was delayed until 2018, handing market share to Google and Amazon, and Google did not disclose how many devices were sold during the holidays.

But does it even matter? Amazon appears to be the big winner here. Amazon’s David Limp, head of devices, said that millions of Alexa-enabled devices were sold over Black Friday weekend. Amazon later said the Echo Dot was the top-selling item on the website worldwide during the holiday season, while the Fire TV Stick was runner-up. Can households claim Alexa as a dependent?

Prediction: Amazon’s Take

Amazon captured 38% of the online holiday sales in 2016, and I predicted this figure would inch up to the 45% mark.

Result: Amazon is king. GBH Insights estimated Amazon accounted for between 45% and 50% of online sales during the holidays. On Thanksgiving and Black Friday, Amazon accounted for 45% of online transactions among the 50 top retailers, according to Hitwise. Amazon also announced Cyber Monday was its best day ever, surpassing even Prime Day. Considering they were responsible for 44% of all online sales in 2017, this all sounds like just another day in Amazon-land.

A Few Half-Baked Holiday Results

Prediction: Even More Mobile Clicks
In Q4 2016, mobile accounted for nearly 57% of paid search clicks, with 47% coming from smartphones. I predicted we would see continued increases.

Result: At the time of writing, the data is not yet available. However, with 56% of holiday traffic coming from mobile, I would expect this prediction to be a successful one.

Prediction: In-Store Exclusives

In an attempt to drive in-store traffic, I predicted you might see a rise in brick-and-mortar retailers offering “off everything” or deeper discount sales for in-store only.

Result: There was a noticeable increase in retailers offering an additional discount, on top of the online discount, for shopping in-store. However, a relatively small number offered store-only discounts. In fact, I was astounded to see some omnichannel retailers make specific mention of the discounts being for online purchases only. Why would they not want their customers to come into the store? If anything, make it available in both places.

Prediction: Re-engineering the Brick-and-Mortar Experience
I predicted we’d see a lot of in-store-only Black Friday and Cyber Monday sales, as well as some in-store price-matching.

Result: While there was a noticeable rise in extra in-store incentives, there seemed to be relatively few in-store-only sales for these signature days. This might be why Shopertrak reported that foot traffic to physical retail stores was down 1% on Black Friday.

And to no one’s surprise, Black Friday deals were widely available for the entire week (and weekend) of Thanksgiving. Looking at my own inbox, more than 20% of all email subject lines contained the term “Black Friday” on the Monday before.

And yes, price-matching was seemingly everywhere. Stores like Dick’s, Walmart, Best Buy, Sears, Newegg, and even Amazon, in some cases, all deployed price-matching strategies during the holidays.

Prediction: Email Marketing Will Continue to Dominate

Result: This one is still pending, as complete data is still being analyzed. Adobe did report that on Cyber Monday, email drove 24.9% of sales, closely followed by the 22.9% from paid search. My inbox was extremely busy. In November, I received almost 25% more emails this year than last year. Year over year, Bronto sent more than 25% more emails on both Black Friday and Cyber Monday. Email continues to be a highly effective marketing tool for retailers.

Where I Shot My Eye Out

Prediction: More Billion Dollar Days.

I predicted we’d see 60 of the 61 days in November and December rake in $1 billion in online sales, up from the 57 days in 2017.

Result: 58 of 61 days topped the $1 billion mark. Every day in November reached this milestone, further reinforcing Gray November as a mainstay, not a trend. While improving upon last year, December let me down. Come on, December!

Prediction: The largest online shopping day of the year

I predicted that for the first time, Black Friday – not Cyber Monday – would be the largest online shopping day of the year.

Result: Here’s the big one. I predicted Black Friday to be the online king of the year. My reasoning was based on the industry-accepted benchmark of 2016 Black Friday and Cyber Monday online sales of $3.34 and $3.45 billion, respectively. We have been seeing this gap seemingly close year over year. Inexplicably, when the 2016 baselines were referenced, these numbers were surprisingly different, at over $4.3 and $5.65 billion each day, respectively. What a difference! While the industry thought Black Friday was about to catch Cyber Monday in sales, these adjusted numbers show that this wasn’t quite the case.

All in all, this year’s Cyber Monday reportedly clocked in at $6.59 billion, and outperformed Black Friday by $1.5 billion. Although Cyber Monday has some breathing room as king of online sales, Black Friday, at over $5 billion, is no day to smirk at.

And What About My “Bold” Predictions?

Predictions:

• Starbucks will take flak over its holiday cup design. ‘Tis the season!

• I will once again purchase my tree on Black Friday.

• Fruitcake, while good in theory, will continue to be a poor party dessert.

Results: A little, yes, and yes!

The Starbucks cup design faced only minor controversy this year. Hey, someone has to complain, right?

I again purchased my tree on Black Friday, but not from the usual store. Upon arriving at my usual retailer, I was greeted with a ghost town. My local fire department’s tree lot was the winner this year. I absolutely loved my tree, and that usual retailer may have just lost my tree business forever.

And no, I did not serve fruitcake at my holiday party.

While not all of my predictions for 2017 hit the target, coming up with them is always fun. And by all accounts, this holiday season was great for consumers looking for a deal. Although retailer margins may have been squeezed, retailers certainly benefited from the high shopping turnout. This year, I look forward to seeing who Amazon acquires (I have my thoughts), how consumer behaviors will shift, and how retailers will adapt to meet their needs. These will, of course, all affect my predictions. Hopefully, next year, my predictions will be more like a Red Rider and less like pink bunny pajamas. Only time will tell.

This was originally published on Multichannel Merchant.

Confessions of a Holiday Shopper: Why I Didn’t Wait Until Black Friday

This holiday season was predicted to be the best yet for online retailers – and it was. Fifty-eight out of 61 days drove over $1 billion in online sales, including every single day in November. Gray November, the month-long period of deep discounts, is now commonplace. But do people buy more or simply buy earlier?

This year, I wanted to find out how early discounts affected my own shopping behavior and see what lessons it might offer for retailers. So, I conducted a little experiment.

A Little Background

My yearly holiday shopping comes with a double whammy. See, my wife’s birthday falls one week before Christmas. After buying gifts for my wife and the kids, my digital wallet looks more like a countdown clock in an email message, getting smaller and smaller as the seconds tick away.

I traditionally draft my gift list a few days before Black Friday and then purchase over that weekend. But this year, I pivoted. Having tracked the Gray November phenomena over the past several years, I felt confident that the discounts would be just as strong prior to Black Friday weekend as during it.

You can’t write about holiday shopping (or conduct your own holiday shopping experiment) without addressing the elephant in the room – Amazon. Although I purchase from Amazon, I am not a Prime member. Am I allowed to say that? I guess the first step is admitting it. As a non-Prime member, here's what I was looking for in my shopping experience:

• Could other retailers compete with Amazon for my attention and wallet?

• Would I regret buying “early”

• Was Amazon the right retailer, or did someone else offer value or service that was better?

• In the end, how much wallet share would Amazon nab, and why?

Let the Purchasing Begin

Although my very first purchase took place on November 13, my primary shopping started on November 16. I completed 75% of my shopping prior to Thanksgiving Day and 92% prior to Black Friday.

To Amazon or Not to Amazon?

HitWise reported that Amazon accounted for 55% of Black Friday sales and 45% of Thanksgiving Day sales. For the holidays overall, GBH Insights estimates Amazon accounted for about a 50% share of online revenue.

For me, 33% of my purchases were made on Amazon, accounting for 11% of my wallet. However, my November 13 purchase was a one-time, big-ticket item. By removing this specialty purchase, the adjusted wallet share Amazon earned from me jumps to 29%. Even though money spent is money spent, I view this adjusted 29% as a more accurate number, as it's based on my typical gifting habits.

One of the main reasons I chose Amazon was the convenience of buying many diverse products in a single order at a price that was comparable to or better than a competitor’s. When the price was comparable, I mostly leaned toward Amazon for value-add reasons, such as my confidence in their customer service.

But Amazon certainly lost out on a few of my purchases. Twenty-five percent of the time, the price was higher. Another 25% of the time, I was concerned about the quality of the Amazon offerings (particularly the private-label offerings), and 17% of the time, Amazon didn’t carry what I was looking for.

My Black Friday purchases all came from Amazon. I purposely shopped for the items prior to Black Friday, placed them in my cart, and left them abandoned. The prices at this time were comparable to other sites, and I knew that come Black Friday, I’d get a deal somewhere. Interestingly enough, Amazon was the one that came through with the largest price drops.

Customer Service and the Consumer Experience

I had two notable customer service experiences while shopping. The first was from Amazon. For one purchase, I ordered a product that was fulfilled by Amazon. The product quantity showed there were six remaining. One full day after placing my order, I received an email from Amazon stating the item could not be fulfilled due to the product not being in stock. But the website still showed the product as in stock and ready to ship. Needless to say, I found this to be a very poor customer experience.

On November 18, I placed an order from a national omnichannel retailer. They had a 50% off sale on several items I was shopping for. However, one of the items on my list was not on sale. The question became: do I purchase now or wait to see if the other item goes on sale? I assessed the situation. Because they offered free shipping and free returns, I had nothing to lose. After all, if they discounted the item later, I could simply return the order and place a new one with all of the items on sale.

So I purchased, paying full price for the one item. The very next morning, the full-price item went on sale at 50% off. Because it was less than 24 hours since the order was placed, I emailed customer service asking if they would credit the difference. They declined to do so, instead instructing me to sign up for their emails so I don’t miss a future sale. Umm, OK. Instead, I let them incur the cost for not only shipping the new order but also processing the return. This incident reduces my chances of doing business with them in the future.

These two experiences highlight a lesson for retailers: Be sure the product counts on your website are accurate and that your customer service policies allow you to meet customer expectations. In both cases, I had a negative experience. For Amazon purchases, I’m skeptical of the value of paying for Prime. For the other retailer, knowing they won’t address a simple price adjustment gives me little confidence that they would satisfactorily address a more complex customer service issue.

Final Thoughts

I’m just one shopper, but I feel confident my buying behaviors are fairly representative – customer service and value trump price. Don’t leave the success of your business dependent on discounts. If you're a retailer, spend the next six months forging stronger relationships with your customers. Review your customer service policies. When issues arise, don’t just say you’re sorry. Go out of your way to make things right! Communicate value-adds that are meaningful for your customers.

When it comes to purchasing from you or a competitor, give shoppers a reason to choose you. If you rely on price alone, you’ll eventually lose.