Boosting stationary retail with online campaigns

The volume of Swiss online orders amounted to almost 9 billion Swiss francs last year, according to estimates by the Swiss Mail Order Association (VSV) and the market research institute GfK Switzerland. The main beneficiaries of the strong growth of ten percent were foreign online retailers. According to forecasts, these are already siphoning off up to a quarter of the online market this year. Many Swiss retailers are lagging behind the development in e-commerce and are in danger of being left behind. One of the magic words is ROPO (Research Online, Purchase Offline) and stands for online research that leads to a purchase in stationary retail. Many Swiss companies are too slow to adapt to these and other aspects of omnichannel commerce.

Thoroughly analyze purchase phases and touchpoints

Many established specialist retailers with strong branch networks are faced with the challenge of maintaining their stationary business despite declining visitor numbers and at the same time countering the major online competition. Of course, there is no one-size-fits-all solution, but as is so often the case, the successful solution lies in the middle, i.e. in cleverly dovetailing off- and online activities. To convert potential customers into store visitors, retailers need to be present at the relevant stages of the customer journey. The respective strengths of the physical and digital worlds must be played out and convince at the right time of the purchase phase.

Finding the right timing in advertising

There is a difference if someone is looking for a pain gel, running shoes or a sofa. For every product and in every industry, the buying phases look different. The right timing plays a decisive role. It is important to thoroughly analyze which touchpoints are important for the respective target group in which buying phase. For products with high involvement, such as the purchase of an expensive e-bike, the information phase can already be decisive; for low-involvement products, it may be sufficient to be present in the decision phase.

ROPO: Research online, buy offline

Just a few years ago, brick-and-mortar retailers were lamenting customers who sought advice only to order the item online. Today, the opposite approach is a common phrase: Research Online, Purchase Offline. Six out of ten Internet users, for example, check the Availability of a productbefore they go to the nearest store. The effect of online measures on offline purchases should not be underestimated. Those who pursue a consistent omnichannel approach and want to seize the opportunities must take these interactions into account in their calculations.

Campaign evaluation from an omnichannel perspective

The following example: A retailer achieves 100,000 clicks via a Google Ads campaign and collects 3,000 orders via its online store. One percent of the consumers who came across the Google ad make purchases in the retailer's nationwide store network. In other words, the retailer generates a total of 4,000 sales. If he does not take into account the offline sales triggered online, his economic assessment of the Google campaign is significantly more negative. There are already good approaches to measuring ROPO effects.

Measure and control interactions

Google is working hard to help advertisers more insights in omni-channel marketing to create a new market. With My Business accounts set up accordingly and linked to Google Ads, retailers can already measure the number of store visits. Advertisers can analyze which campaigns, keywords and devices attract the most visitors to their store. Only recently has Google also made it possible to segment new and returning store visitors. And Google also offers interesting features for campaign control: bids can be automatically increased within a defined radius around a store. Data from Google shows that the distance from the store is extremely relevant for the visit rate.

Ignoring omnichannel effects is negligent

Of course, it is not always possible to prove the influence of online activities on customers' offline behavior. However, hardly anyone will doubt that this interaction exists in principle. Nevertheless, omnichannel effects are not taken into account in the marketing planning of many Swiss companies. In order to develop a powerful and growth-oriented overall concept, however, this is absolutely advisable. Omnichannel often fails because of silo thinking between online and offline managers. But it is only by taking an overall view that omnichannel effects can be strategically taken into account and the advantages converted into sales for the entire company.* Wolfgang Schilling is founder and managing director of the performance marketing agency ad agents GmbH. Thanks to his many years of professional experience in off- and online retail, he knows the changing challenges for advertisers.

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