Macy's is the perfect model for the evaluation of the Omni-Channel Effectiveness
Omni-channel is the approach to sales that is seeking to provide clients with a continuous shopping experience through online especially from the desktop or mobile device in the store (Sreedharan, 2015). However, there is an integration between the Omni-channel and the multi-channel experience on the back end. For instance, when a store implements an Omni-channel approach, the sales representative in that store will be capable of referring to the previous purchase of the customers. Therefore, the reference will be simple because the person in charge at the customer service will do it on the phone as well as on the web chat for the same. On the other hand, the customer can use a desktop to check the inventory in the website store of the company, and purchase the products later on with a smartphone, and pick up the goods at the selected location by the customer (Kraemer, 2015).
Macy's is making proper use of the stores to support online orders especially to the single items that are mainly using the real estate as flexible warehouses. Since Omni-channel supports the level of item identification, Macy's can focus on product assortment and service as it uses the existing inventory to address the fulfillment demands of customers. Consequently, changes to inventory management that support the Omni-channel strategy has enabled Macy's to reduce $ 1 billion of inventory from its stores (Seekingalpha.com, 2016).
The major success factors of Macy’s are the steady and disciplined implementation of the fundamental strategies of its location, the Omni-channel integration, and the engagement of magic sales to the customers (Dorman, 2013). However, the Omni-channel has remained the blueprint for the brand of Macy's at the present with every element coming closer together for holistic work. Therefore, through Omni-channel, Macy's has become proficient in the application of its business lessons to improve the industry for its clients. Thus, making the company move forward with fresh ideas.
The path to Omni-Channel adoption at Macy's
The Omni-channel in Macy’s was developed in 2008 and later launched in 2009 remains the primary differentiator and a sustainable competitive advantage for the company. The intention of the company is to supply a merchandised assortment and an experience of shopping at each location that is meeting the needs of the native customers. With more than six years in experience and the substantial amount of advancement with Omni-channel, Macy's is refining its localization approach with improved emphasis on driving the growth of sales with the process that is streamlined to quicker decisions.
Omni-channel has enabled Macy's to devote more attention in enhancing its assortments and the performance of sales, thereby getting more granular on serving both the ethnic and multicultural clients. Additionally, Macy's is focused on the flowing receipts of merchandise into every door precisely at the right moment in the shopping cycle. Consequently, there is no doubt that the Macy's customers are Omni-channel in their shopping styles, and this has enabled Macy's to be with its customers at every turn.
According to the research, about two-thirds of the overall shopping trips today at Macy's starts online with clients researching the options at their desktops, tablets, and smartphones. This makes the customers visit the company's store only to feel, and try on the merchandise that they saw. Through Omni-channel, Macy's is currently operating with a single view of the customers, no matter where the customer is shopping.
References
Dorman, A. (2013). Omni-Channel Retail and new age Consumer. An Empirical Analysis of Direct Consumer Channel Interaction in the Retail Industry, 1(590).
Kraemer, D. (2015). Omni- Channel. Perspective on Implications for the Logistic Industry.
Sreedharan, S. (2015). Digital Marketing-Omni channel Personalization. Lulu.com.
Why Macy's Omni-Channel Marketing Approach Is Significant To Investors. (2016). Seekingalpha.com. Retrieved 8 May 2016, from http://seekingalpha.com/article/2218663-why-macys-omni-channel-marketing-approach-is-significant-to-investors
