Monthly Archives: June 2014

ASOS announces their joining in Microsoft Ventures startup program

Daniel Posted On - June 26, 2014

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Recently online retailer ASOS has announced they are going into collaboration with Microsoft to identify Retail start-up technology companies. This public statement was made during Microsoft’s investor day in London called ‘The Pitch’ in the presence of its most recent start-up companies and a room full of investors.

As ASOS joins Microsoft Ventures start-up program it will be included in the application evaluation panel for Microsoft Ventures, and take active part in identifying potential retail start-up tech companies to join the accelerator from September. ASOS will also contribute as an important participant in the next accelerator program and provide necessary guidance to start-up companies with a definite inclination towards retail.

Anand Krishnan, general manager, developer and platform group at Microsoft, commented that the wide retail space in London is big and ripe enough for disruption. He also said it is difficult to make an outline, how a consumer take the buying experience and revitalize it with technology.

He speculated this collaboration with ASOS will positively influence the start-up program and allow it to go at a higher level which may include fashion retail space also.

Microsoft has also declared it will have a presence in Level 39 in Canary Wharf. It has a special implication as this is Europe’s largest incubator space for financial services, retail and future cities start-ups.

This partnership has an added interesting feature; it will allow start-ups located at Level 39 to have direct onsite access to Microsoft experts. This will be extremely beneficial for them as they will be able to get various advices in multiple areas including technology, enterprise sales and finance and product development.

It is also decided that Microsoft will deliver workshops on cloud, and a partnership between Level 39 and BizSpark Plus Network will jointly make it possible to offer start-ups access to £60,000 worth of credits on the Microsoft Azure cloud platform.

Head of Level 39, Eric Van der Kleij, recognized this event of welcoming Microsoft to Level 39 as a vital step towards their target to attract some of the eminent technology players to become integrated into the very fabric of the Canary Wharf technology cluster and growth opportunities.

He also highlighted the importance of start-ups having access to cloud services by jokingly mentioning that he himself sold his start-up company Adeptra for £150m only. If he could avail the benefit of cloud services at that time, it could have been an incredibly important thing.

The second Microsoft Ventures Accelerator will begin in September for which still there is opening for Applications.

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Is Amazon jumping into in-store mobile payments?

Daniel Posted On - June 26, 2014

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As competition is rising day by day in providing smarter payment solutions to the consumers, Amazon.com the largest online retailer is also no way lagging behind when compared to its other competitors like eBay, Google and square. Recently it has been reported that Amazon acquired acquisition of mobile point-of-sale service provider GoPago Inc.,a mobile point-of-sale software and services provider. GoPago Inc. offers special payment features that empowers retailers and restaurants to use card reader-equipped tablets and smartphones to check out customers and allows customers to use an app to order and pay for goods and services before they arrive at a business.

Though GoPago’s Italian owners have already discussed about this acquisition with Italian media they did not make a single comment in U.S. media. Both Amazon.com and GoPago did not wish to express their opinions in spite of requests for comment from Internet Retailer.

Colin Sebastian, an analyst for investment firm Robert W. Baird & Co said, perhaps Amazon.com, is not interested to disclose its payments capabilities to compete with other companies including eBay Inc./PayPal, Google Inc, Groupon and Square that also offer marketplaces like them and facilitates mobile payments.

Sebastian also hinted in one of his research note that, it has also become a great challenge for smaller-scale and emerging online payment companies, as the large web platform companies building advanced capabilities in mobile payments and POS systems. He also mentioned, soon we will witness the existing online marketplace battles reaching out for extended payment platforms, where Amazon, eBay/PayPal, Google and Apple will be the most successful players.
Presently, more than 215 million active consumers can use Amazon’s Login and Pay with Amazon, which enable them to use their Amazon credentials on PCs, tablets and smartphones to get default payment information to quickly pay for goods on participating e-retailers’ sites and apps.

Sebastian describes, for GoPago, retailers pay $69 a month for software and services; which is excluding hardware, but including tablets or smartphones and the card-reader dongles that attach to the mobile devices.

Sebastian also added, GoPago has achieved its greatest success with small to mid-sized retailers and restaurants averaging around $500,000 in annual sales,. “Over time, there is apparently no reason that large merchants wouldn’t install cloud-based mobile POS software, as tablets will soon be able to provide at least as good technology as the legacy POS providers at a much lower price,” he further commented.

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Rakuten’s recent aggression in capturing Indian market

Daniel Posted On - June 25, 2014

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It is a fact that Japanese online retailer Rakuten Inc. is likely to enter India in the next six to eight months. Three persons familiar with the company’s future focus has expressed a clear idea that Rakuten is aiming towards a strategic alliance to gain rapid growth in the country’s Rs. 62,000 crore E-Commerce market.

It is also putting special effort in screening opportunities to penetrate market as back-end solution provider in the fields of logistics, through an acquisition, said the other two persons. And all three spoke on condition of anonymity. According to a 2013 report by the Internet and Mobile Association of India (IAMAI) and audit firm KPMG, Rakuten the Tokyo based organization, is looking forward to hold a share of an e-commerce industry that has been growing at an average annual rate of 34% since 2009. This report also reveals travel operators were expected to account for 71% of this, while sales of other goods remain accountable for the rest.

Rakuten has diversified businesses in the area of e-retail, travel and financial services. Its 100% subsidiary Rakuten Travel operates an online hotel reservation website with a huge business and access to an incredible number of domestic and international hotels. It has also spread its presence in South Korea and China.

While explaining the rationale for Rakuten’s interest in India, Mukul Singhal, principal at Saif Partners, a private equity firms said the opportunities in the business of hotel bookings is very high. Almost every company in the traveling industry is looking to invest in hotel bookings and packages as airline ticketing is not much profitable.

Rakuten was founded by Hiroshi Mikitani in 1997 which now runs Rakuten Global Market, a multi-category shopping portal and host of other portals namely Rakuten Coupons and TicketStar, and many more. But now it is aggressively eyeing global growth markets to fight out stagnating Japanese economy and weak consumer sentiment.

As an outcome of this principle, teams from Rakuten have been consulting investors, companies and industry experts for the past few months as it explored the Indian market. Company spokesperson Minori Nakayama said in an emailed response to Mint that they are not making any comment on inquiries in markets in which they don’t have direct operations. Dhruv Shringi, co-founder and chief executive at Yatra.com said, if Rakuten enters the travel category it will have to focus on an India solution. He also added that running a business in India is not a simple task as the market can only absorb a maximum of three players. But he admitted the fact that the prospects of the online travel market had improved and growth is back in this sector.

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Giant move for Google; from searching to delivering

Daniel Posted On - June 25, 2014

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Several others frowned upon Google’s spontaneous approach regarding free delivery service of certain goods on the same day in certain parts of United States. The industrial analysts observed this as an unwanted intrusion of the company in low-prizing real-world business. Various questions were also raised regarding the delivery modes that were taken up by them as too much than the needed.

The mistake was however childish and unprofessional in nature compared to the image of the company and with such competitors like Amazon.com and so many others coming in. The initiation that was new for them and held as intrusion in unfamiliar territories. Google with its popularity as a search engine and as a guiding factor in the world of web actually did not made such prolific result when it entered the world of delivery business with higher expenses as a mode of payoff that is uncertain and low in terms of the expenses incurred. This was really a bad move for them as far as the world of web delivery business is concerned. A lot of money was wasted in securing the position for the business until it crashed and turned out to be a failure.

Completion rates were stiff

The market for Google in this field was very stiff for it was equally dominated by other shopping sites like Amazon and e-bay which had their strong customer base and this was bad for the Google as they could not secure the credibility of the people.

New move for Google

Google however is shifting its mindset thus concentration on its mainstream business with search advertising and with the enhancement of e-commerce; it looks up to get information of the potential user of its service so that it can develop upon it. A similar approach was seen when Google invested in Smartphone to safeguard its search engine and with the Android technology, it is further enriched.

A giant step taken

Google is however in the advancement of its delivery industry where it is taking its trials in various parts of USA. As a part of their new move, Google is experimenting with ways to deliver perishable groceries such as milk and various food items that require special temperature-controlled storage and delivery mechanism, and which are already available through Amazon’s rival Fresh service. Though it is said to be too early to say whether that might ultimately become part of the service or not.

Google Shopping Express allows consumers buy products online from a lot of stores in the San Francisco Bay Area, including Staples, Costco, etc. They have the goods at their doorsteps that same day. Couriers or contract drivers pick the orders up from retail stores throughout the day collecting an undisclosed commission from the retail stores for each sale.

Consumers for now pay nothing for the convenience due to a free six-month membership trial offered by Google. Google may extend the free trial until it has perfected the service and is ready to charge a subscription fee.

Google’s Shopping Express is being tested as a standalone delivery service, but many people expect the eventual goal is to integrate home deliveries as a feature in the search engine.

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PayPal offers smarter ways to make transactions via fingerprint recognition

Daniel Posted On - June 24, 2014

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PayPal has come to limelight by introducing fast mobile checkout via fingerprint recognition. In this process, you will be able to pay at any retailer that accepts PayPal on its mobile commerce web site by a gentle touch of your finger on your new Samsung Galaxy S5 smartphone.

As soon as the Samsung users link their fingerprints to their PayPal accounts, the Samsung devices scan the fingerprints and generate respective unique numbers. These numbers are generated on the basis of three identifying factors, which include the fingerprint, the device and an encryption key from PayPal. Every time a user swipes finger and get linked to the PayPal account throughthe Samsung Galaxy S5 smartphone, this special number is provided to PayPal and a transaction takes place provided the retailer accepts PayPal.

The process is simple. If you are a Samsung S5 user, you only need to link your fingerprint to your PayPal account, the rest of thing will be managed by PayPal. It is storing special numbers for each consumer and authorizing a biometric-enabled transaction only if the encrypted number sent from a device matches with that particular numeric code. And there is no other option by which the consumers can send the number except pressing their fingers to the smartphones.

This way PayPal enables fast mobile checkout via fingerprint recognition which allows the consumers to avail more operational benefit. They can checkout on m-commerce sites just by pressing Pay With PayPal then swiping their fingers where indicated. PayPal then displays a Review Order page where you need to press OK. The entire system saves you from the hazard of typing all the details like user name and password or shipping or payment information.  PayPal can automatically relate with all these required information through the encrypted number itself. To make this biometrics system popular PayPal has also updated its mobile software development kit, which will help the Retailers to easily use it and add biometrics into their Android apps.

PayPal is putting its best effort to attract consumers to mobile biometrics and other expensive devices by announcing special offers at numerous retailers, like Abercrombie & Fitch, Foot Locker, Target Corp. Toms Shoes and many more.

Joel Yarbrough, PayPal’s senior director of global product solutions and the leader of the biometrics team, has claimed that they have a long record of building trust with retailers and a better mobile checkout experience for retailers as well. The fingerprint scanning feature will take care of both of those things, he said. He expects this will introduce a super-secure at the same time a delightful buying experience which will in return increase retailers’ conversion rate on smartphones.

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Amazon and Retail Giants are Competing to Provide Fast Local and Same-Day Delivery Service

Shrikar Khare Posted On - June 23, 2014

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In recent days the competition between all the major e-retailers regarding fast and localized delivery system has surfaced on top.

Updated delivery systems are launched by Amazon.com, Inc., Google, Inc., eBay Inc. which beats the traditional couriers. Prime Pantry, introduced by Amazon is an example of such a service that delivers bulk grocery including extended number of items available to Amazon Prime subscribers. The shipping charge is $5.99 for the contents of a four-cubic-foot box weighing up to 45 pounds. Moreover, Amazon has already made an official statement that they are expanding the same-day delivery service to 12 metropolitan areas including San Francisco, Los Angeles and Dallas. Order cutoff times for delivery by 9 p.m. vary from 8 a.m. to 12:15 p.m., depending on the city.

Amazon is also taking steps to launch a delivery fleet of its own trucks and contracted drivers. According to company report, initially they are going to test the service in San Francisco, which will be possibly expand to Los Angeles and New York City. But Amazon is refusing to make any comment on this project right now.

Google also is planning strategically to expand same-day delivery for customers of Google Shopping Express to include West Los Angeles and Manhattan. Last year, this service was launched in San Francisco using dedicated vans sporting the Google logo.

Ebay also is no way lagging behind. They have launched eBay now, which delivers the products from local stores, within one- to two-hour of ordering. This service is available in 25 cities. The retailer is also planning to follow an “AM-PM” model as its standard service level, indicating all the orders placed in the morning will be delivered in the afternoon, while afternoon orders will arrive the following morning.

Uber, has also introduced its new UberRUSH which targets to provide packages with the same one-to-one transportation arrangement that it already offers to urban passengers, by way of a mobile app. Additionally it is also implementing the courier service in New York City as a trial method.
It is clear from all the efforts that battle intensifies for local and same-day delivery service by Amazon and its rivals. That is why; everyone is trying to satisfy the impatient customers by offering same day delivery services and introducing higher level of services.

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Retailers need to reshape their Marketing Strategies after checking out the Social Statistics

Daniel Posted On - June 23, 2014

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Social media and networking are providing the greatest platforms for every business marketing these days. All the B2B decision makers are no doubt making their decisions on the basis of a company’s social media presence. Automatically all the business organizations, irrespective of their sizes, are using it as the most important tool to get connected and communicate with their respective targeted consumers. To maximize the result they are focusing on Twitter, Facebook, Pinterest and other popular social sites and making their presence shining by putting a continuous effort through various posts and announcements.

Have you ever tried to make your business popular through these social media marketing revolutions?  If you are still not paying enough attention to this factor then you must go through these 8 social statistics to rethink your strategy for the Retailers.

Here are the amazing facts:

42% of online adults use multiple social networking sites. Therefore by entering into the social media marketing process, at a time you can address a large number of your customers and targeted customers.
71% of online adults are now Facebook users, a little more than the 67% of online adults who used Facebook during 2012. As the record shows Facebook users are rising in number. The record is likely to be the same for other sites too. As a result every marketer should be enough focused to capture these audiences.

  1. The fastest growing demographic on Twitter has a typical feature. The majority of these users are in the age group of 55 to 64 years old. It also reveals a splendid fact that, this demographic has seen an unprecedented increase of 79% within a time span of only two years.
  2. As we already have the data that within the last two year, users on Twitter from 55-64 have grown 79%, we can also anticipate there will be a booming number of twitter user very soon. And automatically all the businesses will be paying more attention to be present in such social groups as it provides them more credibility and social prestige. By analyzing this record you will easily come to understand no business can develop and establish its brand in today’s complex marketing scenario without using the social sites.
  3. Facebook and Google+ are seeing an intense following by people between 45 to 54 years old, with this demographic increasing 46% for Facebook and 56% for Google+. This throws light on the fact that social site users no way restricted within young generation of the society. It also has a great influence on the comparatively older audiences too. Hence every business who wishes to capture a society as a whole need to communicate through these networking platforms.
  4. Studies also show that almost 93-percent of marketing departments use social media channels for business. And quite naturally more and more companies are joining every day to highlight their presence in the market and to stay updated with their customers. You also can not wait to lose this chance to boost your marketing activities.
  5. Nearly 189 million people use Facebook on mobile-only platforms. This has a great impact on the society and marketing as well. Consumers are being more accessible at any time and every where. Business marketers are automatically capitalizing on it.

More adults between 18 to 34 years old watch YouTube than cable television. Hence if you wish to focus on the consumers of this age group you can very quickly reach out to them. No doubt they tend to be the greatest buyers for all types of products and services.

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EBay is going to be the new addition in content business

Shrikar Khare Posted On - June 18, 2014

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In today’s Internet dominated and technology driven world every big retailer is focusing on content business. Consumers are already quite habituated by brands telling stories. Pepsi’s pop culture website, Pepsi Pulse, presenting top-trending entertainment stories from social publishing platforms is quite well known. Red Bull’s and MiniCooper’s own magazines also demand an instant mentioning as every one knows about them too. No doubt all the brands these days are paying a lot of attention to be impressive over their Twitter and Facebook publishing strategies.

EBay is planning to proceed towards this and is hiring editors and long-form writers to help turn its site into a “digital magazine.” Devin Wenig, the president of eBay Marketplaces has said, the company has already appointed a “chief content curator” since October last, who is supposed to act as editor of the site.

“EBay Today,” perhaps is laying the foundation. It is highlighting different items or themes with blurbs of information and back ground stories which is obviously; linked to products the consumers can buy. No doubt there is a strong influence of The Pinterest, and eBay curates visually-rich collections by sellers on the page. However according to Wenig the site will be expanded and presented with rich contents. He wants eBay to be a retail-publisher, instead of a social network.

Wenig also said, as they are into content business now, they are focusing on telling stories. They already have a competent team with an editor, curators and writers as their own staffs. And all of them are heading towards giving it an amazing shape with some longer-form stories; some really beautiful pictures which will be more like a media.

Wenig, was previously the CEO of Thompson Reuters Markets and he wants to make eBay flourish around ultra-specific sets of interests like other online communities. They are planning to publish typical contents that a news organization usually publishes about the company. This include data oriented articles about the items people are most searching for, infographics depicting surprising top sellers, and more features like this. As EBay wants to be a digital magazine of things, it is focusing tailoring stories of specific interests of the consumers which will create draw the attention of niche users who are already the driving force behind eBay.

Wenig also mentioned they have also planned to have passionate sub categories on eBay. The aim is to bring in people from those communities who are influencers and who can tell stories about what they love about eBay including the things that they do. This way they are opting to form a community dynamic in some of those verticals.

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Amazon and Google are the biggest players influencing the retail landscape

Shrikar Khare Posted On - June 18, 2014

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Eric Best, Chairman and CEO of SEATTLE, WA — (Marketwired) — 05/12/14 — Mercent™, a leading technology company that enables retailers to profitably reach and convert more shoppers online, will join IBM’s tenured line-up of guest speakers at the IBM Smarter Commerce Global Summit Tampa held during May 12th to 15th, 2014.

It has been announced that Best will lead a highly-anticipated session titled “Amazon vs. Google – How Brands and Retailers Leverage the Commerce Giants,” in this event open to more than 5,000 brand and retail marketing executives and professionals. Amazon and Google are the two online giants who act as a consumer’s first stop when researching products, pricing, and promotions both online and in-stores. And it influence more than 50% of total U.S. shopping dollars. Frank Kochenash and Soren Godbersen, two fellow Mercent executives of Best will join him in this event to deliver expert insights, data and analytics supporting this discussion. They will also highlight the best practices on how to navigate the online channel landscape and top recommendations that drive omni-channel success in partnership with these platform providers.

Mercent is well known for optimizing retail product and offer visibility for more than 550 classic retail brands selling across most important digital channels. The company’s Mercent Retail™ platform is expert in creating value and driving profits for major retailers. It also complements product ad placement with a solid back up of integrated tools like retail analytics and business intelligence that stresses about the products, categories, brands, promotions, ads, and channels contributing most to online performance and ROI.

This hot topic, Amazon Vs Google: Checking out the Changing Retail Landscape has influenced Best and the Mercent executive team to meet with marketing and retail managers, directors and C-level executives at the smarter Commerce Global Summit 2014, and discuss this changing phenomena of rapidly growing eCommerce and retail landscape. Best expressed his feeling by saying, they are honored to participate in this Summit as a preferred IBM partner and look forward to sharing their insights, expert thoughts and recommendations to retail and brand owners focused on their online and off-line retail success. He also said, they are also trying to focus on staying ahead of the market and delivering a superior online retail marketing solution that ensures profitable growth, new consumer expansion and broader brand visibility to the clients.

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Partnership of PriceGrabber and StellaService- A smart business move!

Shrikar Khare Posted On - June 16, 2014

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Consumers should rejoice on the occasion of PriceGrabber teaming up with StellaService to offer a richer shopping experience to their customers. It PriceGrabber® is a leading distributed ecommerce platform and shopping site which is recognized for connecting millions of shoppers each month with thousands of merchants. And naturally it has a great implication. This tie up will provide extensive support to the customers regarding offering better information influencing the shopping decisions. As a result of this partnership, PriceGrabber will display StellaService’s online retailer ratings and customer service performance data on their website. This apart, they will also perform as a distribution partner for StellaService to its network of digital publishers.

From now onwards, if you search for a product on PriceGrabber, the retailer’s customer service rating will appear alongside the list of prices in search results. StellaService’s ratings and customer service performance data will be available too on PriceGrabber publisher sites via subscription.

Jordy Leiser, co-founder and CEO of StellaService has said that as PriceGrabber Partners with StellaService, now they are on a mission to give consumers better shopping experience by offering exclusive information that leads to more decisive buying choices. He also mentioned they have tied up knot with PriceGrabber, to bring more transparency to the online shopping experience. This will help Retailers experience an opportunity to differentiate them from the competition as they will also understand their great contribution.

This partnership will allow PriceGrabber to add the StellaService Seal to its to product, search, and merchant information pages which has a great value because the StellaService Seal is an independent provider of customer service performance ratings and analytics for online retailers and it is also considered as Web’s most trusted signal of quality customer service. On the other hand, StellaService data will be displayed on the site to make the consumers aware of the detailed information about various facts and parameters in relation to retailers.

For all these reasons, Ben Jones, the vice president of sales and business development of PriceGrabber has rightly said, they are pleased to partner with StellaService to offer consumers a greater level of unbiased transparency when shopping online. He has expressed his belief by saying PriceGrabber is committed to empowering consumers to make informed shopping decisions by providing them with trusted information about retailers and products. He further added that this integration of StellaService’s ratings and customer service performance data onto PriceGrabber and StellaService’s publisher sites will prove invaluable to conscious shoppers.

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CSEs like Shopzilla, Price Runner are warming up for World Cup 2014

Daniel Posted On - June 16, 2014

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The recent market analysis indicates the leading brands like Nike and Adidas are also planning their marketing campaigns much before hand to focus the June World Cup tournament. It is throwing light on their expectation of hitting a grand sales target all over Europe driven by World Cup fever.

Coca-Cola and Pepsi are also no way lagging behind. Both of them have launched their global campaigns to reestablish their ties to football in due course of time. One world one game, a digital film launched by FIFA sponsor Coke is claimed to be the largest marketing program in the history of the company.

So it is as clear as day light that the brands are ready to take part in the battles for sales to this year’s World Cup. While discussing why the retailers and CSEs like Shopzilla, Price Runner should gear up for World Cup 2014, Guy Tweedale, senior vice president sales, EMEA at outsourced customer care specialist Sitel, has shared the following top 10 predictions:

• As there is a forecast that the number of mobile internet users will grow by 35% in 2014 the world cup will certainly put mobile at center stage. As mobile provides unlimited scope for brands to promote their products and services directly into people’s hands, brands will be implementing smarter customer contact strategies to engage their customers. This obviously encompasses every effort regarding arranging competitions, promotions or interactive games.

• The World Cup will provide a huge marketing opportunity for brands offering technologies. They will try to utilize the opportunities and challenges presented by technology and smart-appliances.

• Social video will automatically boost TV spend and demand TV budgets with more focus on social and digital campaigns as they interact with today’s mobile consumers. I t is anticipated there will be a record mobile viewership influencing sales of tablets and smartphones as 64 games are packed into 32 days.

• Brands will start questioning the value of a ‘view’. This will provide more opportunities for the marketers to make a great impact. Facebook and YouTube are playing the leading role in this regard followed by other sites. And many brands these days are successfully engaging consumers in their own environments by using the web.

• Brands will focus on increasing their online presence. The UK Summer Olympics in June 2012 boosted 1.47 billion people to conduct 173 billion searches equating to 117 searches for each person.

• Retailers using shopping comparison sites like Shopzilla, Kelkoo and Price Runner will concentrate more on bidding for products that are expected to be popular.

• The increased sales for all types of FMCG and FMCD goods during world cup will no doubt revitalize the economy. On-line shopping will automatically rise and those with omni-channel strategies will encourage sales as well as loyalty too. A considerable hike in Web-chat and sales chat is likely to be on the card, there will be more people purchasing and sharing their last minute shopping experience.

• Every retailer will highlight prompt delivery in promotions and on websites also to promote call to action for consumers. This may include order by a certain date to ensure timely delivery during the World Cup.

• Retailers will be planning to offer more effective customer services regarding providing technical support for products like TVs, PCs, laptop, tablets, and broadband.

• A recent study conducted by Yume has revealed an interesting speculation that there will be about 16% intended to call in sick to work during the World cup. This number may even increase as people will plan to watch the important matches.

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Amazon enables you to Tweet and Add to Your Cart

Daniel Posted On - June 12, 2014

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Amazon is no doubt one of the most popular online retailers which offer great shopping experiences. Recently to add more value for its customers, they have decided to make shopping easier and simpler which will be just like tweeting.

To implement this idea the online retailer is introducing a special service that will allow the Twitter users add Amazon.com products to their carts without leaving the social media site. Twitter users are growing in amazing number in day by day. Automatically Amazon wants to capitalize on this and is looking at social media as a greater platform for conducting sales. This concept matched with the commercial aspiration of Twitter, which is also trying to generate more revenues by focusing on something more than just advertising services like promoted tweets.

As Amazon now lets you add to your cart by tweeting, the consumers will have to link their Amazon.com account with their Twitter account. Additionally they are supposed to add the hashtag #AmazonCart whenever they are replying to a tweet that has an existing Amazon product link. This process will automatically allow the products to be added to their shopping cart. Moreover, every twitter user will get an immediate reply or an email from@MyAmazon as soon as a product is added to their cart. This is just to recognize the addition. However, this new service is only applicable to U.S. customers. U.K. users already have a same type of facility like this with the hashtag #AmazonBasket.

CRT Capital analyst Neil Doshi has made an analytical remark that although Amazon and Twitter both are trying to incorporate newer strategies to enhance social shopping to a higher level, practically it will not create much of a change for either of the companies. But as more and more people will be displaying their purchasing items on Twitter, definitely it will have an impact on the society.  There is a high chance that the followers too will make a purchasing decision more promptly, depending on these facts.

It seems it has a direct impact on the share market also as shares in Seattle-based Amazon.com Inc. rose from $1.63 to $309.64 in afternoon trading. A share in Twitter Inc., which is based in San Francisco, has achieved a similar record too. It has rose from 9 cents to $39.11.

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What is the ‘omni approach’ that the brick-and-mortar retailers are following to give a tough competition to the online retailers?

Daniel Posted On - June 9, 2014

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In a recent report of MIT, it has been projected that the Omni-channel consumer will be the driving force influencing the future of e-commerce as well as brick-and-mortar stores. The stiff competition among online players has influenced brick-and-mortar retailers to make their online presence stronger through E-Commerce, social media and mobile apps.

According to Macy’s annual report, the heritage brand now already refers to itself as an “omni-channel retail organization operating stores and websites.” This has created a strong competition in between the online retailers. According to a report from Tata Consultancy Services (TCS) on retail operations benchmarking it has been clearly stated that the remarkable growth rates of more than 15%, has caused the large retailers to focus on non-store channels to reach tier-2 and tier-3 cities including remote areas where there is no brick-and-mortar presence.

The Omni-channel concept

Omni-channel is the most modern concept which will dominate the market scenario in future. It will provide you a magnificent opportunity.  With your mobile you can carry a store with you when you walk in and out of a physical shop. This has a revolutionary impact on local retail. And it will offer you the advantage of finding out anything anywhere. It will also make you able to transact anywhere, and fulfill anywhere. So this has a great impact on retail marketing and consumerism. A shopper will have a new experience of reinventing a physical retail store.

Consumer’s benefit

A large brick-and-mortar retail store is more or less a warehouse with the trappings of a front office. These new systems will give a consumer more flexibility in buying more or less items, and offer a newer and advanced retail experience. There will be more organized systems in distribution, Fulfillment, and discovery. This system and environment will also allow the new firms to compete with the reputed and centralized companies that virtually dominate the retail sector both in online and offline market.

Special features

In an Omni-channel approach, a company is able to avail a higher level of facilities which provides opportunity to purchase across various channels, integrating the physical stores with online websites, apps, tablets and social media. The customer can continuously experience a brand through this approach.

The Omni-channel consumer’s expectation levels are also high. They want everything to be readily available including an equally accessible brand experience. As per MIT’s report, 80% of store shoppers check prices online and one-third of them utilize their mobile device to check the information while shopping inside the actual store. This research result indicates the consumers have rising tendency to approach their experience from various angles and platforms.

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Taxation on sales different in EU and US

Shrikar Khare Posted On - June 9, 2014

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Amazon has been a leading electronic commerce with its headquarters in Seattle and is now the world’s largest online retailer. Now Amazon is retailing all over the world and with its enormous market the schemes and parameters of sales tax charge is altered and rechecked. Amazon had started collection of sales tax from 19 states of United States since 2004. In U.S.A Amazon is collecting a tax on the bill for the purchase of its product. In this year, Amazon has decided to increase the area of taxation bringing in more places under its sales tax scheme with the increase in the number of warehouses. This is however interesting to note that Amazon had condemned the collection of Sales tax from the states where it had its business based but is now going for alteration.

Not bad for a business organization especially when its competitors are involved in the market movement and the situation is stiff.

Varied Assessment in different continent

Amazon’s tax collection is however not the same across the world as we see that the duties of European Union varies from that of United States in a number of ways if assessed critically. If matters are looked at with some intricacy then it will be seen that the tax collection of European Union is centralized to some extent in comparison to US. There is one law one law about where VAT (sales tax) must be collected and at determined as to what rates are to be placed on goods sold online. For physical goods, it is the VAT rate of the place of delivery where the seller collects it and then sends the money to their respective national VAT authority. These different VAT authorities then channelize a clearing system to allocate the various amounts around. Therefore, for example, if Amazon, based in Luxembourg, sells to someone in the UK then Amazon collects a UK amount VAT on that sale. To Ireland, it collects Irish VAT and so on. It sends that to the Luxembourg VAT authority who then cooperate with the UK and Irish ones to see who sold from the UK or Ireland into Luxembourg, nets off the amounts and then they send the equivalent amount through check to balance things.

However, in a way EU is less centralized than the US. There exists what is known as a permanent establishment. The US States are all saying that if Amazon has a warehouse in that State then it must charge local sales tax to local residents. If there is no existence of such a warehouse then they do not with a couple of exception. This is very much the same as declaring that the establishment of warehouse is, critically a “permanent establishment.” The creation of such normally leads to being subject to local taxation. Therefore, a warehouse is a permanent establishment in US law: at least in its effect it is.

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Billboards of Walmart’s marketing hangs on the Internet

Shrikar Khare Posted On - June 9, 2014

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Walmart happens to be an American multinational retail corporation that runs chains of large discount department stores and warehouse stores. The company is the world’s largest public corporation, according to the Fortune Global 500 list in 2014. It is the biggest private employer in the world with over two million employees, and is the largest retailer in the world. It is also one of the world’s most valuable companies. However, is the hometown of America ready to rely upon it fully is a big question with numerous answers?

Aviating through Advertising

Walmart has executed its new Marketing move from an year back when  we find a considerable amount of cost being incurred on the advertisement promotion as a part of the integrate marketing strategy. With the skillful ad campaign, they have established the connection between the people and the discounted store and harnessing the social media as a mode of communication they have also gone for retention of the existing consumer base.

With an arsenal of 2.2million, stores across the world and over $466 billion of transaction Walmart can go for expressing its brand loyalty and satisfaction despite the fact that few might actually agree to it.

Socializing through the internet

With a lot of din and bustle going on against the company for a number of reasons Walmart finally had to resort to the social media to disseminate their information and their deeds to the people of the world which was a huge and first of its kind step taken from them regarding investment on advertising. Walmart really had no other option but to alter the marketing strategy on account of the public relations enhancement of the other competitors where we find that companies like Target is gaining in an addition to the brand image for itself.

Effectiveness

From 2012, the new marketing head of Walmart concentrated on the social media to develop the brand image and thus a strategic change in the marketing hemisphere was inevitable.

The policy was simple and direct. They targeted influencers on the social media and briefed them about Walmart’s works on social development and social responsibility. They ranged from natural disaster to veteran’s improvement activity etc. With influencing the media and looking after the corporate social responsibility, (CSR) Walmart has reached a position in the market. The fan base is increasing for them and situations are turning in favor of them.

The rise has been alarming as we find that the support has hiked to 84% with a Facebook fan following of 2.4 million. This is indeed a success for walmart in terms of their social media strategy execution.

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