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e-commerce Editor's pick Podcast

NET-A-PORTER on personalizing the customer experience

Rosanna Falconer and Matthew Woolsey

The future of e-commerce may not be about a traditional website at all, but about existing on multiple other platforms, expresses Matthew Woolsey, managing director at online luxury retailer, NET-A-PORTER, on the latest episode of the Innovators podcast by TheCurrent.

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The company sees many of its big customers making purchases over platforms including Whatsapp, iMessage and WeChat, which have become their primary entry point to e-commerce through their relationships with personal shoppers, he explains.

“We want to be in the platform where our customer is engaging with content, seeing the product or speaking with the personal shopper. It’s about what’s best for her. We never want to be in a position where we are forcing or imposing a platform or methodology on our customers, because that’s the opposite of customer centricity,” he explains.

“It’s very easy to imagine a time when NET-A-PORTER doesn’t even have a website, in the traditional sort of desktop sense, and really what it exists as is more of a concierge, on-demand, service offering. I think that’s the future of where this industry is headed and it’s something we are really well suited for because we have that infrastructure, we have that service component but we also know a lot more about our customer than just what she is buying.”

Data is central to being able to personalize the experience for individual customers in this way, he explains, outlining how the company is constantly looking at how to give its personal shoppers greater tools through technology.

The company is currently experimenting with how it can use artificial intelligence to merge data between purchase history and fashion trends to give personal shoppers recommendations and ideas in advance that are personalized to the customer, for instance.

Eventually the idea is for this to be scalable across the seven million consumers NET-A-PORTER talks to, but hitting its EIPs, or extremely important people, is the core focus, given the fact this 3% of its customer base, make up 40% of its revenue.

Speaking with Rosanna Falconer at a FashMash event in London, Woolsey also reveals why the most expensive item ever bought via a messaging app is so significant, whether NET-A-PORTER would ever think about physical retail, and how to manage the modern day tension between algorithms and inspiration.  

Catch up with all of our episodes of the Innovators podcast by the Current here. The series is a weekly conversation with visionaries, executives and entrepreneurs. It’s backed by the Current Global, a consultancy transforming how consumer retail brands intersect with technology. We deliver innovative integrations and experiences, powered by a network of top technologies and startups. Get in touch to learn more.

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data e-commerce Editor's pick Podcast Retail

Farfetch on the store of the future

Rosanna Falconer and Sandrine Deveaux
Rosanna Falconer and Sandrine Deveaux

The store of the future is about solving the problems of today in an innovative and meaningful way for the customer, says Sandrine Deveaux of Farfetch, on the latest episode of TheCurrent Innovators podcast.

Speaking to guest host, Rosanna Falconer, at a live FashMash Pioneers event in London, the managing director of the e-commerce company’s store of the future division, explains that her focus in not just on new technology for the sake of it, but on creating better shopping experiences driven by personalization.

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Following the announcement of Farfetch’s Store of the Future concept in April 2017, Deveaux has been building a series of beta tests in place in Browns East in London, Thom Browne in New York and Chanel in Paris. But the result doesn’t mean big flashy screens or variations on augmented reality, as she is so often asked about.

Instead, it’s about better servicing the customer; understanding what they want when they walk into stores thanks to data, but also making things like the payment experience a much more seamless one.

She says the store of the future is really about offering the experience of Apple, but the convenience of Amazon, so as to keep in line with increasing consumer expectations.

And so the end goal,for her team, she says, is to provide brands and boutiques with full visibility around customer behavior and customer intent, mirroring what’s possible online in the offline space.

“85% of customers, we don’t know anything about them. So that’s what the store of the future is really getting to – it’s about how we leverage the platform we have with Farfetch, and try to really look at online behavior and take that online behavior into an in-store context,” she explains. This is something Farfetch calls “enabling the offline cookie”.

On this episode, Deveaux also talks to driving disruptive innovation through healthy internal tension, how she’s changing the way luxury brands think, and why the ultimate sales associate for the store of the future might just be a unicorn.

Catch up with all of our episodes of TheCurrent Innovators here. The series is a weekly conversation with visionaries, executives and entrepreneurs. It’s backed by TheCurrent, a consultancy transforming how consumer retail brands intersect with technology. We deliver innovative integrations and experiences, powered by a network of top technologies and startups. Get in touch to learn more.

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e-commerce Editor's pick Podcast Retail

How Walmart creates growth with design

Liz Bacelar and Dan Makoski, Walmart
Liz Bacelar and Dan Makoski

Design is all about helping shoppers live better lives, says Dan Makoski, vice president of design at Walmart, on the latest episode of TheCurrent Innovators podcast.

Speaking to Liz Bacelar, founder of TheCurrent, during a live recording hosted by MouthMedia Network at Spring Place in New York, he explains how the enormous e-commerce redesign he has spearheaded for the world’s largest retailer, all came down to this focus on elevating the shopping experience for the changing customer of today.

“Design is best when it serves people. And all people need great design and that’s why I am excited to experiment with Walmart, which is this everyday brand, and see how design can make a difference,” he explains.

This intention to emotionally connect with the consumer through design came from the top, Makoski notes. The permission he was given to think about people’s hearts from the CEO, was a big leap for a commercial business of this size, he adds. But it’s that style of leadership, coupled with the smart investments the organization has been making in other e-commerce businesses, that is keeping it competitive with, and still more than three times the size of Amazon, in overall revenue.

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That’s not to say the company doesn’t still have a lot to do, however. Its online sales alone are less than a tenth of what Amazon makes ($118.57 billion vs. $11.5 billion respectively in 2017), making this redesign part of a big strategy to drive growth.

When Walmart bought Jet.com a couple of years ago, Makoski explains, there was a sense of courage and of charting new territory in the e-commerce space. The aim has to been to channel that focus on innovation through the design of the new website to create something for both the shopper and the business, to ultimately add value to each.

Dan Makoski“The conversation at Walmart has not been, let’s change ourselves. The conversation has been, we are the world’s largest company, we are the Fortune number one, our retail footprint is 1.5x the size of Manhattan. And, our customer base is not monolithic; it’s not just one type of shopper, so let’s bring in Jet.com, ModCloth, Bonobos, and let’s create a redesign of Walmart that now allows us to [have] a wider conversation,” he comments.

During the episode, Makoski also dives into the power of thinking about human language, how the retail giant is continuing to compete with Amazon, and just how his work assists large corporations to think about innovation in new ways.

Catch up with all of our episodes of TheCurrent Innovators here. The series is a weekly conversation with visionaries, executives and entrepreneurs. It’s backed by TheCurrent, a consultancy transforming how consumer retail brands intersect with technology. We deliver innovative integrations and experiences, powered by a network of top technologies and startups. Get in touch to learn more.

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data e-commerce Editor's pick Podcast Retail

Yoox Net-a-Porter on nailing the basics of e-commerce

TheCurrent's Rachel Arthur and Yoox Net-a-Porter's Paolo Mascio recording TheCurrent Innovators podcast - e-commerce
TheCurrent Innovators: Paolo Mascio with Rachel Arthur

There’s little point in looking at all of the innovation surrounding e-commerce today, if you don’t first have the basics in place, Paolo Mascio president of online flagships at Yoox Net-a-Porter Group, explains on the most recent episode of TheCurrent Innovators podcast.

“If you can’t get the fundamentals right, forget about artificial intelligence,” he says. “Really, execution is the key word. It’s very easy to mess up with your customers… A bad customer experience is even worse than not giving [them] an experience at all. It’s better not to open Russia or China if you can’t serve them in the proper way. Discontent spreads… which is setting the base for a failure in the future as well.”

Both Yoox and Net-a-Porter are businesses known for their innovative approaches to e-commerce – the former for supporting brands on running their own operations, and the latter for its first-rate customer experience. While together they’re focused on maintaining their market leading position, many of their partners and clients by comparison represent an industry still getting to grips with how to handle multichannel commerce.

Mascio references the shift to convenience, or of frictionless customer experiences in an omnichannel world, as the foundation of e-commerce expectations today. But it’s service, he says, that can be the key point of differentiation for brands – especially those in the luxury space – comparative to multi brand retailers.

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Underneath that, what’s driving brand growth and loyalty today, is data, he notes. “Data is one of the fundamental things around which, not only our company, but the brands themselves are going to build their future.”

This is the big shift still taking place in luxury, he adds. “Most brands up to a few years ago thought they were all unique, now they’re all struggling to distinguish themselves in the digital space.”

“For decades the brands have built their success around their collections, around the designers’ names, and the designers’ abilities, around advertising, but they haven’t tracked down what the customer’s behavior was,” he explains, noting that today, it’s the customer that has the biggest voice.

Those who can understand their customer and use analytics to better serve them, are the ones who will win. On top of that, and only then, comes the next step forward, he explains. Personalization, for instance, is something Mascio is watching closely. Artificial intelligence (Yoox Net-a-Porter is working with IBM Watson), is going to be the facilitator that transforms how people shops for the very reason it enables the brand to manage customers on a one-to-one basis at scale, he says.

In terms of the user interface, another area he’s keeping an eye on, is that of voice technology. “I believe voice controlled systems [will] play quite a fundamental role in the future,” he says. “It will take time… but then there will be a need for a brand to evolve their interfaces, so that customers can use voice to search for products in a much easier way.”

Catch up with all of our episodes of TheCurrent Innovators here. The series is a weekly conversation with visionaries, executives and entrepreneurs. It’s backed by TheCurrent, a consultancy transforming how consumer retail brands intersect with technology. We deliver innovative integrations and experiences, powered by a network of top technologies and startups. Get in touch to learn more.