Online Shopping Shoppers Quotes

Starting a little over a decade ago, Target began building a vast data warehouse that assigned every shopper an identification code—known internally as the “Guest ID number”—that kept tabs on how each person shopped. When a customer used a Target-issued credit card, handed over a frequent-buyer tag at the register, redeemed a coupon that was mailed to their house, filled out a survey, mailed in a refund, phoned the customer help line, opened an email from Target, visited Target.com, or purchased anything online, the company’s computers took note. A record of each purchase was linked to that shopper’s Guest ID number along with information on everything else they’d ever bought. Also linked to that Guest ID number was demographic information that Target collected or purchased from other firms, including the shopper’s age, whether they were married and had kids, which part of town they lived in, how long it took them to drive to the store, an estimate of how much money they earned, if they’d moved recently, which websites they visited, the credit cards they carried in their wallet, and their home and mobile phone numbers. Target can purchase data that indicates a shopper’s ethnicity, their job history, what magazines they read, if they have ever declared bankruptcy, the year they bought (or lost) their house, where they went to college or graduate school, and whether they prefer certain brands of coffee, toilet paper, cereal, or applesauce. There are data peddlers such as InfiniGraph that “listen” to shoppers’ online conversations on message boards and Internet forums, and track which products people mention favorably. A firm named Rapleaf sells information on shoppers’ political leanings, reading habits, charitable giving, the number of cars they own, and whether they prefer religious news or deals on cigarettes. Other companies analyze photos that consumers post online, cataloging if they are obese or skinny, short or tall, hairy or bald, and what kinds of products they might want to buy as a result.

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Consumers can now scan the code on the product when they are running low, and it will be ordered and delivered within hours to their home, completely side-lining all the tools and techniques of competing manufacturers who would wish to get the consumer to brand switch. Tesco’s Homeplus in South Korea also launched a campaign that engages shoppers to buy products using QR codes. Homeplus created virtual billboards of their store aisles in subway stations, allowing passengers to shop while they waited by scanning the products’ QR codes – the groceries being delivered when they arrived home. The goal of the campaign was to help Homeplus compete with the number-one retailer, E-MART, without increasing their store numbers. Since the launch, their online sales have increased 130%, making them the top online retailer in South Korea, and a close second offline.

a key part of their subsequent success was rooted in the insight that continuous improvement to the shopping experience rather than any one particular improvement had the potential to be a major competitive edge. Tesco’s improvements included their ‘One in front’ commitment to effectively abolish checkout line-ups, baby-changing and bottle-warming facilities, ATMs, escorted searches for product requests and priority parking for pregnant mums. It was not that one improvement was more successful than another; it was the relentless implementation of a never-ending stream of small improvements that steadily improved Tesco’s image relative to their competitors, who were left seemingly forever floundering in their wake. The scheme also got Tesco’s staff more engaged in service delivery and coming up with ideas for further improvements. ‘Every little helps’ helped Tesco attract over a million new shoppers in the period from 1990–1995.

Once the shopper has been frustrated by three or four out-of-stock products, store loyalty may be insufficient to prevent a trip to another supermarket. If multiple stock-outs occur on the same shopping trip, the retailer faces Armageddon. This becomes apparent when a chain suffers a poor implementation of a new distribution system.

Safeway developed a successful campaign in the United States to grow sales from light shoppers and increase sales from heavy shoppers. They sent a monthly newsletter to 1.2 million card holders. Those whom they identified as secondary shoppers (people who mainly shop somewhere else) received a coupon for departments they didn’t use, like the meat or produce section. Primary shoppers (people who mainly shop at Safeway) were also given coupons, but to less common areas, like the cookie aisle, as they already visited the main departments. The campaign was a huge success, increasing same-store sales and sales from secondary shoppers, plus it changed customer behaviour by converting secondary shoppers into primary ones. The campaign also improved Safeway’s image by going beyond a general discount to create targeted deals. They sent out 451 800 versions of their offering.

Last year, for example, Etsy acquired Grand St., an online seller of new electronics products. The Grommet, which is majority owned by Japanese e-commerce giant Rakuten, is another site dedicated to introducing shoppers to the latest inventions from small shops or individuals. Amazon has

Prime is a way to change consumer shopping patterns, to turn the occasional online shopper into a person locked into the Amazon ecosystem who interacts with the company on a frequent basis. The idea is to make Prime so attractive and so easy to use that customers can’t imagine living without it. It’s the online equivalent of nicotine—a metaphor that Amazon would never use. It is addictive

Amazon single-handedly—and permanently—raised the bar for convenience in online shopping. That, in turn, forever changed the types of products shoppers were willing to buy online. Need a last-minute gift or nearing the end of a pack of diapers? Amazon was now an alternative to the immediacy of brick-and-mortar stores.”4

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