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Kiosks, Mobile and the Evolving Retail

Experience

FK Funderburke and Hilding Anderson


Speakers

FK Funderburke

Hilding Anderson

© Copyright 2010 Sapient Corporation | Confidential 2


The Changing Retail Experience

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The Situation: retailers are under pressure – just
barely back to 2007 holiday season levels

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And e-commerce takes up a growing percentage of
overall retail sales

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Tale of two companies

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Consumer’s shopping process is no longer linear
  A proliferation of
engaging digital
touch-points

  Non-linear,
cross-channel

  Web-first for many


consumer buying
decisions

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New technologies: touch screens, interactive displays, digital
signage, mobile are changing the way consumers shop
Interactive
displays

We’ve rediscovered
the power of Touch (in
a good way!)

Digital Signage
© Copyright 2010 Sapient Corporation | Confidential 8
We are witnessing the integration of these new technologies into the
evolving retail experience
QR code redemption

Mobile Wallet Mobile Couponing

QR coded advertising

RFID technology Microsoft’s 2-D “TAG” barcode

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The way we do simple, everyday tasks has changed

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The way we shop in a store has changed too…

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The Future of Retail

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Our vision of the future of retail

1.  Mobile is ubiquitous…and an enabler


2.  In-Store Apps at the Point of Sale / End-Caps / Sales Associate Tablets
3.  Interactive kiosks will become more important and common, with increased
functionality and deeper integration into the retail experience
4.  Digital Signage in-store will grow…and integrate into kiosks
5.  Loyalty will become a central component…and tie into social media
6.  The continued importance of .Com channels
7.  RFID & Checkout: New Ways To Buy…
8.  Social shopping: geo + mobile + physical

© Copyright 2010 Sapient Corporation | Confidential 13


Mobile is ubiquitous…and an enabler

Actions / Benefits:
Native Apps
Check In  Get A Deal
Access Wish List
Mobile Payments / Mobile Wallet
View Rewards & Loyalty
Scan
Share
Order

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In-Store Apps at the Point of Sale / End-Caps / Sales
Associate Tablets
Actions / Benefits:
Scan items
Check Inventory
Digital Sales Assistant
Order & Pay for out of stock items
Customer Reviews & Social Media Links
Compare & Contrast Items
Idle Screen = Digital Signage

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Digital Signage in-store will grow…and integrate into kiosks

Actions / Benefits:
Communicate Products & Offers
Day-parting
Social Media feeds
News
Video
Instructional

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Interactive Kiosks

Actions / Benefits:
Scan Items and get suggestions – outfits, goes with
Occasion based suggestions – Work, Weekend,
Whatever
Configure Outfit – Save to Closet
Take a Photo and Share
Retail App – not in store, no problem
News Feed – Surface Twitter
Share outfits and experiences in store through
Social Media
Idle Screen = Digital Signage
Content – New Items, Specials, Twitter Feed

© Copyright 2010 Sapient Corporation | Confidential 17


Loyalty will become a central component…and tie into social media

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The continued importance of .Com channels

Actions / Benefits:
Start shopping experience
Immersive
Heads up display of account
Wish List
Share with Friends

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RFID & Checkout: New Ways To Buy…

Actions / Benefits:
Living Sales Ticket
Scan for Information
Smart Inventory
Quicker Check Out Lines
Track your dog

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Social shopping: geo + mobile + physical

Actions / Benefits:
Your friends + your buying history = social
shopping

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What Does This Mean For The Business Of
Retailing?

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First
let’s look at
when Social Media and Retail
first met

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Social Media and Retail: Rough First Couple of Dates

WHAT are they saying WHERE are they saying


about my brand? it?

WHY are they saying it?


WHO is saying it?
HOW do I engage with
HOW can I leverage what them?
they’re saying?
It’s a new CHANNEL!
I’m ok with this, I think.

Retailers are just getting a handle on social media and


your ability to write whatever you want about them

© Copyright 2010 Sapient Corporation | Confidential 24


But now you can come in, snap a picture, and compare
prices online and near your location using an app

Retailers are still figuring out what to do with these new channels
– how do you maintain control when consumers can price shop
in every aisle
© Copyright 2010 Sapient Corporation | Confidential 25
To address these changes, retailers are creating a new
in-store experience
Digital Signage

Touch Display

Mobile

{ In-Store Experience
}
Point of Sale

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With improved loyalty and rewards initiatives

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And new floorplans and new designs

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Which enable more personalization & data through
brand-owned apps and experiences

Goals:
Know Customers Better
Leverage Data
Improve/Increase Customer Affinity and Satisfaction

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What Does This Mean For Consumers?

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Consumers implications

  They will be watching: less privacy


  Improved channel choice
  More interactivity

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They will be
watching: less
privacy

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Improved channel choice

Consumers have many


more connections to tv/video
the brand communities
mobile

email
online store THE syndication
BRAND
microsites

kiosk
display ads
retail
search

promotions
print

partnerships
© Copyright 2010 Sapient Corporation | Confidential 33
More fun in the mall

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Privacy: the near future

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Some important questions remain

  How comfortable will consumers be with the privacy implications of


personalized product offers and location-aware apps owned by the major
retailers?
  To what degree will physical stores continue to be important? The Redbox
effect?
  How adaptable will the U.S. consumer be to the new kiosks and mobile
device integration – walk in and swipe your phone on the kiosk?

© Copyright 2010 Sapient Corporation | Confidential 36


Questions?

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Appendix

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Kiosks, Phones, Tablets,
Signage – Retail is Different

© Copyright 2010 Sapient Corporation | Confidential 39


The digital customer experience

Digital mindset is influencing how consumers see retail

There is a big difference


between watching &
participating
Traditional media most often
involves a static push experience.
But consumers are now looking
for traditional retail experiences
to respond and engage them the
same way digital experiences do

The game has changed…

© Copyright 2010 Sapient Corporation | Confidential 40

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