The Impact of Mobile on the Retail Industry

By Charles Edge

One of my first jobs was installing Point Of Sales (POS) solutions. Back then, even a smaller retail organization might expend tremendous resources, with weeks of professional services, to get a solution that allowed them to move their old cash registers into computers that were not user-friendly and provided little value above the traditional ways of completing transactions.

Today, retail stores using Vend, Square, and other flexible technologies are popping up left and right. Everything from small yoga studios to juice bars to boutique shoe stores are experiencing enough initial success to open dozens of locations in months rather than years. This trend seems to be increasing, partially due to how easy the technology is to integrate. While you can still bring consultants in to help you get your technology sorted out quickly, you can also simply create an account on a number of Software as a Service (SaaS) solutions, install an app, and be selling in a matter of minutes.

As your perspective matures, you’ll learn a few important lessons. Someone will inevitably lose a device, and you’ll have to react swiftly. You’ll want to make it quicker to set-up the devices that people use to swipe credit cards. You’ll get requests for people to pay you in different ways. And hopefully, you’ll get big enough to want to buy things using a volume account (if that’s what you want).

Here are 10 tips to help guide you along the way:

• At first, use a single platform. This allows you to keep costs down. Supporting one type of device gives you the chance to learn more about that type of device and rely on outside help less. If your organization is oriented towards apps that run on Android, then go all Android. If you have easy access to Apple devices, go all Apple. And P.S. Try to stick with mobile devices; they’re easier to support!
• Keep in mind that ease of use will trump the initial cost of a device in the long run. Not having to bring in a third party to help you maintain devices can have massive savings for your company you’ll feel right away.
• Buy your devices using a company account: with Apple, this means getting set-up with a Purchase Order. Devices you order are then shipped with a technology called DEP (Device Enrollment Program). Devices that are in Apple’s DEP program allow you to automate the enrollment process.
• Use an MDM (Mobile Device Management) solution. At first, you might only access its ability to wipe a device should it fall out of your control. Later, you’ll want to make use of tools like Apple’s Volume Purchase Program (VPP) which allows you to buy apps en masse and to deploy free and paid apps without having to setup an Apple ID for what could be devices used by multiple people. I’m partial to this one, as a member of the team that makes Bushel (www.bushel.com), a solution built specifically with small businesses in mind.
• When you hire your first employee, get a time-tracking solution. One of the easiest SaaS solutions is Deputy (www.deputy.com).
• Choose an accounting package that both your POS system and your accountant can support. This will help keep your accounting and tax fees low and keep the time you invest getting data to the right people at tax-time to a minimum. Check out QuickBooks (www.intuit.com), Xero (www.xero.com), or FreshBooks (www.freshbooks.com).
• Keep all your money in one place—at least until you have multiple charts of accounts. You can easily see everything under one hood using a simple banking app, like Mint (www.mint.com).
• Get social now! Go ahead and claim your names on Twitter, Facebook, and LinkedIn. The sooner you start posting content, the quicker you’ll find that content driving traffic to your site (and ultimately your store). Make content, and don’t regurgitate too much. Be interesting and appropriate to your target audience. But most importantly, be authentic. People like to interact with the people behind brands, so make sure to brand yourself and your employees in the right light.
• Keep your documents in the cloud. Consider dropbox.com, box.com, or other file sharing services to help you put menus, product descriptions, contracts, and other information in an easy place that you can share from. Don’t bother with a server at first (if ever), as this will simply drive costs up.
• And one of the most important tips: make sure you can export your data from every service you invest in. On the POS side, this will keep your transaction history, customer list, and other important data within systems you own. Don’t worry about paying for a few apps to test; in the long-run, making sure you have the features you need will save you a lot more than the $20-$30 you might spend picking the right app!

Overall, starting a business was one of the most rewarding and crazy things I’ve ever done. There are so many lessons you learn along the way. Keeping these 10 in mind should help get you through those first few months, at least as far as your tech is concerned!

To View Original Article: https://retailminded.com/the-impact-of-mobile-on-the-retail-industry/

Bringing E-Commerce Features to the Storefront

One of the most interesting observations about the retail sector over the recent past is the adaptation of online features at brick-and-mortar stores. Only two years ago, it seems, retailers were anxious about holiday receipts due to the practice of showrooming, and the social capabilities of online shopping seemed to threaten brick and mortar sales. But then, it seemed to click (excuse the pun): What is more social than going out and physically being seen? Price matching is as old as retailing itself. And nothing beats experiencing a product before buying it. Put the best feature of e-commerce — its ability to be everywhere at once — to work in a brick and mortar, and you’ve created an enormous competitive advantage.

A great example of that trend is the newest UGG footwear store that opened this month outside of Washington, D.C. Deckers Brands, which owns the brand, has opened one other, similar “UGG Innovation Lab” in Santa Barbara, CA. Like that location, the Tysons Corner, Va., store uses technology to create a customized, customer-centric atmosphere.

“Omni-Channel isn’t just a catchphrase for Deckers; it’s an integral part of our culture of innovation and our retail strategy – one that we’ve made investments in for more than five years now – to engage with our consumers with respect to their preferred shopping channel” said Dave Powers, president of omni-channel for Deckers Brands, in a release. “That strategy is on full display at the UGG store, where we are merging the best of digital and physical shopping experiences, and setting the foundation for future Omni capabilities across our brands.”

 

By integrating online features into the in-store experience, shoppers can make selections from almost
 230,000 SKUs. But if a customer just can’t find that perfect pair, UGGs offers customization. The “UGG By You” program gives buyers control of the design process to make their mark on five classic UGG styles. And for those fancying a bolder approach, the “Bling it on Program” lets customers use Swarovski crystals to personalize their looks. In addition, the store has installed technology that reports on products that are tried on, and offers feedback to the consumer on suggested additional products. That’s very similar to an e-commerce site’s “Recommended for You” or “Shoppers Who Have Bought This Item Also Like…”

To enable that, Deckers is implementing radio-frequency identification (RFID) technology that lets shoppers who are trying on merchandise to view digitally triggered content on four 65-inch HD touchscreens throughout the store. That content comprises product information and options, style tips, videos, related marketing campaigns, and suggested complementary products. Shoppers can send themselves SMS texts with a product link directly from the HD screens.

 

Of course, customer associates are out from behind the cash wrap, using handheld devices to search inventory, answer customer questions and finalize sales as well. But these days, that’s old hat at many specialty retailers, which took the cue from the Apple Store.

Whether you are a retailer specializing in products from footware or home goods, keeping tabs on inventory is mission critical. Technology can provide retailers with data that initially only was captured by e-commerce stores. Now brick and mortars can know who’s trying on what, how long they engage with the product before purchasing (or not) and can make suggestions for add-on sales before the shopper even reaches an associate.

Retail Pro offers retailers a highly competitive solution that helps track inventory. In addition, our software can be used to monitor fast-selling products, keep tabs on slow sellers and otherwise help their purchasing decisions — something that’s vital in today’s borderless e-conomy.

To View Original Article: http://www.retailpro.com/News/blog/index.php/2014/11/19/bringing-e-commerce-features-to-the-storefront/

Retail Metrics: Key Performance Indicators (KPI’s) – Days of Supply

By Scott Kreisberg
CEO, One Step Retail Solutions



Previously, I’ve talked about Retail Metrics and the importance of Key Performance Indicators (KPI’s) in running your business. What does that really mean anyway? Some of you new to the retail business might not have a clue as to what constitutes a “Key Performance Indicator”. Some of us old timers who’ve been around the block a few times, might not know what they are either or may just need to brush up on retailer lingo. Either way, I want to really delve into what things you can look at to help navigate your aircraft, so to speak, like an airplane pilot would.

Flying a plane is a good parallel to managing a store. How does a pilot know what to do when? What tells him when it’s time to raise the plane to a higher altitude? What gauges tell him to lower her down a bit? How do they know when it’s okay to add on more cargo? What tells the pilot to toss some cargo overboard? When do they know to just keep flying along and not change a thing?
A retailer makes decisions all the time to best navigate the constant change of consumer buying habits. Doing this actually consists of five critical decisions on any given item in stock in order to keep costs down and profits high. These are:

• Mark the item up?
• Mark it down?
• Buy more of it?
• Buy less?
• Don’t change anything about it?

Well, the answer to these million dollar questions lies in the treasure trove of information provided by your store’s KPI’s. Just like a pilot, a retailer must know his KPI’s and how to address them, as well or better than a pilot needs to know how to read and interpret the gauges that indicate what should be done next. As a retailer, your KPI’s will tell you what to do next; it’s just a matter of being able to read what those indicators are trying to tell you and put that information into practical use in the store.

Let’s take a look at what I consider to be the five most important retail KPI’s that you can get from your point of sale (POS) software program. We’re talking about Days of Supply, Turn, Stock to Sales Ratio, Sell Through Percentage and Gross Margin Return on Investment. The last one is the most important indicator. We all want to know how much money a particular item will bring back in revenue. But, the Gross Margin Return on Investment is also the most tricky one to manage and know how to use in managing inventory.

Days of Supply

In this article we are going to start with Days of Supply… What does that really mean anyway? We hear this term thrown around all the time, but not all of us really know what this actually is or what it means. Simply put, Days of Supply means how long it will take you to sell out of your present stock, assuming that sales continue at the same rate as recent sales have been. This is weighed against a time frame, like 30, 60 or 90 days. Days of Supply is a great statistic to use for predicting the future. It’s kind of like having a real crystal ball right on your desk. The information contained in this report/statistic lays it all out in a clean and concise way of telling you how much longer it will take to sell a particular piece of merchandise based on what’s been happening sales-wise in your store. It’s like a sign post that points you in the exact direction you need to go in.

For example, you have 1000 t-shirts and over the last 30 days you’ve sold 250 of them. Based on how many have been sold over the last 30 days, it will take another 90 days to sell the remaining 750 t-shirts. So, for these 1000 pieces of inventory, the Days of Supply equals 120 days.
In essence, Days of Supply analyzes the last period of sales and based upon that rate, gives you the amount of days left to sell off the remaining merchandise. But how far back do you go? Let’s take non-seasonal merchandise which sells at a relatively steady rate; for this you could use a longer basis period, such as 30 or 60 days. Then for seasonal merchandise, the rate of sale changes rapidly, and you would want to use a shorter period, a week or even a day in some cases. Interestingly enough, different parts of the country have different length seasons. For instance, New York has really short bathing suit season, about two months and that’s it.

Putting this information into practical use, you would then want to make sure Days of Supply on a certain item matches up with the lead time to restock it. You don’t ever want to run into the problem of having Days of Supply be less than the time it will take to get the items in. In that case, you would miss out on sales because the sell-out and restock time frames did not overlap. Instead, you ran out of an item before the shipment came in to restock it. This can have bad effects on overall sales in the store, too, if the item you are out of stock on is a hot seller at a critical time of year or you lose customer loyalty because you’re out of stock on something. Your goal here is to reduce your Days of Supply to match the lead times without losing sales, plain and simple.

And your point of sale system is where you should be able to get this information and statistical data to manage your inventory. Make sure your POS is giving you this information so you actually can better manage Days of Supply. If your POS isn’t giving you that information, you should think about investing in a system that will give you the information you need to better manage your inventory because in retail, profit is all about inventory and the expert management of it.

In my next article I’m going to cover inventory and lots of little tidbits about it, what you can do with it when it’s not selling and how to increase profits by better managing your inventory.

Last Chance to Register for Go Beyond the Sale Webinar 7.23.15

 

Turn your Paper Receipts into Social Shares

Customers who use digital receipts spend up to 40 percent more than those who only want paper receipts. Join One Step Retail and flexReceipts, Retail Pro’s exclusive partner of enriched digital receipts for a primer on electronic receipts. Learn how this post-transaction marketing opportunity is far more than a mere paper replacement.

Register today: https://attendee.gotowebinar.com/register/5807517431395293441

5 Ways to Boost In-Store Sales

A challenge every retailer faces is how to increase sales in their store. While you may have considered improving the checkout experience, or offering gift cards, the question remains whether these efforts are worth it to your bottom line.
Our latest infographic looks at five different changes and updates retailers can make in their existing business to increase sales and boost profits. In addition to offering ideas, real world examples of the effectiveness of these suggestions towards increasing sales are included.

Infographic Content

5 Ways to Boost In-Store Sales

As a small business owner, consider these five ways to increase in-store sales.

1. Invest In Sales Training 

What - Hire the right people and develop the right skills
Why - Having a trained sales staff is one of the main reasons people choose an in-store purchase over an online one. Recent research suggests that around forty percent of customers are open to persuasion and may need help making a product decision.

4 Steps in the Art of Selling
Open / Ask for Needs / Demonstrate / Close
Eighty-six percent of the time sales staff didn't ask to close the deal. Give your sales team skills they need to succeed in today's complex sales environment.

Results
At one self-help apparel company, providing extra sales assistance during select hours increased fitting room use by thirty-seven percent, and increased conversion rates by up to two hundred percent.
A well-prepared, effective sales rep can result in almost four times more revenue for your business than a poor one.

2. Gift Cards and Loyalty Programs

What - Structured marketing efforts that reward, and therefore encourage, loyal buying behavior.

• People will tend to buy full priced items with gift cards increasing your profit margins.
• Customers who purchase goods with gift cards are much less likely to return or exchange an item saving on transaction costs.
• Refunds can be issued through gift cards eliminating cash refunds.

Why - Gift cards will attract new customers to your store who will typically purchase more than the gift card amount and make a return visit.

Results
Over $100 billion is spent on gift cards annually with a staggering ninety-three percent of U.S. consumers purchasing or receiving a gift card annually.
At fifty-eight percent, over half of consumers still purchase gift cards at in-house retailers and mall kiosks - compared to forty-two percent of consumers who purchase gift cards online.
Seventy-two percent of customers will spend about twenty percent more at your store than the value of their gift card.
Twenty percent of customers never use the full value of the card - the remaining balance is revenue for your business.

3. Mobile Point of Sales Systems

What - Save as much as $10,000 on start up costs using a POS system compared to a traditional cash register, and increase you and your staffs' efficiency and effectiveness.
Why - Around twenty-six point two percent of businesses are considering switching to a mobile POS system.

Why Mobile POS?

• Get real-time inventory information
• Get customer stats on demand
• Automatically email receipts
• Streamline your sales processes
• Some POS systems integrate with your accounting software
• Enhance the customer experience, deliver unique offers to individual customers
• Less expensive than traditional POS systems and cash registers

Results
Nordstrom rolled out point-of-sale devices allowing customers to check out from anywhere in the store.
This efficiency reduced the potential amount of customers have to think about their purchases before they reach the register.
Total retail sales increased from $1.5 billion to $1.73 billion for the same period - a 15.3 percent increase!
The average number of items sold and the average selling price both increased after implementing the mobile point-of-sale devices

4. Online/Social

What - Offering a consistent and streamlined shopping/browsing/marketing experience both online and over social media can increase your in-store sales.
Why -

• 88 percent of consumers are researching items online and then buying them in a physical store.
• 78 percent of small businesses attract new customers through social media.
• More than 50 percent of in-store retail sales in the US will be influenced by the web by the year 2017.

 


Examples
Retail Stores / Online Stores / Local Search Ads / Mobile Stores / Mobile App Stores / Social Media

Results
Customers that arrive at a store after visiting the store's website on average spend thirty-seven percent more in-store than those that have not yet visited.
By spending as little as 6 hours per week, more than sixty-six percent of marketers see lead generation benefits though social media.

5. Location Based Mobile Marketing

What - Beacons are easy to use, affordable devices that SMBs can use in-store. They enable wireless communication with customer smart devices, which allows the SMB to communicate with them in proximity to or in-store.
Why - Beacons allow SMBs to broadcast offers to nearby consumers deliver relevant, targeted messages, and collect and track data to help improve marketing outreach effectiveness in the future.

Results
Hillshire farms promoted their American Craft Link Sausages and saw:

• A thirty-six percent increase in brand awareness and lift in overall sales.
• A five hundred percent increase over the CPG average for mobile ad engagement.

Sources: 
http://EzineArticles.com/6130978
http://www.pizzamarketplace.com/articles/levelup-consumers-increase-spending-with-ibeacon-technology/
http://independentretailer.com/2014/01/10/5-ecommerce-trends-for-small-businesses-in-2014/
http://www.mobilemarketer.com/cms/news/advertising/9540.html
http://iviutech.com/downloads/eMarketer_Location-Based_Marketing-Driving_Sales_in_a_Whats_Around_Me_World.pdf
http://technoparkliving.com/2013/12/ibeacon-the-game-changer-in-instore-navigation/
http://9to5mac.com/2014/07/22/hillshire-increases-sales-w-ibeacon-20x-increase-in-purchase-intent-500x-increase-over-average-mobile-ads/
http://independentretailer.com/2014/01/10/5-ecommerce-trends-for-small-businesses-in-2014/
http://www.entrepreneur.com/article/226874
http://partners.giftcards.com/statistics
http://www.giftcardgranny.com/statistics/
http://www.mckinsey.com/insights/consumer_and_retail/rediscovering_the_art_of_selling
http://www.thinkwithgoogle.com/articles/proof-online-ads-increase-offline-sales.html
http://www.smartbugmedia.com/blog/26-stats-that-prove-content-marketing-increases-lead-generation-sales-and-roi
http://www.dmnews.com/study-cpg-website-visits-boost-in-store-sales/article/225375/
http://www.forbes.com/sites/kellyclay/2012/04/06/nordstrom-sees-15-3-increase-in-retail-sales-following-introduction-of-mobile-pos-devices/

To view the original article visit: http://merchantwarehouse.com/five-ways-to-improve-in-store-sales

Transformation Tuesday eReceipts and Mobile POS

Remember how receipts used to look like back in the day when you had to physically write everything down?

Today, paperless receipts are now common in American Retail. It is beneficial for both the consumer and the retailer because it is cost effective, more secure, and it offers the opportunity to extend the customer relationship and attach an email address to sales transactions.

We went from cash registers like this….

To registers like this…

 

To our current Mobile POS systems that look like this! With Mobile POS you can move through lines faster to increase sales, check inventory and pricing, and increase customer service. Thank goodness for innovative solutions!

For more information on mobile POS options available on the market, contact us by phone 800.266.1328 or request a free consultation.

 

Future proofing mobile point-of-sale

September 10, 2014 | By Jean-Marc Thienpont 

 

Recently, I was out shopping with my children and we saw a pay phone bolted to the wall near the checkout line of a store. It didn’t appear to be operational, but there it stood. “What’s that?” my 11-year-old daughter asked.

Of course, the question made me feel old. But I was also struck by the pay phone’s proximity to the checkout line. Working in the mobile point-of-sale (mPOS) space, I wondered if in 20 years, my grandchildren would see a traditional checkout desk and ask my daughter, “What’s that?”  Just as the pay phone concept was disrupted by mobile phones, checkout stations are being affected by mPOS systems.

Merchants are facing unprecedented change. The pace of technological advancement accelerates each year, and sometimes merchants have to make very quick, tough calls on what to adopt and what to skip. In the U.S., the upcoming EMV (Europay, MasterCard, Visa) liability shift has further complicated matters.

Physical stores will no doubt continue to exist for many, many years. In fact, we are seeing a trend toward e-commerce companies opening traditional brick-and-mortar stores — something that was unthinkable in the heady e-commerce days of the early 2000s. However, the form factor for checkout will evolve to enable merchants to secure a sale as soon as consumers have made their purchase decision. Customers will also expect flexibility when it comes to checkout — and that may mean that rather than centralized checkout lines, merchants will need to offer options such as kiosks, roaming employees with mPOS capabilities on tablets, and may even enable customers to self-checkout via their own mobile devices. As retailers navigate the rapidly evolving mPOS landscape there are some important considerations to keep in mind. For example:

Insist on the latest security certifications and regulatory compliance: This includes PCI (Payment Card Industry Data Security Standard) and EMV, but also less stimulating terminology such as tokenization and layered security. The need for top-notch security should be obvious is in an era rife with security breaches. Yes many mPOS systems don’t incorporate the very latest security features. Beware.

While there is debate in the payments community about the merits of EMV, at this point it’s fait accompli. The U.S. is the only first-world country not currently utilizing EMV. Merchants must get prepared for EMV card transactions, and further they should assume they’ll need to securely process both chip and sign and chip and PIN transactions. Merchants currently in the market for payment processing technology that don’t consider these facts will find themselves with the equivalent of a Betamax system in a year or two.

Look for flexibility: Many merchants are concerned about emerging payments methods such as mobile wallets and Bitcoin. They want to accommodate customers, but not at the expense of security. Most merchants with which we work are taking a slow and cautious approach, but there are early adopter exceptions. We are currently working with one of the world’s largest fast-food chains on an mPOS solution — an overlay to their existing in-store payment infrastructure — that accepts open- and closed-loop mobile wallets, plus different types of card transactions (magnetic stripe, NFC, chip & PIN and chip & signature). We expect more of these types of projects in the coming year.

Look for application program interfaces (APIs) that allow for customization: When the first rudimentary mPOS solutions were introduced in the early 2000s, no customization options were available. Everything was served up out of the box, with little or no integration. Most were really just card readers, with no software except an interface to a secure card processing backend.

Today’s mPOS solutions provide powerful software that allows merchants to choose their own processor, integrate with back-end systems such as inventory and accounting systems, white label the user interface, and add features such as alternative payment type acceptance or loyalty program integration. Much of this is made possible by APIs provided by mPOS vendors. APIs enable merchants or third parties to easily integrate other systems with an mPOS solution, and also to customize features and interfaces as needed. An mPOS system that doesn’t feature APIs may not get along as well with other payments infrastructure and potentially restrict usage of new features in coming year.

Make sure fixed and mPOS solutions a seamlessly integrated for an omnichannel experience: Remember many merchants kept their brick-and-mortar and e-commerce units separate? It became a logistical nightmare, with major inventory and accounting issues. POS technology needs to be look at holistically - not in terms of fixed or mobile — because customers don’t view them separately. All POS checkout options — fixed, mobile or online — need to provide a consistent interface and backend to ensure customer convenience and better manage the omnichannel experience.
While it may not be possible to completely future proof a mPOS system, choosing one that can accommodate updates and new features is essential to allow merchants to keep up with the blistering pace of innovation in the retail technology world.

To view the original article visit: http://www.retailingtoday.com/article/future-proofing-mobile-point-sale

The 2014 Innovative Solution Awards

 

By Lisa Terry
Posted Date: 8/5/2014
Solving a problem. Driving innovation. Delivering ROI. Creating something unique and cool. Accomplishing just one of these is great. Doing all four at the same time is downright difficult. But that’s just what the winners of the annual Innovative Solutions Awards—a collaboration between VSR Magazine and the Retail Solutions Providers Association—have accomplished. Our judges—writers, editors and industry leaders—considered a boatload of entries from vendors, consultants, solution providers and end users, ultimately selecting six as winners of the 2014 Innovative Solution Awards.

VSR Magazine and the RSPA would like to congratulate the recipients of this year’s awards, which were presented at the RSPA’s RetailNOW Convention and Expo during the show’s awards banquet on August 5 in Orlando.

Payment Processing

iDriveThru
By iDriveThru

If the best things come to those who wait, it stands to reason they can come while waiting to pay at the Dunkin Donuts drive-through—from an eight-year-old.

That was the genesis of iDriveThru, conceived by Eli Grinvald’s daughter while getting breakfast at DD while on vacation. Why can’t the RFID toll tag be used to pay for their meal, Grinvald wondered, and why don’t they know who we are and what we want by now?

He soon discovered the RFID toll tag would really be the best way to recognize customers and transact payment. The northeast’s EZPass toll system doesn’t lend itself to commercial transactions, but the tag does, and there are 110 million parking or toll tags out there. He and three partners founded iDriveThru
(idrivethru.com) and designed a system that overcomes the problems that doomed previous toll tag payment systems.

Where the solution really delivers value is in places where you stop, order, fumble for a wallet and pay, like quick service, parking, car washes, pharmacies and amusement parks.

Consumers opt in by linking a payment card to the device ID on their existing transponder (EZ-Pass, Sun­Pass, etc.). An RFID reader above the ordering intercom reads the toll tag and a customer-facing monitor welcomes the user by name, displays reward points and notifies the cashier. Complete POS integration, using Datacaps NETePayintegrated payments software, allows for an intuitive ordering process, then the consumer is invited to pay with iDriveThru. The cashier taps a button on the POS and the transaction is complete. NETePay communicates with iDriveThru servers to obtain the user’s tokenized card data and forwards it to the merchant’s payment processor.

Speed is critical in quick service and long lines drive consumers away. iDriveThru solves this by removing payment, building customer loyalty and retention and delivering in-depth customer analytics. A five-unit Wendy’s franchise in Staten Island is an early adopter.

The solution is flexible to switch payment mechanisms and to expand to solve more merchant problems, says Grinvald. “We’re all about integration, adding value and enhancing experience and merchant revenue.”

Customer Engagement Technology
OPI Consumer Price Scanner
By Optical Phusion

Laws can definitely drive markets, for example, the item pricing law in Massachusetts that says for every 5,000 square feet, retailers need to offer a price checker with printing capability. But Optical Phusion (opticalphusion.com) wanted to deliver much more value than simple price checkers.

OPI did extensive research on retailers’ needs and discovered that they preferred to invest in a solution that not only complies with the law, but offers a return on investment. So OPI developed and beta tested solutions until they arrived at a flexible kiosk design that not only allows consumers to scan UPC to view and/or print item prices via a Motorola scanner, but can also be configured to check inventory at any of the retailer’s stores, interact with loyalty programs and print custom coupons based on past purchases via a Zebra printer mechanism. Consumers can also summon a store attendant from a kiosk.

Extensive research led to a highly refined final configuration, such as encasing the printer to prevent customers from pulling labels before printing was complete.

They also developed a “Video 6” option to work in tandem with the OPI price checker. Video 6 is a video content management tool application that features a management console that enables store managers to customize a promotional message by department or location within the store to alert customers to outstanding deals. Video 6 is also a real-time management tool for the distribution and version control of HD videos to the reseller’s OPI price checkers and electronic signage. In addition, Video 6 enables a tablet to perform multiple functions such as promotional videos, price checking, gift registry and loyalty functions on the same device.

OPI price scanner is installed in several major name brand supermarket and smaller chains, well beyond Massachusetts.

“This has helped us attract new customers not based in Massachusetts,” says Scott Arnold, president of OPI. “We’ve been able to land three to four national accounts and broaden our geography.” Clients can expand their relationship with Video 6 and install a RFID portal reader solution to identify loyalty customers via RFID card as they arrive in store.

POS Solution
Solution for Salon Centric
By Essential Systems Solutions

Salon trade shows are big business for L’Oreal’s Salon Centric professional haircare products division, as much as $1 million for a three-day show. But a cash register system with separate credit card processing, set up and torn down for every event, was leading to entry errors, long training times, weeklong delays in sales reporting and inventory management based on shipment, not sales. Set-up and breakdown was time-consuming for Essential Systems Solutions (esspos.com), entailing complex cable management.

Salon Centric asked for a mobile tablet solution, but a test showed it was unworkable due to high cash volume and the need to use costly on-site Wi-Fi. L’Oreal wanted a small footprint and integration with a back office SAP system to get better visibility into sales and inventory.

ESS POS delivered and then some. Its solution uses Par EverServ 500 terminals with PixelPoint POS, Honeywell barcode scanner and APG 1416 cash drawer that integrate into a neat, 13” by 13” Touch Dynamic all-in-one printer base with Epson TM-T70 printer. ESS POS also designed a wooden shipping container that securely houses 16 terminals staged and ready to go, without the need for time-consuming shrink wrap.

L’Oreal Salon Centric purchased 50 terminals and licenses, and contracts ESS POS for set-up, support and tear down at 18 annual events. Now payment processing is reduced from 25 seconds to three, sales are up 50%, inventory data is available instantly, lines move faster and integrated processing lowered fees. Training is much faster, and Salon Centric can easily bundle products and create new UPCs to drive sales. The system also enables commissions, so the professional salesforce now has reason to drive traffic to shows, says Jason Thompson, president of ESS.

The solution is delivering better performance and is easier to use, says Michael Tash, VP of ESS POS. “The client is extremely happy.” That’s great, because Salon Centric also has 450 stores whose staff also work the shows, creating demand and opportunity for the solution in those stores. It has also opened up a new market opportunity in trade show POS solutions; ESS POS has already added a BBQ festival.

Software Application
ScanItAll
By StopLift Checkout Vision Systems

POS-video integration has made identifying and analyzing fraudulent transactions a lot easier. But its Achilles heel is sweethearting, because there is no data for something that was never scanned.

As he worked on an MBA field study on preventing retail shrinkage, Malay Kundu learned that most of the $10 billion in shrinkage is internal and happens at checkout, and as a result many retailers use video surveillance there. “I had that aha moment,” says Kundu, founder and CEO.

Knowing retailers are cost-conscious, with tight margins, he and his development team formed StopLift Checkout Vision Systems (stoplift.com) and designed a solution that uses already installed POS and over-checkout CCTV equipment—analog or IP. Using real video from retailers’ checkouts, they developed ScanItAll, a solution that uses computer vision technology to interpret cashier and customer body motions at checkout. The system analyzes pixels in real time to identify fraudulent behavior, such as failing to scan or covering a barcode, as well as items remaining anywhere in the cart.

The solution includes a secure Web 2.0 interface to view and analyze actionable incidents detected by StopLift. By combining state-of-the-art web video streaming technology with video-to-transaction log synchronization, the ScanItAll web application allows an advanced, intuitive and easy-to-use access to actionable incidents on any of the major web browsers without the need to install additional software.

Retailers can be alerted the first time a fraudulent incident occurs, significantly reducing shrinkage, deterring future theft, and boosting profitability. Retailers often use it to improve training or start building a case, Kundu says.

The SaaS-based system runs on an in-store server running video analytics, and uses existing POS and cameras. “Resellers can resell our hardware or build their own servers: We’re about the software,” says Kundu. ScanItAll is already installed in stores across the globe, where it reduces inventory shrinkage by 10% to 15%, and returns on investment in six to nine months. StopLift is working on a mobile checkout version.

The most recent enhancement is a self-checkout version, the Self Checkout Accelerator, which uses similar technology to improve the self-checkout experience by identifying legitimate behavior that would otherwise cause a system disruption, such as a purse on the scale.

Partnership
One Step Retail Solutions POS with Genius Customer Engagement Platform
By One Step Retail Solutions and Merchant Warehouse

“Gaze into your crystal ball and tell me what new payment paradigms will win so I know what to buy.” That’s a request heard every day by POS solution providers, including One Step Retail Solutions (onestepretail.com). Keeping merchants up to date on PCI requirements and card association mandates is tough when you know the latest solution may soon need to be upgraded or replaced yet again.

One Step, which serves SMBs of five to 100 stores, approached POS software developer Retail Pro International to find a solution. That ultimately led to Merchant Warehouse and its Genius Customer Engagement Platform: a flexible, user-friendly, hardware-agnostic software platform to accommodate current and future payment paradigms so customers can pay how they want. It also shields POS from sensitive card data through tokenization and offers loyalty and marketing capabilities.

Options include traditional, chip and PIN, mobile wallets or other mobile payment technologies, including NFC, EMV and QR/2D bar codes, as well as integration with retailer loyalty and reward programs. Payment hardware companies now offer products with all of these options; Genius replaces the OS on that hardware and is remote-upgradeable. “It’s like an app store, where you click on an app and add it to your phone,” says Scott Kreisberg, CEO/founder of One Step Retail Solutions. “The usability is something everyone understands.”

After a six-month integration and testing process between Retail Pro and Merchant Warehouse, One Step provided a pilot customer for testing and customer feedback.

Genius is “a great asset for us,” says Kreisberg. For retailers, he says, flexible payment options help SMBs level the playing field with larger chains. That capability is a selling point, and One Step now offers it in LightSpeed and Teamwork Retail POS applications too. But in addition, “the people who have bought it are finding the user interface easy to handle, so they’re not having to call us with a bunch of questions,” Kreisberg says. “It also helps us with PCI compliance by lowering the risk of exposure. We’re number two in line for lawsuits after the manufacturer. We’re really confident in that aspect.”

Mobile Solution
DeliveryIQ
By FoodTec Solutions

Managing food delivery services has long been a seat-of-your-pants operation; even years of experience could be thwarted by kitchen or traffic delays. Previous attempts to solve the problem with dedicated mobile devices and data plans were too costly. As smartphones and cheap data became pervasive, FoodTec Solutions (foodtecsolutions.com) saw the chance to develop a highly impactful solution for current and future customers.

The result was DeliveryIQ, an integrated native Apple and Android solution that tracks food orders and drivers while providing management and consumers with real­time updates, order status and driver location information. The solution leverages GPS sensors, phone-based and in-house mapping capabilities and ping messaging to FoodTec’s cloud to maintain communication among drivers’ phones and the restaurant. DeliveryIQ integrates with POS and kitchen systems.

Using this data, kitchen orders can sync with current demand and delivery promises. Dispatchers or drivers themselves can make intelligent decisions about timing and grouping orders. Drivers can communicate en route with customers—who can track the driver’s progress—and upon arrival, hand the phone to the customer for coupon redemption, payment and gratuity. Order-takers can confidently deliver accurate delivery times to customers at the time or order and via delivery confirmations, increasing customer satisfaction and driver tips. Owners know exactly where their drivers are, increasing their sense of safety and control.

“Restaurants gain the ability to deliver more orders in less time, and do so with fewer drivers,” says Andrew Bounas, president of FoodTec. “Costs are reduced and customer satisfaction increases.”

Early adopters have seen their number of deliveries increase more than 20% with the same number of drivers, fees to drivers increase more than 20%, tips to drivers rise by 10% or more, and average minutes per delivery drop from 24.43 minutes to 21.87 minutes.

DeliveryIQ is the first FoodTec product that can be integrated with other POS systems, opening up a larger market opportunity. That’s particularly attractive as more restaurants add delivery services. “We estimate 20% of restaurants in the country will do delivery in the next couple of years,” says Alan Hayman of Hayman Consulting Group, who is working with FoodTec on marketing and development. VSR

To view the original article visit: http://vsr.edgl.com/magazine/August-2014/The-2014-Innovative-Solution-Awards94322

Nordstrom Sees Sales Boost From Mobile POS Devices

Kelly Clay Contributor 

Long lines are one of the worst nightmares for retailers – especially those with consumers about to make purchases worth hundreds of dollars. For these customers, standing in line for several minutes provides the opportunity to think about the purchase they are about to make. This time can allow customers to think about the necessity of the purchase and the cost, and given too much time to over-analyze the potential purchase, a customer standing in line can easily decide to set aside part of the potential purchase and pay less for fewer items – or even walk away entirely.

Retailers like Apple and Home Depot recognized the need to eradicate this wait several years ago, providing employees with mobile POS devices that enable them check out customers from anywhere within the store if the customer is paying with a debit or credit card. Employees at Apple’s retail stores have been armed with iOS devices for several years, enabling consumers to easily make purchases without waiting in line. In early 2011, Home Depot introduced their “First Phone” to allow customers to check out from anywhere within the store, also without having to wait in line.

 

Now, Nordstrom, the Seattle-based fashion and beauty retailer offering apparel, shoes, makeup and other beauty products, is rolling out mobile point-of-sale (POS) devices throughout their full-line stores, as well as in some of their Nordstrom Rack stores. These mobile POS devices, which is a modified iPod Touch with a merchandise scanner and credit card slider, allow employees to check out customers from anywhere in the store. The app on the device also provides Nordstrom’s sales staff access to the company’s entire inventory, which is useful when helping customers check if an alternative size or color is available elsewhere, without needing a register to look up that information.

Nordstrom has deployed over 6,000 of these devices throughout their 117 full-line stores, and at some Nordstrom locations, there are more mobile POS devices than regular registers. Colin Johnson, a spokesperson for Nordstrom, says that these devices are part of a larger plan for Nordstrom to help “provide a more technology enabled store experience.” He notes that in 2005, Nordstrom began offering the option to ship merchandise directly to customers, and in 2009 the company integrated inventory with its online store. In 2010, Nordstrom then introduced WiFi into stores to “make it easier for customers to stay connected in the stores by using their mobile devices to shop and to compare and learn more about merchandise.”

With WiFi, Nordstrom laid a foundation for these new mobile POS devices, which Nordstrom finished initially rolling out in mid-2011 and are primarily being used in B.P. (the trendy young women’s section) and shoes, which is a conglomerate of smaller departments catering towards specific demographics. Other departments using these devices include men’s. At the flagship Nordstrom store in downtown Seattle, most sales associates in these departments can be found armed with a mobile point-of-sale device and using them to checkout customers paying with plastic. When a Nordstrom customer checks out with a mobile POS, they can sign for their purchase and enter an email address for a paperless receipt. For most Nordstrom customers, checking out with a mobile POS is an incredibly intuitive and almost shockingly simple experience.

 

Johnson explains that the goal of using the mobile POS for Nordstrom is really to “take care of customer anywhere in the store. We don’t have to take you to the cash register, and instead, can do that right there with you on dressing room or when you’re trying on shoes – and then you’re on your way.” He adds, “that kind of ability to increase speed and convenience is increasingly important.”

Increasingly important for not just the customer’s convenience, but for Nordstrom’s sales. According to the company’s 2012 March Sales Report, “Preliminary quarter-to-date total retail sales of $1.73 billion increased 15.3 percent compared with total retail sales of $1.50 billion for the same period in fiscal 2011.” Additionally, according to the 2011 Nordstrom Annual Report, “both the average selling price and the number of items sold increased in 2011 compared with 2010.”

Is it a coincidence that the average number of items sold and the average selling price both increased after implementing mobile point-of-sale devices? While Johnson explains that the new mobile POS at Nordstrom is designed to provide a “faster and more convenient experience for customers and reduce the time it takes time for customers to check out,” he adds that “anything that can help that is beneficial.”

This efficiency undoubtedly reduces the potential amount of time customers have to think about their purchases before they reach the register. Though consumers may enjoy the convenience these new mobile POS devices offer, both Nordstrom’s 2012 March Sales Report and 2011 sales figures allude to the real benefit of these new mobile point-of-sale devices.

To view the original article visit: http://www.forbes.com/sites/kellyclay/2012/04/06/nordstrom-sees-15-3-increase-in-retail-sales-following-introduction-of-mobile-pos-devices/

How Did You Hear About Us?

You have undoubtedly heard that question a multitude of times. "How did you hear about us?" is one of the most important questions a retailer can ask at point of sale and can lead to thousands upon thousands of future sales.

Your retail management software should support your marketing efforts in every way possible and include a feature for tracking and analyzing where customers have come in from; word of mouth, newspaper ads, mailers, Yelp, a blogger, etc. 

If your Point of Sale or Retail Management System is not EMPOWERING you as a retailer, give us a call at 800-266-1328

One Step Retail Solutions has helped thousands of retailers nationwide achieve their retail goals through top of the line retail technology. With a consultative and personal approach, One Step is a top resource for point of sale / retail management systems available on the market. Having been in business for over 27 years we have evolved relationships with specialists industry-wide and strive to bring educational resources to our retailers and other retail friends.

Meet the Retail Expert

One Step Retail Solutions chatted with retail expert, Dan Jablons of Retail Smart Guys, to learn about the best retail solutions for your business! President of Retail Smart Guys, Dan comes with over 30 years of retail experience and has worked with a leading POS provider, and top retailers such as Diesel, Oakley, Tumi, Target and many others. Dan graduated with a Bachelor of Science in Marketing and Production from Ohio State University and has been making his mark in the retail industry ever since. We were very fortunate to steal a moment from him, so we could pick his brain about what’s in store for the future of retail.

 

What makes you a retail expert?

I have over 30 years of retail experience, including store management, buying, and operations management, as well as ample experience in software and management tools used in retail stores,  in over 14 different countries.

What do you like best about the retail industry?

The excitement of working with people on the bleeding edge of the market place. I love the creativity and excitement that independent retailers bring to the marketplace!

How can retailers increase sales?

There are two key components to help drive sales: email marketing and a series of in store events. It is important to send at least two emails a week to customers.   It is also important to and have a series of in store events that are fun and compelling and give customers a reason to go shopping.

What suggestions do you have for people looking into new Retail Technology?

 Retail technology is vital because connecting a POS system with strong planning systems allows inventory forecasting, protects cash flow and maximizes investment. The biggest investment is having the tools to manage what happened so you’re able to prepare yourself for what is going to happen.

What advice can you give a new retail business?

1.    Make sure you are buying for your customers and not buying for yourself.

2.    Invest in purchasing the best measurement tools so you can keep track of your sales and inventory.

3.    Recognize that retail is a science and an art. Work with people that can assist you with the science pieces as well as the art pieces.

What are some new retail trends you’ve noticed in the industry?

There is tighter integration with customer demand to get the right inventory, at the right place, at the right time.

What’s the best piece of business advice you’ve ever received?

Retail is detail. The solution of problems means digging into details, to manage the demands in any retail store.

Thanks very much for your time Dan! We appreciate the retail expert advice and look forward to working with you again soon!

[Demonstration] Retail Hardened POS Systems

The extreme testing CounterPoint Retail Management systems undergo.
Fore more information or to get a free demo of NCR CounterPoint, CLICK HERE.