I attended the “Crafting a Successful O2O Dialogue” seminar early this week organised by one of my partners. It focused on Online To Offline, a new business mode combining the online shopping and the front line transactions. Speakers from Bluecom, NDN Group, SalesCatalysts and PayPal shared a lot of valuable knowledge and experiences.
As glass screens get more time & mind shares of people, companies are trying to engage their customers online as well as in the brick-and-mortar retail shops, and vice verse. One of the key success factors to drive more businesses is to have a holistic strategy and execution to connect online and offline customer experiences.
O2O is in fact not very new. It is everywhere. Step back, watch out. It is obvious.
I have a recent O2O experience at 7-Eleven. I bought some soft drink and snacks last night (to consume when I watch the opening World Cup game this midnight) and 7-Eleven gave me a Line emoticon card. By scanning the QR code on the card I got some free Line emoticon, as well as I added 7-Eleven Hong Kong in my buddy list. And then I get promotional messages from my new buddy 7-Eleven, I visited 7-Eleven again this morning and bought some more stuff…
PayPal shared in the seminar the research report Modern Spice Routes which they worked with Nielsen last year about Cross-Border Shopping. From the report we have:
1.Cross-border shopping spend will increase from $106B in 2013 to $307B in 2018. Almost 300% growth!
2.The top reasons of buying online from overseas is to “save money” (80% of respondents), followed by “more variety that cannot be found locally” (79%). Half of the shoppers surveyed use PayPals most often for cross-border purchase because they want buyer protection offered by PayPal.
3.Top five cross-border purchase categories: Cloths/Shoes/Accessories, Health & Beauty Products, Personal Electronics, Computer Hardware, Jewellery/Gems and Watches.
4.More than a third of all cross-border online shopping is via mobile devices. How to ease and speed up the buyer journey is critical to drive more transactions.
5.Hong Kong, a small city (in term of physical area) with 7m+ population, is one of the top cross-border shopping destinations:
-US shoppers buy from: UK (49%), China (39%), Canada (34%), HK (20%), Australia (18%)
-Brazil: US (79%), China (48%), HK (17%), UK (17%), Canada (14%)
-UK: US (70%), China (23%), HK (21%), Germany (19%), Ireland (15%)
-China: US (84%), HK (58%), Japan (52%), UK (43%), Australia (39%)
-Australia: US (69%), UK (47%), China (31%), HK (29%), Canada (9%)
All these did not surprise me except the last one. Why HK is one of most popular shopping destination?
-there is no sales tax in HK
-stable currency exchange rate (USD1 = ~HK$7.75)
-good Internet infrastructure
-very easy to set up a company (from seller perspective)
-strong financial and legal systems (from seller perspective)
-no forex volume control (from seller perspective)
Valid points. Too obvious for me to overlook.
“The most obvious and important realities are often the ones that are the hardest to see and talk about.” David Foster Wallace said in the 2005 commencement speech at Kenyon College. (Youtube version)
In last week WWDC, Apple introduced HealthKit and HomeKit. A lot of articles, blogs and podcasts talked about the event. A good summary is that Apple focused in BTLE and iBeacons the last few years in order to plan for the next Big Thing: “iLifestyle”. Your iPhone will become more context aware – where are you (home, office, shopping mall…), what are you doing (sitting, walking,running, typing, browsing…) and when are you doing exercises. Your home electronic appliance will be switched on/off and adjusted based on your preference stored on your iPhone. Alerts/advises will be given to you about when and how to do sports. Things you may need will come to you when you are shopping and ease/shorten your buyer journey. Computing devices moving from a passive tool to an active assistant. Brand new experience. How? Apple Store will be one of the best places to experience all these. That’s why Angela Ahrendts will focus on “end-to-end Apple Store sales experience”.
1.Vector episode 30 is a insightful podcast about wearables, contextual sensors, and how to make them mainstream.
2.Information is overload and we need content curation to help us explore music, as well as news. Zite’s future is unknown after Flipboard bought it from CNN. I’m trying other news readers such as Theneeds, Feedly, Newsify and Digg.
3.By replying on content curation, we hand over our information source to third party which may not have the same interests of us. In Exponent podcast episode 005, Ben and James have serious discussion about it.