Adopting FinTech to Enhance Retail Delivery

MoneyTrend: Adapting to a COVID World

Actions Your Organization Can Take to Advance Your Digital Priorities

With smartphones now playing the role of supporting actor in all aspects of consumers’ lives, it’s no surprise that shoppers expect their phones to assist them across any retail experience, especially regarding speed and safety in light of the COVID-19 pandemic and its impact on retail.

BY LOU COSTANTINI

Savvy retailers are now capitalizing on this consumer preference by positioning smartphones front and center when it comes to in-store fulfillment, with options like BOPIS (buy online, pick up in store) and ROPIS (reserve online, pick up in store).

Today’s retail customers want what they want, when they want it, and where they want it. Providing a faster and smarter digitally assisted service option sounds easy on paper. Putting it into practice, though – that’s another story. Trying to meet the needs of today’s customer can feel overwhelming. If you have the right tools and strategy in place, introducing an omnichannel digital strategy to your oldschool retail model can be a breeze and can set the stage for the expansion of your digital delivery platform.

Today’s MSB retail experience is still very dependent on legacy solutions, processes and business models. Now, in light of COVID-19 standards, that approach is more frustrating than ever for your customers. Customers are filled with anxiety and paranoia. Six-foot distancing protocol has created long customer lines and even longer perceived wait times. Customers want for safety and speed during a time when check cashing and lending volume is down, but simply adding more staff for faster throughput just isn’t financially feasible to the bottom line.

Over the last few years, the MSB industry has begun to explore the use of digital remote services via the introduction of RDC (Remote Data Capture). While the topic has created quite the buzz, the reality of adoption and usage is not very impressive. MSB service providers such as prepaid debit card, wire transfer and other providers alike have introduced their own App solutions to help manage financial customer transactions remotely. While many of these FinTech solutions are quite smart and useful, many operators have shied away from them in fear that they might lose their customers to these individual tech providers. Plus, marketing dozens of independent service provider Apps at the store level can be quite challenging and cumbersome for the staff, and moreover, for the customer.

Today’s mainstream retail giants are challenged with the same issues that the MSB industry is faced with. How do we introduce technology to enhance our legacy customers’ transactional experience without sacrificing optimum safety, speed and ongoing communication, while creating brand loyalty and customer retention? Digitizing and remote transactional solutions are crucial to MSBs, now more than ever. Customers want more modern ways and more options to achieve their financial transactions.

Here are some simple steps to consider:

STEP 1: START YOUR CUSTOMERS’ TRANSACTIONS REMOTELY

Think of your services as tangible products; organize and deliver them utilizing your own branded e-commerce platform. Today’s retail path-to-purchase starts online for most users with the ability to virtually connect to a retail brand, its products, its offers, its service experience, and its value proposition. A customer can simply begin their transaction online through your solution, choose the services they are planning on conducting, save them to a transaction cart, and submit the order to the store location where they plan to complete the transaction.

STEP 2: FINISH WITH AN EXPRESS IN-STORE PICKUP EXPERIENCE

HOW MUCH LONGER WILL YOUR CURRENT OLD SCHOOL BRICK- AND-MORTAR BUSINESS MODEL LAST WITHOUT A DIGITAL SERVICE OPTION? IT’S TIME TO RETHINK, RESHAPE, AND REINVENT HOW YOU PACKAGE AND DELIVER YOUR PRODUCTS TO SERVE THE OVERWHELMING DEMAND.

Due to the decline in volume, many MSBs have non-active transaction stations that can be leveraged to create attractive signage enclosures for Mobile Transaction Express Pickup Window(s). Customers who preorder their transactions online can skip the neverending social distancing line and go directly to the Mobile Transaction Express Window(s). The store’s staff would already be expecting the customer. The service experience is elevated like never before, improving customer through-put and staffing efficiencies. This approach also allows continuous communication with your customers throughout the transaction journey, including order confirmation, prep, and ready for pickup, all on their mobile device. This makes it easy for you to focus on end-to-end customer service, upsell opportunities, and maintaining satisfaction at every stage of the transaction.

STEP 3: IN-STORE AND OUTREACH ADOPTION MARKETING MATTERS

Like any new launch, if you don’t market it or don’t market it correctly, it will fail. The low-hanging fruit lies among your existing customers. Create a powerful in-store merchandising campaign including Express Window signage, posters, flyers, lobby greeters and digital screens. You could even integrate a message into your social distancing floor stickers, such as: “Skip the Line Next Time by Using Our Express Window.” Outreach might include text messaging, warm calling, email drip campaigns, direct mail, website, and social media.

CLOSING GUIDING THOUGHTS…

Focus on speed to market with minimal investment. Start small, demonstrate early successes, and confirm positive impacts.

Put your retail brand first and in control. Like your stores, your brand should take the lead in setting the stage for partner products and supporting tech integration.

Build a foundation for your digital model that initially drives traffic to your stores and eventually can integrate more remote options that do not require a store visit, but always keep your customers loyal to your brand.

Grow your customer base beyond the traditional profile. Leverage your new digital retail delivery model to acquire more small business and millennial customers.

How much longer will your current old school brick-and-mortar business model last without a digital service option? It’s time to rethink, reshape, and reinvent how you package and deliver your products to serve the overwhelming demand. If you don’t, someone else will.

Lou Costantini is Founder and Chief Creative Officer of Grafico Marketing Group. Costantini is nationally recognized for his expertise in creating highly effective brand strategies, marketing materials, advertising campaigns, and retail prototype designs. He has assisted individuals and companies across the nation in making their organizations more marketable, professional and profitable. He may be contacted at lc@graficomarketing.com.