L'Oreal Social Selling Platform

Some advances in Beauty care selling strategy.

L’Oreal Invests in Social Selling Platform as Part of E-Com Strategy

By CGT Staff  

As part of its acceleration strategy in e-commerce, L’Oreal announced a minority investment in US-American social selling platform Replika Software, Inc., made through its corporate venture capital fund BOLD Business Opportunities for L’Oreal Development.

As a turnkey social selling platform, Replika Software enables brands to activate at scale their network of social sellers to sell online, inspire on social media and connect with consumers anytime, anywhere. Founded in 2016 by Kareen Mallet, former fashion director at Neiman Marcus and Bergdorf Goodman, and Corey Gottlieb, advertising, marketing and tech entrepreneur, the company is based in New York and has offices in Paris.

“Social commerce is an exciting new form of e-commerce that enables consumers, influencers, experts, beauty or shop assistants to sell brands and products on social platforms through formats such as live shopping or livestreaming,” said Lubomira Rochet, chief digital officer of L’Oreal. “Today, e-commerce already represents 25% of L’Oreal’s revenues. The rise of social commerce is a great opportunity for our brands to reinvent the consumer beauty experience worldwide. We are very excited to partner with Replika Software, a pioneer in the field, to create social commerce at scale. Our ambition is to crack this new channel and create a healthy and dynamic ecosystem of social sellers for the beauty category.”... '

Kroger in Top 10 E-Commerce Companies

 Been impressed by looks at what Kroger is doing.

Kroger breaks into top 10 U.S. e-commerce companies for first time  By Marianne Wilson - jn CSA

The Kroger Co.’s digital investments are paying off.  

The nation’s largest supermarket retailer made its first-ever showing in eMarketer’s ranking of the top U.S. e-commerce retailers, taking the #9 spot.  Kroger’s e-commerce sales will surpass $11 billion this year, growing by more than 79% year over year, according to eMarketer. Topping the list is Amazon, followed by Walmart (see list at end of article.)

“The pandemic has shifted consumer priorities,” said Cindy Liu, eMarketer senior forecasting analyst at Insider Intelligence. “Kroger will benefit from two tailwinds this year: Eating at home continues to be in favor among Americans, and there’s been greater interest by consumers in ordering groceries online. With these two forces at play, we shouldn’t be surprised by Kroger’s strong growth this year.”

Kroger’s early digital investments prepared it for what the year had in store. The company started investing in online grocery several years ago, and now has more than 2,000 pickup locations and 2,400 delivery locations that reach over 97% of its customers, noted Liu. 

Dropping off the list is Macy’s, which fell out of pace with the other companies in the top 10 largely due to declines in apparel sales, according to eMarketer.  ... " 

Amazon and Counterfeiting Crimes

An area we also worked in, detecting counterfeits.  But then isn't this another cooperation with law enforcement?

Amazon forms Counterfeit Crimes Unit to tackle its fake goods problem
The unit will work with brands and law enforcement around the world.
By Mariella Moon, @mariella_moon in Engadget

Amazon has been grappling with a counterfeit problem for years to the point that it reportedly decided to be more cooperative with law enforcement a few months ago. Now, the e-commerce giant has formed a new division called the Counterfeit Crimes Unit that’s dedicated to taking down fraudsters selling fakes on its website. The unit is composed of former federal prosecutors, experienced investigators and data analysts, working together to find offenders and hold them accountable wherever they are in the world..... " 

Wal-Mart Grounding Jet.com

No new news, but some of the motivations provided of interest,    Would they have thought differently if they knew of the virus coming?  Will it fundamentally change how people buy?

Walmart to ground Jet.com
By Dan Berthiaume - 05/19/2020  in CSA

Walmart is winding down a digitally-native retailer it bought for $3 billion in 2016.

The discount giant will cease operating its Jet.com e-commerce subsidiary at an unspecified date. Walmart announced its intention to shutter Jet.com in a two-sentence statement in its first quarter earnings report: “Due to continued strength of the Walmart.com brand, the company will discontinue Jet.com,” Walmart said. “The acquisition of Jet.com nearly four years ago was critical to accelerating our omni strategy.”

On the company's quarterly earnings call with analysts, Walmart CEO Doug McMillion credited the acquisition of Jet.com as  “jump-starting the progress we have made the last few years.”  He cited the growth of Walmart’s curbside pickup, delivery to the home and expansion of categories beyond groceries, including apparel and home decor.  McMillion also said "we're seeing the Walmart brand resonate regardless of income, geography or age."  .... "\

P&G Innovate Cooperation Model

Look at CPG innovation for e-commerce.  Looking for this.

P&G innovate cooperation model in e-commerce livestream
BEIJING and HANGZHOU, China, April 26, 2020 /PRNewswire/ -- Procter & Gamble (P&G) presents exclusive livestream "VVIP2.0" with top e-commerce livestream KOL Viya. The livestream features interaction with P&G executives, guest appearances by celebrity Zhou Shen, and product demonstration by the P&G scientists that shows how new products could be developed, which successfully drive sales. In April 2019, with its diversified brand power, rich products and extraordinary product quality, P&G ... " 

Alibaba AI Chip

As expected, new chips to do learning and delivery of e-commerce and related AI tasks.   Note mention of 5G ... 

Alibaba unveils new AI chip aimed at speeding up e-commerce and cloud computing tasks in scmp.com

The chip’s launch comes amid a national drive by China to integrate emerging technologies such as AI and next generation 5G wireless networks into its economy  .... "

P&G Responds to Changing Customer Preferences

Intriguing directions, especially regarding customization.  How does a big company react to customer preferences,  when it can no longer direct them?

Q&A | How P&G Responds to Changing Customer Preferences   in SupplychainBrain

Phil Ruotolo, associate director of merchandising solutions customization with Procter & Gamble, details the consumer-products giant's strategy for adjusting to ever-shifting consumer preferences.

Q: How is P&G responding to changing customer preferences?

Ruotolo: Several years ago, we embarked on an innovative supply-chain solution. We created what we call mixing centers. It was the first time we had brought a portfolio of different P&G products into one location. The next question was, how do we think about merchandising in a more unique way? So we went to a 14-day order lead time. Previously, there was typically a four- to six-week window, and most of it was on a forecast. What inevitably happens is that you're building inventory of something that a customer might want to order.

In this new model, we differentiate the finished product in our customization locations, and then do all of the forecasting for our materials. Now we're able to react very quickly to what a customer might want, and can fulfill that within 14 days.

Q: So this is execution, not planning?

Ruotolo: Correct. It's taking all your favorite P&G products, and bringing them all together into one facing. As a consumer, you’re drawn to that display. We want to drive trials with consumers as they come across our products. Hopefully, they’ll make multiple purchases.   ..... " 

E-Commerce Direct Delivery by 'Kroger Ship' Launched

Another channel opens by a major player.   Was alerted to this today.      I see its in the local market, will be giving it a try to see how the curation works.  In our market they are offering 15% off and  free shipment for your first order.

Kroger Gets Into Online Grocery Shopping Act in ECommerceTimes   By Richard Adhikari 

Supermarket uber-chain The Kroger Co. on Wednesday launched Kroger Ship, a direct-to-consumer e-commerce platform. Ship debuted in four markets: Cincinnati; Houston; Louisville, Kentucky; and Nashville, Tennessee.

The service will be rolled out to additional markets over the next few months.

During the first phase of Kroger Ship, customers will be able to shop from a curated selection of 4,500 Our Brands products, which are not available elsewhere online, and more than 50,000 center-aisle groceries and household essentials that matter the most, as rated by 84.51°, a Kroger subsidiary.

Kroger Ship will carry staples, customer favorites, and bulk and additional sizes. It will focus on Our Brands, local and international food and flavors, specialty items, and health and wellness products.

"I think it's interesting -- and important -- that Kroger's featuring its private label in the assortment," said Nikki Baird, VP of retail innovation at Aptos.

"That has proven to be a strong strategy for Amazon," she told the E-Commerce Times.

The Ship service offers competitive e-commerce pricing, Kroger said.

Still, pricing is not the real issue, suggested Ray Wang, principal analyst at Constellation Research. The products "have to be good enough to purchase online instead of going to the store."

That's hard to do with produce unless there's uniform quality in the supply chain, he told the E-Commerce Times. "For other goods, they'd better be better than Amazon, which is the gold standard."

Kroger Ship "complements and joins our 2,800 grocery stores, 1,250 curbside pickup locations, and delivery service from 1,200 locations," noted Yael Cosset, Kroger's chief digital officer.

Ship "is our next step in creating a seamless experience that allows our customers to shop when and how they want," he said. "Our new service is just one more way we are redefining the customer experience as part of Restock Kroger, bringing more convenience and options to shoppers across America." ... "

See also in Fortune.  And https://ship.kroger.com/ 

Google Invests in JD.Com

Google invests heavily in Chinese e-commerce giant JD.com  BY James Farrell In SiliconAngle

Google Inc. will invest $550 million in China’s second largest e-commerce firm JD.com, a move that  will give the company a bigger presence in the Asian market and also bolster its position against competitor Amazon.com Inc.  ... "

Ahold Delhaize Focusing Digital Efforts

Have been impressed wth AHold efforts over the years, now with a lab for Digital:

Ahold Delhaize focuses its digital efforts
By Rachel England, @rachel_england   in Progressive Grocer

Ahold Delhaize is launching a new department in the US called Peapod Digital Labs to drive its e-commerce efforts, ramp up digital sales and hone in on its personalization efforts. The company named JJ Fleeman president and chief e-commerce officer of the new arm.  ... "

Retail Omnichannel Commerce

Retailers Are Starting To Reap The Rewards Of Omnichannel Commerce
Webinar replay
By Michelle Beeson in Forrester

Retail digital business executives must challenge the status quo and deliver omnichannel excellence across the customer lifecycle. Changing consumer behaviours, new technology, and an evolving competitive landscape mean that traditional organizational structures, processes, and channel-centric measures are no longer fit for purpose. A truly omnichannel operation that spans the customer life cycle will optimize revenue, deliver capital efficiencies like cost savings, spawn operational efficiencies, and improve the customer experience overall.  ... " 

Procter & Gamble is Genius in Digital Marketing Practices

On Procter's use of digital marketing practices.

Procter & Gamble is a Genius   By Jack Neff. in AdAge

Procter & Gamble Co. was one of the first big marketers to jump into automated digital media buying, developing its own proprietary system eight years ago, well before "programmatic" became an industry buzzword. Now P&G is moving away from programmatic and plowing more money into e-commerce platforms run by the likes of Amazon and Walmart, according to a report from consultancy L2.

The strategy appears to be working, according to L2, which gave P&G its highest, or "genius," rating in the home-care space for its digital marketing practices, followed closely by Clorox Co. .... " 

Will Tech Dominate Retail?

Debate and Discussion ....

BrainTrust throwdown: Is it inevitable that tech companies will dominate retail?   by Rick Moss in Retailwire

From its origins with the Dutch West India Company through numerous evolutions, commerce is the engine that has driven the global prominence of the U.S. economy. Still, the e-commerce revolution that caught on in the late 1990’s is so fundamentally different that the prior 400 years of traditional retail can be viewed as a prelude to the empowered, connected consumer age we exist in. We’re in the midst of a hi-tech revolution with no limits in sight.

We asked two of our BrainTrust panelists, Ken Lonyai and Ryan Mathews, to argue for and against the following premise: 

The new model for retail, as exemplified by Amazon, is built on mastery of data, AI and IT services. Legacy retail companies can’t possibly make a transition to this type of data-first company. Therefore, possibly within the next decade, big retail will be entirely dominated by tech companies. .... " 

Wal-Mart on Voice Technology and AI

Wal-Mart commenting on voice tech an their work with Google on voice ordering.  Also notice the direct mention of AI as changing environment in the near future.  Appears Wal-Mart is involved here.   See also the expert comments in this piece. 

E-commerce chief expects Walmart to ‘crush it’ over next two years   by George Anderson in Retailwire

Bigger is better when it comes to online sales and operations. That was one of the messages delivered by Marc Lore, chief of Walmart’s e-commerce business in the U.S., at The Wall Street Journal’s D.Live technology conference earlier this week.

Mr. Lore said Walmart is reimagining what retail and e-commerce will look like in the years ahead and making investments on a wide scale to own that future.

“E-commerce is a scale game,” Mr. Lore told the Journal. “We’re looking at a lot of different things right now, everything, in every sector.” ....

The retailer has also engaged with Google to enable customers to order products by speaking to their Google Home device or a mobile phone that uses Google Assistant. Walmart’s customers will need to link their accounts with the retailer to Google Express to take advantage of voice ordering.

“People use it [voice activated tech] for weather, use it for transportation, a little bit of shopping,” Mr. Lore told CNET. “And I think many people are writing it off, saying it’s kind of clunky [or] I don’t think I’m going to shop that way.”

Mr. Lore does, however, see advancements in artificial intelligence over the next five to 10 years dramatically changing people’s attitudes about voice tech.  .... " 

More Replenishment

More looks at the retail replenishment angle,  with discussion,  also see Amazon's use of this idea:

Will the ‘SmartStockUp’ program drive replenishment sales for Boxed?   by Matthew Stern

Consumers buy staple products in bulk to avoid running out, but it still invariably happens. E-tailer Boxed, whose business model is often said to resemble an e-commerce take on wholesale clubs like Costco, is trying a new method to remind customers to replenish.

Boxed has piloted a new program called SmartStockUp with about a quarter of its user base and is now expanding it to all its B2C customers, according to TechCrunch. SmartStockUp uses information it has about customer habits, such as purchase data, along with broader restocking trends to anticipate when customers will need to replenish a particular item. Boxed then displays a “Need this Now” or “Need this Soon” recommendation when the customer visits the website. .... " 

Customer Journey Methods in Retail

My correspondent, among others responds:  "In my experience data science and analytics teams need better ways to activate their work."    Gib Bassett, Customer Success Director, Salesforce .  Agree, and one way is using customer journey analysis.  Its back to where the process meets the analysis.

Can customer journey methodology level the playing field for brick and mortar retail?  by Michael Day   In Retailwire.

" ... Segmentation, predictive analytics, evolving real-time customized offers. Sounds like the sole domain of ecommerce pure plays, but brick and mortar retailers are moving toward the deployment of these and other tools to better understand how a customer journey approach to marketing and merchandising can help stave off ecommerce competitors and, maybe, beat them at their own game.

The customer journey approach focuses on the business value of integrating and operationalizing data, and leveraging that knowledge to truly understand how consumers behave during the process of buying products and services. It helps optimize marketing and the customer experience, based on integrated capabilities for connected data, analytics and interactions. And does it by enhancing each customers’ experience over time, across multiple channels and touch points, delivering relevant, timely and context-based communications. This, now more than ever, can and should be an imperative for brick and mortar retailers.  ... " 

Conversational Commerce

Another look at conversational commerce.   Though beyond what we think of as messaging.   Including memory of previous interactions and leveraging what is known about the correspondents. Positioned as a service with value.  Examples at the link:

Why your business should pay attention to Conversational Commerce  in Unified Inbox: 

In an article published by Customer Think (http://bit.ly/2w3vhGy), Amrita Bhattacharyya writes: “Conversational Commerce refers to using natural language within a messenger application (Messenger, WhatsApp, WeChat, and others) or using voice assistants (Siri, Amazon Alexa, and others) to interact with a business for an inquiry, purchase, or customer service.”

Conversational Commerce enables a person to, quite literally, message their refrigerator! For example, you would text your refrigerator “Do we have milk?” Using a combination of Artificial Intelligence (AI) and Natural Language Processing (NLP), your refrigerator would text you back “Yes, but at your current rate of consumption, it will be gone tomorrow. Would you like me to place an order with Peapod?”

This technology is not science fiction from Star Trek, it’s actually available today!

Here are a few more interesting scenarios:   .... " 

Gamifying the E-Commerce Experience

Something we explored, with only a bit of success.    Not specifically endorsing this vendor, Iterable, but the report is interesting.  Requires sign-in.

Game On
What E-Commerce Can Learn From the Top 100 Mobile Games
Gamification is becoming a key strategy for e-commerce companies, from developing loyalty programs to creating an urgency to buy.

Hit all the right psychological triggers of your customers by acting like a gaming company and building a captivating brand.

Iterable Report
Here's what you'll find inside this guide:

Strategies to align your messaging to user behavior
Tips to energize the shopping experience from inbox to checkout
3 tried-and-true steps to keep customers coming back    .... " 

(Updated) Amazon Acquires Souq

In Chain Store Age.  Full article requires registration.

Amazon gains huge foothold in Middle East
Amazon has completed its acquisition of e-commerce company souq.com, a leader in the Middle East's online shopping market. ....   " 

More details in TechCrunch.

Alibaba's Singles Day Shopping Fest

In ClickZ: Upcoming.  Quite an international change. Number of  interesting details in the article.

" .. Alibaba wants to change the world's e-commerce landscape, using its Singles Day on November 11 as a springboard.

Alibaba's Singles Day is revolutionizing the way hundreds of millions of Chinese consumers shop online, and the group's founder is hoping this year's event will do the same in global markets.
The world's largest 24-hour online shop-a-thon kicks off at midnight on November 11. More than 30,000 brands will take part, offering heavy discounts, sales and other promotions. ... "