Raoul Zenon, General Manager for Commerce at Omnicom Media Group MENA explores how brands and retailers can improve their customer experience.
Thanks to bold and visionary moves, the UAE and Saudi Arabia have seamlessly intertwined digital technology into their economic and social fabric, setting a global benchmark for infrastructure and digital ecosystem innovation. The digital readiness is exceptionally high, with the UAE ranking 12th among 64 countries in the IMD World Digital Competitiveness Ranking 2023 report. In the Europe/Middle East ranking, it came sixth. The UAE's e-commerce sector is expected to reach revenues of US$6.7 billion this year and grow at a Compound Annual Growth (CAGR) of 8.7% by 2028.
In image above: Raoul Zenon, General Manager for Commerce at Omnicom Media Group MENA
However, a recent global Salesforce study revealed that 62% of consumers feel their shopping experiences could be more personalized, signaling a clear call to action for businesses to better understand their needs and preferences. This challenge is precisely what retailers and brands need to address, and omnichannel offers a promising solution.
Why Omnichannel is Important for Brands
Imagine a world where hopping from an online store to a physical one feels as smooth as scrolling through your own favorite playlist. Now, that is the magic of omnichannel. It's no longer a question of whether a brand should prioritize its direct-to-consumer, online retail, or brick-and-mortar presence. In countries like the UAE and Saudi Arabia, where people are highly tech-savvy, blending the ambiance of in-store experiences with the convenience of online shopping isn't just trendy, it's pretty-much expected.
Consider Amira, a 28-year-old woman. She discovers a stylish dress on her favorite brand's Instagram and clicks through to their website to explore her options. Later, while at the brand's physical store, she's drawn in by an in-store digital screen showcasing the same dress. She scans a QR code on the screen, which suggests accessories based on her online activity. Choosing home delivery at checkout, Amira receives a confirmation via SMS. A subsequent SMS provides a link to styling tips and a discount, encouraging her to share her look on social media. This cohesive omnichannel journey illustrates how brands utilize customer data to personalize interactions across all touchpoints, significantly enhancing the overall customer experience and engagement.
What’s in Omnichannel for Brands and Retailers?
Brands that crack the code to omnichannel experience a significant annual revenue increase of up to 9.5%. This is a substantial leap compared to the 3.4% uptick observed among those still refining their omnichannel strategy. According to Shopify’s 2024 study, brands implementing a robust omnichannel approach witness a yearly decrease in costs per customer interaction by 7.5%. We can confidently claim that, omnichannel not only enhances customer satisfaction and loyalty but also drives sales, consequently boosting revenue and profitability.
How to integrate omnichannel into your organization?
- Keep in mind that blending all digital and physical touchpoints in the consumer journey into a fully integrated, smooth, and rewarding experience is complex.
- Carefully consider your situation; whether you're engaging directly with consumers, partnering with major retailers, or working with marketing agencies, as it influences your omnichannel approach.
- Start by defining your omnichannel vision, outlining what a seamless omnichannel experience looks like for your consumers.
- Identify the key touchpoints in your customer journey, from discovery to post-purchase.
Partnering with Retailers
Working with retail giants requires a solid partnership. Leveraging their extensive customer data to align your strategies can elevate your brand presence across all channels. Some established retailers in the MENA region offer access to data clean rooms, secure environments where brands can safely integrate their data with retailer data to refine and enhance marketing campaigns.
Teaming up with an agency
Agencies can be more than just suppliers; they are partners equipped with deep consumer insights and expertise in diverse advertising channels. A specialized agency can provide a wealth of omnichannel marketing experience, offering valuable strategic guidance to enhance customer acquisition and retention. Moreover, it can also facilitate access to innovation, the latest marketing technologies, and strategies to stay ahead of the curve. Lastly, it can help streamline your marketing efforts, enabling effective scaling without compromising quality or personalization.
Challenges on the Road to Excellence
The real challenge lies in consolidating scattered data and backend operations across channels to ensure consistency. For your organization, this calls for a shift towards a more collaborative culture, an integrated structure and process that break down silos between departments. To ensure a return on investment, businesses must monitor key indicators.
Personalization is becoming increasingly individualized, with technologies such as AI and AR enhancing online and digital in-store experiences. Social media and mobile shopping are also expected to become even more crucial components of the omnichannel strategy playbook. The objective for brands in Saudi Arabia and the UAE is evident: to drive innovation forward and create more personalized and immersive shopper experiences. The future of retail in the UAE and KSA goes beyond simple adaptation to digital trends; it requires a transformative evolution of the entire retail landscape. Fortunately, the MENA region boasts visionary and forward-thinking leaders. Just explore to find the right one for you.
