Latest / The Retail Podcast / Intent-Driven Commerce: Solving Retail’s Biggest Frustration
Transcript
- 0:00It's got to be relevant. Relevant to you individually
- 0:03specifically right now, or relevant generally enough so you
- 0:05can work with this and explore it in a way that's meaningful of
- 0:09patches how you want to shop now.
- 0:11Can I make that better if I have a bit more personalised
- 0:14information? Sometimes no, sometimes yes.
- 0:28Hello and welcome to the Retail Podcast.
- 0:31Now I remember giving a talk on this subject.
- 0:33We were expressing our frustrations in the e-commerce
- 0:37world between how difficult can it be to get this right?
- 0:42And when I came across who we're going to meet in a minute.
- 0:45Found it I thought would be super interesting to at least
- 0:48let's let's listen to someone who is solving this problem and
- 0:52look at, you know, have we got it wrong?
- 0:54Is there things that we should be doing that we're not doing?
- 0:57And Warren, before we get into what the problem is, obviously
- 1:01your CEO found maybe the the the giveaway is in the title.
- 1:06I don't. Say founder sometimes because
- 1:09you founder founder, you know it's too much alliteration for
- 1:13people to handle sometimes. Yeah, luckily I I should be able
- 1:16to go over. So CEO and founder of found it.
- 1:19So what? Why don't you tell us how you
- 1:21got to found it before we dive into what the problem is and how
- 1:24you guys solve it? Yeah, because what do you know?
- 1:26It was funny. You said how difficult things
- 1:28are. Why are they still so difficult?
- 1:30There's problems that I've been seeing for 15 years that
- 1:34everyone's been expecting to just disappear and see them
- 1:37every day. Yeah.
- 1:39If I, if I just sort of give you maybe a potted history, I, I
- 1:43spent 20 years running an agency, a digital marketing
- 1:45agency. Halfway through that journey, we
- 1:47decided I think sites would be a lot better if we built them the
- 1:50way we tended to use them rather than just standing them up
- 1:54out-of-the-box. So we ended up becoming systems
- 1:56integrated and started building e-commerce sites on hybrids and
- 1:59Salesforce demand as it was back then and different platforms.
- 2:02So we started to get much more into into depth with trading
- 2:06operations and what it was like to actually run, manage and
- 2:09actually sell online, you know, and, and help the business
- 2:12actually trade. And then into sort of the
- 2:14background of that, we were developing a lot of technology
- 2:17to try and automate things, you know, try to understand what it
- 2:20was customers were looking for, you know, how that might feel
- 2:23into inside analytics. We were working with, actually
- 2:25working with a company called Maplin.
- 2:28I'm sure some of your some of your viewers will remember them
- 2:31fondly. Absolutely.
- 2:32Yeah. This is the earlier generation.
- 2:34Maplin disappeared from High Street and resurfaced under a
- 2:36new prat. So this is pretty that sort of,
- 2:38you know, same thing that might relate to the current team and
- 2:41its business. But let's see, see you at the
- 2:44time. He, he, he was very close to
- 2:46customers and he would get their emails.
- 2:49He would read customer emails, customers e-mail him directly to
- 2:52how they got his e-mail. But but people would have always
- 2:54listened to that and he'd read the exit survey data and the
- 2:57thing you would always hear the most other than it's too
- 3:00expensive or stop asking me feedback information was always,
- 3:03I can't find what I'm looking for on the site.
- 3:06And that seems to be like the biggest frustration point.
- 3:08And that's kind of was a also like an epiphany.
- 3:10I spent a lot of time trying to help people get their websites
- 3:13found on Google. So when people were searching on
- 3:15Google, they could or whatever it was they were using would
- 3:18find the website. And this is a problem on the
- 3:21site as well. And it was kind of a sort of a
- 3:23milestone, if you like it, growing of awareness that it is
- 3:26hard, it is kind of clunky. And and we've been doing this
- 3:30for ages. You think you think e-commerce
- 3:31would have moved on since the interface of e-commerce?
- 3:35It's kind of been the same way since about 2006.
- 3:38And you know, we've got the search bar, the grid, it's the
- 3:40fastest. It's kind of that, that
- 3:42structure, you know, it's a good structure, everyone understands
- 3:44it, it's logical, but it's quite difficult to to navigate and
- 3:48search and browse. And as customers get, as retails
- 3:52get bigger and bigger admin products, it, the site's just
- 3:55become harder to navigate, harder to perhaps it becomes
- 3:58harder to find what you want. Think somewhere you said that
- 4:02shopping has become boring and uninspiring.
- 4:06In your experience, what do you think the one reason for that
- 4:10is? And what's the trap that
- 4:12retailers fall into, maybe? I'll frame it in, in some
- 4:16feedback I actually got from an e-commerce director.
- 4:18And, and this was their ironically, this was their
- 4:20experience of them shopping on their website.
- 4:22And, and she said, I spent an hour on the site, came away
- 4:26empty handed, only wanted a pot paint.
- 4:27And that's if she was talking about her own website.
- 4:29And you think, wow, yeah. And there is this common theme
- 4:31thread where I think we all know it's hard.
- 4:34We all know it's difficult. We all know it's and people seem
- 4:36just powerless to do anything about it.
- 4:38And I think if you look at what what's happened in terms of the
- 4:42evolution of the customer and the evolution of, of, of, of
- 4:45e-commerce, they've moved at very different paces and speeds
- 4:48in, in different ways. So if you look at the customer
- 4:50nowadays, customers want everything to work like Netflix,
- 4:54right? You know, I sit down, my telly
- 4:55can sort of understand what I want, work out how to, you know,
- 4:59give me the things that I want. Facebook, Amazon, these, these
- 5:02everyday platforms have almost dictated the way the, you know,
- 5:06today shoppers expect to, to, to have their experience today.
- 5:10So they've become the time, the time pool.
- 5:12They're impatient. They're more likely to be on
- 5:14Insta or Google looking for a product and then discover a
- 5:16retailer than they are to be on a retailer and then discover a
- 5:19product. So all these changes are
- 5:21happening. If you look at retail websites
- 5:24and what have we been doing in e-commerce for the last 10-15
- 5:28years and it's really what we've been, what we've been doing is
- 5:32focusing on acquisition and traffic supremacy and increasing
- 5:37range size, you know, range expansion, let's go marketplace,
- 5:40let's have more products, let's add new categories, let's make
- 5:43it bigger and bigger and bigger under the hood.
- 5:45But fundamentally, that experience isn't really
- 5:48changing. And so you have customers now
- 5:51coming into into into retail websites.
- 5:53They've landed on Google, they land on the product page and
- 5:56they're going kind of interesting.
- 5:57And it's like, I kind of want something like that, but I don't
- 6:01think I want to try and work out decode your site at the moment,
- 6:04work out how it works. I'll go back to Google and it's
- 6:06easier to do that. So the the path of this
- 6:09resistance for customers being able to find and discover on
- 6:12platforms that aren't retailers is is actually far exceeded.
- 6:16They're going to do it on retail websites.
- 6:18So when they're on sites, it's it's kind of transactional.
- 6:22You know, there's the mega, there's your category.
- 6:25We've got 2000 sandals. Do you want black ones?
- 6:28Do you want gold ones? Do you want strap your own?
- 6:32I'm going on holiday and I want something nice to step out.
- 6:35Can you help me? And, and that that's not really
- 6:38how websites work or unless the, you know, you have merchandisers
- 6:42and they kind of perceive these things and they create edits,
- 6:45but that that band, it's always really, really limited.
- 6:48So consequently, sites just feel a bit sort of transactional,
- 6:53bland, functional and overwhelming.
- 6:55You know, 1000, a thousand, 1000 pairs of sandals.
- 6:59Or sometimes you go onto a website and you're just trying
- 7:01to buy a headphone stand or a mic and there's 300 of them.
- 7:05There's mic over here. I can't deal with 300 mics to
- 7:11choose breakdown and I'm not an expert shop, but maybe in this
- 7:15particular category, you've got to help me as well as you want
- 7:18to do this. I'm like, I, I don't know, it's
- 7:20not an excite, it's not an enjoyable experience.
- 7:22So you have these customers that are coming into websites and
- 7:24this is like, I it's easier to go somewhere else.
- 7:29And, and that's where, and that's where we are now with
- 7:30e-commerce and, and, and what retailers are saying is that,
- 7:33you know, they've grown their range, but all they've done
- 7:37really is just create an overwhelming experience that the
- 7:41customers are increasingly bewildered by.
- 7:43And it's harder for them to, to navigate.
- 7:45Doesn't really differentiate because if you're on selling the
- 7:47same stuff everyone's doing next day delivery or whatever, and
- 7:52the customers, the customer doesn't really have the, the
- 7:56patience to wade through, you know, endless aisles.
- 7:59Yeah, I'll call it endless aisle being battered around a lot in,
- 8:02in East guys, endless aisle. It can go on forever and you
- 8:04know, it's great. You know, it's a really good
- 8:06thing. It's endless aisle.
- 8:07Customers can spend ages browsing product, but that's
- 8:10really, really bad because it's an endless aisle and customers
- 8:13can spend ages browsing product. You know, the, the, the weakness
- 8:16is in is, is in the strength, ironically.
- 8:19So customers are saying that, OK, maybe they're selling more.
- 8:22Retailers are saying now they're selling more, but they're
- 8:24actually converting fewer and fewer customers because
- 8:27customers are less willing to muddle through, less willing to
- 8:31deep dive and try to work out and decipher the search.
- 8:34What do I type into the search engine to make it work?
- 8:37Where did you put that, Phil? What do you call it?
- 8:39What should I call it? How should I try and find these
- 8:42things? And it's just not my experience.
- 8:45And that's what customers are feeding back.
- 8:47And that's why this conversion is falling off.
- 8:50Yeah, I can imagine that so many businesses have invested so much
- 8:54in building categories and more products.
- 8:58But what that leads to is having thousands of dark aisles within
- 9:02your e-commerce site with invisible products that
- 9:07basically get buried in search, right.
- 9:10And I can imagine that never get seen say again.
- 9:12Never get seen. Yeah.
- 9:13Never get seen, which has an impact in the middle of Dark
- 9:17Isles, Yeah. How so?
- 9:20Do you have any examples where retailers have sort of converted
- 9:23that into an opportunity? Yes, the challenge with Dark
- 9:26Isles is is that they're dark because there's typically too
- 9:30much to consume. Yeah, so I guess this sort of
- 9:32falls off page one of search. Right, yes, yeah, exactly.
- 9:37I mean, I'll give you an example.
- 9:38Working with the retailer at the moment, they sell 14,000
- 9:40Wallpapers, right? On the one hand, that's
- 9:43brilliant, that's a huge range of Wallpapers.
- 9:45But also that's a huge range of Wallpapers.
- 9:47Where, where do you start? You know, you've got to, you
- 9:49can't, you can't consume that amount of information, you know,
- 9:53and you certainly don't want to be browsing, you know, endlessly
- 9:56through things you've got to be able to get down.
- 9:59And I think this is really where, you know, focusing on
- 10:02customer intent, which is really what found it's about, you know,
- 10:05it comes to comes to the fore because you don't need to let
- 10:09your customer muddle through and work out how they're going to
- 10:13find what they want because you can understand those needs of
- 10:17customers. You can bring that to the front
- 10:19and then go, well, let me create the exploration or experience
- 10:23that I think you want to help you navigate and browse, explore
- 10:29this category. You know, get, as you know, one
- 10:32of our customers would say, get down to the right, find the
- 10:34right product in the noise of 10,000.
- 10:36You know, that's really, that's really the job.
- 10:39That really, that really is the job.
- 10:42How do you find that one thing when you literally you're
- 10:45standing at the you're at the tip of the iceberg and, and it's
- 10:48under there somewhere, but you, what are you going to do?
- 10:50You're going to hunt for the right philtre, paginate through
- 10:53to page 11 and you still won't have even scratched the surface.
- 10:56You'll go to search. You won't quite know what words
- 10:58to put. You'll type something like
- 11:01cottage core. You think that kind of feels
- 11:03like the trend that I think I'm after.
- 11:05I got no results. What do I, what do I type now?
- 11:08What do I need to call it? And this is cognitive energy,
- 11:12right? And this is what is exhausting
- 11:14the customer and they go, screw it.
- 11:16I'll go to Pinterest and we'll look at room designs or I'll go
- 11:19to Google and I'll type it something and Google will
- 11:22explore it for me. So that, you know, when you
- 11:24think about dark Isles, the people that are turning those
- 11:27into an opportunity are the people that are working out.
- 11:30How do I get a customer from the top of the tree where it's
- 11:35overwhelming and unconsumable, down to a really well honed,
- 11:39curated collection of products that engaged and interest them
- 11:43without them having to make? Yeah, In physical retail, that's
- 11:48one of the major successes behind ALDI and Little, that
- 11:52they take decision fatigue out of the equation.
- 11:55Where you go to any of the other major supermarkets, you know,
- 11:59you're just struck with 15 variants of tomato ketchup and
- 12:02you only want tomato ketchup, so you only need two or three
- 12:06things. So decision fatigue is a real
- 12:08thing. And retailers like ALDI and
- 12:11Little use it to global expansion and winning.
- 12:14So it's definitely something that that wins.
- 12:16And I think there'll be a generation of people who go what
- 12:19used to have catalogues. And so, you know, in the early
- 12:22days, I remember, you know, anyone Argos.
- 12:25Catalogue, the Argos catalogue. So you know what?
- 12:28My, my, my, I'd always love going because we have the Argos
- 12:31catalogue at home. You know, it's just be it would
- 12:33be like a book, yes, like a it was a magazine, really.
- 12:35I think that was the. Service a book.
- 12:39It was a it was a great magazine and I used to love going over to
- 12:43my auntie in Romford because my auntie, they had a Argos
- 12:47Superstore out there way. And so she had the Argos
- 12:51Superstore catalogue, which was like Argos catalogue on
- 12:54steroids. And that was like, I'm just
- 12:56going to find the couch and and just go and digest.
- 12:59We're going to be. Really nerdy, I used to love
- 13:01looking at the hifi equipment. I was just when I was young.
- 13:06Looking at the tape recorders. Yeah, yeah, oh, the boom box has
- 13:10got 2 graphic equaliser. I'm alienating my audience.
- 13:13It was just but. For me, for me, I used to fish
- 13:17so I would always remember looking straight to find the
- 13:20fishing tackle, which was sort of the golf clubs and just
- 13:23before some other sports equipment.
- 13:25I said yeah, that was my memory of I've got that section at the
- 13:28Argos catalogue memorised. I mean, going going back to this
- 13:30talk that I gave so one one of the things that I did on Amazon,
- 13:34I looked for a Canon camera and then I put to this talk the
- 13:39backdrop. I don't know if you've ever seen
- 13:40Interstellar, the movie where they where they land on the
- 13:44planet and it's a beautiful piece of music that actually
- 13:48sort of encompasses the planet's problem, which I'm probably I'll
- 13:53get the maths wrong, but something like every 7 seconds
- 13:57on that planet was equivalent to one day on planet Earth or
- 14:01something like that, right. So this planet was, you know,
- 14:04you spend 7 minutes and maybe 7 minutes equate to 1.
- 14:08And what I was telling the e-commerce leaders at that .6
- 14:11years ago is people's attention spans is like this.
- 14:15The more they are fatigued on your website, the more time that
- 14:19they feel. So 7 minutes for them on your
- 14:21website is 14 minutes of their real time.
- 14:24And you need to sort of think about it in that way.
- 14:27And unfortunately if it's. 7 minutes of being engrossed in Oh
- 14:31yeah oh this is it. I can spend all day, but that's.
- 14:33Inspiration, right? Yeah.
- 14:35Or. Is it 7 minutes of no, that
- 14:37didn't work? Yeah.
- 14:38Oh my God, one more. No wrong philtre.
- 14:40Where do I find that? The Philtre.
- 14:42Is let you philtre, philtre, Philtre and you know, you've
- 14:45still got these massive retailers with that catalogue
- 14:48mentality. They've just taken this wedge of
- 14:52product and put it online. That's it.
- 14:54That's all they've done. So how do you get customers?
- 14:58And I know AI is going to change this because they're going to be
- 15:01so petrified at being left out, right?
- 15:05And just being, you know, well anyway, how do you get retailers
- 15:09to embrace customer intent LED e-commerce?
- 15:14Well, that's I think they're gradually realising it.
- 15:17I think for a long time, you know, the way that you would
- 15:19deal with the fact that you've got this diminishing return of
- 15:22attention and it's impacting your bottom line was if you'd
- 15:25sweat the funnel like that was always how how how it would work
- 15:29more, buy more traffic, do more promos.
- 15:32Maybe we'd discount if we're really off forecast or something
- 15:35like that. But you're getting to the point
- 15:36now where there's no more traffic to buy.
- 15:38Can't buy another profitable click if I wanted to.
- 15:40And well, I think we're a bit promo now, now, but if we
- 15:43discount anymore, we're giving the stuff away.
- 15:45So it's like, what else is there?
- 15:46And so retailers are now coming round to the idea of we need to
- 15:50fix the experience. The experience is going to be
- 15:53our differentiator. And so they're looking for ways
- 15:57that how, how do we make the experience easier for the
- 16:00customer? How do we get more customers to
- 16:02the right products sooner in the journey with less effort and
- 16:06fewer clicks. That's more and more of the
- 16:08customers are coming round to that, yeah.
- 16:10But where I think a lot of them may be still struggling is that
- 16:13their businesses aren't organised around customers.
- 16:17They're organised around catalogues.
- 16:19Everything's organised around catalogues.
- 16:21Like you were just saying, you stand up.
- 16:23The catalogue templates generate the thing out-of-the-box.
- 16:26The product database feeds the information.
- 16:28It's cookie cuts templated. This person manages that
- 16:31category. This person manages that part of
- 16:33the catalogue. This person manages this part of
- 16:35the tech stack that goes into catalogue.
- 16:37And I think the, what we're seeing and this is what the
- 16:42retailers that are really winning out and driving forward
- 16:46in this kind of domain, they're realising it's got to be about
- 16:50the customer. And you've got to try and adjust
- 16:54or steal thread that idea of what the customer's trying to
- 16:57do, that mission, what they're trying to achieve and try and
- 17:00steal thread that through all the different processes,
- 17:03operations, tech stacks, teams, templates to try and look it up.
- 17:08You know, it's got to be about the, about the customer.
- 17:12And so some people are still stuck in that.
- 17:13You know, I've got a team that manages PLP, someone manages
- 17:18database, someone's on PDP, he says she drives trafficking,
- 17:22they merge that, they organise this.
- 17:24And no one's sitting there going, what does a customer come
- 17:28in and want to do? What are they trying to achieve?
- 17:30And actually that mission there. So that's going to take them all
- 17:33across all these different type of points in lots of different
- 17:36directions. And so we actually need to be
- 17:38threading all that together around what a customer wants,
- 17:41not what we want to push, promote, organise.
- 17:44And that's the, that's the, that's the shift in the
- 17:46mentality. The people that are winning are
- 17:48doing that, doing that very well and are quite far ahead.
- 17:51So, so where, where, where do you see intent LED e-commerce
- 17:55over the next five years? Because obviously we've got to
- 17:58mention AI and, you know, AI is going to take a part in this.
- 18:03AI is going to play a part. I mean, on the one hand, I mean,
- 18:05you saw Google, Google launched their AI mode when they went all
- 18:08in on their AI mode a couple of months ago.
- 18:11And you know, they kind of forecast a world, you know, you
- 18:16take it to its extreme. It was like this idea of shops
- 18:20that's going, you're going to you're going to work with AI
- 18:23agents and they're going to put it in the basket.
- 18:25It's almost going to be like, I have take it to some dystopian
- 18:29extreme. It's going to end up like dark
- 18:31kitchens. You know, it's just going to be
- 18:33Uber driver, Uber reach driver showing up to pick up the
- 18:36delivery orders at the checkout. Just just bring them back and
- 18:39this whole merchandised categorised browsing experience,
- 18:44that's all gone. Yeah, I don't, I don't think
- 18:46that's going to happen. I think AI will help, a lot of
- 18:49it. AI will help educate customers
- 18:52so they don't have to get frustrated trying to work out
- 18:55how to use retail sites. But I think the sites that are
- 18:58going to win out are going to be the ones that bring AI in to
- 19:02help automate, orchestrate and enrich all of this information
- 19:07in in their business. Every I mean, we went to shop
- 19:09talk, everyone's talking about AI, the number of people that
- 19:12just slapped AI in front of things or just going we need to
- 19:14use more AI. And I think a lot of the time,
- 19:17yeah, take AI, call it machine that it was that before, you
- 19:21know, go back a few years, it was big data.
- 19:23Go back a few years, it was analytic it what it's always
- 19:26something that's going to come in and and change everything.
- 19:30The thing that was always missing a digital
- 19:31transformation, that's what was, it was always what are you
- 19:35trying to do? What's the operation, what's the
- 19:37process, what's the goal that we're trying to achieve?
- 19:40How do you bring AI in to do that?
- 19:42And I don't think a lot of the retailers that we've looked at
- 19:47know exactly what that process is that they are trying to
- 19:52augment with AI. Yeah, you've got to try and work
- 19:55out what what your, what's the perfect experience?
- 19:58You've got to work, you've almost got to work it backwards.
- 20:00What's the ideal experience we're trying to put to the
- 20:02customer? Have we got the assets and the
- 20:04infrastructure, the operations to deliver it?
- 20:06Can AI, can AI help us put any of those in place?
- 20:11And a lot of people haven't worked that back to what they
- 20:14want AI to do for them or for their customers.
- 20:17And that's. Really where you know, intent
- 20:20again comes into the 4th because and where AI has helped us is
- 20:23because AI helps you distil and orchestrate things at scale a
- 20:29lot better than you could do before.
- 20:33If you're a retailer with a manual merchandising team, you
- 20:36do swivel chain typing this over here, typing this into that
- 20:39system, moving data, enriching it.
- 20:42Yeah, they say details, detail. And at this, it absolutely still
- 20:47is. So you've got to do dozens of
- 20:52things across a million points to to make it work for all the
- 20:56customers. And it's that AI angle that
- 20:58really helps a good operation done intelligently done for the
- 21:02customer scale. Yeah, I we, we've not got into
- 21:05training data and, and how much of your data do you want, you
- 21:08know, somebody else to have? Because companies like
- 21:12Perplexity are definitely, I think trying to circumvent
- 21:14retailers and just provide, you know, they'll be happy with the
- 21:17product catalogue and let people do sort of search based
- 21:22discovery as opposed to product based discovery.
- 21:25But that which leads you into personalisation.
- 21:28And you know, personalisation is often cited as sort of being the
- 21:32key and the future of e-commerce.
- 21:36I'm just wondering how which what sort of leads to the
- 21:39customer loyalty. I'm just wondering what's found
- 21:41its approach to personalisation to to improve the customer
- 21:46loyalty. So I I've got a slightly
- 21:48heretical view on personalisation which which
- 21:52which I'll share, but I think I don't.
- 21:54I don't like to dive into personalisation as much and I
- 21:58use one of my customers references for the exhaust about
- 22:01what are you doing to personalise the scientists?
- 22:03I don't look at it as personalization, I look at it as
- 22:05relevance. So I'm parroting it slightly.
- 22:08It's got to be relevant, relevant to you individually
- 22:13specifically right now, all relevant generally enough so you
- 22:16can you can work with this and explore it in a way that's
- 22:19meaningful and matches how you want to shop.
- 22:21Now. Can I make that better if I have
- 22:23a bit more personalised information?
- 22:26Sometimes no, sometimes yes. And so personalization kind of
- 22:30is one of these things that sort of sits underneath this for me,
- 22:34this ambition of trying to create a relevant experience
- 22:37customer. And, and this is where I guess
- 22:39my heretical view comes in is that I don't think you need
- 22:42personalised information to understand the customer intent
- 22:47that's moving through a particular category.
- 22:50You don't need to get a lot of the time because personalization
- 22:53works incredibly well when you've got repeat, committed,
- 22:58engaged customers that I had bought, bought from you before.
- 23:02They're back for their third, fourth visit.
- 23:04Now they're looking at this, They spent 15 minutes on site.
- 23:08You've got a wealth of data. The problem is that actually
- 23:12that's less than 5% of, of all the people that are on your
- 23:16site. You know, 80% of people showing
- 23:18up on your site, you've seen for the first time from any given
- 23:21day they've been on your page for they've been on your site
- 23:23for 30 seconds. It looks at 3 pages.
- 23:25What do you know, right? You've got this, you have this
- 23:28cold start with, you know, 2% of the customers buy it, but 98%
- 23:31don't. And you've got no good
- 23:34information to go on on, on any of them.
- 23:37And so the necessity for for retails is to be able to deliver
- 23:41this almost prescient. We thought we knew what you we
- 23:44knew you were coming. And this is kind of, we
- 23:46understood what you wanted and we laid the place out for you
- 23:49kind of experience without having personalised information.
- 23:53That's really what we want retailers to to be able to do.
- 23:57Now, if you get useful information that says, well,
- 24:00they've looked at these 10 things that now if you've got
- 24:02some additional information, then you can start to create a
- 24:04more colourful experience on top of that once you've got it.
- 24:07But the real challenge you've got is the 98% of people that
- 24:11are not providing a good website that you know you can't create a
- 24:15perfect predictive experience for.
- 24:17And you need to show them that you understand what it is that
- 24:21they're looking for, how they want to shop, and you've
- 24:24structured the website for that particular purpose, almost like
- 24:28a magician. So is that the card you're
- 24:29thinking of? What was that?
- 24:31They're over here. And when you do that, the user
- 24:33feels empowered and you don't have to help the person.
- 24:37You don't have to predict the perfect product that they want.
- 24:40You just have to help them find the right product, get there and
- 24:44let them make their own choice. And when you do that, they've
- 24:47become much more loyal, much more empowered to engage
- 24:49customer. So I guess, you know, when you
- 24:51think about intent versus personalisation, they're not,
- 24:54it's not an if or at all. They're just serving different
- 24:57ends of, of, of the spectrum of trying to create a more relevant
- 25:01experience. So for example, you know, we'll
- 25:04do a lot of product enrichment, for example, and we'll look at a
- 25:07dress, for example, and you know, they called it a long
- 25:10dress, OK, but it's also full length.
- 25:12But that's not going to tell you that in the data.
- 25:14And no customer data is going to tell you that.
- 25:17Some people call that full length, some people call that
- 25:20floor length, some people call that a long dress.
- 25:24You don't pick up the aggregate or the accumulation of the rich
- 25:32customer intent, the way customers relate to products,
- 25:34what they call things, until you actually step back and aggregate
- 25:39all information from from all users about what what something
- 25:43is, how it might be used, what they're trying to do, what
- 25:46probably solves for them. You don't get that from personal
- 25:49data. You get that from looking at
- 25:53sorts the wisdom of the crowd, almost looking at how, how does
- 25:55everyone come through here? Call, call it something, go
- 25:59somewhere else. It's those sorts of patterns
- 26:01that really start to tell you what it is that people are
- 26:04trying. To do what would you, what would
- 26:06you think is one of the first outcomes your customers get when
- 26:10they sort of start working with you?
- 26:12What's the one thing that you see them, obviously you expect
- 26:17better? What's an outcome?
- 26:21What would an outcome be for them?
- 26:23I suppose if I look at the impact, I think is that where
- 26:27you're leading into the impact? I'm just curious over the years,
- 26:31when you've been working with your key customers, you know,
- 26:34you go back and say, how you and obviously thank you for your
- 26:36business, thanks for taking it. How are you finding it?
- 26:39And then they'll say, oh, you know what this curious what
- 26:43that, what that, this is, right? What if you were going to sort
- 26:45of peel back the layers? What, what is that outcome that,
- 26:49that they're getting? And it could be as simple as it
- 26:52was chaos. And now we we've got a a bit of
- 26:55a handle on something that we had no handle on.
- 26:59Yeah. So typically, you know,
- 27:00customers are tracking a lot of stuff.
- 27:02So, you know, they'll, they'll, they see it in the metrics they
- 27:05go, you know, people are adding product to basket a lot more
- 27:08often now actually. OK.
- 27:10It's taking a lot less time to do this.
- 27:12So we were working with a large US retailer, true Retail and
- 27:16even markers and they actually were doing this sort of visual
- 27:20navigation at the top of their pages, which is one of the the
- 27:23products that that found it incorporated to our customer
- 27:27sites. But they were building it all
- 27:28manually. So they would have their
- 27:30merchandising team, they look at data, they sit down, they crunch
- 27:33Excel and they speak to the design team.
- 27:35They get some images that creates an array of options they
- 27:38can put into a content management system.
- 27:40So they get this nice kind of hero visual navigational thing
- 27:44at the top that should, you know, help the customers
- 27:46navigate to what it is, what's popular more easily on what's
- 27:50trending. And but it was it was it was
- 27:53killing them. It was taking away all of the
- 27:55time that they had for anything strategic, anything customer
- 27:58focused. And they were almost like 40% of
- 28:01their week was going on on keeping up this manual
- 28:04navigation and it was only on their top 400 pages.
- 28:07So they were really excited about the prospects of can
- 28:10something just do this? You know, if you boil it down,
- 28:14all I'm talking about really is good merchandising, listening to
- 28:17the customer, pre empting the customer, getting ahead of them,
- 28:19doing the right thing for them, making it easy, laying it out
- 28:22the way they expect. But this is all happening in
- 28:24organisations. So one of the biggest impacts
- 28:26that they saw, it's just it just I can sleeve this, go back and
- 28:32do something and this works. This will be taken care of when
- 28:35a new range comes in or a new trend goes off or, or something.
- 28:38This is very important or we've got a it will just keep getting
- 28:41yeah. And that that that is a it's
- 28:45like, wow, we've just got we've just got a week back, guys.
- 28:47And that's that's like, you know, that that's that gets felt
- 28:51internally very, very quickly. Beyond that, it's metric based.
- 28:54So actually there's a lot more customers now adding to car.
- 28:57You know, before we had a really low add to car rate and we saw a
- 29:02lot of struggle. There was a high bounce rate.
- 29:04People left the category after a certain amount of time.
- 29:06There's an exit rate that we could tell, although seem to be
- 29:09going in different directions. More people running to basket.
- 29:12We're seeing the bounce rate come down.
- 29:13We're seeing time spent in the category go up.
- 29:16We're seeing more of that number of items viewed, people seeing
- 29:19more things, more products actually getting seen.
- 29:24Coming back to the Dark Isle point that you were talking
- 29:26about before, one of the metrics one of our customers was
- 29:28tracking was how much more of our product category is being
- 29:32seen and exposed than than it was before.
- 29:36Actually, suddenly we had, we grew our range and it was no one
- 29:40was seeing it, but now they're seeing it.
- 29:41And so actually they're getting some security from diversifying
- 29:46their audience across more of their range, selling more
- 29:49things. And that means that when it
- 29:51comes to, you know, as they advance their trading period,
- 29:55they're not suddenly finding that loads of stuff didn't sell
- 29:57and they've still got loads of of, of stock from things that
- 30:01because they never got seen, right.
- 30:03So, so there's some of the discounting pressure is coming
- 30:06off of them as well. So you can tell that the
- 30:08customers are getting a better experience.
- 30:11You can tell that the, the merchandising team is, is
- 30:14finding that, you know, they've got more time on their hands
- 30:16and, and more ability to do other things.
- 30:18Or if their job is automated and, and some of that worry or
- 30:21pressure that they might have felt a discount is kind of
- 30:24diminished a little bit because more things are getting sold in
- 30:27more facets of the category. So there's, there's benefits
- 30:29all, all, all across the spectrum really from doing this.
- 30:33But what sometimes it's interesting is where you hear
- 30:35different applications of of what of what you didn't intend
- 30:39to have. So for, for example, we would
- 30:42create these visual navigations across PLP categories that you
- 30:46go into locks, for example. This is a DIY company, sort of a
- 30:50homewares company. And they've had their locks page
- 30:53and you know, we broke them. They, they had the way they
- 30:55broke down locks, but we had the way that customers broke down
- 30:58locks and we turned that into quite a mundane category.
- 31:02But, but you know, if you, if you need to buy a lock and
- 31:04you're not quite sure, you need to have it broken down in the
- 31:07way that you want to try and explore the category.
- 31:09And so we've created all these navigational arrays and we've
- 31:12optimised product data. We enriched everything.
- 31:14Of course, the customers were getting better.
- 31:15But then what they said was that their call centre execs, the new
- 31:19call centre execs, when customers called in and they
- 31:22wanted guidance or explanation through a particular category,
- 31:25the call centre execs were using the intent based navigation that
- 31:30was being essentially fed by customer demands and trends.
- 31:35And they were able to sound like product experts all of a sudden,
- 31:39even though, you know, they didn't understand, you know,
- 31:42I've become, I've been doing this for years.
- 31:43I've become such a product expert in so many categories
- 31:46that I would know what I can tell you about embellished
- 31:48sandals, you know, or, or, or locks or, or perfuse of
- 31:52fragrances just by understanding how customers try to relate to
- 31:56this stuff. So, so they're, they're call
- 31:58centre execs for getting savvier quicker, helping customers off
- 32:01the phone better because they were using the prompts from the
- 32:05navigation to basically talk to the customer about do you want
- 32:08something like this? Do you want something like that?
- 32:10This breaks down like this. Do you want a silver one?
- 32:12Do you want a 11? And it was almost guiding
- 32:16customer service people as well. So we see the benefits across
- 32:19the whole org and sometimes in some really novel areas too.
- 32:24That's fantastic. Look, Warren, it's been an
- 32:25absolute pleasure. Time has flown by.
- 32:29So thank you so much for giving up some time to be with us today
- 32:32and I look forward to you. You were at shop Talk, you said,
- 32:35right? We were at Shop Talk.
- 32:37Are you talking about AI? Yeah, are.
- 32:40You doing any other conferences for the rest of the year?
- 32:43So we're hoping to make an appearance at Shop Talk in
- 32:45Chicago for the Ottoman and yeah, full.
- 32:48And I'm going to try. Don't need many introduces to go
- 32:51to Paris. Yeah.
- 32:52So we might want to go to NRFT. So yeah.
- 32:55All right. Well, that's going to be a tough
- 32:56one, I think, because they're both at the same time, right?
- 32:59One day apart. We're definitely going to be tag
- 33:02teaming, I think you know. Yeah, 16th to the 18th in in
- 33:06Paris and shop talk, 17th to the 19th in Chicago.
- 33:11Well, well, I may see you at one of them.
- 33:14We'll circle back and share. Perfect.
- 33:16Thanks a lot, Warren. Thanks, Alex.
- 33:18Take care. Bye.
- 33:18Bye.