DMA Study Finds Many Retailers Still Not Mastering Cross-Channel
Although many retail businesses have mastered the art of multichannel direct marketing, quite a few still are apprentices when it comes to
This is one of the key findings of a report by the Direct Marketing
Association titled "Channel Integration and Benchmarks in the Retail Industry." In the report, the DMA looks at the multichannel players in the retail industry, with the goal of helping retailers determine what aids the process of cross-channel integration -- and what hinders it.
The DMA conducted the Internet survey in November 2007, with 101
retailers participating. The report's key findings include:
- The absence of a brick-and-mortar store is becoming prevalent among
retailers. In fact, 41 percent of survey respondents don't have a physical store.
- The Web site is the most consistently used direct marketing channel,
followed by e-mail and direct mail.
- Mobile is the direct marketing channel retailers are least likely to
- Among the survey respondents, 66 percent gather customer information
from direct mail, and 65 percent gather it from the Internet.
- About 83 percent of respondents segment their customers based on demographics, 77 percent do so based on purchasing frequency, and 76 percent on products purchased.
- Only 33 percent of respondents provide cross-channel order fulfillment.
- Discounts remain the most popular loyalty program, with 80 percent of
respondents using them.
- Brick-and-mortar stores (20 percent) and Web sites (22 percent) produced the highest level of revenue in 2007.