Tesi Fernando Borelli Vdef
Total Page:16
File Type:pdf, Size:1020Kb
Department of Management Major in Luxury, Fashion and Chair of Fashion Management Made in Italy BUILDING A SOLID OMNICHANNEL STRATEGY: OMNICEXI FRAMEWORK AND BEST PRACTICES SUPERVISOR: CO-SUPERVISOR: Prof. Carlo Fei Prof. Alberto Festa CANDIDATE: Fernando Borelli Student’s number 698411 ACADEMIC YEAR 2018/2019 A te che mi sostieni incondizionatamente, A te che sei il mio esempio, da sempre, A te che mi hai insegnato l’amore vero, A te che sei sempre con me. “AVT CAESAR AUT NIHIL” 2 Table of Contents Introduction ................................................................................................................... 5 Chapter 1 – Literature Review ........................................................................................ 6 1.1 How to create value with channels ........................................................................... 6 1.1.1 Definition ........................................................................................................................................ 6 1.1.2 Touchpoints and Customer Journey ............................................................................................... 7 1.1.3 Customer Experience Management of Bernd Schmitt ................................................................. 12 1.2 Evolution of the channel strategy ........................................................................... 13 1.2.1 Single-channel Strategy ................................................................................................................ 13 1.2.2 Multichannel Strategy .................................................................................................................. 14 1.2.3 Omnichannel Strategy .................................................................................................................. 19 1.3 Impact of omnichannel marketing in the brand identity model .............................. 28 1.3.1 Brand Identity model .................................................................................................................... 28 1.3.2 Brand Identity model Updated ..................................................................................................... 31 Chapter 2 – Understanding the Customers ................................................................... 34 2.1 Premium and Luxury Landscape ............................................................................. 34 2.1.1 New consumers’ Landscape ......................................................................................................... 36 2.2 SEGMENTATION ..................................................................................................... 43 2.2.1 Omnichannel segmentation ......................................................................................................... 44 2.2.2 Socio-Demographic Segmentation ............................................................................................... 47 2.3 How to deal with omnichannel customers? ............................................................ 54 Chapter 3- Building a Solid omnichannel experience .................................................... 62 3.1 Step-by-Step Omnichannel Marketing .................................................................... 62 3.2 Definition of a Sample ............................................................................................ 63 3.3 Methodology ......................................................................................................... 65 3.3.1 Independent Variables .................................................................................................................. 66 3.3.2 Dependent Variables of the Graphical .......................................................................................... 67 3.4 Three Area Analysis ................................................................................................ 68 3.4.1 CEXI© SCORE ................................................................................................................................ 69 3 3.4.2 OMNICEXI SCORE .......................................................................................................................... 70 3.4.3 Graphical analysis - OMNICEXI SCORE .......................................................................................... 70 3.5 Digital Area ............................................................................................................ 73 3.5.1 Digital Owned Tools ...................................................................................................................... 74 3.5.2 Social Network .............................................................................................................................. 80 3.5.4 Graphical analysis- Digital Score ................................................................................................... 88 3.6 Physical Area ......................................................................................................... 90 3.6.1 Store Experience ........................................................................................................................... 90 3.6.2 Salesforce ...................................................................................................................................... 96 3.6.3 Evidence from an interview to a Gucci’s Assistant Store Manager ............................................ 100 3.6.4 Graphical Analysis - Physical Score ............................................................................................. 101 3.7 Omnichannel Area ............................................................................................... 103 3.7.1 Omnichannel Tools ..................................................................................................................... 103 3.7.2 Consistency in the Omnichannel Experience .............................................................................. 109 3.7.3 Graphical Analysis - OMNICHANNEL Score ................................................................................. 110 3.8 Empirical/statistical Analysis ............................................................................... 112 3.8.1 Research Question ...................................................................................................................... 112 3.8.2 Data and variables of the statistical model ................................................................................ 112 3.8.3 Bravais Pearson coefficient ......................................................................................................... 115 3.8.4 Regression OmniCexi Score - EBITDA Margin ............................................................................. 116 3.8.5 Robustness Check on ROS ........................................................................................................... 118 3.8.6 Takeaways and limitations .......................................................................................................... 118 Conclusions ................................................................................................................ 120 Summary ................................................................................................................... 122 Bibliography .............................................................................................................. 145 4 Introduction The digital revolution has changed how people live their life irreversibly. This affects with enormous impact on shopping experiences. It is starting from the customer who becomes hyper-connected arriving at the store that is digitally enabled. The accommodate these changes in the business environment firms have modified their old-fashion push-based, brand-centric view to another identifying and switching to an economy of connected experiences that are co-owned by the company and the customer. This hyper-integrated brand experience is denoted as Omnichannel Experience. This approach enables consumers to use channels seamlessly and interchangeably and experience the channels uniquely.We will focus our studies in luxury premium fashion market in order to understand how firms are facing these environmental changes. The aim of the paper is to investigate the theme of omnichannel, starting from its roots and following the path that is leading more and more business to integrate their physical experience with the digital one, to then focus attention on the impact of a strategy omnichannel for luxury fashion companies, based on the changed relationship with the customer. Moreover, we will formalize an analysis framework to correctly evaluate the state of the art of the brands with regards to the omnichannel approach. The first chapter is an excursus on the progress of the concept of marketing channel, the impact of this environmental changes on the customer journey, and on the gradual transition from a single-channel strategy, to a multichannel-one with the advent of digital technologies, up to omnichannel approach. In the last paragraph, we will discuss how the Brand Model can be implemented in order to be aligned with present trends. The focus of the second chapter is on understanding the current luxury fashion customer landscape through two different segmentations and then on trying to understand how to deal with the target. Finally, the third chapter is the empirical part of this thesis in order to define the