RetailTechNews rounds up some of the biggest stories in the European retail technology space. In this week’s edition: Omnichannel Recommendation Tool by Monetate; 50% of British Population Shops for Groceries Online; and Slow Uptake of Shopping via Smart Speaker.

Omnichannel Recommendation Tool by Monetate

Product recommendation has become a must-have for retailers, yet most often fail when it comes to personalising recommendations for customers. Personalisation experts Monetate are launching a new omnichannel product recommendation tool, promising individualised customer suggestions on the basis of real-time customer data.

However, current product recommendation tools have not kept up with the level of personalisation customers have come to expect. Tools that support limited data feed that lack of structure and are uploaded in batch processes, or rely on a limited set of algorithms that fail to consider everything known about a customer and do not deliver on the promise of personalisation. A second challenge is cross-channel communication, with difficulty pushing recommendations across all customer touchpoints. The end result is a disjointed customer journey that risks recommending products that do not appeal to the customer or are not available in the sizes, colours, or locations that buyers prefer.

Using real-time behavioural context from all channels, recommendations via Monetate’s ‘Intelligent Recommendations’ solution can be displayed at the right time to the right customer, the company says, by feeding the recommendation algorithms with everything known about an individual, including historical data and real-time visitor behaviour. Moreover, recommendations can be pushed automatically to customers across all channels.

"Product recommendations have changed the game for brands in the past, but have become commonplace and fallen behind in sophistication”, says Maribeth Ross, senior vice president marketing, Monetate. “By applying Monetate’s advanced AI capabilities, and omnichannel connectivity to Monetate Intelligent Recommendations, brands can maximise the proven benefits of these tools by using more context that supports increased relevance to the customer and better outcomes for the business. That means no more weakening credibility by recommending items a customer just purchased.”

Personalisation in the days of GDPR may be tricky, so transparency is of high importance, Monetate’s director of global strategy and insights, Simon Farthing, explains to ExchangeWire. “It's unclear yet the exact impact that the GDPR will have on the personalisation experience, but transparency will play a huge role. It's important remember that as long as retailers are clear about what data they are collecting and how they are using it, consumers will welcome personalised communications, if they deliver better personalised experiences.” In order to so, Monetate is relying on AI. Farthing says: “As consumers continue to demand personalised experiences, it’s down to retailers to ensure the online path-to-purchase is as relevant and streamlined as possible. One way of doing this is through offering targeted product recommendations, matching customer needs in that specific moment. In order to make this as accurate as possible, Monetate has tapped into the power of artificial intelligence, using real-time data across every channel, to create one-on-one experiences.”

Monetate’s clients can start using the new recommendation tool from April onwards.

50% of British Population Shop for Groceries Online

According to RichRelevance’s online grocery survey, UK consumers are at the forefront when it comes to online grocery shopping. The retail personalisation specialists surveyed over 2,000 consumers across the United Kingdom, France, and Germany, analysing their internet habits with regards to grocery shopping. The research shows that more than half of the UK population (53%) are shopping for some, or all, of their grocery needs online; while only 40% of French consumers and 32% in Germany do so.

Convenience is the key driver of online grocery shopping, with 62% of respondents citing increased convenience for buying groceries online, followed by the ability to save time (59%). Despite these encouraging results, the research also reveals that grocery retailers are failing to take full advantage of new technology to make the online grocery experience more personalised. Respondents from the UK would like to see more features such as ‘reminders on frequently bought items’ (80%), ‘relevant alternatives’ (58%), or 'personalised product recommendations based on dietary requirements' (43%). Automated reordering as pioneered by Amazon, for instance, is also on the consumer’s wish list, with 53% of survey participants appreciating if retailers had an option for automatically reordering frequently bought items.

The secret to the success of online grocery retail may be personalisation, Henrik Nambord, VP EMEA sales, RichRelevance, tells ExchangeWire: “At the core, customers are looking to place their trust in retailers. They’d trust a friend to buy an alternative product to replace an item they wanted, pick the freshest ingredients, or recommend a new product based on their taste. So, to gain trust, retailers need to replicate these qualities. Fortunately, the technology exists that enables grocery retailers to build unique profiles based on individual preferences. This enables them to craft unique experiences for their customers that have the potential to make online shopping for groceries more inspiring.

“The online grocery market still lags behind other retail sectors; but the opportunity is there for grocery retailers that are willing to invest in getting the online experience right. Automating frequent purchases, tailoring the products shown based on unique preferences, and inspiring consumers through features such as recipe ideas are all ways in which retailers can leverage personalisation to turn grocery shopping from a mundane necessity into a worthwhile experience.”

The majority of consumers (97%) are also still buying products in-store – mostly because consumers like to pick fresh produce in-store themselves.

Slow Uptake of Shopping via Smart Speaker

Smart speakers and watches as devices through which to access shopping online have not been embraced by consumers, yet. According to a study by Episerver, the majority of voice-assisted device owners do not use their smart devices for shopping purposes. Surveying 4,000 online shoppers in four global markets, Episerver’s annual 'Reimagining Commerce: Global Findings' report finds that the smartphone has become an established device through which to shop online: 75% of the respondents use their smartphone to browse shops, while 57% also make purchases on these devices.

The report finds that 35% of consumers now own a smartwatch. Of the smartwatch owners, two-thirds (66%) neither browse through them, nor conduct any shopping transactions (70%). Similar findings apply to voice-assisted devices, with 40% of consumers owning Amazon’s Echo, Google’s Home, Apple’s HomePod, and the like, yet 60% never browse on them, and even fewer making purchases.

"While consumers are willing to shop across channels now, they're still warming up to new devices like voice assistants and smartwatches", said Ed Kennedy, director of digital commerce strategy at Episerver. "It's up to brands and retailers to set the tone here and nail down the search experience on these devices to ease customers into shopping with new technologies. Regardless of device, consumers expect frictionless and personalised shopping experiences that are consistent from one device to the next; and the brands that get this right across devices will emerge as the commerce leaders of tomorrow."

"Today's shoppers are interested in technology-rich experiences, but only if they're done right", said Joey Moore, director of product marketing at Episerver. "Rather than introducing novel technology for the sake of doing so, brands should implement tools like smart mirrors in-store and facial recognition sign-in online to make shopping easier, fast, more convenient, and engaging."