Press Release

Consumer Demand for Personalized, Seamless Service Drives Need for
'Converged' Retailing in North America

May 11, 2010 at 1:51 PM EDT
Eighty One Percent of North American Consumers More Likely to Choose Retailers That Enable Them to Shop Consistently across Multiple Channels, Including Social Media and Smart Phones

DULUTH, Ga., May 11, 2010 (BUSINESS WIRE) --North American consumers are choosing retailers that offer them more control over where, when and how they interact across a range of channels--including social media and smart phones--according to a new study commissioned by NCR Corporation (NYSE: NCR).

The research across the United States and Canada reveals 67 percent of consumers switch between retailers to get price discounts and more loyalty points. Consumers also increasingly use technology when searching for the best deals, with 66 percent using the Internet more frequently to research products and price before buying.

Loyalty is also being driven by consumers' desire for more control through a seamless experience across multiple channels; they want to receive personalized offers and information that match up with their individual preferences and receive them wherever they are: using the Internet, on their mobile phones or in physical stores. An overwhelming 81 percent of North Americans surveyed said they are more likely to choose retailers that enable them to interact via their preferred combination of online, mobile, self-service and in-store channels.

According to Mike Webster, vice president and general manager of NCR's retail and hospitality business, "Consumers are time-starved, value-driven and digitally-enabled. They are frustrated by inconsistent shopping experiences across channels. Retailers must deliver more personalized, unified interactions whether their customers are on the web, in the store or using their mobile device. For retailers to respond to this new era of converged retailing, they require solutions that bring these channels together. This is what NCR's c-tailing(TM) solutions provide today."

The NCR-commissioned research shows that 42 percent of consumers would like information to be consistent across multiple channels. A staggering 81 percent would like companies to do more to integrate social media channels into their mix of communications. In response, retailers need to create incentives for consumers to "friend", "follow" or "subscribe" to their blogs, message boards or social networks like Facebook and platforms like Twitter, and then use these emerging channels to conduct compelling, consumer-relevant dialogues with their customers.

As smart phone penetration increases, a significant number of shoppers are looking to integrate mobile applications into a seamless channel experience, with 41 percent wanting to use their mobile while on the move to locate a store or restaurant. Forty two percent also want to download coupons to their mobile for use in the store. Forty percent want to use their camera-equipped mobile phone in store to scan barcodes and find the best prices.

In addition to the value of consistent experience across channels, the research also explored the value that consumers place on personalization, including language, payment method, brand preference and receipt type. Forty four percent of respondents agreed that retail shopping or restaurant ordering would be faster if they had a personalized experience.

With research showing a clear consumer presence for retailers who provide a consistent, personalized experience for shoppers across channels, forward-looking companies are now implementing software, linked to enterprise applications like customer data and analytics, to deliver timely and relevant communications across multiple points of service, based on their customers' preferences and location.

For example, a consumer could register for a grocer's loyalty program online, indicating how they would like to receive promotions. They could then build their shopping list online, compare the best prices and get recipe suggestions that integrate their shopping history with weekly specials and select coupons to be automatically loaded to their rewards card. When the shopper enters the store, they could also receive offers on their mobile phone or visit a kiosk to see wine or recipe suggestions that complement their shopping list, tailored to their individual preferences. When the customer checks out, all coupons and promotions would be automatically linked to their rewards card, eliminating the need to clip paper coupons.

For additional information on converged retailing, or NCR's c-tailing(TM) solutions, including a whitepaper with more detailed research findings, please visit www.ncr.com/c-tailing.

About the research

NCR commissioned BuzzBack Market Research to conduct this survey of consumer behavior among more than 1,000 North American respondents in March 2010. BuzzBack LLC is a leading international marketing research firm headquartered in New York City.

About NCR Corporation

NCR Corporation (NYSE: NCR) is a global technology company leading how the world connects, interacts and transacts with business. NCR's assisted- and self-service solutions and comprehensive support services address the needs of retail, financial, travel, healthcare, hospitality, entertainment, gaming and public sector organizations in more than 100 countries. NCR (www.ncr.com) is headquartered in Duluth, Georgia.

NCR is a trademark of NCR Corporation in the United States and other countries.

SOURCE: NCR Corporation

NCR Corporation
Cameron Smith, 770-623-7998
cameron.smith@ncr.com