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Denmark's largest bookstore chain Bog & idé, run by Indeks Retail, has transformed their entire online presence to tie online and physical stores closer together and increase sales. The vision was clear - becoming the most customer-oriented provider of books and idea articles in Denmark. Since 2016, Bog & idé has been actively working to facilitate the shopping experience based on a customer-centric approach, meeting customers with personalized content across channels and pulling customers down to the physical stores. And with omnichannel initiatives and click & collect, the book chain has succeeded in growing both online and physical stores in an otherwise crowded market. Previously, individual booksellers had difficulty finding their way into the chain's e-commerce strategy, where they struggled on par with the webshop. At the same time, the stores suffered from a poor overview of the stock status and delivery times at the chain's suppliers, which created frustrations with the employees. To bring the digital and physical world closer together, Bog & idé, therefore, wanted to strengthen the link between purchases on the chain's webshop and the customers in the physical stores. The result was an omnichannel strategy focusing on the following points: • Greater online revenue • Increased customer flow and turnover in chain stores • Strengthen the chain's value proposition to take the customer's wishes and needs in line with the strategy The strategy can be boiled down to one word: Personalization. With personalized recommendations and intelligent suggestions for customers, Bog & idé creates a 1: 1 personalization of the customer experience. And with automation through AI and machine learning, the huge manual workload that underlies good and relevant recommendations is reduced. Bog & idé Nicolai Lind Jørgensen E-Commerce Manager IMPACT og Raptor Stefan Swartz Primdahl Senior E-Business Consultant, IMPACT Kenneth-Daniel Nielsen Projektleder, IMPACT Tino Dainese Senior Tech Lead, IMAPCT Bjarke Brorsen Software Developer, IMPACT Lars Horne-Mortensen Senior Software Developer, IMPACT Danny Fogh Kristensen Frontend Developer Jan Skov COO, Raptor Mads Sieron Thorsen Senior Consultant, Professional Services, Raptor Mette Fangel Sørensen Customer Success Manager, Raptor DANSK Baggrund Danmarks største boghandlerkæde Bog & idé, der drives af Indeks Retail, har transformeret hele deres online tilstedeværelse for at binde online og de fysiske butikker tættere sammen og øge salget. Visionen var klar – at blive den mest kundeorienterede udbyder af bøger og idéartikler i Danmark. Siden 2016 har Bog & idé arbejdet aktivt med at lette købsoplevelsen ud fra en kundecentrisk tilgang, møde kunderne med personaliseret indhold på tværs af kanaler og trække kunderne ned i de fysiske butikker. Og med omnichannel-tiltag og click & collect er det lykkedes bogkæden at vækste både online og de fysiske butikker i et ellers presset marked. Førhen havde de enkelte boghandlere svært ved at finde sig til rette i kædens e-commerce-strategi, hvor de kæmpede på lige fod med webshoppen. Samtidig led butikkerne af mangelfuldt overblik over lagerstatus og leveringstider hos kædens leverandører, hvilket skabte frustrationer hos medarbejderne. For at bringe den digitale og fysiske verden tættere sammen, ønskede Bog & idé derfor at styrke sammenkoblingen mellem køb på kædens webshop og kunderne i de fysiske butikker. Resultatet blev en omnichannel-strategi med fokus på følgende punkter: • Større online omsætning • Øget kundegennemstrømning og omsætning i kædens butikker • Styrke kædens value proposition at tage udgangspunkt i kundens ønsker og behov Strategien kan koges ned til ét ord: Personalisering. Med personlige anbefalinger og intelligente forslag til kunderne skaber Bog & idé en 1:1 personalisering af kundeoplevelsen. Og med automatisering gennem AI og machine learning reduceres den enorme manuelle arbejdsmængde, der ligger til grund for gode og relevante anbefalinger. Løsning Første skridt på vejen mod en stærkere konsolideret platform, der omfavner både kædens indkøb og salg, blev at integrere Bog & idés B2B- og B2C-platform i samme backend og implementere et PIM-system. Det har givet dem ét fælles datasæt over de mere end 200.000 varer, kampagner, returordrer og produktdata. Dermed er lagerstatus og leveringstid blevet langt mere overskuelige for kunder og medarbejdere. Dernæst gav man hele kædens B2B og B2C-løsninger samt butikkernes POS-systemer et gennemgribende redesign for at sikre en gnidningsfri købsoplevelse og øge kundegennemstrømning i butikkerne med click & collect. Herefter var vejen banet for at implementere en AI-baseret anbefalingsmotor, der udnytter den nye kundeoplevelse og bidrager med en skarp personalisering af kunderejsen. Med Raptor Smart Advisor bliver input fra alle kundernes touchpoints som klikstrøms- og adfærdsdata fra web, annonceringspræferencer, email og ikke mindst POS-data fra de fysiske butikker samlet. Det skaber ét samlet udgangspunkt for personalisering af den enkeltes købsoplevelse. Online data og salgsdata bliver nu brugt til at prioritere varer og sortiment – online såvel som offline. Når kunderne besøger Bog & idés webshop, bliver de inspireret til køb via personaliserede tiltag som ”Andre købte også…” eller ”Kunne også have din interesse”. Det samme sker i de fysiske butikker. Med udgangspunkt i online data om, hvilke bøger der populære, og hvilke bøger forskellige kunder kigger på, indretter Bog & idé også butikkerne og udstillingshylderne herefter. Når en kunde skal hente en webordre i en fysisk butik, har ekspedienterne via kasseapparatet ligeledes adgang til data, der fortæller, hvorvidt en kunde er medlem af kundeklubben, følger dem på SoMe, og hvilke bøger der kunne være relevante for pågældende kunde. Alt dette på baggrund af online data, som på den måde er en vigtig kilde til op- og krydssalg samt dannelsen af en dybt personlig kunderejse. Raptors machine learning algoritme er rygraden i personaliseringen, hvor brugerdata trackes på tværs af platforme og datapunkter. Den samlede mængde data udgør Bog & idés helhedsbillede af kunden, og det billede raffineres konstant af AI’en ved hjælp af ny data, der strømmer ind, sammenholdt med den samlede mængde data fra alle kædens kunder. For at sikre at enhver online interaktion er så personlig som mulig, beregnes enhver anbefaling af Raptors algoritme i realtid, hvilket betyder, at kundens egne beslutninger er med til at forme deres individuelle kunderejse. Resultat Bog & idé har formået at få succes både online og offline i et marked, der er under enormt pres. Når medierne skal skrive om succesfuld retail, bliver Bog & idés fokus på click & collect gang på gang fremhævet. Deres fokus på personalisering, anbefalinger samt op- og krydssalg kan hertil mærkes på bundlinjen. Allerede tre uger efter implementering af den nye løsning steg den Raptor-genererede omsætning med hele 15,83%. Den samlede omsætning er i 2019 steget med 54%, antallet af køb med 50% og konverteringsraten med 11%. I forlængelse heraf var konverteringsraten hele 168% højere hos de kunder, som interagerede med Raptors anbefalinger frem for dem, som ikke gjorde. Den gennemsnittelige ordreværdi var også 10% højere hos disse kunder blot én uge efter implementering. Den gennemsnitlige omsætning på de kunder, som interagerede med Raptors anbefalinger var desuden 189% højere end hos dem, der ikke gjorde. Sammenlagt viser dette en tydelig effekt af, hvad integrationen af personalisering har gjort for Bog & idé. I dag hentes 65% af alle webordrer hentes i butikken. Og folk, der er kommer i butikkerne efter at have været online, er steget med 60% i 2019. Disse resultater fremhæver således, hvordan Bog & idé har formået at bringe den digitale og fysiske verden tættere sammen og samtidig vækste både online og offline - med stor hjælp fra en omnichannel-strategi baseret på personalisering. (English translation + Google translate) Background Denmark's largest bookstore chain Bog & idé, run by Indeks Retail, has transformed their entire online presence to tie online and physical stores closer together and increase sales. The vision was clear - becoming the most customer-oriented provider of books and idea articles in Denmark. Since 2016, Bog & idé has been actively working to facilitate the shopping experience based on a customer-centric approach, meeting customers with personalized content across channels and pulling customers down to the physical stores. And with omnichannel initiatives and click & collect, the book chain has succeeded in growing both online and physical stores in an otherwise crowded market. Previously, individual booksellers had difficulty finding their way into the chain's e-commerce strategy, where they struggled on par with the webshop. At the same time, the stores suffered from a poor overview of the stock status and delivery times at the chain's suppliers, which created frustrations with the employees. To bring the digital and physical world closer together, Bog & idé therefore wanted to strengthen the link between purchases on the chain's webshop and the customers in the physical stores. The result was an omnichannel strategy focusing on the following points: • Greater online revenue • Increased customer flow and turnover in chain stores • Strengthen the chain's value proposition to take the customer's wishes and needs inline with the strategy The strategy can be boiled down to one word: Personalization. With personalized recommendations and intelligent suggestions for customers, Bog & idé creates a 1: 1 personalization of the customer experience. And with automation through AI and machine learning, the huge manual workload that underlies good and relevant recommendations is reduced. Solution The first step towards a stronger consolidated platform that embraces both chain purchasing and sales was to integrate Bog & idé's B2B and B2C platform into the same backend and implement a PIM system. It has given them one common dataset of the more than 200,000 items, promotions, return orders and product data. As a result, stock status and delivery time have become much more manageable for customers and employees. Next, the entire chain's B2B and B2C solutions as well as the stores' POS systems were given a thorough redesign to ensure a smooth shopping experience and increase customer flow in stores with click & collect. After that, the road was paved to implement an AI-based recommendation engine that leverages the new customer experience and contributes with a sharp personalization of the customer journey. With Raptor Smart Advisor, input from all customers' touchpoints such as web click flow and behavior data, advertising preferences, email and not least POS data from the physical stores are collected. It creates a single starting point for personalizing the individual's buying experience. Online data and sales data are now used to prioritize goods and assortment - online as well as offline. When customers visit Bog & idé's webshop, they are inspired to buy via personalized initiatives such as "Others also bought ..." or "Could also have your interest". The same thing happens in the physical stores. Based on online data on which books are popular and which books different customers are looking at, Bog & idé also arranges the shops and exhibition shelves accordingly. When a customer has to retrieve a web order in a physical store, the cashiers also have access to data via the cash register that tells whether a customer is a member of the customer club, follows them on SoMe and which books could be relevant to that customer. All this on the basis of online data, which is thus an important source of up and cross sales and the formation of a deeply personal customer journey. Raptors machine learning algorithm is the backbone of personalization, where user data is tracked across platforms and data points. The total amount of data constitutes the overall picture of Bog & idea by the customer, and that image is constantly refined by the AI using new data flowing in, compared to the total amount of data from all the chain's customers. To ensure that every online interaction is as personal as possible, every recommendation of Raptor's algorithm is calculated in real-time, which means that the customer's own decisions help shape their individual customer journey. Result Bog & idé has managed to succeed both online and offline in a market that is under enormous pressure. When the media has to write about successful retail, Bog & idé's focus on click & collect is repeatedly emphasized. Their focus on personalization, recommendations as well as up and cross sales can be felt on the bottom line. Already three weeks after the implementation of the new solution, the Raptor-generated revenue increased by as much as 15.83%. Overall sales in 2019 increased by 54%, the number of purchases by 50% and the conversion rate by 11%. As a result, the conversion rate was 168% higher for customers who interacted with Raptor's recommendations than those who did not. The average order value was also 10% higher for these customers just one week after implementation. In addition, the average turnover of customers who interacted with Raptor's recommendations was 189% higher than those that did not. Taken together, this shows a clear effect of what the integration of personalization has done for Bog & idé. Today, 65% of all web orders are picked up in the store. And people who come to the stores after going online have increased by 60% in 2019. These results highlight how Bog & idé has managed to bring the digital and physical world closer together while growing online as well as offline - with great help from an omnichannel strategy based on personalization.
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