Sunday, May 19, 2013

BREAKING NEWS - The Retail Sleeping Giants Are Awakening !

BREAKING NEWS
The Retail Sleeping Giants Are Finally Awakening !
Giving Big Box Retailers The Chance Of A Lifetime To Leap-Frog Amazon.
National Retail Federation’s (STORES.org) May 2013 lead article published last week is appropriately entitled “Moving Fast” which is a powerful double entendre for Big Box retailers.  (see National Retail Federation (NRF) article here).
Principally, this article pertains to the opportunity that enables your team to take a commanding lead in your industry as well as Retail In General.  It says:
“Late last fall, USPS joined a crowded field of retailers and logistics experts, all attempting to find the Holy Grail: the right product, price point and customer for Same-Day delivery.”  (see Chart 1 below)
NOW CONFIRMED:  The Consumers #1 Choice = Instant Gratification
For years, Big Box retailers have heard from us that their solution to Amazon is to focus on the retail consumer’s #1 choice of “Convenience” = Rapid Delivery = Instant Gratification = The Retail Holy Grail (Chart 1).
This NRF article confirms our R&D results shown in Chart 1, which is what the Grocery & Restaurant industries with highly time-sensitive products have known for years, but have never achieved. (Other than Tom Monaghan, founder of Domino’s Pizza, one of our founders.)
The consumer’s #2 choice is Price and their #3 choice is Widest Product Selection – as this article also confirms – and as Walmart has known for years.
It took Amazon 15 years in retail to help prove the point that Convenience (Rapid Delivery = Instant Gratification) is the consumer’s #1 choice.
Now that the roof on retail bricks & mortar stores has finally fallen in because they historically missed this strategic point, this article describes it as follows:
“Amazon has pushed the envelope on what’s possible and has gotten pretty successfully to two-day delivery on a lot of items,”  see Chart 2 for confirmation
Now The Sleeping Giants Are Beginning To Awaken To The New Consumer Reality.
The incredible opportunity for your company is:  These Giants Are Not YET Fully Awake as this article also attests.
This NRF lead article for their May 2013 issue details how Retail Giants are finally being FORCED by Amazon into giving the Consumers their #1 choice:  Rapid Delivery – at great cost and inconvenience and still missing the Holy Grail this article references.
However, this article only deals with “Same-DAY” delivery as Amazon is only doing Same-DAY in select markets, in limited time frame windows (not Same-HOUR 24 / 7 / 365) but this article correctly states:
“From my perspective, there’s a lot of inside-the-industry hype (about Same-Day), but it’s not the customer demanding it.”  Absolutely Correct.  They want Instant Gratification = Same-HOUR. See Chart 1
“only 4.2 percent of consumers use Same-DAY delivery frequently” Absolutely Correct.   83% want Same-Hour Fulfillment – see Chart  1. Offer it and discover the huge market you’ve been searching for – Chart 3 – and with ADDED profits most executives simply can’t conceive or believe – Chart 3.
This article confirms what we’ve been saying for years – Chart 1 – which is “The Retail Holy Grail”:  NOBODY “WANTS” SAME-DAY DELIVERY which means waiting for “something” to arrive “sometime” during the usual 4 to 8 hour time period, or 2 hour windows – same as “waiting for the cable-guy” and then at a huge cost that nobody wants to pay.
People Simply Hate To Wait
This NRF article also outlines why TheNowMall.com does the various things we uniquely do, that others have never done before, such as providing a huge, dedicated CyberValet® Shopper/Driver pool that is necessary to handle on-demand orders in 30 to 60 minutes during the various Peaks & Valleys 24 / 7 / 365 including Seasonal Peaks & Valleys as this article mentions, PLUS Free Delivery Etc.,  Etc. (see Charts 4 & 7 for more details)
Same-HOUR is less expensive than Same-DAY for myriad reasons that the retail industry can’t yet grasp simply because there are a lot of underlying factors that even this enlightened article is wrestling with.  However, we perfected how to deal with these issues years ago even before we did McDonald’s 30-minute fulfillment program or we couldn’t have succeeded beyond even McDonald’s wildest expectations (except we made it “look” too easy !). See Chart 5
But when the retail industry “finally sees the light at the end of the Amazon tunnel”, stand back and watch the stampede, to which this NRF article continuously alludes.
But for now, the Sleeping Giants are only thinking about “Same-DAY” not the consumer’s wish for Instant Gratification = Same-HOUR, simply because Amazon is now only doing Same-DAY, leading the parade again but in the wrong direction, as this article is very clear about.  Where are all the Industry leaders ?
While Same-Day is a huge step forward from their 3 to 10 day delivery position 9 months ago, it’s not the long term game-changer that is sorely needed – see Chart 2.
But the best is yet to come.
Your Chance Of A Lifetime To Offset Amazon & Walmart
As you have been reading our E-News Updates for some time now, you are probably already 90% convinced that only 30 to 60 minute Rapid Fulfillment can BEAT Amazon, while (as this article indicates), the rest of the retail industry is at least a year or two behind you in vision, INCLUDING AMAZON & WALMART !    
To support this:  Last year we were told by one of these still struggling Retail Giants as they started their Same-Day tests:
“Your concept is clearly different in its approach and perhaps one day, many people will shop this way. For now though, we are going to pass.  This is not to say "not ever", simply "not now." (due diligence officer, S. Jensen – August 2012)  Across the country, millions of people every year have been consistently ordering “this way” from our Co-founder, Tom Monaghan’s Domino’s Pizza, for well over 50 years !
In 2010, we were told by one of the largest Regional Mall owners:
“E-commerce will not affect us because 15% of nothing is still nothing” (due diligence officer, P. Flanagan – March 2010) now converting some of their malls to other rental uses.
This is Great News for your Big Box stores !
The MINUTE you open your first SuperCyberCenter Mall in Buffalo, NY,  for your industry competitive reasons against Amazon & Walmart; AS A BONUS, the other 25 top Big Box retailers & Major Regional Mall owners (who are also hurting because of Amazon) will immediately increase their due diligence.  Key media (including Neil Cavuto – Fox News) and most retail Industry Analysts will also immediately focus their attention on this newsworthy event.  They all religiously read our periodic E-Newsletters as Rapid Delivery is a trending topic.
This is because they all know:
“IF” Same-HOUR fulfillment can be done ECONOMICALLY, Profitably & Efficiently, without Interruption to their current store operations, which Same-Day delivery simply cannot ever do – a new world is upon them.
As nobody else on this planet has anywhere near our 50 years’ combined INSTANT GRATIFICATION knowledge and ability – it’s easy for us to prove that it’s practical with a major Marketing Partner.
When The Retail Holy Grail is conclusively proven via a simple test in Buffalo, NY –a small but well-defined test city, this will give you an enormous opportunity at relatively no cost to execute an Industry-Changing Business Method Worldwide that puts your stores light-years ahead of any and all competitors, including Amazon. 
This solution includes more than just Rapid Fulfillment; it brings you incremental in-store sales and ADDED industry profits as well as increased market cap/share value - as we have achieved before as per Charts 6 & 7.
Same-Day Delivery Failure Is Now Reported
Big Box retailers have been hit hard by Amazon and many are doing many great and positive things to offset this damage, but no strategy has yet risen to this extreme long-term game-changing challenge –including Same-DAY delivery.
Your current Same-Day delivery results have been costly and disappointing and have not met your expectations (as this NRF article clearly indicates is true for all retailers), nor has Same-Day delivery in the least offset Amazon’s nor Walmart’s growing threat to your E-commerce future - see Chart 2.
Your Once In A Lifetime Opportunity:
Before the Sleeping Giants wake up to the real future of E-commerce as the consumer is demanding (Chart 1) – now is your chance to Capture Dominance In Retail with a simple field trial of the Retail Holy Grail: 30 to 60 Minute, 24 / 7 / 365,  Instant Gratification, with FREE Delivery with us in Buffalo, NY; then Pittsburgh, PA; then Atlanta, GA, before your national roll-out of your SuperCyberCenter Network.
As Winston Churchill said:  “Americans always do the right thing . . . after they have tried everything else.” And Best Buy has tried everything else, as have most other retailers, and so far everything else has failed to offset Amazon – including Same-DAY delivery.
The obvious is upon you – Instant Gratification: 30 – 60 Minute Fulfillment – 24 / 7 / 365 = The Retail Holy Grail = Same-HOUR Fulfillment.
It’s almost here.  One major retailer is close to launching their first SuperCyberCenter Mall with us. 
Now is your chance to take the coveted Master Worldwide Marketing Partner Position and, in the least, take control of the future of your Industry – Chart 3.
We sure hope your stores join us in the Winner’s Circle.
Please call or email us ASAP.
Thanks,
Gail
 

Sunday, May 5, 2013

V-Commerce: Amazon's Newest Weapon Of Choice. Trumps E-Commerce.

Big Box Bricks & Mortar retailers continue to react in conventional ways to Amazon’s growing power, which opens new markets for Amazon to propel their annual $13 Billion (27%) growth via V-Commerce.
Thus Amazon is becoming the Death Star of retailing as we know it today – virtually unchallenged. This continuing disarray is outlined in Chart 1.
V-Commerce (Viral-Commerce): To effectively use one customer group, media group or product group for significant commercial gain.
Why Amazon Is Happy Breaking Even With Online Grocery   (See Article here)
“AmazonFresh could be the online grocery service that finally breaks through to critical mass, all helped by its lack of financial burdens and mastery of logistics.”
“It could also mean that delivery fees are lower, order size minimums are waived,”
“and it certainly could mean that home delivery and in-store pick up will never pay out using traditional metrics and full allocated costs.”
“Finally, Amazon views steady grocery delivery as a “powerful way to drive frequent customer interaction,” and opens up avenues to entice consumers to shop for other products with each order.”
A conventional fulfillment & delivery system using “Traditional Metrics and Full Allocated Costs” misses all the above, putting retailers directly in Amazon’s path, not to mention the loss of infinitely greater “Frequent Customer Interaction” and the incredible Third Party Profits therein – from the $8.7 TRILLION worldwide retail market – including Groceries, Pharmacies, Retailers and Restaurants. (US market equivalent is $2.6 Trillion).
Unbelievable opportunity awaits and most retailers are still in denial, even Walmart; thus giving Big Box retailers a wide open field to win.
For years we’ve been urging Big Box retailers to offer:  “(1) The Highest Level Convenience;   (2) The Widest Product Choice;   (3) The Consistently Lowest Price.”
Most retailers are positioning themselves as unique and entertaining places to shop.  However, when Amazon’s V-Commerce strategy is in full roll-out, there will be panic in the executive ranks of most major retailers.
Amazon’s V-Commerce strategic move in Groceries simply increases these Three Top Consumer Choices further in Amazon’s favor against you, stealing your customers, sales, profits & market cap – see Chart 1.
Although dinosaurs were helpless against the asteroid that destroyed them, Big Box retailers are not helpless against the coming Amazon asteroid.
Given the above:  you have the knowledge of what’s coming.
Given the following:  you also have the knowledge of The V-Commerce Solution:   A SuperCyberCenter® Mall with 30 to 60 minutes, 24 / 7 / 365,  Rapid Online Order Fulfillment and 600,000 Third Party Sellers with stores nationwide, including Grocers, Restaurants, Retailers, Pharmacies – virtually all purveyors of time-sensitive retail commodities. 
It’s a tactic that Amazon and Walmart cannot match, even though they both have similar structures.
The Only Thing Left You Have Not Yet Tried ! – A  SuperCyberCenter Local Area Online Mall – Unbelievable, But Now A Necessity – Chart 2 (Best Buy example)
A SuperCyberCenter Mall with your company name on the marquee is similar to having branding rights to venues such as: American Airlines Center, Best Buy Theater in Times Square, Staples Center in Los Angeles, FedEx Field in Washington, Bank of America Stadium in Charlotte, NC; Wrigley Field in Chicago and MetLife Stadium in New York and myriad similar other V-Commerce marketing branding examples. Those companies paid a fortune for such prized branding rights.
Amazon is close to reaching this Pinnacle of The Consumer’s Choice – but still has a mountain, or more, to climb – however, Jeff Bezos is trying very astutely and will eventually succeed.  Now is your time.
For the sake of all your constituents – relent and Test This V-Commerce Solution with us, starting in Buffalo, NY, lest the Amazon asteroid strikes before you have your defenses in place.
Respectfully,
Gail
Gail Nichols, Vice Chair
The Now Mall