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Grocery giant experiments with digital interactive technologies to improve customer engagement with clothing range, writes Glynn Davis of RetailInsider exclusively for RetailTechnology.co.uk

Tesco F+FGrocery giant experiments with digital interactive technologies to improve customer engagement with clothing range, writes Glynn Davis of RetailInsider exclusively for RetailTechnology.co.uk

 

Tesco is trialling a variety of in-store technologies within its F&F clothing areas in three stores that could be rolled out to all 400 UK outlets that stock the popular apparel range.

 

Developed in conjunction with Cisco’s retail division, five technologies are being piloted for six months as part of a widespread move to improve Tesco’s instore experience and further develop its multichannel capabilities.

 

Augmenting instore experiences

 

Satul Thakrar, programme manager at Tesco, said: “F&F are pioneers with technology in Tesco and the business is happy for us to be a test-bed. We went to Cisco 12 months ago to create ‘use’ cases where customers can use technology to aid their instore experience.”

 

The result is two core elements: digital and social signage; and a touchscreen order point. Along with three ‘engagement’ elements designed to inspire: a kids StyleMe mirror; a digital mannequin used to drive people to the F&F clothing areas in the stores; and a large 47-inch touchscreen for displaying customised style guides.

 

Lisa Fretwell, senior director of the global retail and consumer products practice at Cisco, said the IT firm undertook extensive research on shopper behaviour to underpin its recommendations to Tesco and help it develop the five initiatives that seek to embed technology at the heart of the F&SF experience.

 

Digital technology in action

 

At the Tesco Extra store in Woolwich Arsenal (which Retail Technology was invited to visit this week) both the touchscreen order point and kids mirror have proved popular with customers in the two months since installation.

 

Graeme Derby, chief executive of Retec Digital Group (which helped develop the technologies), said the order point allows the full F&F clothing range to be made available and has helped increase the sale of sizes not in stock.

 

By scanning the label or searching on an item it can then be ordered – for home delivery or for collection next day at the store of the customer’s choice. “People like using it for self-service – and because it is based on a tablet and touch-screen the older customers like using the technology,” explained Derby.

 

Virtual fitting proves popular

 

The magic mirror is also creating strong engagement, according to David Barlow of C-Instore, which helped create the device. It allows children able to use swipe gestures to virtually try on a range of clothing including Disney and Marvel licensed goods.

 

“The average is 50 to 70 interactions per day. But, because it’s not a transactional model – it is more difficult to see how it affects conversion rates instore – the next generation will have touchscreens to enable transactions,” said Barlow.

 

This is all part of the ongoing experimentation that is taking place before any roll out occurs, according to Thakrar, who added: “We are working out the right configurations of the technologies to see what works. However, we are pleased with the numbers of customers using the devices and the conversions are strong [so far].”

 

After two months Fretwell also said the payback will likely be only 12 months, based on the current level of conversions – from the order points alone. And this does not take into account the broad incremental sales that will have been gained from the other pieces of technology.