PLDT unveils formula for success in retail sector

Telecommunications leader Philippine Long Distance Telephone Co. (PLDT) presented recently to retailers a two-pronged formula for success in the highly competitive retail industry.

Eric Alberto, PLDT corporate business group head, said knowing the customer is not enough and that knowledge of technology and how to use it in order to know the customer better has become imperative.

In a speech during the 14th National Retailers Conference and Stores Asia Expo, Alberto said the real challenge is to master the customers’ whims.

His two-pronged success formula involves two critical key success factors: embracing technology to improve operations and using technology to enrich customers’ in-store experience.

"Philippine retailers must exploit all available technology resources to elevate their operational efficiencies to global standards of competitiveness and they must focus on the fundamental goal of continuously enhancing customer experience while inside their stores, thereby bringing customer satisfaction to new levels, with the end in view of winning long-term customer loyalties," Alberto pointed out.

He proposed several ways to embrace technology to improve operations. One of them is real-time store connectivity through high speed dedicated leased lines or virtual private networks.

Such connectivity can make possible monitoring of sales transactions in real-time, facilitating on-the-spot price adjustments, checking of shopping traffic through IP cameras and even distance learning or videoconferencing.

"An empowered store with immediate access to business-critical information is a shop that works. This shall minimize if not eliminate common problems such as lost sales opportunities, erratic customer service quality, inaccurate inventory of stocks, as well as the other common retail concerns such as security, fraud and theft," explained Alberto.

Another way to improve operations is through real-time fleet or asset monitoring and allowing for greater control of the supply chain. Through GPS (global positioning system) and GSM (global system for mobile communications), retailers can track and control the whereabouts and activities of their field assets while goods are in transit with vividly accurate digital maps.

Greater route productivity, more effective dispatching, better fuel mileage, prevention of theft and pilferage, and minimized manpower needed to look out for assets in the field can be achieved.

Real-time wireless connections for remote outlets and mobile employees can also contribute to increased productivity. Through the use of technologies such as GPRS (general packet radio service) and EDGE (Enhanced Data Rates for GSM Evolution), mobile Internet connectivity covering 99 percent of cellular phone coverage is possible.

As for enhancing customers’ in-store experience, Alberto proposed a few ideas: real-time mobile in-store advertising through text messaging, real-time sales and inventory management system through GPRS-based scanning devices, and real-time payments through mobile phones. The possibilities are endless, he said.

"Retailers who can master our buying quirks and caprices will merit our business. And the use of technology to track and interpret our buying whims and preferences shall accelerate a favorable and long-lasting relationship between you retailers and your consumers," asserted Alberto.

He added that embracing and implementing technology as part of a retailer’s business process no longer becomes a choice. "It is now an imperative for a retail player’s strategic survival. Globally established retailing companies have proven that the use of technology have not only enriched their customer’s in-store experience but also enabled them to build a loyal and stable customer base. And majority of these technologies are now available at your fingertips," he pointed out.

Through the innovative services of technology-oriented companies such as PLDT, retailers can begin to embrace technology and apply the two-pronged success formula to improve operations and enhance customer experience, he said.<