Kiwi Retailers Urged: Forget Convenience, Keep Your Promise Instead

A concerning trend by New Zealand's retailers is to take the easy route and opt for well-known, "convenient” technology stacks—usually American—like WooCommerce, Wix and Shopify; they are generic and frequently don’t allow retailers to fully deliver on their unique customer experience promise.

Mark Presnell, who is the managing director of Auckland eCommerce integration company Convergence, says his integration company works with many and various technology stacks. Still, almost every retailer he encounters is after price, convenience, and practicality rather than looking for platforms that will help them deliver on their promise.

“I urge retailers to build their technology stack around whatever that promise may be, because sometimes the out-the-box solutions don’t integrate very well or don’t do what you need or want them to do.

“We find ourselves at a junction where the focus of eCommerce internationally is shifting from all-in-one platforms that try to be all singing, all dancing to best-in-breed, point or function solutions that do what they do better than any other. The challenge is how you make these best-of-breed solutions work together.”

Presnell says there is nothing wrong with the big technology names, most of which are actually very good solutions, but a choice based on price or convenience may not just be the right solution for a particular retailer.

"We are looking at the best solution and what is best for the customer. It's time for vendors to be more aware of their total technology stack and realise that the options available are continuously shifting."

Bespoke solutions and orchestrating fulfilment

Retailers now recognise the opportunity for more tailored solutions, with the ability to focus on specific areas such as user experience, back-office functionality, operational focus, and fulfilment. This allows them to select from a vast market of possible components and make them work cohesively.

Many businesses may find platforms like Shopify cost-effective and straightforward to set up. However, the all-in-one perspective may not necessarily align, for example, with the complexities of purchasing and importing products.

Presnell emphasises that understanding the key promises a business wants to deliver to clients is essential. "Huge demand for accurate delivery time indications, orchestrating smooth fulfilment, and focusing on user experience at the front end is paramount in today's market,” Presnell says.

A modular approach

Presnell encourages businesses to consider a modular approach that is best in breed and able to be integrated to orchestrate the best customer experience and operational performance. Platforms designed to fulfil specific promises, such as specialised eCommerce B2C shopping and B2B trading platforms, inventory management and fulfilment software, can become a significant competitive advantage.

However, New Zealand's retailers have often taken the somewhat easier route, using popular platforms for convenience, even when they outgrow those packages.

Time to deliver on your promises

With the evolution to a more eCommerce-centric society, retailers must reconsider their go-to-market strategies. Many, ironically, are now adding bricks and mortar to their online presence, and the need for a more structured tech stack and architecture has become increasingly apparent.

Three Tips for Retailers:

1. Evaluate Your Needs

Understand your business' unique promise, whether it is product quality, fulfilment, customer service, or easy returns. Opt for technology stacks that allow you to deliver on that promise with excellence.

2. Consider a modular approach

Evaluate packages based on the MOFO headline: Modular (best in breed), Ownership (lower cost), Fast to implement, and Open (extendable and API enabled). This approach ensures flexibility and scalability for your business.

3. Stay informed and adaptable

Recognise that the technology landscape is continuously shifting. Stay abreast of changes and be ready to adapt to ensure that your technology stack aligns with your evolving business needs and customer expectations. If you have outgrown a part of your stack, replace it. Look closely at the cost of “not doing so” compared to the cost of making a change.

In embracing these principles, New Zealand's retailers can move beyond the confines of the popular and the convenient. They can fully harness technology to fulfil their unique promises, offering a competitive edge in an ever-changing marketplace while at the same time future-proofing their businesses.

For more information, visit https://convergence.co.nz/

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