ROPO

Is your customer researching about you before deciding purchase?

ROPO (research online purchase offline) explained

We all know how important smartphones are in our lives, how our lives have become dynamic. Allow me to take you through an extraordinary journey, actually an evolution –At one point of time a mobile phone was for voice calls only, it progressed to games, internet, camera, chat, storage device, social media, and apps by the time we realized it was already a “smartphone”.

How consumers have adapted to this rapidly changing mobile technology?  Today’s consumers behave in a different way and consume content on a smartphone.

Gone are the days when they would trust the retailer blindly, today they are more inclined to see the opinion of colleagues, friends or acquaintances before making any major purchase or even a general set of reviews online. How will this govern the purchase or user behaviour in near future?

Isn’t it interesting and simultaneously important for marketers/companies to understand?

A very basic question to you, what would consumer research online about a product or service?

Simple, a consumer will research about the prices, features, other user’s feedback, coupons, and any additional offers or promotions.

Why is it important? What should a marketer do?   
How will ROPO (research Online, Purchase offline) help/harm?
ROPO will enable creating informed consumer behavior. Internet will be the enabler to research. Get smart about alternatives, read reviews, look for coupons, or compare before deciding a purchase. Today each one of us is carrying an intelligent device with social media apps. Have you ever seen anyone with smartphone in hand and researching about the product in a store? The answer would be “yes” many times, we ourselves do that and so does a smart consumer. Research before purchase is expected to grow exponentially in coming years with increase in number of “smart handsets”.

Role of Smartphones in ROPO effect:
Today the mobile device has evolved many folds and is better in terms of looks, speed, data connectivity, processor and possesses uniquely advanced features which fuels the ROPO.

Smartphones are available in various technology versions from business phone “Blackberry”, to newly jazzed up “Windows 8”, elegant and style icon “iPhone”, not to forget the game changer and exponentially growing “Android” based devices, along with better data connectivity, 3G, introduction of 4G and WiFi, smartphones have brought a mobile revolution.  Graph below shows smartphones influence on purchase decisions. (Graph source: ThinkWithGoogle)

ropo-india
Usage of Smartphone in Purchase Journey.

ROPO is also termed as O2S (Online to sales) behavior of consumers. It is evident 4 out of 10 people research offline before purchase. Most of the digital properties help consumers formulate a stand and impact offline purchase.

Search and Social as enablers for ROPO:
Mobile data evolution has become advanced growth of “social media”. Few years back this was considered as tool to promote brands, later on it evolved into reputation management tool. But now, it has formulated a “Customer Voice” on Facebook, Twitter, Google+ and various other social platforms. Where customers interact with brands, share their reviews, which are further crawled, indexed, and ranked by various search engines.

Mobile phones have enabled a concept of research on the go.  Google conducted a comprehensive study with shopper-sciences using 5000 shoppers across 12 categories called ZMOT “Zero Moment of Truth”. This gives the guidelines on how companies can sway online decision making process of consumer till the very last goal “purchase” through various touch points.

What should a marketer/company do? 
Marketers need to think locally and plan holistically for all the touch points, right from stimulus (TV/Print ads) to digital (website, mobile site, social platforms, review sites, deal sites, classifieds, blogs, videos etc.), there has to be good marketing mix.

Innovative marketing strategies especially for mobile devices, as mobiles have changed the way people search, behave. Now it’s on to conversions, registration on mobile are hectic, instead they can be replaced with “app like” permissions, resulting in better impact.  Placement of QR code at essentials offline touch points will lead the consumer to the information which you want them to read.

It is difficult to track each and every touch point of your present or potential consumers. The basic rule remains the same “Top of Mind Awareness” (TOMA).

Just to sum up the article, increase in penetration of the smartphones across geographies will have dramatic impact on ecommerce and retail business, keeping marketers on the toes as they understand this behavior is poised  to increase.