Unified Commerce Benchmark for Specialty Retail in Singapore

A new age of consumerism is reshaping commerce. Our Benchmark for Specialty Retail in Singapore is the region's first Unified Commerce benchmark with real purchases, real returns and real customer journeys across digital and physical channels.

Learn what leaders do to differentiate.

Conducted by
Incisiv
Sponsored by
ManhattanGoogle CloudZebra

Why Unified Commerce?

Because convenience + customer empowerment drives the modern retail experience.

Unified commerce technology promises a consistent and seamless omnichannel experience across all channels, whether they are shopping online, in-store, or through a mobile device. Its goal is the seamless fusing of all channels to create a singular experience for the customer, like searching and ordering online and picking up or delivering from a store, engaging the contact centre directly from a ship confirmation text, or even giving customers complete control of post-purchase options from their mobile device. The problem for many retailers is that a growing variety of selling, engagement, and fulfilment expectations have made delivering those omnichannel commerce experiences increasingly more difficult.

But the Unified Commerce Benchmark research shows that when we get it right, a unified commerce approach ensures every shopping journey becomes a brand loyalty opportunity and striving to achieve a leadership position represents a significant opportunity to grow revenue as well.

Unified Commerce
leaders’ revenue growth outperforms non leaders
2X – 3X
Person scrolling through products in an online catalog.

Digital is Default

Digital devices and apps are the lenses through which modern-day humanity interacts with the physical world.

Shoppers don’t see “channels” the way retailers do. They simply shop. For brands, embracing a digital-first ethos doesn’t mean giving up on physical retail. It means amplifying each by fusing the two together seamlessly.

Man delivering packages to door.

Convenience is a Commodity

We are now in the age of hyper convenience, with 15-minute delivery for essentials through "quick commerce" players such as Getir and Gorillas. Specialty retailers must reshape shopper expectations around convenience to be about more than just speed, offering a varied choice of payment and delivery options, for instance.

Importantly, they must differentiate between brand and customer experience to avoid competing on convenience alone.

Virtue is a Brand

As consumers passionately embrace new values — from environmental friendliness to social equity, holistic wellness to inclusive diversity — they expect their favourite brands to stand up and be counted.

Shoppers signal virtue through the choices they make, and demand that brands find a purpose beyond profit. Brands can make commerce more responsible by helping shoppers find products that align with their value system, be transparent about their supply chain & educate shoppers about the environmental impact of various shipping options.

Meticulous Benchmarking Methodology

Unified Commerce Assessment Framework

Incisiv first developed a detailed parameterised list of Unified Commerce customer experience capabilities.

Then, based on shopper insights, retailer executive surveys, retailer digital and store performance data, and segment-level KPI benchmarks, we organised key capabilities into Table Stakes and Differentiating
Experiences.

Unless mentioned otherwise, all data in this report is from Incisiv's in-market shopper and executive research and from aggregate data analysis of the retailers that were assessed as part of the benchmark.

Store & Digital Experience Audits

Incisiv developed an objective list of 33 retailers across 3 specialty retail segments. We chose a mix of top omnichannel retailers by revenue across Apparel & Footwear, Home & DIY, and Luxury. All retailers had to be in good financial health, as determined by a combination of factors, including their debt rating and rate of store closures.

Incisiv’s team of customer experience analysts then conducted comprehensive shopping journeys, including real purchases and returns, across both digital and store channels.

Rating Categories for Assessed Retailers

Assessed retailers were then scored based on the adoption of customer experience capabilities, the efficacy of each capability, and the consistency and the quality of experience.

Based on their score, brands were organised into one of 4 performance categories - Leaders, Challengers, Followers, or Laggards - each with a statistically significant difference in capability maturity and impact on performance.

Unified Commerce Assessment Framework

Incisiv’s Unified Commerce Assessment Framework spans 290 customer experience capabilities across the following four functional areas. The number of attributes assessed in each area is provided in parentheses.

Search & Discovery (80)

Effectiveness, relevance and maturity of digital selling experiences

Cart &
Checkout (47)

Order personalisation,
inventory visibility, checkout
and payment options, order
pick-up and returns

Promising & Fulfilment (61)

Availability, speed, cost and convenience of fulfilment

Service & Support (102)

Resolution, returns, customer assistance, loyalty program and account management

Rating Categories for Assessed Retailers

A specialty retailer currently rated a Challenger would stand to gain 22M€ per billion Euros in annual revenue by improving its Unified Commerce maturity to a Leader.

Unified Commerce Benchmark for Specialty Retail in Europe

Laggards

Laggards offer a severely lacking Unified Commerce experience, missing even some basic table-stakes functionality.

Unified Commerce Benchmark for Specialty Retail in Europe

Followers

Followers offer a basic Unified Commerce experience, addressing most table-stake capabilities. Their experiences lack depth and are light on the adoption of differentiated capabilities.

Unified Commerce Benchmark for Specialty Retail in Europe

Challengers

Challengers offer a seamless Unified Commerce experience
built on a solid foundation of capabilities. They offer some differentiated experiences but lack the depth and coverage of leaders.

Unified Commerce Benchmark for Specialty Retail in Europe

Leaders

Leaders offer the richest Unified Commerce experience within and across retail segments. They lead in the adoption of differentiated experiences and are functionally mature across assessment areas.

Industry Playbooks for Specialty Retail Verticals

Industry playbooks provide retailers withcrucial guidance, containing tailored insights and practical advice foraddressing specific maturity gaps within their verticals.

Overview

Search & Discovery refers to the set of retailer capabilities and experiences that help shoppers find the most meaningful products and services for their needs. To do so, a retailer must be able to curate a personalised experience based on shopper intent. Are they looking for a specific item that they need urgently? Are they exploring the brand for the first time, and need to understand how it can fit their lifestyle? Are they shopping for an occasion, and are willing to be led and inspired?

Why it matters

34
%

higher conversion rate for shoppers who initiate engagement with a retailer with a product search.

44
%

of shoppers will shop at another retailer if their desired product is out-of-stock.

21
%

of shoppers are satisfied with their preferred retailer's sustainability practices.

Leader Insights

Guided
Inspiration

Leaders help shoppers discover meaningful products - whether they are looking to fulfil an immediate need, or simply in need for inspiration. They strive to go beyond being a place to find products, to becoming a lifestyle hack for their shoppers. They do so through advanced digital personalisation, best-in-class in-store assisted selling, and excellent online and in-store merchandising.

Inventory on product pages
100
%
Leaders
93
%
Non Leaders
Bundled product offerings (suggestions to buy the look or set)
75
%
Leaders
45
%
Non Leaders

Leader Insights

Rich
Findability

Leaders understand the broader context of a shopper's purchase intent, and assist them through deeply contextual search and filtering capabilities online, and similarly guided assistance in-store. e.g. How soon can it be delivered? Does it have a specific product characteristic or feature they are looking for? Can they back-order their preferred size and colour if it is out-of-stock?

Product availability at store level
75
%
Leaders
31
%
Non Leaders
Inventory status callouts for low stock/ out-of-stock products
75
%
Leaders
28
%
Non Leaders

Leader Insights

Immersive
Storytelling

Leaders make shoppers feel good about their purchase decisions: what they're buying, and who they're buying from. They go beyond product features, and immerse the shopper in the brand's ethos. They storytell their greater purpose, and have shoppers buy into their vision for why their way is good for the shopper, good for business, and good for the world.

Ratings and reviews for specific product dimensions (size or fit)
75
%
Leaders
24
%
Non Leaders
Publish content on sustainability and social initiatives
100
%
Leaders
41
%
Non Leaders

Overview

Basket & Checkout refers to the set of retailer capabilities and experiences that help shoppers make a positive decision at the most critical point of conversion (or abandonment, if they don't get it right). Modern shopping journeys have a decidedly start-and-stop nature. Retailers must provide shoppers seamless continuity as shoppers switch between the physical and the digital, especially of their basket and wishlist so the burden is not on shoppers to do all the work again

Why it matters

26
%

of shoppers say that checkout is the #1 area retailers should focus on in order to improve in-store experience.

47
%

of shoppers abandon their shopping basket because they perceive the checkout process to be too long.

31
%

of shoppers will not retry if they have to re-enter their payment or delivery details.

Leader Insights

Unified Basket

The biggest point of friction in today's retail customer experience is due to the loss of context when transiting between the physical and the digital. A unified cart or basket is a foundational capability to provide that critical connective tissue across channels. Even though a truly unified basket remains elusive, Leaders have made the most progress.

Move items from cart to wishlist and back
75
%
Leaders
41
%
Non Leaders
View and apply
promotions and offers in
cart
75
%
Leaders
38
%
Non Leaders

Leader Insights

Payment
Flexibility

Leaders offer shoppers the widest choice of payment types, both online and in-store, providing that extra bit of flexibility that makes
their purchase decision easier. They make it simple and convenient for shoppers to pay however they prefer, including through gift
cards, loyalty points, store credit, mobile wallets, pay-later apps, store credit cards, and any combination thereof.

“Buy now, pay later” and “gift card” payment
methods
75
%
Leaders
17
%
Non Leaders
Loyalty points redemption for payments
50
%
Leaders
17
%
Non Leaders

Leader Insights

Frictionless
Checkout

Addressing in-store and online basket abandonment is a huge revenue opportunity for retailers. A majority of basket abandonment occurs due to less than ideal shopper experience at checkout - long wait times in-store, or multi-step checkout on line, for instance. Leaders provide seamless checkout experiences that reduce unnecessary friction at the point of conversion.

Expedited checkout
100
%
Leaders
55
%
Non Leaders
Ability to checkout using Google Pay or PayPal
75
%
Leaders
28
%
Non Leaders

Overview

Promising & Fulfilment refers to the set of retailer capabilities and experiences related to offering shoppers the choice, confidence, and clarity of how and when they can receive the products they want to order. If retailers can assist shoppers with important ordering and delivery related information across the shopping journey, they increase their probability of conversion. What is the earliest I could get this item, and how? Can I order an item for in-store pick-up and another for delivery as part of the same order? Can a store associate help me back-order an item currently out-of-stock in my preferred colour or size?

Why it matters

54
%

of shoppers value expedited delivery (same business day), but are only willing to pay a maximum of <5€ as extra fee.

48
%

of shoppers prefer to use a subscription based model to get their essentials delivered.

71
%

of shoppers want a self-service option to be able to edit orders after placing them.

Leader Insights

Ordering
Flywheel

Leaders offer shoppers a comprehensive set of delivery and pick-up options, focusing not just on speed but on flexibility to fit busy lifestyles. They accommodate ordering complexity without compromising checkout convenience, allowing shoppers to select different delivery options for products within the same order for instance.

Option to pick-up orders from preferred stores/ship to store
67
%
Leaders
30
%
Non Leaders
Access to free delivery regardless of order amount
67
%
Leaders
20
%
Non Leaders

Leader Insights

Dynamic
Promising

Leaders understand that simply exposing available inventory to shoppers is no longer good enough. They provide early, narrow, consistent, and accurate delivery estimates throughout the shopper journey. And, they clearly communicate with shoppers in case a delivery estimate changes during the order process, helping build a higher degree of shopper confidence and trust.

Order cancellations post purchase
33
%
Leaders
17
%
Non Leaders
Order tracking via email/text and app/website channels
100
%
Leaders
53
%
Non Leaders

Leader Insights

Flawless Fulfilment

Leaders make sure shoppers' product pick-up or delivery experience is as good as their shopping journey. Not only do leaders meet or beat their delivery promises consistently, they do so while being more environmentally friendly. They also offer shoppers greater post­order flexibility, such as complete or partial cancellations, item modifications, and change of delivery or pick-up method.

Real-time order pick-up
notifications/alerts by store
33
%
Leaders
17
%
Non Leaders
Sustainable product packaging
67
%
Leaders
7
%
Non Leaders

Overview

Service & Support refers to the set of retailer capabilities and experiences related to offering shoppers personalised assistance across their relationship lifecycle. Shoppers are pushing retailers to two extremes of service: "give me service options that don't interrupt the natural flow of my day", and "make me feel special through high-touch, personal service". Retailers can balance the two by using digital tools to improve service efficiency, and the human empathy of their store and call centre associates to deliver authenticity.

Why it matters

53
%

of shoppers say that retailers offer them a personalised service experience.

35
%

of shoppers find the refund and return process to be very time consuming.

69
%

of shoppers prefer 24*7 availability of customer support.

Leader Insights

Total
Transparency

Leaders are more transparent with shoppers across a variety of relationship vectors - from orders to service requests, from data use and to supply chain practices. They also ensure the drop-off in transparency between digital and physical channels isn't `as steep by providing the necessary tools and training for store and call centre associates.

Real-time order status
alerts or notifications
80
%
Leaders
36
%
Non Leaders
Ability to initiate and track returns online
80
%
Leaders
38
%
Non Leaders

Leader Insights

360-Degree
Service

Leaders offer shoppers a wide variety of service options — from in-store assistance to call centres, social media support to live agents on their website and mobile app. Importantly though, they offer seamless continuity, consistent quality, and always-on availability across their service portfolio. They empower shoppers to self-serve most of their service needs, offer "silent" support options such as via text, and ensure they don't have to wait long to talk to a human if they choose to.

Support via social media channels
60
%
Leaders
32
%
Non Leaders
Support via live chat
80
%
Leaders
39
%
Non Leaders

Leader Insights

Consultative
Expertise

Leaders don't just limit services to mean providing support. They offer value-added services such as customisations, style and fit guidance, and in-store hospitality to turn service interactions into a secret sauce of brand stickiness. Leaders empower store and call centre associates with the tools and training needed to convert a moment of potential churn into one that builds feverish brand loyalty.

Guided purchase and product assistance by chat agents
80
%
Leaders
30
%
Non Leaders
In-store appointment scheduling for product repairs/alteration
60
%
Leaders
11
%
Non Leaders

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