The Internet creates explosive opportunities for the retail industry, but challenges abound as well.

Two mistakes in particular can keep you from seizing these online retail opportunities: ignoring your metrics and ignoring customer-service relationship management.

Those in the retail industry know how easily you can get caught up in the day-to-day requirements of the job. Online retail offers the same challenge.

Committing all your time to creating and maintaining the best-looking site—like a beautiful retail shop window—can lead to ignoring the important information provided by your analytical tools.

The creative aspects of the online retail industry are where the fun is.

But the fun won’t last if your site isn’t making the profits you need. Carve out the time—however much it takes— to mine the data your analytical tools provide. Read the rest of this entry

The Internet has raised customer expectations for what all segments of retail business should deliver. The speed at which information flows and the amount of information available has created a new kind of retail customer.

If you’re in the retail business, you need to know how this impacts you.

Don’t think these changes are limited to online retail. By 2014, 53 percent of all retail customers will go online first for guidance before making a purchase. If you’re operating a traditional brick-and-mortar business now, take a look at all the customers coming into your store. In 5 years, half of them will have already shopped online.

What does this mean for the retail businessnow?

A good example is the Best Buy retail electronics giant. In 2006, Best Buy purchased the Geek Squad computer-repair service. The chain made a decision to transition from a seller of products to a provider of service and advice that also sells products.

Anyone in retail now would be wise to pay attention. Read the rest of this entry