In our just-released report on Social Media, it is not surprising that retailers self-profess a shortage of resources to manage all of the eCommerce/Social Networking opportunities that are currently available (43% call it a top inhibitor); that pain point has been consistently reported by retailers in our eCommerce and Omni-Channel research for years now. Neither is it a surprise to see that (perhaps) due to the newness of Social Media, 36% say they are challenged by ways to turn Social Media data into actionable business intelligence; similarly, another 28% report that they don’t yet know how to integrate Social Media with current CRM/loyalty and merchandising systems.

What IS disheartening to see is that this early in the adoption cycle, 57% of the aggregate pool already report that the ROI associated with new attempts to incorporate Social Media is too difficult to rationalize. What’s worse, this number is even higher for top performers (70%). Retailers are clearly being dragged into the Social Media fray, begrudgingly, by the consumer. That pace shows no sign of slowing. While the retail industry is not historically known for being experimental in nature, this could be a huge miss as it relates to Social Media. The ability for retailers to properly (and seamlessly) integrate data derived from Social Networking efforts across all channels is inarguably costly, complex, and for most, still quite distant on the horizon. However, experimentation in those Social Media projects which do not aim to benefit the retailer’s data model directly – and instead are undertaken solely to delight the consumer – such experiments are markedly low cost, and should they inspire Brand Loyalty, will ultimately pay off in dividends. It should be noted, however, that any retailer braving such attempts should first perform the due diligence required to understand how their brand connects to the consumer’s needs and wishes.

Some Good News…

Retailers clearly understand that the time for a Chief Customer Experience Officer is at hand.

While a streamlined technology platform or infrastructure takes top honors (only 12% identify no value), a full 98% of retailers surveyed see value in tasking a single executive with managing and enhancing the overall customer experience; 55% say this is a highly valuable component of improving their Social Media processes.

This function of this Chief Customer Experience Officer, regardless of actual title given, is rapidly becoming one of the most important – and frequently absent – components of a retailer’s overall offering. With increasingly sophisticated and fickle consumers only a click away from shopping a competitor, today’s retailer must be certain that regardless of the channel (or number of channels) in which a customer chooses to engage, the experience must seamlessly fulfill their current need. This need could be as simple as a mobile site that features the functionalities mobile consumers most frequently utilize (store locator or digital gift card purchase, for example), to far more complex Social Media applications (the ability to easily send comparison products to Facebook for friends’ opinions). At its core, the proliferation of new channels and new shoppers demands that a retailer understand exactly what a customer experiences whenever – and however – they elect to shop the brand. As a result, this job function is an absolute must for any successful retailer. It should come as no surprise, then, that Winners and Top Winners apply high value at an even higher rate (69% and 70%, respectively).

…And Some More

Lastly, it is encouraging to see that more experimentation ranks highly as an opportunity to overcome the barriers retailers currently face (96% ascribe value). Those who take on experimentation (as opposed to those who wait and see, letting their competitors experiment instead) have a much better chance of making lasting, successful connections with the consumer within this new medium.

If you’d like the full report, we invite you to download it.