Since COVID-19 and the evolution of tech over the last twenty years, more and more brands have moved their products and services online. This has been particularly noticeable in the food and drink sector. But what is this transition like for these companies that are more geared toward traditional, in-person experiences?
On the latest episode of The eCommerce Toolbox: Expert Perspectives podcast, our host and co-founder Kailin Noivo is joined by Ksenia Rodionova, Head of eCommerce at Yum! Brands. Together, they delve into strategies and considerations involved when businesses transition from offline to online.
The Puzzle of Moving Online
Ksenia has spent the majority of her career helping traditional businesses, including popular food brands like KFC, transition from offline to online. While each business is unique, there is a certain puzzle that Ksenia applies to every occasion.
The first piece of the puzzle is to understand the voice of the customer:
As Ksenia points out, this is vital for every leader anyway, but it is especially important when making big business decisions as you need to know how it will affect your consumer base.
The second part of the puzzle involves knowing what technology is out there, and how to use it. After all, if you’re moving online, you need to have some tech in place to support it.
Thirdly, you have to know how to speak, sell, and deliver to clients. If you understand exactly how to do this, you can help transition your consumers through the process.
Finally, it is important to understand how commercial trends and investments in IT, customers, and operations can lead to an ROI. At the end of the day, you need to know what you will gain from moving online.
Maintaining Profitability
Having worked in the business of moving grocery and food delivery companies online, Ksenia is very familiar with the worry that profitability will be impossible when you move online.
In order to maintain profitability, she recommends first focussing on your money and data, observing exactly where you lose and earn money already. Then, you must make sure that customers are front and center in your new strategies. Build the service for your clients. If you have bad service, you definitely won’t be profitable.
Ensure that every part of your operations serves your customers’ needs, using the appropriate IT resources where necessary. Every step should be justified, use your knowledge of your customers and your new understanding of your existing money model to direct the steps you make in your move online. That way, you’ll be less likely to lose your profits.
What do you Gain from Going Online?
So you think you should go online, and you now know how to start the process, thanks to Ksenia, but should you do it if you don’t understand what you gain?
There is a common concern that going online is not growing your business. In fact, some experts see it as reducing your revenue as you take existing in-store customers and just give them a big discount.
Often with traditional companies, particularly food brands, it is true that you won’t be gaining customers when you move online, but that doesn’t mean you won’t be growing.
In fact, Ksenia points out that you will actually increase the loyalty of your existing customers, as they will have more opportunities to buy from you. This reduces the likelihood of them turning to competitors and, in turn, can lead to a substantial ROI from your transition to online services.
Listen to the Full Episode Below!
Tune in to this episode of The eCommerce Toolbox: Expert Perspectives with Ksenia Rodionove to find out more about moving brands online.
👉 Apple: https://apple.co/48DZ0IF
👉 Spotify: https://spoti.fi/3NNgPNr
Ksenia Rodionova is the digital dynamo behind Yum! Brands’ eCommerce success. As the Head of eCommerce, Ksenia is reshaping how we think about digital ordering in the Quick Service Restaurant industry, with her strategies leading to impressive growth and a digital-first approach. With a rich background across top-tier retail companies, she’s a master of digital sales channels and customer engagement.
