Retail News CRM

Tag: customer

  • Retailers Strive for AI Traffic Boosts without Sacrificing Customer Data Security

    Retailers Strive for AI Traffic Boosts without Sacrificing Customer Data Security

    As customers are increasingly leveraging ChatGPT and Google’s Gemini for product recommendations, retailers are looking to capitalize on the opportunity by making their products appear prominently in chatbot search results. However, they are wary of relinquishing customer data, which forms the basis of online sales and customer loyalty.

    Leading retailers like Walmart, Ulta Beauty, and Wayfair are revamping their websites in response to the upsurge in online traffic from AI platforms. They aim to ensure their products rank high in chatbot searches, but want transactions to continue happening on their platforms. This allows them to gather crucial data on browsing behavior, basket sizes, and previous purchases, which is instrumental in future sales and maintaining customer loyalty.

    The Rising Influence of AI in Retail

    AI agents, including Anthropic’s Claude and Gemini, are leading customers to retail websites, with a projection of up to $8 billion in spending this year. According to Adobe Analytics, 41% of US consumers utilized generative AI for online shopping in June, with AI-referred visitors generating 41% higher revenue per visit than those arriving via traditional means.

    Unlike search engines, which rank pages based on keywords and links, chatbots answer detailed queries. This is prompting retailers to reevaluate their online product descriptions and how customers discover their brands. As Josh Friedman, Ulta Beauty’s head of digital and e-commerce, puts it, “Whether it’s Google search, affiliate marketing, or Facebook, there’s always a price to pay for engaging customers on other people’s platforms. This is no different.”

    Ulta Beauty has noticed a significant surge in conversion and customer intent from shoppers discovering its products through Gemini and ChatGPT. Collaborating with Google, the company is integrating shopping carts and its Ulta Beauty Rewards loyalty program into AI-powered shopping within Gemini. However, Friedman maintains that the retailer would rather have customers conclude transactions on Ulta’s website.

    Retailers’ Advantage

    Retail executives claim an advantage over general-purpose AI tools due to their in-depth knowledge of customer preferences. For instance, when a customer completes a purchase on a brand’s site, the retailer continues to maintain a direct relationship with that customer, according to Vince Koh, global head of digital commerce at Amazon Web Services.

    The Knot, a wedding-planning platform, is adopting a similar approach. They are optimizing their website to pop up in ChatGPT results, but encourage customers to book wedding venues and invitations directly via their website.

    Despite ChatGPT and Gemini becoming critical marketing tools, customers seem more at ease completing purchases on retailers’ own websites. For instance, OpenAI shut down Instant Checkout, a tool that allowed purchases through ChatGPT, and is now focusing on product discovery. Etsy has also observed users finding products through ChatGPT and returning to Etsy’s website to complete the transactions.

    Questions & Answers

    Why are retailers eager to rank highly in chatbot searches?
    To capitalize on the increasing online traffic from AI platforms and to enhance customer engagement and sales.

    How is AI influencing customer shopping behavior
    AI agents like Anthropic’s Claude and Gemini are directing users to retail sites, with AI-referred visitors generating significantly higher revenue per visit.

    Why do retailers prefer customers to complete transactions on their own platforms?
    This allows them to gather crucial data on customer behavior, which is instrumental in driving future sales and maintaining customer loyalty.

  • Love, Bonito Exposed: Singaporean Fashion Retailers Data Breach Puts Customer Information at Risk

    Love, Bonito Exposed: Singaporean Fashion Retailers Data Breach Puts Customer Information at Risk

    The Personal Data Protection Commission (PDPC) of Singapore is currently conducting an inquiry into a cybersecurity event involving fashion retailer Love, Bonito. The company revealed recently that a vulnerability on its website might have exposed some of its customers’ personal details.

    Love, Bonito discovered the security glitch on July 26 and promptly addressed the issue on the same day, upon uncovering unauthorized access to select customer account data. Following immediate actions to manage the incident, the retailer has also boosted its security measures to thwart similar incidents in the future.

    Customer Information at Risk

    According to Love, Bonito, the data that was potentially accessible includes customers’ names, birth dates, email and shipping addresses, as well as phone numbers. The company also acknowledged that customers who made card payments on their website might have had certain card information revealed. This includes the final four digits of their card number and the card’s expiration date. However, they were quick to reassure customers that full credit card details were not exposed in the incident.

    Love, Bonito did not divulge the number of customers impacted by the breach or provide any detailed description of the security vulnerability.

    The retailer has advised all affected customers to be on high alert for any possible phishing attempts, refrain from sharing one-time passwords or verification codes, and consistently monitor their accounts and payment cards for any suspicious activities.

    Questions & Answers

    What information was potentially accessed during the security breach?
    Customer names, birth dates, email and shipping addresses, and phone numbers might have been accessed. Limited card information may also have been exposed, including the last four digits of the card number and the expiration date.

    Did the security breach expose full credit card details?
    No, Love, Bonito has assured that full credit card details were not compromised during the incident.

    What measures has Love, Bonito taken following the incident?
    The company has taken immediate steps to contain the incident and has since strengthened its security safeguards to prevent future occurrences. They have also advised affected customers on measures to protect themselves.

  • Unlocking Retail Growth: How Payment Data Transforms Customer Engagement Strategy

    Unlocking Retail Growth: How Payment Data Transforms Customer Engagement Strategy

    In the evolving retail environment, merchants are faced with an abundance of platforms and technologies to engage with customers. This, according to Mastercard’s SVP of consumer acquisition and engagement, Johann Suchon, has given rise to a new challenge: discerning where to allocate resources for tangible growth.

    The Changing Retail Ecosystem

    With an increasingly fragmented and competitive retail landscape, brands have numerous opportunities to connect with customers through both digital and physical channels. Navigating the optimal combination of platforms, technologies, and marketing tools, however, has become a complex task. The modern retail ecosystem is far more intricate than in the past, and retailers now face the challenge of identifying the most effective tools, along with those that best facilitate the management of their offers.

    Suchon asserts that retailers must begin influencing customer purchasing decisions early in the buying journey. Payments are evolving beyond a simple transactional function, morphing into a strategic engagement channel. Through payment data, brands can significantly influence customer behavior – a capacity that far exceeds what could be achieved by leveraging solely their first-party data.

    The Transformation of Loyalty Programs

    According to Suchon, loyalty programs are currently undergoing one of their most significant transformations. The key competitive edge lies not just in acquiring customers, but also in reaching the appropriate consumers with meaningful offers. Traditional loyalty programs, which typically offer uniform benefits to members, are becoming less effective as customers increasingly demand personalized experiences.

    By enriching their data with payment information, retailers can target offers much more accurately. Retailers who have previously invested in loyalty programs are in a strong position to transition, as their first-party data can be used to tailor communications and offers more effectively than brands without loyalty programs.

    The use of payment data also presents a broader view of customer behavior, allowing retailers to gain insights into spending patterns across various industries, thus identifying opportunities that may have otherwise been missed.

    Emerging retail trends also suggest a significant shift in cross-border spending in Asia-Pacific, with approximately 70% of transactions originating from local consumers. For retailers targeting inbound tourism, this offers a substantial opportunity to connect travelers with relevant offers before and during their visit.

    Questions & Answers

    What is the current challenge for retailers in term of customer engagement?
    The current challenge for retailers is discerning where to allocate resources for tangible growth amidst an abundance of platforms and technologies.

    How can payment data be utilized in the retail sector?
    Payment data can significantly influence customer behavior and offers a broader view of customer behavior, allowing retailers to gain insights into spending patterns across various industries, thus identifying opportunities that may have otherwise been missed.

    What is the future trend in loyalty programs in the retail sector?
    Loyalty programs are currently undergoing significant transformations, with a shift towards personalized experiences. By enriching their data with payment information, retailers can target offers much more accurately. This trend is likely to continue and evolve in the future.

  • Global Hotel Giant Booking.com Hit by Customer Data Breach: Is Your Information Safe?

    Global Hotel Giant Booking.com Hit by Customer Data Breach: Is Your Information Safe?

    Travel booking platform, Booking.com, recently experienced a data breach, potentially exposing user data to unauthorized individuals. This discovery was made following the observation of suspicious activities related to several reservations. The compromised data might consist of booking details, user names, email addresses, phone numbers, and other information shared by customers during their booking process.

    Despite the security breach, the Netherland-based company assured its users that their financial data and home addresses were not compromised. The company said, “We have dedicated teams and employ machine learning tools to monitor, detect, and block suspicious activity around the clock. We are continuously working to enhance the robust security measures we have in place.”

    Scale of the Breach

    Booking.com, being one of the largest hotel reservation platforms globally, did not reveal more information about the extent of the breach, including the number of users affected.

    There have been reports from some customers who claim to have received phishing messages through WhatsApp that contained their booking details and personal information. This suggests that the hackers could be using the stolen data to target Booking.com customers.

    In response to this issue, Booking.com took immediate action to contain the situation and issued new PINs to users with reservations. They also cautioned their customers to stay alert to suspicious emails or phone calls pretending to be from the properties or the platform itself. The company emphasized that they would never ask for credit card details through an email, phone call, text message, or WhatsApp.

    History of Cybersecurity Challenges

    The recent breach is one of many cybercrime attempts targeting Booking.com, which has been dealing with an increase in scams on its platform. Fraudsters, posing as legitimate entities, have been known to ask for payment details under the guise of pre-authorization or trip verification, leading to sizeable unauthorized charges.

    A similar incident happened in 2018 when attackers used phishing techniques to gain login credentials from hotel employees in the United Arab Emirates. This breach allowed them to access booking information of over 4,000 users on the platform.

    Despite these security challenges, Booking.com has recorded a high number of bookings. Since 2010, it has facilitated reservations for about 6.8 billion customers, making it one of the leading players in the travel and hospitality industry.

    Questions & Answers

    What kind of customer information was potentially exposed in the data breach?
    Email addresses, phone numbers, booking details, and any other information shared by the customers during the booking process might have been compromised.

    What steps has Booking.com taken in response to the data breach?
    Booking.com has issued new PINs to affected users and taken immediate action to contain the issue. They have also warned their customers to be wary of suspicious communication that could be impersonating the platform or associated properties.

    Has Booking.com experienced cybersecurity issues in the past?
    Yes, Booking.com has faced challenges with cybercrime in the past. For instance, in 2018, attackers used phishing techniques to access the booking information of more than 4,000 users on the platform.

  • Blooms the Chemist Enhances Customer Experience with Innovative Store Redesign

    Blooms the Chemist Enhances Customer Experience with Innovative Store Redesign

    Blooms the Chemist, an Australian community pharmacy chain, is rolling out a new store design at its Figtree branch, aiming to provide a welcoming and hassle-free shopping journey for its local customers.

    New Store Design

    As part of a revamped brand approach, the latest design is a cooperative project with Chemfit, a long-standing and reliable partner. The concept was devised by Mathew Dalby, a retail design specialist from StudioFab.

    The unique design features include a color-coded arrangement and additional signage, aimed at crafting an uninterrupted and comfortable customer shopping experience.

    Brand Refresh Strategy

    The revamp, destined to be implemented across all Blooms the Chemist outlets over the coming two years, is targeted at providing retail excellence along with expert service and personalized care to the distinct local communities that the pharmacies cater to.

    Narelle Duncan, the head of network development at Blooms the Chemist, enthusiastically shared that the new brand concept introduced to pharmacy owners in 2024 was met with widespread approval across their member network.

    She asserted that the redesigned store will help bring uniformity to the Blooms network, thus promoting brand consistency. “This refreshed store layout makes health and wellness more accessible for locals by creating an inviting and user-friendly shopping ambiance. Furthermore, it enhances our pharmacists’ efficiency and practicality,” added Duncan.

    Positive Customer Feedback

    The team at Blooms the Chemist Figtree have already reported positive customer responses regarding the appealing aesthetics and enhanced in-store experience.

    Presently, Blooms the Chemist operates over 130 community pharmacies across Australia.

    Questions & Answers

    What are the key features of the new store design?
    The new design includes a color-coded layout and additional signage to provide an uninterrupted and comfortable customer shopping experience.

    What’s the purpose of the new store design?
    The revamped store design is aimed at delivering retail excellence, expert service, and personalized care to the local communities. It also intends to promote brand consistency across the Blooms network.

    What has been the initial response to the new design?
    The team at Blooms the Chemist Figtree have reported positive customer feedback, particularly noting the appealing aesthetics and enhanced in-store experience.

  • Revolutionizing Retail: How Meta, L’Occitane and Omnichat are Using WhatsApp to Drive Customer Loyalty

    Revolutionizing Retail: How Meta, L’Occitane and Omnichat are Using WhatsApp to Drive Customer Loyalty

    Omnichat, a notable omnichannel AI platform, recently conducted the third iteration of the Commerce Leadership Forum at Meta Singapore’s facility. The forum saw an assemblage of high-ranking leaders across various sectors, arranged to discuss the transformative influence of AI-empowered business messaging in retail, beauty, and lifestyle industries in the Asia Pacific.

    The Impact of WhatsApp on Commerce

    Prominent leaders from Meta and L’Occitane spoke about the swift adoption of WhatsApp as a crucial commercial platform, underscoring its evolution from a simple customer support tool to an engaging platform catering to committed customers, driving conversions, and establishing long-lasting loyalty.

    L’Occitane disclosed that WhatsApp has become the primary mode of customer communication across Asia Pacific markets, accounting for over 80% of inbound and outbound customer interactions. The brand further revealed that personal, conversational interactions have resulted in profitable outcomes compared to traditional channels. This increase in commercial success, coupled with real-time engagement, has enabled L’Occitane to extend relationship-building beyond transactional interactions, resulting in lasting brand loyalty.

    Terrence Siu, chief information officer of APAC at L’Occitane, stated, “Loyalty begins the moment a customer chooses to stay connected with the brand. Using WhatsApp as a unified touchpoint allows us to move customers smoothly from online discovery to in-store engagement without losing context. Customers receive a consistent and personalized experience wherever they interact with us, be it on Facebook, Instagram, or WhatsApp.”

    L’Occitane has extended this seamless experience into a complete loyalty journey by utilizing Omnichat and WhatsApp to deliver sample products, VIP privileges, and post-purchase experiences. This ensures that customers feel guided and appreciated long after their initial transaction. The distribution of samples and exclusive VIP offers directly through WhatsApp has elevated their coupon redemption rate to 87%.

    Messaging-led Commerce and Loyalty

    Messaging-led commerce has been further reinforced by YouGov’s new regional insights. The data showed that 32% to 43% of Asia Pacific shoppers now utilize business messaging to track orders, complete purchases, and maintain contact with brands throughout the sales cycle. WhatsApp has effectively become the default loyalty channel for high-intent engagement in Asia.

    Vicky Yiu, APAC strategic partnership manager for business messaging at Meta, asserted, “WhatsApp is increasingly becoming the commerce layer for brand engagement in Asia. When businesses move to a messaging-led experience, they shift from campaigns to relationships – and that is where long-term loyalty is earned.”

    Omnichat, powering these loyalty journeys, has illuminated how brands can evolve membership from a static database into an active relationship engine. By consolidating multi-channel identity into a unified customer profile and harnessing AI to trigger personalized re-engagement flows, Omnichat aids brands in converting one-time buyers into loyal members.

    CEO and founder of Omnichat, Alan Chan, emphasized, “Loyalty only works when it’s active, not passive. By linking QR codes to product samples, in-store touchpoints, and messaging-based rewards, brands can proactively engage members in real time. This is the difference between a loyalty database and a loyalty journey.”

    Questions & Answers

    How is AI-powered business messaging transforming the retail and lifestyle sectors?
    AI-powered business messaging is transforming these sectors by personalising customer interactions, driving profitable outcomes, fostering long-term loyalty, and reducing customer acquisition cost.

    How has WhatsApp influenced L’Occitane’s customer engagement?
    WhatsApp has become L’Occitane’s primary mode of customer communication. It has enabled the brand to provide a seamless experience, from online discovery to in-store engagement and beyond. It also allows L’Occitane to distribute samples and VIP offers directly, resulting in a high coupon redemption rate.

    What role does Omnichat play in this transformative process?
    Omnichat powers the loyalty journeys of brands, transforming membership from a passive database into an active relationship engine. It helps brands remain present in the customer’s daily routine, enabling real-time rewards and VIP benefits, and consolidates multi-channel identity into a unified customer profile.

  • OCBC Enhances Customer Security with Innovative In-App Calling Feature to Combat Rising Fraud

    OCBC Enhances Customer Security with Innovative In-App Calling Feature to Combat Rising Fraud

    Singapore’s OCBC bank is set to introduce a secure in-app calling feature across its retail and business banking platforms. This move comes as a response to a significant increase in scams involving impersonation and a decreasing faith in traditional phone-based verification systems.

    Introducing In-App Calls

    OCBC’s new in-app calling feature will be incorporated into its digital banking apps. This feature offers customers a safer, more convenient way of contacting the bank’s customer service center, particularly for those travelling overseas. Users will be able to avoid international dialing charges thanks to this feature.

    The feature will be made progressively available to retail customers starting November 2025, following its initial rollout to corporate users via the OCBC Business app in June 2025. This development is highly relevant considering the bank handles over 8,000 calls from overseas customers each month.

    Moving Away from SMS OTPs

    As the entire industry begins to shift away from SMS One-Time Passwords (OTP), OCBC recognizes the increasing threats posed by scammers who exploit phishing techniques and social engineering attacks. The availability of personal data online has also compromised the effectiveness of traditional security questions.

    To provide a more secure communication channel, OCBC will route calls directly through its authenticated app environment. This environment is secured using biometrics or access credentials and a digital or hard token. Security questions will only be used for high-risk transactions.

    Expansion to Outbound In-App Calls

    OCBC plans to extend the in-app calling feature to outbound calls by the first half of 2026. This will allow contact center and anti-fraud teams to connect with both retail and business customers via the secure app environment.

    Impersonation scams have become a significant concern in Singapore, especially those involving government officials. The use of in-app calls can help users distinguish between legitimate outreach and fraudulent calls as they are significantly more challenging for scammers to mimic.

    Enhancing OCBC’s Digital Security Framework

    The introduction of the in-app calling feature is part of OCBC’s wider strategy to bolster trust and safety in digital banking. This strategy spans across retail, SME, and corporate segments.

    As scams become more sophisticated and tactics more inventive, banks in Singapore are speeding up their transition away from vulnerable verification methods. They are working towards strengthening secure, app-based ecosystems to ensure customer safety and trust.

    Questions & Answers

    What is the purpose of OCBC’s new in-app calling feature?
    The new in-app calling feature is designed to provide customers with a safer and more convenient way to contact the bank’s customer service center, particularly for those travelling overseas.

    When will the in-app calling feature be available to retail customers?
    The in-app calling feature will be made progressively available to retail customers starting from November 2025.

    How does the in-app calling feature enhance security?
    The in-app calling feature enhances security by routing calls directly through an authenticated app environment, secured using biometrics or access credentials and a digital or hard token. Security questions will only be used for high-risk transactions.

  • Spanish Retail Giant Mango Suffers Data Breach: Customer Marketing Data Compromised

    Spanish Retail Giant Mango Suffers Data Breach: Customer Marketing Data Compromised

    Mango, a global fashion retail corporation based in Spain, has recently announced a data breach. An external marketing service provider affiliated with the retailer experienced an unauthorized intrusion, compromising customer data.

    Details of the Data Breach

    On October 15, Mango informed its customers via email about the data breach incident. The breach compromised certain customer information used for marketing purposes. This included data such as first names, countries, postal codes, email addresses, and phone numbers.

    The company was quick to reassure customers that the breach did not involve financial information, passwords, or other identification details.

    Mango’s Response to the Breach

    Mango emphasized the continued security of its infrastructure and internal corporate systems. It also confirmed that the company’s operations are continuing uninterrupted.

    Upon learning about the breach, Mango immediately implemented all its security protocols. The company has also reported the issue to the Data Protection Agency and the Authorities, in accordance with current regulations and their internal protocol.

    As a precaution, Mango sent out a notice to its customers about the breach. It advised customers to be vigilant for suspicious emails or phone calls asking for personal information or prompting them to take unusual actions.

    Contacting Mango

    Clients who have any concerns about the breach can reach Mango’s customer service at personaldata@mango.com. Alternatively, they can make a direct phone call to +34 93 860 24 24.

    In closing, Mango expressed regret for the incident. The company conveyed their sincere apologies for any inconvenience caused by the situation.

    Questions & Answers

    What kind of customer data did the breach compromise?
    The breach compromised data used for marketing purposes, including customers’ first names, countries, postal codes, email addresses, and phone numbers.

    Did the breach involve any financial or identification information?
    No, the breach did not involve any financial information, passwords, or other identification details.

    What steps has Mango taken in response to the breach?
    Mango has implemented all its security protocols and reported the issue to the Data Protection Agency and the Authorities. The company has also advised customers to be alert for suspicious emails or phone calls.

  • Puma’s Data-driven Approach Boosts Customer Loyalty In Southeast Asia

    Puma’s Data-driven Approach Boosts Customer Loyalty In Southeast Asia

    In the retail and branding sector, data reigns supreme. It provides valuable insights that can be employed to boost personalisation and foster customer loyalty. Sportswear retailer Puma provides a case study for this, as it navigates customer relationship management (CRM) and lifecycle marketing in Southeast Asia.

    Understanding the Data Challenge

    A one-size-fits-all CRM strategy won’t suffice, especially in Southeast Asia’s diverse market. The key to any successful CRM strategy is the development of a robust database. Ankit Madhogaria, Puma’s director of e-commerce Southeast Asia, emphasizes the importance of gathering accurate consumer data both online and in physical stores. This data can then be integrated into software platforms to provide a comprehensive view of all customer interactions, transactions, and touchpoints.

    However, Puma has experienced difficulty in procuring data from its offline customers, with Madhogaria noting that customers are less inclined to share information unless they are given a compelling reason to do so. The data required can be categorized into three types: communication data (like phone numbers or emails), personal data (such as birthdays or purchase anniversaries), and behavioral data, which includes the channels customers use to make purchases. Madhogaria suggests that capturing these data types can present robust opportunities for future campaign creation and customer engagement.

    The Power of Personalisation

    Puma has been redefining personalisation at scale with the assistance of SAP Emarsys’ customer engagement platform. The platform has enabled Puma to execute smart lifecycle strategies customized to suit each market within the region, resulting in impactful omnichannel engagement.

    Madhogaria believes that successful personalisation is achievable with the right tools and an effective data capturing strategy. Using these tools, Puma can generate product recommendations that can be integrated into emails, thus driving increased click-through and conversion rates.

    Successful Campaigns and Strategies

    Madhogaria highlighted several successful campaigns driven by their data-driven approach. Puma has implemented cross-sell promotions in transaction-related emails, which generally have a higher open rate. For instance, if a customer purchased running shoes, Puma recommended complementary items such as a t-shirt or shorts. This strategy resulted in a 3% increase in returning customers within a month, translating to a near 20% rise in efficiency and a substantial boost in revenue.

    Puma’s Birthday Bash campaign was another major success, particularly in Southeast Asia. The campaign, celebrating Puma’s birthday with significant discounts, resulted in a nearly 60% uplift in offline revenue and nearly triple the online revenue. Notably, almost 60% of the campaign’s revenue came from repeat customers.

    Building Loyalty in Southeast Asia

    Understanding the nuances of different markets and consumers’ preferred communication channels is crucial for building loyalty. For instance, Viber is significant in the Philippines, Line in Thailand, and Zalo in Vietnam.

    Madhogaria stresses the importance of continuous experimentation to understand what strategies work best in each market. Puma’s approach demonstrates that successful CRM in Southeast Asia involves more than just data collection; it requires testing, learning, and delivering campaigns that resonate with local consumers.

    Questions & Answers

    What are the three types of data Puma gathers from customers?
    Puma gathers three types of data: communication data (like phone numbers or emails), personal data (such as birthdays or purchase anniversaries), and behavioral data, which includes the channels customers use to make purchases.

    How has Puma personalized its marketing strategy?
    Puma uses SAP Emarsys’ customer engagement platform to implement personalized lifecycle strategies tailored to each market. The tool also generates product recommendations that can be integrated into emails to customers.

    What successful campaigns have Puma executed in their CRM journey?
    Puma has executed several successful campaigns, including the Birthday Bash campaign that resulted in a nearly 60% uplift in offline revenue and nearly triple the online revenue. Another strategy involved integrating cross-sell promotions into transaction-related emails, which led to a 3% increase in returning customers within a month.

  • Louis Vuitton Korea Customer Data Breach: No Financial Details Compromised, Other Luxury Brands Under Investigation

    Louis Vuitton Korea Customer Data Breach: No Financial Details Compromised, Other Luxury Brands Under Investigation

    In June, Louis Vuitton Korea experienced a systems breach that resulted in the exposure of certain customer data, including contact information. However, the company’s South Korean division clarified last Friday that the breach did not compromise customers’ financial details.

    Unauthorized Access to Company System

    Regrettably, an unauthorized third party gained temporary access to the company’s system, leading to the leak of some client information. The company released a statement in response to the incident, expressing their concern and regret over the breach.

    The organization first became aware of the breach on Wednesday and promptly alerted the relevant government authorities. Additional measures are now in place to contain the situation and enhance the existing system security.

    Government Investigations Into Other Luxury Brands

    In related news, the South Korean divisions of two other major luxury brands are currently facing government investigations. Christian Dior Couture and Tiffany, both part of the world’s largest luxury group, are under investigation for customer data leaks they reported earlier in the year. The investigations were initiated by the Personal Information Protection Commission, South Korea’s main authority for data protection.

    Questions & Answers

    What type of data was leaked in the Louis Vuitton Korea’s system breach?
    Client contact information was exposed in the breach. However, no financial information was compromised.

    Who is investigating the data leaks at Christian Dior Couture and Tiffany?
    The Personal Information Protection Commission in South Korea is conducting the investigations into these two luxury brands’ reported data leaks.

    What measures has Louis Vuitton Korea taken in response to the breach?
    Following the breach, Louis Vuitton Korea took action to contain the situation and augment its system security. They also alerted the relevant government authorities about the breach.

  • Shopify data stolen by its own employees

    Shopify data stolen by its own employees

    Shopify has seen customer data stolen by “rogue” employees, the e-commerce provider announced.

    Two members of Shopify’s support team were engaged in a scheme to obtain customer transactional records of certain merchants – less than 200, according to Shopify.

    Once the business became aware of the scheme the team members’ access was immediately terminated, and an international investigation began with the assistance of the FBI and other agencies that will seek to find if, when, and where the data was used – if at all.

    “This incident was not the result of a technical vulnerability in our platform, and the vast majority of merchants using Shopify are not affected. However, those whose stores were illegitimately accessed may have had customer data exposed,” Shopify said in a statement.

    “This data includes basic contact information, such as email, name, and address, as well as order details, like products and services purchased. Complete payment card numbers or other sensitive personal or financial information were not part of this incident.”

    Shopfiy added that it has zero tolerance for platform abuse, and will take the necessary action.

    “To put it simply, we are committed to protecting our platform, our merchants, and their customers and will continue to work hard to earn your trust every day,” Shopify said.

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  • Razer releases data on 100,000 customers

    Razer releases data on 100,000 customers

    Global gaming retailer, manufacturer and payments ecosystem Razer has inadvertently exposed personal information about some 100,000 of its customers online due to a misconfigured server.

    The data was stored on an Elasticsearch cluster that was set to allow public access, potentially exposing the customers to targeted phishing attacks by individuals posing as the company. Sensitive personal data such as credit card numbers and passwords were not revealed.

    According to a comment posted by the firm, the server misconfiguration was fixed on September 9 prior to the lapse being made public. The information had been exposed for three weeks as Razer’s non-technical staff processed a report alerting the firm to the problem.

    The breach was uncovered by cybersecurity consultant Volodymyr Diachenko, who has since offered to conduct a live educational session to raise cybersecurity awareness within the firm. It is unclear whether or not Razer has accepted the offer.

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  • Chatbots still have their place, according to Microsoft

    Chatbots still have their place, according to Microsoft

    The early generation of chatbots may have had their day – but the concept is not yet dead, says a senior Microsoft executive.

    Raj Raguneethan, regional business lead, retail and consumer goods, at Microsoft Asia, told Inside Retail Asia that the standard chatbot question and order queue format is gone.

    “But we have advanced deployments of a chatbot which can fully integrate into the whole call-center back office and all the way online. You can ask questions, it will connect back to your back office systems tell you when your order is going to be delivered, you can ask questions and it tells you that you can buy this product from this store, and here is a promotional offer for you.”

    Early renditions of chatbots often succeeded in only infuriating consumers with clumsy interfaces, irrelevant answers and being all-too-obviously artificial. The end result: consumers often consider old-style chatbots as insincere, an image unsurprisingly transferred to the brand itself.

    “We have seen customers continue to use them,” says Raguneethan. “It’s not so much chatbot, it’s about cognitive services which are fully integrated.”

    He explains that advanced cognitive services-based solutions that are connected to the same system used by customer call centres, can use chatbots that provide real service and assistance to shoppers.

    “So it’s how you deploy and how you leverage them that is the key. If you just deploy them for an FAQ, it’s probably not interesting. But if you really deploy them connecting into all the systems you have, then you are delivering a superior experience.”

    Raguneethan says new-generation chatbot technology should be able to provide customers with real-time, accurate information about the delivery status of a product they have ordered.

    “Or, I should be able to come in and say ‘I want to buy a shirt, I’m looking for this brand’, you should be able to tell me sorry it’s not here in this store, you can order online, or you can go to this store, or we will place an order for you to pick up from this store.”

    “If you deploy chatbot technology in those scenarios, you will definitely see a difference.”

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  • Behind the acronyms: Making sense of customer data platforms

    Behind the acronyms: Making sense of customer data platforms

    Success in today’s competitive retail landscape means putting the customer front and center.

    Retailers must understand their customers’ every need and deliver relevant, personalized experiences at the right moment to meet those needs. This necessity is particularly strong across the diverse APAC region, where connected device use, commerce platform capabilities, and consumer buying behaviors vary so widely between markets.

    This customer-centric approach relies on one key ingredient: data. Retailers are increasingly dependent on data to gain insight into the preferences and behaviors of shoppers, allowing them to deliver customized interactions. To do this they are turning to various tech platforms to help them make sense of data, correlating it across all customer interactions. Yet with so many different solutions available – and baffling acronyms such as CRM, DMP and CDP to understand – many are unsure what each technology does and which platform type is best suited to their unique needs, especially as different solutions include overlapping functionality. Let’s go behind the acronyms and take a closer look at these data platforms.

    CRM systems store sales data

    Retailers often confuse customer relationship management (CRM) systems with customer data platforms (CDPs), and they are far from alone. As reported in Gartner’s Hype Cycle for Digital Marketing and Advertising 2019, half the enterprise marketers that deploy a CDP say it is their ‘CRM system’ – indicating the confusion between the two, with definitions blurring.

    A CRM system is designed predominantly to store transactional data, usually from a form fill or purchase. CRM systems contain valuable first-party information but, with this focus on sales data, they do not provide insight into anonymous user behavior, and often have limited integration with other technologies deployed throughout the customer journey.

    DMPs create anonymous audience segments  

    Data management platforms (DMPs) collect data around online behavior, such as website interactions. This information is used to build audience segments, which are either employed in customer analysis or used to feed ad tech tools, such as demand-side platforms, that assist ad targeting.

    While valuable in their own right, DMPs have a number of limitations. They are generally cookie based and work on probabilistic data, rather than creating persistent customer profiles. As they focus largely on advertising, they don’t necessarily provide insight into the entire customer journey. While DMPs may have some ability to integrate first-party information, they are mostly focused on third-party data. 

    CDPs deliver a 360-degree view of the consumer

    CDP adoption is growing faster in APAC than in any other global region. However, despite rapid expansion, there is still confusion about what the technology does and how it differs from a CRM system or a DMP.

    A CDP is a system that centralizes customer data from all sources, including existing CRM systems and DMPs, but also mobile apps, customer-service systems, and beacons or IoT devices that track in-store behavior. The CDP then makes this data available to be used by a huge variety of other tech tools associated with marketing, customer service, and any other area of the retail organization, effectively democratizing customer data.

    CDPs can collect and collate first, second, and third-party data from multiple sources and use identity resolution to link all data snippets referring to one individual to a persistent profile. This focus on deterministic data enables retailers to build a comprehensive view of the customer – starting with their very first interaction – and to drive unified, personalized experiences.

    CDPs are prebuilt platforms but can be tailored to the needs of individual retailers with minimal technical assistance and resource requirements. They can be easily integrated with other systems, using maintained turnkey integrations. This means retailers can use them to link up, rather than replace, their existing technologies, and can bridge the internal and external data siloes that currently result in fragmented retail experiences. Because data is stored and updated over time, CDPs continually adapt and update in response to new real-time information.

    While a comprehensive view of the customer is invaluable across the entire retail organization, it is particularly beneficial in marketing, where it helps drive relevant, consistent messaging and avoid friction-generating blind spots. For instance, it can prevent a retailer emailing a customer with a special offer for a product they have already bought via the mobile app, or retargeting them with a display ad for an item they have just purchased in store.

    Retail success depends on an in-depth knowledge of consumer needs, which can only be achieved by unifying data from all sources, linking it to a persistent identifier, and gaining a comprehensive view of the customer. While CRM systems and DMPs each have useful roles to play in storing transactional data or building audiences segments, a CDP provides the unique customer view, unifying data from all sources and allowing the resulting insights to be used to drive performance across retail organizations.

    By Joseph Suriya, Senior Director Marketing APAC, Tealium

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  • Chinese consumers embraced voice ordering on Singles Day

    Chinese consumers embraced voice ordering on Singles Day

    More than 1 million orders were placed and processed through voice command via Alibaba’s Tmall Genie during its 11.11 Global Shopping Festival on Monday.

    The smart speaker was used to purchase items throughout the day – including 810,000 eggs, 1.4 million tons of rice and 76 tons of liquid detergent – showing that voice shopping has become an increasingly popular trend among Chinese consumers of all ages.

    According to Alibaba’s statistics, more than 40 percent of Tmall Genie users have tried voice shopping. The rise of voice shopping shows the growing popularity of smart speakers in China. Alibaba’s intelligent speech assistant, Tmall Genie, is ranked as the number one brand in terms of sales volume of smart speakers in the first three-quarters of China, according to Euromonitor International’s research conducted in October.

    “As the number one smart speaker in China, Tmall Genie has become an essential part of many families’ daily life,” said Alibaba A.I.Labs GM Miffy Chen. “As we continue to enhance the product features and increase the offering of infotainment services – from entertainment and news to children’s books, food delivery and elderly care – we hope the use of a virtual assistant will help people across age groups to embrace a digital life that is simple, fun, informed and connected.”

    Some 10.47 million Tmall Genie units were sold during the first nine months of this year, accounting for a 38-per-cent market share in China, where sales of smart speakers reached 27.56 million units in the same period, according to Euromonitor International.

    In particular, Tmall Genie recorded more than 3 million sales units in this year’s third financial quarter, making it the most popularly purchased smart speaker brand in China for three consecutive quarters.

    “Since the launch of the first smart speaker in China in July 2017, Alibaba has made Tmall Genie the top brand with the largest sales volume in China this year,” noted Euromonitor International in the research. “That is largely due to Tmall Genie’s product differentiation strategy and its expanding sales channels both online and offline,”.

    According to the research, Alibaba, Xiaomi and Baidu are the top three smart speaker brands in China, with a total market share of 93 percent in terms of sales volume in the first three quarters this year. 77 percent of smart speakers were purchased online during that period, dominated by Alibaba’s e-commerce platforms – Tmall and Taobao.

    The research also pointed out that as an important medium for human-machine interaction, smart speakers are expected to be equipped with a growing number of features tailored to consumers’ daily needs, including search and information queries. A smart speaker with a screen – which can offer both speech and visual interaction – is also believed to be a forthcoming trend among major brands, Euromonitor noted.

    Controlling smart home appliances through voice commands is still one of the most popular uses of smart speakers. Alibaba statistics show that currently, Tmall Genie has been connected to more than 235 million home appliances such as lights and air-conditioning from 900 brands in China.

    Alibaba believes that voice assistants are expected to play an increasingly important role in a wide spectrum of applications, including in-car infotainment experience, food delivery, beauty and makeup, childrens’ education and elderly nursing support.

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