Selling goods or services has always relied on business strategy, management, and marketing. Every good salesperson must highlight the quality of their product, make it visible, and ensure it is accessible to reach a specific target audience. To achieve this, commerce has adapted to the various channels available over time. Product presentation can be physical or virtual, involving the sale of goods through multiple distribution channels. This approach does not rely on a single method, such as a brick-and-mortar store, but on several, including virtual, print, and other modes. But how is a multichannel marketing strategy defined? What is its origin? Why is it important? What are the stakes involved? The following article provides the answers.

Overview of multichannel marketing strategy

Definition

Unlike a single-channel operation, multichannel marketing uses various distribution networks for data and products. Simply put, selling a good involves two parties. For example, A sells a good or service to B. But to sell to B, A must inform them of the product's existence and find a way to complete the sale. In other words, after defining the target, the seller must communicate with them so they are aware of the product. The chosen method is often the same one used for the sale itself. Traditionally, flyers and magazines were a physical means of communication (non-digital) to show a target audience the services offered, sometimes even allowing them to make purchases via order forms. Historically, merchants relied on paper media, word-of-mouth, and direct conversation to sell their products. However, with the internationalization and globalization of trade, other methods became necessary. Similarly, the increase in production and consumption led to the emergence of new distribution modes.

Emergence

The Industrial Revolution took place in the 19th century, but trade had already been developed in France (in Paris) and internationally as early as the 13th century, thanks in particular to maritime transport. However, after the Industrial Revolution, consumption transformed into mass consumption, leading to the segmentation of consumers. Since then, merchants have had to constantly adapt to their target audience. To do this, they use new distribution networks. Historically, we have moved from paper media (newspapers, magazines, etc.) to virtualization (online sales sites, blogs, forums, social networks, e-commerce, etc.). Furthermore, experience shows that to sell goods, a company must choose between selling through one-way communication, represented by mass media, or multi-way communication, present in B2C. This involves direct marketing that allows for interaction, such as online sites and email campaigns. In a multichannel context, the goal is to use as many channels as possible, including e-commerce. Stan Rapp and Tom Collins strongly encouraged this management style in their book, *MaxiMarketing*. While this function is highly encouraged as a revenue driver, it must be adapted to the target audience, the marketplace, and the product. Commercial success depends on its proper execution.

The stakes of multichannel communication marketing strategy

The intended objectives:
This multichannel communication strategy addresses several key issues.

• First, it aims to find new customers and consumers through information.

• Second, it aims to consolidate reputation.

• Third, it aims to increase customer and consumer spending. The more the target is reached by the offer, the more likely they are to consume.

All these objectives must be achieved while ensuring that one network does not cannibalize another. Without this, the marketing policy could be detrimental to the business. Indeed, there are many stakes involved.

The stakes of the multichannel strategy method

While selling goods or services across different platforms, the seller, in their search for efficiency, must ensure that one mode does not cannibalize another. For example, if a firm uses SMS marketing, it should not encroach upon the firm's email campaigns. On the contrary, the two networks should interact. Similarly, commercial prospecting should not interfere with web sales. Furthermore, the seller must ensure the method is adapted to the product, the commercial message, and the target audience. A seller is more likely to sell via the web to a young, dynamic population familiar with new technologies than to an older population. Conversely, an older population may be more inclined to purchase products they see in company flyers. Moreover, the seller must adapt the distribution vector to the good or service. Within the same range, certain goods will not be offered on every channel. For example, when selling home goods, a firm will use different tools depending on whether it is selling bedding and furniture or cutlery. The latter might be present on the Internet and in catalogs, while the former could be promoted via email campaigns, SMS, and catalogs. Multichannel is a synergistic choice, not a competitive one. In reality, each communication medium should complement the value and advertising policy of the others and ensure the relay of interest. For example, many young people and seniors are now familiar with new technologies. 99% of the French population owns a mobile phone, and the majority has access to the Internet. However, the entire population has access to television or radio. Under these conditions, companies stand out on many fronts. For example, to sell clothing, a textile company has many channels, which are of two types. First, it will use mass media, which requires no response from the contact. Advertising campaigns will appear on television and radio channels or on billboards. The goal here is to inform the customer. It can also carry out in-store promotions, with the goal of informing, attracting, and building loyalty. Conversely, to interact in the customer relationship, encourage purchases, and build a community, it will use other methods. For example, emails providing advice directly to subscribers, or SMS offering customers and consumers privileges, loyalty points, and benefits. It can also provide customer service to secure the relationship. The customer thus becomes a full member of the consumption family. The advantage is twofold: the company both collectivizes and individualizes the customer relationship through these means. Finally, the company must ensure these channels are linked. A flyer, a television or radio advertisement can carry the website address or a QR code allowing users to view a page on the website. Thus, customers can transition between several instruments, receive new solutions, or have their interest renewed. This is significant in terms of the propensity to consume. Overall, people present on multiple channels consume twice as much as those present on a single channel.

Means and risks of the multichannel strategy

The various methods used

First, there is mass communication, or major media, which includes television and radio. Second, there is outdoor advertising, or physical advertising. This covers all printed media, such as large billboards, leaflets, newspapers, magazines, brochures, flyers, and so on. Third, businesses have access to virtual tools linked to mobile telephony. This includes telemarketing, SMS and MMS advertising campaigns, and customer service and support. Finally, and by no means least, there is the Internet. Thanks to new information and communication technologies, we can now provide information through web advertising, email marketing, and sending SMS and MMS messages via PC or laptop. For greater efficiency, some professionals combine targeted actions, such as email and direct mail, or direct mail and telemarketing. However, this must not be aggressive or intrusive, otherwise it could be considered spamming, a practice prohibited by law. Furthermore, while it offers many advantages, it can also be counterproductive if used incorrectly. It also carries certain disadvantages that must be taken into account.

The disadvantages of a multichannel strategy

Investing in new channels can lead to additional costs for a company. This is why it is important to conduct market and target audience research before proceeding, ensuring the investment is more profitable. The biggest risk is cannibalization, or more simply, one channel displacing another. This often leads to internal company conflicts, for example, when online sales come at the expense of physical store sales. Furthermore, some customers may switch between channels without any intention to purchase. In such cases, the customer may simply want to learn about the company or the advice it provides. Additionally, this requires heightened attention and extreme consistency. Every product presented must be identical across all channels. Each channel must therefore deliver the same information, the same prices, and the same promotional offers. Any oversight in this area not only damages your reputation but can also constitute false advertising.