The Iconic: becoming customer-focused transformed the business

The Iconic's mission is to liberate the customer

118316
118316

Becoming a more customer-focused organisation has been one of the best things to ever happen to The Iconic, said COO of the online fashion retailer, Anna Lee.

Speaking at the Online Retailer conference in Sydney, Lee said "liberating the customer" has been critical to The Iconic’s successful transition from a start-up e-commerce online retailer to an organisation focused on technology, fashion and innovation.

“Our mission is customer liberation. This is understanding the customer’s emotional journey when they buy apparel – it’s not just buying clothes, it’s an expression of the individual,” Lee said.

“When someone buys something, there’s an emotional attachment. It’s not just transactional, so understanding what the emotional journey is for the customer has been critical for us.”

Of course, along with this is ensuring the customer’s online experience is excellent and, as Lee explained, The Iconic developed its own website technology to ensure this.

“Our key touchpoint is online, it’s important that can’t be underestimated,” she said.

“There is nothing worse than a clunky site. We don’t have a physical presence. The way we interact with customers is purely based on the trust we provide to them. We don’t underestimate when and how our product arrives, as it’s a critical part of honouring our promise to our customers.”

At only seven years old, The Iconic has grown 50 per cent year-on-year over the last few years, and last year moved to a bigger dispatch warehouse in Yennora.

This move saw them grow from 12,000 square metres of space to 20,000 square metres, housing around 2 million items. Next year, the business will also move into the neighbouring space, adding another 40 per cent.

Even more impressive is the fulfilment centre runs on a 99.8 per cent on time dispatch.

“We only allow a 0.2 per cent tolerance of late delivery. We work closely with our delivery partners to identify issues and help work to a solution with them. We are not just handing it over and hoping something will be delivered on time, it’s a partnership,” Lee said.

The Iconic takes a similar partnership approach with its brands.

“We build relationships with our sellers, and work in a partnership with them. Of course, they can have their challenges. At any time, it’s difficult for us to hold a 99.8 per cent on time dispatch, and it’s expensive. We can’t always expect our sellers will be able to do that, but whenever brands have some challenges, we work with them towards a solution. We have close to 1000 brands on our marketplace, and we don’t want to lose brands our customers’ love, so we're making sure we're working together. It's a challenge.”

As for customer metrics, The Iconic delivers monthly details of Net Promoter Score (NPS) reports to every employee of the company, so everyone knows what the NPS is. The scores usually hover around the high 80s.

“We don’t have the luxury in this retail market of being arrogant players, we just need to focus on our values and ensure the product is there for our customer,” Lee said.

“We do a lot of experiments regarding what our customers need. If you ask the customers what they want, of course, they are going to ask for something that can be quite biased. Our customers range in age from 18-80, and different customers have different needs. We do a lot of testing; we have about 100 data scientists constantly testing and experimenting with different groups of customers about what they actually want.

“We have to balance what they say, versus how they actually behave. It’s dangerous to offer everything a customer wants, because there are commercial realities. And customers are willing to trade-off things depending on their needs.

“We have to remain price competitive, but we offer a different delivery service as well.”

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+:google.com/+CmoAu 

 

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Latest Videos

More Videos

Are you sure they wont start a platform that the cheese is white, pretty sure that is racist

Hite

New brand name for Coon Cheese revealed

Read more

Real digital transformation requires reshaping the way the business create value for customers. Achieving this requires that organization...

ravi H

10 lessons Telstra has learnt through its T22 transformation

Read more

thanks

Lillian Juliet

How Winedirect has lifted customer recency, frequency and value with a digital overhaul

Read more

Having an effective Point of Sale system implemented in your retail store can streamline the transactions and data management activities....

Sheetal Kamble

​Jurlique’s move to mobile POS set to enhance customer experience

Read more

I too am regularly surprised at how little care a large swathe of consumers take over the sharing and use of their personal data. As a m...

Catherine Stenson

Have customers really changed? - Marketing edge - CMO Australia

Read more

Blog Posts

Brand storytelling lessons from Singapore’s iconic Fullerton hotel

In early 2020, I had the pleasure of staying at the newly opened Fullerton Hotel in Sydney. It was on this trip I first became aware of the Fullerton’s commitment to brand storytelling.

Gabrielle Dolan

Business storytelling leader

You’re doing it wrong: Emotion doesn’t mean emotional

If you’ve been around advertising long enough, you’ve probably seen (or written) a slide which says: “They won’t remember what you say, they’ll remember how you made them feel.” But it’s wrong. Our understanding of how emotion is used in advertising has been ill informed and poorly applied.

Zac Martin

Senior planner, Ogilvy Melbourne

Why does brand execution often kill creativity?

The launch of a new brand, or indeed a rebrand, is a transformation to be greeted with fanfare. So why is it that once the brand has launched, the brand execution phase can also be the moment at which you kill its creativity?

Rich Curtis

CEO, FutureBrand A/NZ

Sign in