Executive Summary:
El Corte Inglés, Spain's largest department store chain, is navigating the challenge of transitioning from traditional printed catalogs to digital formats as part of its broader digital transformation. While printed catalogs remain relevant for certain customer segments, they are focusing heavily on developing engaging, interactive digital catalogs to enhance customer experience and improve operational efficiency.This shift reflects the company's commitment to modernization, balancing its legacy with the need for innovation in a rapidly evolving retail landscape.
Key Takeaways:
El Corte Inglés is a leading department store chain in Europe and the largest company in Spain by customer base. Its presence spans various business units, including supermarkets, home improvement, fashion, and hypermarkets across Spain and Portugal.
Historically, printed catalogs have played a vital role in El Corte Inglés' communication strategy, particularly in the home and supermarket divisions. "The role of the printed catalog at ElCorte Inglés is huge," says Marysol García Gruben, General Director ofProduction. This reliance on printed materials reflects both the company's traditional approach and its need to engage a diverse customer base.
El Corte Inglés runs approximately 500campaigns annually, utilizing over 1 million marketing assets. This volume presents a significant challenge in ensuring efficiency across channels."You need to plan the campaigns, channels, and the budget from six months to a year in advance," says Marysol. This proactive approach is essential for balancing tactical and aspirational campaigns across different media.
While printed catalogs remain popular, especially among older customers, their relevance is questioned in an increasingly digital world. "My personal belief is that 80% of the time, shoppers will read the supermarket leaflets and put them straight in the bin," Marysol notes. However, she acknowledges the challenge of replacing printed catalogs, particularly given their role in reaching specific customer segments.
Marysol emphasizes that digital catalogs must be engaging and offer more than a traditional retail website. "The El Corte Inglés website is already just a massive catalog of products. Shopper want to browse a digital catalog because they hope to see how that table fits in an ambiance. That has to be very engaging," she explains. The goal is to create a digital catalog experience that captures shoppers' attention and encourages them to explore.
As shoppers increasingly move to digital channels, apps play a crucial role in providing personalized experiences. TheEl Corte Inglés app, one of Spain's most popular retail shopping apps, aims to merge offline and online shopping. "The app provides a more personalized experience for shoppers. They can shop hands-free, see their purchase history, and browse and purchase products," says Marysol. Integrating digital catalogs into this app is seen as a future priority to enhance the customer journey.
El Corte Inglés' move towards digital catalogs is part of a broader strategy to enhance customer engagement across all channels. Marysol highlights the need for digital catalogs to be dynamic and engaging. "I've seen reports on digital catalogs that had click rates of 0.78 percent and an average view time of two minutes. Why does a shopper only spend two minutes browsing a 100-page catalog? It was not engaging enough."
The transition to digital has also improved operational efficiency. The production team has begun implementing tools and technologies to manage projects and workflows better." Technology is vital. But traditionally, El Corte Inglés has used very few technologies," admits Marysol. The learning curve has been steep, but the benefits of a more data-driven approach are becoming evident.
El Corte Inglés' journey underscores that digital catalogs must offer dynamic interactivity, not merely replicate static PDFs. Marysol emphasizes the need for catalogs integrated into their app to prioritize functionality and design. “When we place catalogs in our app, we must consider how they look and work. A non-responsive PDF will be ignored by shoppers,” she states.
This shift reflects the growing expectation for digital catalogs to provide seamless, engaging, and mobile-friendly experiences. As shoppers increasingly gravitate towards digital platforms, the focus on interactivity becomes crucial.
Marysol acknowledges the challenges faced during this transition, stating, “The learning curve transitioning to digital has been quite tough, but we’ve started to see the benefits, and we’ll get there.” The emphasis on technology not only modernizes operations but also enhances the overall customer experience, paving the way for a more engaging shopping journey.
Marysol believes that the future of digital catalogs lies in continuous innovation. The integration of interactive elements and mobile optimization will be critical to making digital catalogs a core part of the customer experience. "For me, the question is: What's the added value for a catalog to exist? It has to be like a magazine, its content has to be beautifully produced," she concludes.
El Corte Inglés is committed to evolving its digital strategy while maintaining its legacy of high-quality customer service. The journey is ongoing, and the company is focused on making digital catalogs a more engaging and integral part of its retail offering.
El Corte Inglés' digital transformation in catalog management reflects the broader challenges and opportunities of transitioning from traditional to digital formats. By focusing on customer engagement and leveraging technology, the company aims to modernize its operations without losing the essence of its brand.
The case study underscores the importance of adaptability and innovation in the retail industry. For El Corte Inglés, the future lies in creating digital catalogs that offer a unique, engaging experience, integrated seamlessly into the digital shopping journey.