Retaining customers the number one issue for Aussie retailers; Apple reports third quarter profit of $US10.7 billion: Midday Roundup

Attracting and retaining customers are the most challenging issues for Australian businesses, according to research commissioned by the Australian Retailers Association.

Despite this, the study found 51% of small retailers do not have a customer experience strategy in place.

However, there is good news, with almost 90% of retailers surveyed saying they have a website. Meanwhile, 80% of respondents had an active social media presence.

The findings follow SmartCompany revealing that two thirds of shoppers now go online before visiting a bricks-and-mortar store.

Paul Greenberg, the executive chairman of the National Online Retail Association, previously saidthe concept of researching online and buying offline – or vice versa – is becoming more popular with consumers.

“Established retailers need to have a very strong online strategy, and in-store experience needs to be well optimised,” Greenberg said.

“There is no room for uninformed associates on the retail floor; they have to be on their game. Industry retailers struggled recently thinking it’s either an offline strategy or online strategy. But it’s not a straight line. It’s a combination of them both.”

Apple reports third quarter profit of $US10.7 billion

Apple has reported $US10.7 billion ($14.46 billion) in profit for the third quarter ending 27 June 2015, up from $US7.7 billion for the previous corresponding period.

Apple chief executive Tim Cook said in a statement the results were driven by the App Store and recent release of the Apple Watch.

“We had an amazing quarter, with iPhone revenue up 59% over last year, strong sales of Mac, all-time record revenue from services, driven by the App Store, and a great start for Apple Watch,” Cook said.

“The excitement for Apple Music has been incredible, and we’re looking forward to releasing iOS 9, OS X El Capitan and watchOS 2 to customers in the fall.”

Shares down on open

Aussie shares are trading lower this morning off the back of a poor showing from Wall Street.

Michael McCarthy, the chief market strategist for CMC Markets, said in a statement selling pressures emerged across various asset classes overnight.

“Two local factors may provide support for Australian shares,” McCarthy said.

“Despite the general sell-off, commodity prices rose, mainly due to the weakening US dollar. Gold regained ground above $US1100, and West Texas oil recaptured $US50. These moves may slow, or even reverse, the resource sector rout. BHP’s quarterly production report this morning will also draw attention, with copper writedowns and lower coal production offset by forecast beating iron ore sales.”

The S&P/ASX200 benchmark was down 1.01%, falling 56.9 points to 5649.8 points at 11.38am AEST. On Tuesday, the Dow Jones closed down 1%, falling 181.12 points to 17,919.29 points.