The Week in Retail: Infusing Digital into Brick-And-Mortar Retail

//The Week in Retail: Infusing Digital into Brick-And-Mortar Retail
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Contrary to popular belief that brick-and-mortar stores will decrease, 90% of retail sales still occur in-store, according to a new report by Boston Retail Partners. According to McKinsey Company, e-commerce only accounts for 4 percent of luxury retail sales. “The number one key to retail success in the future store is to personalize the shopping experience with customer context,” said Ken Morris, principal at Boston Retail Partners. “Customer context is essential to personalizing the experience. Online shopping only incorporates two senses – sight and sound, whereas a physical store infuses all five senses – sight, sound, touch, smell and taste,” he said. “If you can appeal to all five senses, you have a better chance of inspiring consumers to complete the purchase.” Relevant technology such as touch screens, smart fitting rooms, virtual mirrors and virtual reality also play an important role to create an immersive environment. Along with a sales associate these technologies can provide customer information, purchase history and current in-store promotions. For personalization, mobile will become increasingly vital by acting as an agent for clienteling, guided selling, inventory checks and checkout. More so, interactions via mobile can include at home video chatting with preferred sales associates to gain a better understanding of products. (Luxury Daily)

Over in Europe, The Megatrends report by real estate advisor Savills states that in ten years, 20-25% of all retail spend is expected to be generated online. However, the report forecasts that the store will be as relevant as ever in the next decade as people of all ages become ‘omni-consumers’. Savills suggests that big data and technologies such as near-field communication, geofencing and facial recognition will soon enable retailers to offer real-time micro-personalisation in stores, tailoring the product offer and retailing experience to purchase history, social media or even the consumer’s current mood. (The Retail Bulletin)

According to a new survey from order management solutions provider Shopatron, 31% of U.S. shoppers plan on using click-and-collect this year for holiday shopping. Also, 56% of U.S. consumers plan on using home delivery for holiday shopping this year and 32% of U.S. retailers will use smartphones to make holiday purchases.  (Chain Store Age)

Feature photo source: Akanesio

2017-10-23T12:30:22+00:00