As retails in the global economy dig deeper into 2018, they will continue to use technology and innovation to improve the consumer brand experience. In Europe and the United States, sales from the traditional brick and mortar stores will constitute the largest percentage of retail. However, digital trade and e-commerce will continue to expand at a double-digit pace. The global retail industry will be quick to incorporate technology into their business operations to close the gap between the physical and the digital world. Technology is critical for any business as it gives a competitive edge in the modern capitalistic market of the 21st-century economy.
A recent study conducted by Gallup suggested that 85{c8f95e1e3019d83ceefb719040939faf2bd31aed86393ba5b6b975155c7b2729} of all the businesses that will adopt technology in their operations are set to increase their sales volume by over 55{c8f95e1e3019d83ceefb719040939faf2bd31aed86393ba5b6b975155c7b2729} within three years. The same survey also concluded that 70{c8f95e1e3019d83ceefb719040939faf2bd31aed86393ba5b6b975155c7b2729} of retailers that will not adopt emerging trends in technology and don’t know what is ADFS are set to reduce their market share by over 35{c8f95e1e3019d83ceefb719040939faf2bd31aed86393ba5b6b975155c7b2729}. In this article, we are going to highlight the trends in technology that will have a positive effect on the retail industry in 2018.
Predictive and prescriptive analytics
In 2018, personalization in the retail industry is set to transform from an option or a luxury to a business necessity. Retailers will make use of artificial intelligence platforms and big data to engage consumers with a personalized and a highly targeted shopping experience both in store and on online platforms. Retail business owners will use artificial intelligence and machine learning capabilities to match their products with products in a better way. Retailers will also make use of page clicks and views, demographics and personal shopping history to offer better recommendations and custom-made marketing options. Prescriptive analytics will be critical in driving sales through an improved consumer brand experience.
Refining the Check-out Free Experience
The most prominent players in the retail industry are likely to incorporate a more checkout free shopping technologies shortly. For instance, Amazon released its Amazon Go check-out free concept for staff in 2016 December. The pilot program started in Seattle Washington and is expected to be tested in many other locations in the United States and around the world in the coming months. This technology by Amazon is also known as the just walk out innovation. This technology enables customers that possess a smartphone or a tablet to pick up commodities then walk out without having to stand in line to pay the cashier. Sensors and cameras in the retail store will work simultaneously to determine which products have been removed from their inventory. The retailer will also use an algorithm to determine a final tally the items. Consequently, the consumer’s Amazon account will be billed automatically.
Mobile technology
The advent of mobile devices such as tablets and smartphones have become an increasingly essential tool in the retail industry. A survey that was conducted by Invesp found out that 27{c8f95e1e3019d83ceefb719040939faf2bd31aed86393ba5b6b975155c7b2729} of all the sales in e-commerce will be driven by consumers who use mobile gadgets by the end of 2018. This will represent a significant improvement from 19{c8f95e1e3019d83ceefb719040939faf2bd31aed86393ba5b6b975155c7b2729} in 2014. More retailers will use mobile applications to enhance the consumer brand experience.