RETAIL STORES & TECH ADOPTION, WHY INTERACTIVE ENVIRONMENTS ARE THE WINNER

Nov 22, 2019 9:01:18 AM

Newsletter2019-06-13 North Sails

You've noticed that retail stores have been embracing more interactive, tech-savvy environments. According to Business Insider, retail environments will continue to change yet in 2019 and beyond. The modern retail environment has definitely morphed into something unrecognizable from just a few years ago. These days, retail stores and their websites must continue to create and adopt unique experiences tailored for their tech-embracing customers. Only retail stores that do this and bring their clients' buying experience to the next level may weather the recent storm of closings.

Why? "The rise of e-commerce outlets like Amazon has made it harder for traditional retailers to attract customers to their stores and forced companies to change their sale strategies. Many companies have turned to sales promotions and increased digital efforts to lure shoppers..." reports Fox Business. "As traditional retailers and direct-to-consumer brands with stores adapt to an increasingly complex retail environment, with the looming possibility of recession in 2019, they will need to use their stores, technology, and data in smart ways." In effect, to win at the current retail game, strategies to develop interactive environments must include: 

  • weighing the need for physical stores versus online shopping options
  • offering convenient in-store pick up
  • developing streamlined apps 

 

PHYSICAL STORES VS. ONLINE SHOPPING


Today's shoppers seem to be spending money on experiences rather than material goods. And malls, seemingly the ultimate losers in the current retail game, have had to adopt jaw-dropping rollercoasters and interactive aquariums to attract shoppers. James Giglio, CEO of MVP Interactive explains that, “Brick-and-mortar locations will need to create unique, one of a kind experiences for shoppers...the experience will need to feel special and exclusive to the store.”

John D. Morris, senior brand apparel analyst for the financial services firm, D.A. Davidson, suggests that: "Companies are finding that when it comes to stores, less is more." Basically, that adds up to "less chaos, less inventory, less choices," Morris concludes. Therefore, retailers must amplify sales promotions and digital efforts.

 

IN-STORE PICK-UP

 

Mercedes Video WallAmitaabh Malhotra sees buy online, pick up in-store as a key hybrid online-offline experience that will continue to gain adoption in the future, “simply because it makes a lot of sense for both the store and the shopper. For the store it acts as an effective acquisition and delivery channel, without relying on a logistics system around shipping from the store. It also creates an opportunity for a shopper to come visit the store and maybe add additional items to their cart thereby improving per shopper revenue.”

Target's and Ikea's physical stores are slimming down and offering limited goods to allow busy shoppers to quickly get in and out of their stores. While physical stores seem to be dropping from the retail landscape like flies, The Washington Post reports that former online-only retailers like Casper and Wayfair are actually opening up small outposts as showrooms. Why the shift? According to the University of Ohio, "Shoppers who touch products are 40-60 percent more likely to buy them."

APPS


Apps can instantly send loyal customers reminders and push notifications to their smartphones. They can offer discounts to new shoppers and give them convenient ways to pay for purchases. Jonathan Cherki, CEO of
ContentSquare, explains that, “An app can also be a bridge between digital and in-store, thanks to location-based services, stock tracking, loyalty reward programs, etc. And, as more and more stores become smart environments, apps will help consumers navigate tomorrow’s shopping experience." 


Consider the technological leaps and bounds Wal-Mart has made battling Amazon. Reuters reports that, "The company has implemented mobile technologies that feed data and analytics to store associates to help them better serve customers; it even deployed its own cloud network to improve inventory, purchasing, sales, pricing, and security functions in brick-and-mortar stores." Apps can create new tech environments for both employees and customers that they can control easily with just their fingertips.



 

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WHICH RETAILER WILL WIN?


Apps can instantly send loyal customers reminders and push notifications to their smartphones. They can offer discounts to new shoppers and give them convenient ways to pay for purchases. Jonathan Cherki, CEO of
ContentSquare, explains that, “An app can also be a bridge between digital and in-store, thanks to location-based services, stock tracking, loyalty reward programs, etc. And, as more and more stores become smart environments, apps will help consumers navigate tomorrow’s shopping experience." 


Consider the technological leaps and bounds Wal-Mart has made battling Amazon. Reuters reports that, "The company has implemented mobile technologies that feed data and analytics to store associates to help them better serve customers; it even deployed its own cloud network to improve inventory, purchasing, sales, pricing, and security functions in brick-and-mortar stores." Apps can create new tech environments for both employees and customers that they can control easily with just their fingertips.

 


 

GET STARTED TODAY

With all the possibilities, it can be challenging to know where to begin. You need a partner to help you understand the potential of interactive digital signage and find the best hardware and software solutions to fit your needs. PTG can help you sort out all the details and help with installation, training, maintenance, and upgrades. When you’re ready to join the retail digital revolution, we’re here to help.

Digital signage interactives are fun, informative, and a great sales tool. Discover the benefits of digital signage for your retail business.

 

Lynn Matson

Written by Lynn Matson

CEO @ PTG (Promotion Technology Group)

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