Latest retail management news:
For stores today, omni-channel retailing is no longer a lofty goal. Emerging technology and mainstream mobile devices are making the seamless integration between online and physical stores not only a reality, but a requirement.
A recent article on The Guardian website highlights this trend. Technologies like radio-frequency identification (RFID) and near field communication (NFC), along with the rising use of smartphones and tablets, is making omni-channel retailing more achievable and important than ever before.
And yet many retailers still aren’t ready. They don’t have the right infrastructure. In fact, many still have mainframes. How can you take advantage of these new technologies with an aging architecture? It’s all about the flow of information. It’s one thing to have all of this data, but what are you going to do with it?
Retailers need a flexible, extensible environment to leverage these advances in technology. The good news is that a lot of these technologies are cheaper than they once were. Sure, retailers might have to bite the bullet and throw out their old infrastructure, but it will be worthwhile in the long run.
The article takes a look at how other retailers are moving ahead. For example, one national U.S. retail chain plans to have RFID in all of its locations this year. Customers will be able to purchase items at self-serve stations and through their mobile devices, cutting costs for checkout transactions.
It’s just one example of how retailers are making changes to “enhance the retail formula.” Retailers must provide convenient ways for customers get store information and share their shopping experience. It’s a lot like “the good parts of e-commerce, with all the fun and tactile richness of real life thrown in,” the article notes.
If omni-channel retailing is your goal, The Guardian article recommends three ways to make it happen.
- Spread digital operations across the organization: Too often, the digital operations work in “silos.” This prevents retail or other departments from taking full advantage of omni-channel retailing opportunities.
- Invest in technology: Some retailers have held off on implementing more digital capabilities due to high implementation costs. But the costs are dropping rapidly.
- Explore opportunities today: Keeping up and preparing for digital developments requires a long-term plan. Start planning today. Retailers should explore what they can do now to connect with their customers via multiple channels.
Source: The Guardian, February 2013
Companies are increasingly asking customers to fork over more than just money to make purchases. They want personal information, like zip codes and phone numbers. Businesses say it’s necessary to provide better service, but many consumers are pushing back amid concerns about their privacy being compromised. Businesses are going to ask their customer for too much information and they’re going to push back.
Go east, retailers. China is one of the fastest-growing markets in the world, and it’s no surprise that many retail companies are planning rapid expansion there. Any company that’s not expanding in China is going to miss the boat — and what will be the biggest retail market in the world in three to four [...]
Mobile computing is transforming the retail industry. Shoppers are hitting the stores with smartphones in hand, comparing prices and making purchases. Forrester Research is predicting mobile commerce will hit $31 billion by 2016 with a compounded annual growth rate of 39 percent. And that’s a conservative estimate. Anybody that’s not on the bandwagon is losing [...]
A small tag is having a big impact on sales at one high-end department store. The retailer recently deployed radio-frequency identification at six U.S. stores to track inventory on shoe displays. The technology led to an increase in sales by ensuring all shoe styles were always on display, the store reported. This technology is still [...]
Setting your cellphone to vibrate isn’t enough for one retailer. It’s banning cellphones altogether in the store. A high-end clothing retailer is asking customers to leave their phones at the door — or at least turn them off — before stepping inside its flagship store in New York City. The president of the company said [...]
A big box bookstore is expanding at a time when many bookstores are going out of business. The chain, which closed 21 stores this year, is opening up 41 new locations. But this story may not have a happy ending. It’s possible the retailer will close more than it opens. Books are going the way of the stamp. Everything is online now where it’s cheaper and faster to purchase.
As it expands quickly, one specialty grocer is tinkering with its successful model by opening up bigger stores. The California-based chain has made its mark as a quirky company selling unique products in cozy, smaller stores. But changing gears could backfire. Retailers don’t want to mess up a good thing. The company faces a unique challenge — it’s like a national chain of mom-and-pop stores.
There’s no doubt about it, the marriage of social networking and retail has made it possible for a message to spread instantaneously across the globe. Everyone, literally everyone, can hear about the new 50 percent off sale. Unfortunately for retailers, this marriage is a huge double-edged sword. But still, businesses must have an online presence or they will fail.
According to Sarah Johnson, senior editor for CFO.com, a majority of retail CFOs have increased or maintained their inventory levels for the holiday season and the executives were split about which was worse: carrying too much inventory or too little. But the bottom line is, CFOs can’t be in limbo about this type of big decision.
For years, home improvement stores have catered to the weekend do-it-yourselfers, supplying everything their patio-building dreams might require, while the professional customers spent more but only made up 3 percent of the shoppers. According to an article on AJC.com, the chain is catering to their interests with designated parking and faster checkouts.
Congressman Joe Heck recently introduced a bill intended to speed up the wait times for a tourist visa in an effort to more easily allow wealthy Chinese, Brazilian and Indian citizens to visit and shop in the U.S. The visas, which can take more than four months for approval, especially for applicants in China and Brazil, would also allow retailers to bring over employees for training.
