The Latest Innovative Retail Technology? Your In-store Experience.

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Digital retail has taken headlines by storm in recent years. More shoppers are buying online than ever before, and sites like Amazon are growing at an unprecedented pace. More and more retailers are feeling the pressure to go digital, responding to consumers’ expectations for a faster-than-ever, tech-heavy retail experience. What we get wrong, though, is thinking that the growth of digital means the end of brick-and-mortar retail. Despite theories of brick-and-mortar doom and gloom, the vast majority of retail happens in-store: online retail claimed about 10% of sales in 2019, while physical retail landed at 90%. While there’s cause to innovate alongside digital retail, then, it’s essential to leverage brick-and-mortar alongside your digital strategy.


Here’s how:


Step 1: Build a great store
Before all else, an engaging in-store experience is the basis for retail success. If the majority of sales happen in-store, then it’s important to optimize your brick-and-mortar experience to draw in shoppers and build customer loyalty. This means everything from decor to salespeople to layout has to be carefully curated along a compelling and coherent brand narrative. A comfortable, attractive store is a necessity in the experiential retail age. Once the basics are aligned, incentivize consumers to choose your store. In-store deals, special events, and opportunities for product interaction are all fun and low-stakes ways to add some oomph to your retail strategy.

Step 2: Bring in the tech
Retail technology is becoming more and more important. While physical retail still reigns supreme when it comes to overall sales, online retail has certainly impacted consumer expectation when it comes to the shopping experience. It’s never been easier to buy, and if retailers want to win over online retail giants like Amazon, they have to at least hold their own when it comes to convenient shopping. That’s where retail technology comes in. Inventory trackers help employees find off-floor items at the tap of a button, while analytics tools collect sales data to ensure consumers can always find what they’re looking for in-store. Some more consumer-focused technology provides an element of fun to your store--virtual and augmented reality let shoppers test shades of makeup or build and “try on” a custom sneaker. The best retail technology will enhance your experience by facilitating sales.

Step 3: Integrate
The mistake retailers make is in assuming that digital and in-store retail are mutually exclusive. In the smartphone age, technology has become a seamless part of the “real world.” Want proof? A PYMNTS study from May 2019 found that just around half of shoppers use their smartphone to aid in their in-store shopping. Meanwhile, a study by RetailMeNot from the same time found that 69% of brick-and-mortar shoppers would rather consult a product review on their phone than talk to a retail associate; and 53% would rather search for promotions and deals online than talk to a retail associate. It’s clear that brick-and-mortar retail should be approached with the understanding that consumers will be on their phones while shopping; and that many so-called “online” consumers are actually buying in-store. What does this mean for retail strategy, then? It means that we should approach our online offers with an eye towards physical retail, and vice versa. Brand apps are a great way to integrate in-store and online resources. For example, 7Eleven’s app lets shoppers photograph in-store products on their device to learn more about the item, read reviews, and even check out virtually--no need to wait in a long line. Meanwhile, loyalty-based apps are a great way to encourage shoppers with fun visuals, geography-based advertisements, and special deals (69% of shoppers in the RetailMeNot study said that personalized offers received through their phone would make them more likely to visit a store). Be creative--the potential for in-store and digital fusion is enormous.

​The takeaway
For too long, retailers have thought of brick-and-mortar and digital retail as being separate categories. It’s never been clearer, though, that the in-store versus digital shopping happens on a spectrum of engagement, with shoppers using both avenues to research and make purchases. While there’s a lot of talk about digital being the future, it’s obvious that brick-and-mortar will be a big part of the digital revolution. The best digital strategy, then, will leverage both technology and physical retail to master the demands of the modern consumer.

 

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