Shoppers have more choice and control over what they buy than ever before. The retail landscape is changing rapidly, so what lies in store for the future of retail and consumer brands?

Doug McMillon, president and CEO, Walmart says “Customer satisfaction has always been the number one goal for retailers, and in the future, customers will be more empowered than ever to drive the change they want, as they get more control over their shopping experience.”

The shopping experience will become more inspirational, exciting, simple and convenient.

What will physical stores look like?

The long predicted demise of the physical store looks to be as mythical as ever. People still want to go to shops. Even if it is to check something that is cheaper online, there is always an upside for the retailer. The shopper may just buy the item in the shop, they may buy something else or they may have friends with them who buy something. To be sure, some large retailers have shuttered stores recently, but that is usually down to restructuring and change, which is part and parcel of retail brands’ remit these days. Omnichannel concepts have caught on, offering the customer seamless shopping whether it be in a shop or on a device. This approach can be costly as retailers have to maintain multiple supply chains, support networks and inventory pools. It is essential however.

The PwC 2017 Total Retail Survey identified the most valued attribute for a good in-store experience is store advisors who have deep product knowledge. Retailers having a tough time face the temptation to reduce the number of store assistants to cut costs. But this has a negative impact on the customer experience, which in turn means fewer sales.

E-commerce approaches and technology

What kind of investments will retailers and consumer brands need to make in order to stay on point in the e-commerce marketplace?

The mobile phone is where consumers do the majority of their shopping, and consumers are increasingly using mobile sites rather than apps to make their retail purchases. It is a lot handier to access a retailer’s site on your browser app rather than have an app for each retailer. All the consumer has to have is a list of bookmarks rather than folders of apps, so retailers need to invest in mobile sites that focus on improving the retail experience.

Retailers and consumer brands are investing heavily in turning big data insights into actions. Denise Dahlhoff, research director of the Wharton School’s Baker Retailing Center at the University of Pennsylvania says, “The issue isn’t having enough data, especially given the vast amount of online data and offline behavior increasingly tracked digitally. The challenge is to devise meaningful analyses that can benefit both customers and businesses, for example by generating personalized offers based on data.” An example of this is Macy’s, the American department store which uses data on demand and inventory to adjust the prices of 73 million products in real time.

To find out more about how your brand can capitalize with investments that affect the future of retail, contact Cornfield & Partners at info@cornfieldpartners.com or call us today on +44 (0) 20 7692 0873 .

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