What is changing in the retail sector?

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Speed ​​and convenience are the new consumer preferences. In an increasingly digital world, the retail sector 's commitment must be based on the pillars of competitiveness, sustainability and economic growth. A construction whose main structural element is the commitment to technology, increasing the overall consumption of goods and meeting all the requirements for a good consumer experience . After all, to keep up with the fast pace of growth in the retail sector, it is necessary to be aware of the trends that dictate how the market behaves and how technology can optimize processes and services .

Consumer power in the digital economy

Being at the epicentre of the technological modernisation cyclone, consumers are increasingly informed and aware of the role they play at a social, economic and environmental level. With the arrival of the digital economy, they kuwait whatsapp number database come to know the true “power” of their purchasing power. Without further ado, the reality is that never before have consumers had so much influence on the way the market behaves. Increasingly demanding, 21st century consumers are not easily carried away by advertising and marketing . They rely on the content of reviews or the ratings of their peers, which is why sites such as TripAdvisor and Booking.com are increasingly popular.

On the other hand, the power of influencers is increasingly evident and major brands are already aware of this reality. Social media has made the media space more democratic. Everyone can produce and share content . The days when viewers had to put up with endless minutes of advertising are over. Today, platforms like YouTube are increasingly popular and accessible, where trends, ideas, theories, stories, etc. can be discussed.

Large multinationals in the retail sector have therefore invested in advanced analytics to predict consumer trends and return rates in order to optimise stock management . Many of them are going further, investing in intelligent automation, augmented reality and 5G to automatically control inventory, assign values ​​to items, distribute tasks, locate employees (in large companies) and know the status of each operation in real time.

In line with what has been happening, the use of D2 barcodes will continue to be a trend in 2020. Unlike the traditional linear barcode, D2 can store high levels of information and, as information is something that is extremely valued by today's consumers, companies will continue to invest in readers with "area imager" technology. An example of this is the proliferation of QR Codes , widely used in advertising to direct the consumer to specific content about the brand, company or product .

E-Commerce: the digitalization of the retail sector

The internet and hyperconnectivity have given rise to e-commerce . This trend grew seven times faster than traditional retail at the end of last year. According to Kantar , a company specializing in consumer behavior analysis, retailers that operate exclusively in the e-commerce market (such as Amazon ) continue to dominate online sales , accounting for 72% of all sales made in the digital environment globally. This means that companies that sell simultaneously in physical and online channels only account for 28% of all online sales. Some of the reasons for this phenomenon, according to a study conducted by the same company, are related to frequent delays in delivery and the limited availability of cheaper options .

The multichannel offering therefore has a lot of room for improvement and investment in technology to optimize processes is a growing trend. There is even a forecast that highlights the adoption of a reality that combines online service with a personalized and close service that can only be obtained in person, that is, " the best of both worlds ".

5G is a response to the demands for speed, convenience and efficiency. It is designed to enhance smart packaging and delivery applications through the Internet of Things. Collecting information in real time, with ever greater speed, quality and security, is now the means of improving service provision. By using online technology in stores, retailers can eliminate problems such as long queues to pay or the difficulty of finding the desired products in the physical store, and also prevent stock shortages.

According to a study promoted and published by the international consultancy firm Capgemini , "on average, consumers who expressed their willingness to move their online purchases to physical stores are willing to relocate around 20% to 25% of their purchases based on the potential advances offered by automation."
The same study reveals that there are multiple and varied advantages associated with the implementation of cutting-edge technology related to Artificial Intelligence (AI) in any of the areas of the distribution chain. These include resource savings, greater profits and, of course, higher customer satisfaction rates, greatly reducing the number of complaints and the percentage of returns.