Advanced Retail

Overview 

The retail industry has experienced significant shifts, driven by the rise of e-commerce and changing consumer behaviors. Traditional brick-and-mortar stores now serve as brand representatives, communicating a brand’s identity and values to passing shoppers. Beyond product displays, these stores support e-commerce distribution and bolster brand image.  Emerging technologies further enhance the consumer journey creating a seamless experience from discovery to purchase. 

Awareness 

• Wayfinding technologies: Wayfinding technologies act as a key component of the wayfinding, searching, and navigation stages of the consumer journey, especially in shopping centers. Traditionally signage and wayfinding tech have evolved into more interactive experiences. In shopping centers mobile apps assist searching and navigation through directions, some layering augmented reality over their system so that users can get directions through their camera with “floating arrows” and virtual signage. Touch displays have improved where users can search by types of experience or be provided recommendations from captured data such as weather. The upside of wayfinding tech is increased awareness, an industry survey revealed that 76% of US shoppers have entered US stores they haven't heard of because of digital signage.  

Consideration 

• Personalized experiences: AI chatbots & Internet of Things (IoT) tech is allowing retail stores to personalize the shopping experience for consumers to improve the likelihood of purchase. AI chatbots interact with customers providing recommendations from discussed needs and assisting in locating items in the store. IoT enables data capture so that things like footfall and traffic, timings, and browsing habits can be fed into customer management and servicing through recommendations, deals, and offers.

• Virtual Try-on: Virtual reality (VR) and Augmented reality (AR) are augmenting the consumer journey through the virtual try-on use case. Virtual try-ons use VR or AR to layer a virtual model of an item into real space, whether it be trying on a jacket virtually, what a couch looks like in your living room, or how sunglasses fit your face. Virtual try-ons benefit from increased engagement from consumers, while users benefit from not having to spend time in a changing room. In addition, we have seen the growth of haptic technologies, particularly ultrasound, which presents an exciting opportunity to allow customers to feel the virtual products potentially. 

Post-purchase services & engagement 

• Click & collect technology: Click and collect technologies support a retail brand's e-commerce logistics, providing a more affordable option for shoppers to receive their items purchased online. While the norm of regular storefront staff service click-and-collect needs still stands, we have seen an increase in automated tech that handles customer collection. Zara in Madrid has implemented a click-and-collect robot that automates in-store pick-ups. Because of automation, there has been a rise in unmanned kiosks in unconventional storefront spaces. 

Conclusion 

In the competitive world of retail, storefronts act as a key differentiator for brands. Traditionally many retail storefront enhancements are aesthetic, though emerging technologies are enabling store owners to make functional enhancements to their retail space to improve the consumer journey. 

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