The retail sector is fighting hard to survive thanks to the knock-on effects of the covid pandemic and now the cost-of-living crisis.
The economic uncertainty is creating a great deal of pressure on high-street firms, which is why the time is right to invest in technology.
Why Invest In Technology Now?
By investing in technology, bricks and mortar businesses give themselves the best possible chance to survive and even thrive during these economically turbulent times, by encouraging repeat store visits and purchases through enhanced customer experience (CX) and smarter business decisions.
Among the biggest challenges retailers with a physical shop presence face is the ability to get customers through their doors. In today’s world, a retail company must convince customers to shop both offline and online. The convenience of online shopping means customers must be persuaded to head out to the high street to shop – it needs to be a worthwhile trip and a positive experience.
Technology has the ability to not only enhance the customer’s experience but the businesses can also benefit from a boost in brand loyalty, improved marketing strategies, and the ability to streamline the business to make it more agile and cost-effective.
Just What Can Technology Do For Business?
Enhances CX
Technology can create in-store games and interactive information hubs that engage customers and encourage repeat store visits by making the CX (customer experience) fun. Personalised and interactive experiences in-store stay with the customer long after they leave the store and help to build better relationships and brand loyalty through physical interaction with the brand. One example where this is done well is with the tailored jump booths within the Sports Direct flagship stores that measure how high someone can jump and then provides them with slow-motion playback and leaderboard, something that is both fun, and memorable that also creates content the customer and takes away with them.
Other tech-based initiatives enhance the in-store experience too, such as self-serve checkouts. These offer the freedom to shop in a way that suits the customer, especially those on a tighter time budget.
Boosts Brand Loyalty
Companies that invest in technology get to know their customers by gathering data. Information hubs provide details on products for customers but also vital customer data for business. As a result, retailers can tailor offers to individuals to build brand loyalty through discounts on their birthdays or when they’re in the store. Using an app makes the most of customers’ physical presence in-store by sending through time-limited offers too.
The technology will ensure accuracy and relevant offers based on previous purchases, to encourage greater take-up.
Improves Business Decisions
Clever analytics technology like heat tracking cameras highlights the parts of a store working well and less well, so action can be taken to find solutions for perfect product placement and store layout.
Digital displays offer cost savings and efficiencies as the screens can be changed within seconds, put on standby at quieter times, and used to match the particular day for maximum impact. For example, if the weather is hot, the displays can promote beach wear and ice cream, and if it’s snowing the screens can promote warming drinks and winter clothing. Smart technology can also tell you who is shopping at any given time, so the screens can be matched to meet the needs of the customers in the store.
Technology enables retailers to reduce costs and waste. Point of sale (POS) technology enhances strategic marketing by using personalised offerings on screens at checkout points. For additional savings, these screens can be adapted to only be used at optimum times and can be placed on standby mode during off-peak periods.
Now is the right time for bricks and mortar businesses to invest in technology to trim excess expenses, improve the in-store customer experience, and ultimately enhance the company’s bottom line.
Josh Bunce, founder and CEO of the iuf Group
