Top Five Retail Tech Trends in 2023


Share post:

The economic outlook for most of the world appears to be on a rocky trajectory over the next year, and retail has traditionally been one of the first industries to feel bumps in the road. This is likely to cause further problems for mortar retailers still recovering from the disruption caused by the COVID-19 pandemic. But it also presents a challenge for online retailers to continue to innovate, to ensure that the revenue available to more limited customers continues to flow their way.

Rising inflation has pushed up the prices of everyday necessities such as groceries, clothing and coveted luxury items sold by multinational conglomerates. At the same time, supply chain disruption is negatively impacting operations as inventories are running low, encouraging some retailers to raise prices further.

the answer? Harness the power and potential of technology to give customers new and exciting ways to browse, shop and save. Online and offline retailers are turning to technology in a number of innovative ways. So here is an overview of some of the hottest trends on the radar for 2023.

Mixed and Omnichannel Customer Journeys

Online shopping offers great comfort, since it can be done from anywhere and at any time, putting everything at our disposal without having to leave home. It also allows retailers to learn a great deal about us as they track our customers’ behavior and combine it with data from any number of other online sources to create a detailed view of who we are and what we want from our shopping experiences.

At the same time, offline shopping means we can get what we need right now (if the store is open) and gives us the tactile experience of being able to look, feel and even taste or smell products before we buy them.

Hybrid shopping is about bringing the best of these two worlds together, both online and offline, to create customer journeys that tick all the boxes.

In the case of offline shopping, this means understanding who we are and what we want when we enter the store, just like an e-merchant does when we arrive at their website. In the world of online retail, that means developing ways to deliver the same experiential shopping experiences that we enjoy in the real world. This could be through innovative technology that enables personalization or virtual and augmented reality solutions (see below for more on all of these).

Offline outlets can take advantage of online retailers’ innovations in logistics and inventory management to offer flexible payment methods, home delivery options, and loyalty programs (eg, Amazon Style Stores). At the same time, online retailers can learn how to build personal relationships with customers and offer immersive shopping experiences from traditional retailers. In 2023, embracing this hybrid mindset will be a key strategy for retailers looking to continue building brand awareness and customer loyalty.

Conscious Consumers Continue to Define their Retail Habits

To succeed in retail in 2013, companies must continue to adapt to the fact that ethics, environmental protection and sustainability are increasingly at the heart of consumer purchasing decisions.

Two out of three of us consider ourselves “belief-driven shoppers” and have a strong desire to know that the products and services we buy are created in an environmentally friendly way by organizations with strong environmental, social and governance principles. (IS G). Rather than being a roadblock or roadblock to the industry, organizations that successfully adapt to this trend will find that they quickly build stronger bonds of trust and loyalty with their customers while developing more efficient operations and processes. This can be achieved by reducing waste associated with overfilling and reducing overall energy consumption. Korean retailer Coupang is a good example of a company that has eliminated 75 percent of deliveries, increasing brand loyalty and reducing logistics expenses.

As more and more of us realize the increasingly critical nature of the threats to our environment and planet, the technology that enables companies to find new solutions to these problems, and to do so in a transparent and responsible manner. , will be a major trend in retail. throughout 2023.

Personalization Throughout the Customer Journey

Stitch Fix is ​​a California-based fashion retailer that uses algorithms and online surveys to select clothes that, in theory, perfectly fit customers’ tastes as well as their sizes. And global sportswear giant Nike launched Nike By You, allowing anyone to create a fully customized pair of shoes that perfectly match their personal style. These are two examples of lifestyle-oriented brands looking to capitalize on the growing demand for unique and personalized products that in some way reflect our personality or our individual sense of style.

This trend applies not only to fashion and footwear products. Consumers have been proven to respond well to personalization throughout the consumer journey, from sales and marketing, where email and e-commerce portals provide personalized recommendations, to upselling and after-sales support. Companies that successfully react to this trend in 2023 will know how to take the myriad of data points available today and create products and services that feel “special” or uniquely tailored to people. They will create personalized touchpoints throughout the customer journey, making customers feel like they are not just made for people like them, but uniquely connected to themselves as individuals. The application of technology to enable “personalization at scale” is key to capitalizing on this trend.

AR, VR and the Metaverse are Driving immersive Experiential Shopping

Today’s consumers crave a great customer experience above all else, according to the latest research. This means providing excellent service in a simple, efficient, consistent and memorable way. This is why there is so much excitement about the concept of the metaverse: immersive, experiential digital environments where users can work, play, and, yes, shop, on one consistent platform. Although no one is sure what form the metaverse will ultimately take, retailers have already enthusiastically embraced it as an exciting new channel through which they can connect and work with customers. Adidas, Nike, Tommy Hilfiger, Samsung and Burberry are among the household names that have already established a presence or have stated that they plan to do so.

Virtual reality is a huge part of the metaverse and provides the most immersive way currently available for consumers to connect to these worlds. AR technology and related AR technology (both based on head-mounted displays) are making inroads into retailers with innovations like the virtual dressing room trend, also set to go mainstream through 2023. Retailers including Hugo Boss and Walmart, and Amazon , allow customers to virtually try on clothes using a digital representation of themselves. This trend builds on the earlier use of augmented reality by companies like Ikea and Home Depot, allowing us to see what the furniture they sell will look like in our homes. As customers look for more immersive and fun ways to shop and spend money, we can expect to see more businesses adopting these technologies and continuing to innovate well into 2023.

Independent, Contactless and Cashless Purchases and Deliveries

This trend is also about the convergence of hybrid and omnichannel innovations, but focuses on the all-important “last mile” of the retail experience. Consumers are demanding more simplification and efficiency in how they pay for goods and services and how they make their way into our own hands. Convenience trends such as Buy Online In Store Pickup (BOPIS), Buy Online In Store Pickup And Return (BORIS) and Buy Online Curbside Pickup (BOPAC) are rapidly becoming standard. Artificial intelligence and advanced analytics make this possible by automating the complex inventory management processes required. It is also essential to the new independent delivery methods that retailers are increasingly experimenting with, experimenting with, and implementing in real-world implementations.

Starship, for example, has seen unprecedented demand for its delivery robots since the pandemic, having now completed more than 100,000 independent deliveries in the UK, US and Europe. Chinese retailer operates fleets of autonomous delivery vehicles, and Amazon’s delivery scout robots have become a familiar sight in US cities including Irvine, California; Atlanta, Georgia and Franklin, Tennessee. In addition to achieving efficiencies by reducing the need to rely on costly manual courier delivery to complete the last mile, automating this step of the process allows companies to reduce carbon emissions because vehicles are often electric and can run on renewable sources. renewables such as solar energy. However, managing this change ethically, given its impact on the lives of thousands of human delivery drivers, is a challenge the retailer will face in the coming year.



Please enter your comment!
Please enter your name here

Related articles

Bard is being improved by Google’s employees working overtime

ChatGPT continues to create panic within the Google offices. If the company is quick to reveal its counterattack,...

Amazon Remote Jobs

Working for Amazon from a remote location has become a popular option for many people around the world....

The Benefits and Drawbacks of Remote Work

Remote work refers to the concept of allowing employees to work from a location outside of the office,...

The Impact of Technology on Society

Technology has had a profound impact on society over the past few decades. From the internet to smartphones,...