Today at the Digital Retail Transformation Assembly, we’ve been talking about the retail trends to watch for in 2017.
- Mobile, Wearables and the Rise of Payment-Enabled Technology
- Phygital: Create A Holistic & Unified Brand Experience
- Location Data and Insights for Integrated Marketing Decisions
- The Role of Storytelling
- The Interaction of Mobile + Digital + Physical Retail
As we’re chatting trends, we thought we’d take a look back at some of the most-read predictions from some of our favorite publications.
1. Closures and consolidations will continue apace
“2017 is going to continue to be a big struggle,” Robin Lewis, CEO of retail strategy publication The Robin Report and co-author of “The New Rules of Retail,” told Retail Dive. “It always goes back to the fact that we’ve got too much stuff, and we keep pouring more of it out there. More websites, more stores and we don’t have enough demand. We aren’t seeing more store closures because these people find ways of propping themselves up. They cut costs here and there. At some point, however, there’s got to be a huge shakeout. Macy’s and J.C. Penney may plan to close more stores and Sears will probably go bankrupt… You’ll see more bankruptcies in 2017.”
2. Malls will continue to mutate
“Malls are increasingly distressed. That presents the opportunity to do more mixed-use [projects] incorporating both entertainment as well as hospitality and residential in 2017.” Jerry L. Hoffman, President, Hoffman Strategy Group
3. Voice-activated shopping will make noise
“[Alexa] has significant implications for manufacturers… The retailer has power over what they might suggest to a shopper.” Supriya Chaudhury, Clavis Insight CMO. “It’s important to understand how things play out if you actually order from [an Alexa device],” Chaudhury told Retail Dive. “If you’ve ordered a particular category before — say, paper towels — and you want to order again, the Echo will find the most recent item you’ve ordered and add it to your list. If you haven’t, it prompts you with an item in a subset of products that Amazon is defining as ‘Amazon Choice.’ If you’re just starting to use voice enablement and you don’t have a history of shopping at a retailer, the retailer could then influence what gets into your shopping bag. People aren’t calling out ‘I want Bounty paper towels.’ They’re just saying ‘I want paper towels.’ This has significant implications for manufacturers for how they can get into the Choice list and what exactly are the algorithms and rules driving a retailer. It parallels the days of physical shelves and the battle of private-label. The retailer has power over what they might suggest to a shopper.”
4. Wal-Mart will continue its extreme makeover
“I think 2016 will mark the year Wal-Mart really aggressively developed a strategic path for the long term to beat Amazon.” Robin Lewis, The Robin Report CEO.
5. Online and offline will continue to blur
“People who have bad digital experiences will immediately go to a competitor — often with no switching cost at all.” Peter Blair, Vice President of Marketing, Applause. “There will be further integration of our digital and physical worlds, especially as users expect brands to engage with them through the digital channel of their choice, not the other way around,” Blair said. “This will put an increased demand on retailers in 2017 to provide customers with the best digital experiences possible that blend the benefits of online, in-store and mobile into a single frictionless customer experience. The stakes are high as people who have bad digital experiences will immediately go to a competitor — often with no switching cost at all.”
6. Retailers will get to know their customers much better
“Whether or not businesses are able to provide convenient, personalized experiences to their customers will ultimately be what seals their fates.” Jake Weatherly, SheerID CEO.
7. E-commerce will continue crossing borders
“With the USA still accounting for almost one in three dollars spent globally, consumer behavior in the Trump era matters to the world.” – Sarah Boumphrey, Global lead of economies and consumers, Euromonitor International
- Shift To Mobile
- Niche Payments Gaining In Popularity
- E-Commerce Growth
What is clear is that as retail continues to innovate and digitally transform, there will be several things to consider.
- Mixed reality – how much time do customers spend interacting in the digital world vs the real world – how is this different by category in the buying journey for leaders in the room?
- Digital Leaders vs Digital Laggards – what characterizes leaders/digital natives? What is holding back legacy brands and retailers?
- The shifting attention span (and expectations) of today’s consumer – what is proving successful for brands to engage consumers at the shopping moments that matter?
- Data-driven customer journeys – How is the availability of data changing the times and places where retailers connect with the human element in digital and physical interactions.How are leaders in the room thinking about customer journeys and how does it impact their digital work?
- Understanding the importance of personalization in an omnichannel world – what in store and online personalization is proving successful?
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Feeling FOMO? Register your interest for the 2nd annual edition now!
The Millennium Alliance is excited to announce that application for our biannual Digital Retail Transformation Assembly is now open. C-Level experts from across the retail industry are coming together October 19-20, 2017 at the Grand America Hotel in Salt Lake City, UT, to anticipate the highly complex digital retail marketing environment that will develop over the next few years.
Retail has in many respects led digital transformation. As industries like healthcare, looked to retail for guidance on connecting with the on-demand customer, the retail industry is experimenting with the next stage of digital transformation. With new augmented reality, virtual reality and artificial intelligence technology making a splash in 2017, retail is uniquely positioned to take full advantage of these digital tools. Retail CDOs and CMOs are working to take advantage of the explosion of technology, as well as continuing to manage the massive volumes of data driving digital enterprise.
The Digital Retail Transformation Assembly will bring together North America’s most prominent digital, marketing, technology, and business leaders from the Retail Industry.
This is not just another “Digital Retail” event. Spaces are reserved for the best in the business. Apply for Millennium Membership today