How Can Retailers Capitalise Upon Technology?
In unprecedented times, hereby coined as volatile, uncertain, complex and ambiguous (VUCA) almost all industry verticals have been impacted on their performance. Sustainability is central, while growth pursues it. So, do these ‘retailers’ migrate to ‘digital-retailers’, leveraging upon technology? The question is how much do they extract from technology? As understood widely, technology absorption capacity and capability for each enterprise and individual remains different? The central discussion amongst pundits in the retail sector is to identify, adopt, adapt and integrate in their system during their business life cycle and so-called entrepreneurial journey.
The Retail Industry
If we relook at the past with a hindsight, there has been a revolution in the retail industry, especially from India perspective. The Indian consumer is not confined to small timers or termed as mom-n-pop stores and has progressed visiting-experiencing-buying from big timers like the megastores. With passage of time and globalisation this sector has majorly moved in its complex operations impacting the consumer’s experience. The panoramic view has evolved, thereby opening up unlimited opportunities with variety of business models using technology and innovations. As said, the changing competitive landscape has ushered this phenomenon with each retailer pushing its limits in capturing the consumer’s mindset. Life styles have evolved rather changed, hence, their respective buying behaviours. Covid-19 pandemic has accelerated the downfall in economic growth. With little disposable income and uncertainty looming over the buyer on confirmed income, it has become a question of rationality vs irrationality. The frequency of buying has receded as a result of this VUCA. So how do these retailers play as magicians enthralling and capturing the consumer to stay connected? It seems they have one common understanding in a connected world and that is ‘technology’, embrace it and leverage upon it!
The evolving retailer
The retail sector is fast evolving and in this competitive race to exist, retailers are evolving, anticipating current and future needs. Virtual reality is one such initiative to associate with the dynamic consumer needs. Covid-19 pandemic has accelerated such kind of initiatives, where in the much-wanted consumers’ hand on experience has been translated into a virtual connect, a safe method of social distancing yet an experiential connection.
Which all major technologies do these retailers expect to expand and thrive upon including the strategic initiatives? Thus it is pertinent for retailers to identity the assorted innovations and build upon by weaving them in their organisational framework. Perhaps, this is the first step towards mapping insights and planning for the future. But there are challenges on understanding and implementation, not as easy as understood!
Luxe Analytics is an enterprise with its strengths in luxury market research, attempting to blend digital technology with innovative practices. They are driven by their mandate on consumer delight with disruptive innovations. Others specialists in this pace like International Data Corporation, JimJam Ideas and Bombora feel etc. compete in a similar direction. For all, while the presence of stores in a physical space is must these new age entrepreneurs are convinced on amalgamation of technology. The power of omni presence cannot be ignored and this is what technology provides with an edge.
Premium brands like Damilano, HiDesign, Phive Rivers, Charles & Keith, Caprsese, Aldo Products etc. extensively engage in using digital platforms to reach their customers and entice for buying. For them the chemistry between the prospective buyer and the seller can be bridged by innovatively using digital platforms in luxury products category.
Covid-19 pandemic has impacted the bridal sector. Chhabra Triple Five Fashions claim to be inspired by people and the world around them. They moved ahead in this pandemic times by enhancing the website experience and customer engagement via video calls, thrusting upon previews by exploiting the digital platform to its maximum. Similarly, Mina Saree, Laxmipati Sarees and Vijaylakshmi Creation have graduated to digital platform for marketing their products.
There is something common to all the retail giants. Optimising on resources and managing their sores and inventories. For each of them retaining the customer, attracting new ones and constantly engaging in product development is of primordial importance. To each one in the luxury market, for their consumer, it is not limited to just a physical buying but an assorted bouquet of service experience and the wow effect! It seems embracing technology is the only option and a preferred choice to survive in a turbulent business environment.
Managing the Sales floor
These unprecedented times, stores have been challenged on how to manage their sales floor? Thus, several hi tech tools have aided in not only balancing their inventory but in promoting customer loyalty and in-store experience. It is estimated that augmented reality engagement has moved tremendously, with virtual fitting rooms on the rise. These retailers, big fashion brands and their likes have embraced upon extended reality, order fulfilment automation, face recognition, micro moments and predictive analytics to name few technology platforms pushing their visibility. Few have gone ahead in having Robotic Store assistants to manage their physical existence with increased digital engagement. At last, this digital revolution and supported technologies have come as a recluse, improvising upon planning and towards decision making. Alas, technology is on mode, caress!
