Retail Is Changing
The rise of e-commerce and the reported slow down of the high street is painting a mix of opinions for the retail sector, but we all know retail as we currently know it is changing. But what is next?
Influencers are brands
With 92% of consumer trusting an influencer more than an advertisement, it is just a matter of time before these influencers start their brands and compete with those they currently represent. Tana Mongeau, a beauty vlogger, had to cancel an event earlier this year after 20,000 people turned up to an event for 5,000 people. Beats by Dre didn’t sell for 3 billion dollars because their headphones are the best quality.
AR means product can be everywhere
Ikea, Dulux and John Lewis to name a few have shown us how AR can be used to style our homes. With Lioria makeup service and Amazon’s echo look and recent patents on virtual try on services are an indicator of her personalised services that snapchat and Instagram are primed to play a part in removing the control from the retailers to the products.
Clothes are going from catwalk to customer in weeks
Zara and H&M are the two latest global fast-fashion retailers, pioneering the fast fashion model. With Zara being able to get designs to store within five weeks, ASOS and Missguided have now reduced their time to market to just two weeks. Showing that to compete in a fashion world continuously driven by trends and styles you have to get faster.
Stores are becoming staff-less
Though Amazon caused much attention with their Amazon Go stores and the recent acquisition of Wholefoods, scan and shopping devices have been growing with most major supermarkets with Waitrose in the UK launching mobile phone-based scan and shop service. Can Amazon Go style staff-less stores work at a superstore level and will other retail sectors come under fire soon?
Showrooms and experiences are driving engagement
Pop up stores have exploded in recent years, giving brands the ability to provide a limited showcase of their product and instant purchase of a limited inventory within high-value retail spaces that can attract the footfall and engagement. Though companies like Bonobos are creating “guideshop” where you can’t take any of the items home, this will ensure your size is always in stock to try and no need to lug shopping bags around stores.
Blockchain is unlocking supply chain transparency
Walmart has embraced blockchain to track food back to the source; this new technology took 2 seconds compared to the previous system of 6 days. Though transparency has also allowed organisations to work together and create safety alliances to enhance food tracking.
Next day delivery is here; the same day is coming
Next day delivery has become expected by most now, but with trends of near-instant delivery of the item, Deliveroo brings you food in less than 30 minutes, uber is gets you a ride in 3 minutes. Even UK retailer Argos has limited same-day delivery of items. As these new delivery networks grow, will 3 hours delivery of your new fridge become unrealistic?
Products will soon arrive before you order
Meal services such as hello fresh and riverford have got us into a routine of food arriving at our homes but what when the food arrives before you order it based on what you have purchased before and is thought to be running out. You send items back that aren’t needed but if you’re a brand how do you infiltrate this brand less experience?