Race for Retail Relevance | Book Bag of Knowledge

Since its inception, the global retail scenario has seen a sea change in consumer aspirations and a shift in multiple formats, from the brick-and-mortar outlets to the e-commerce platform, evolving further into m-commerce.

In a bid to stay relevant in this competitive retail ecosystem, companies and brands try to grasp the tastes and aspirations of the mercurial shoppers, who are unpredictable, highly influenced by the technological changes, easily bored and practically have no specific or permanent taste. Retailers try to work in tandem with the consumer’s preferences, striving continuously to lure the customers in every possible manner.

There is indeed a rat race going on, in which the imperative to stay relevant in relatively uncharted territory, such as mobile commerce, as well as traditional retail has actually compelled retailers to chalk out multiple strategies to cater to the ever-changing preferences of consumers.

The definition of “value” that was earlier gauged as its perceived benefits against the cost of the product, has now changed to convenience, at every level of consumerism. This again depends on the product’s level of innovation as well as it is quicker, faster and reliable delivery options.

This being an era of experiential retail, businesses are working to entice customers with multiple things like dining, theatre, and other entertainment options. We can say retailers are vying to give their customers an immersive shopping experience, which will propel them to the stores. Retailers must also vie for the consumers’ time with restaurants, spas, theatres and much more to ensure they can retain customers longer.

The much-needed improvement in the retail environment that retailers need to ensure is the exploration of the power of social e-commerce. For example, Nike online fitness community curated playlists to match a runner’s pace and master trainers to provide fitness advice.

As per the current retail trends, m-commerce leads the way. Experts suggest that it is gaining traction all over the world. For instance, US shoppers prefer to use smartphones for their purchase. The US is nowhere close to China, owing to unprecedented growth in m-commerce in the country, where shoppers have taken a leap past the era of personal computers directly to mobile commerce. The reason is simply the convenience that mobile purchasing options bring to them. WeChat is one such a free mobile messaging application that has accumulated 650 million users in less than five years of its existence. The app also has a ‘Buy’ Button that provides seamless shopping experience.

Gauging the current shopping habits of the millennial customers, who use their mobile devices as their purchasing tool, the retailers have started recognising the importance of mobile technology. The retailers have also identified the characteristics of millennial shoppers, who want customization, connectivity, and understanding.

The shopping habits of consumers suggest that there are a plethora of demands that are to be fulfilled by retailers. Now, it is up to the retailers to deliver, whether it is an on-store experience, a brand that shoppers can identify with, a secure mobile commerce option, an online community where they share ideas or a combination of all the above. In the long run, retailers, who understand the latent needs of their customers, are likely to win the race for relevance.

Source by Satyam Kumar