Originally posted in: retailcustomerexperiencie.com 

Retailers that can effectively provide consumers with desired levels of convenience greatly enhance their overall shopping experience.

June 22, 2023 | by Amber Hovious — VP, Marketing & Partnerships, Teamwork Commerce

As we find ourselves at the half-way point through 2023, the global retail landscape continues to keep the sector on its toes. However, we’ve kept our finger on the pulse of the latest retail news and industry developments so that you don’t have to.

In our last Retail in Review blog, we explored why US sales had dropped-off while the UK market rallied, and took a look at how self-checkout was revolutionizing the landscape. Read below to read some retail market updates, and find out how the retail industry has continued its development during May and June…

Fighting Against Theft

As reported in Financial Times, Target has informed its investors that shrink – the loss of inventory as a result of shoplifting, employee theft, and organized retail crime – will reduce the retailer’s profits this year by approximately $500m more than it did in 2022. Retail shrink appears to be on the rise, with New York mayor, Eric Adams, claiming that the city experienced a 45% increase in retail theft complaints last year compared to 2021.

The article calls for communities and wider law enforcement to step up in the fight against theft to take back control. Of course, retailers cannot eliminate shrink alone, but they can take steps to help their odds. RFID technology, for example, can track products at item-level and play a significant role in reducing shrink at checkout.

Many view self-checkout as a less secure point of sale (POS) option, which can contribute to increased theft without in-store associates on hand to personally complete transactions. However, Teamwork’s RFID-Powered Self-Checkout solution automatically scans all items in a shopper’s basket or cart within seconds, and is capable of triggering alarms if items are not paid for. Ultimately, retailers experience fewer losses as a result, and checkout security can be significantly enhanced.

US Retail Sales Increase in May

Theft concerns haven’t kicked off our review of the retail industry in the brightest light. After all, it’s not all doom and gloom. In fact, while in March the US may have seen retail sales drop, this time around we’ve noticed that the numbers have started building up again.

According to Bloomberg, US sales unexpectedly climbed by 0.3% in May, proving consumer resilience despite continued economic challenges.

Reuters goes on to explain that while the cost of living crisis has resulted in shoppers becoming more selective and sensitive to prices, strong wage gains from the labor market have held up spending.

While the market is rebounding, retailers must continue to remain in-tune with customer demands. With the right clienteling and CRM solutions, retailers can create personalized in-store experiences that provide value to customers, recommending products and highlighting promotions that best suit them. On top of this, a personalized approach helps in-store associates to deliver high-quality customer service that helps set retailers apart in a highly competitive environment.

Physical Stores Continue Their Comeback

With US sales rebounding, much of the success can be attributed to the boom of physical stores. That is, at least, according to members of the KPMG/Ipsos Retail Think Tank (RTT), who have been discussing the latest developments within retail.

According to the RTT, in-store sales are making a strong comeback despite brick-and-mortar retail being written off by many over the past few years. The reason for the resurgence is believed to be due to the ongoing cost of living crisis, where in-store shoppers are better able to track their spend. The RTT also cites a post-COVID appetite for real-life experiences as a contributing factor.

With brick-and-mortar shopping on the rise, it is important that retailers can leverage increased footfall by providing seamless in-store experiences that deliver on the current desire for experiential retail. While RFID-powered self-checkout can help customers complete their own transactions in seconds, Mobile POS allows retailers to deliver a personalized touch to their sales, while being able to complete transactions from anywhere in-store.

With built-in CRM, our Mobile POS solution allows retailers to create a single source of information around every individual customer, allowing them to visualize customer purchasing history, buying habits, and shopping frequency across sales channels and make relevant recommendations. Not only does the solution help to minimize a customer’s time spent waiting around in-store, but it adds the personal touch that consumers crave.

Building Towards a Summer Spree

As we make our way to the summer months, consumer appetite is clearly on the rise, with demand for in-store experiences leading the charge for customer expectations. The next few months could be crucial for retailers looking to capitalize on vacation purchases and refreshed summer wardrobes, and staying on top of their competition. A personalized approach will be the key to success.

Find out more about how Teamwork Commerce’s solutions can help your retail business deliver the ultimate customer experience. Get in touch today!

This article was originally posted in Forbes

Retail has undergone a rapid change of pace over the last few years. With investment in technology expedited by the evolving consumer demands, a number of retailers are now focusing their efforts on making their digital transformation more effective and advanced. According to Statista, the retail automation market has been valued at approximately $14.9 billion in 2023. By 2029, this number is expected to have doubled—reaching $29 billion in only six years.

The next few years will be vital for the retail industry, with new solutions being developed on a seemingly weekly basis. Those who are not already investing in retail technology need to start soon or risk falling behind the competition.

Retailers Have To Want To Change

Disruptive innovation, by definition, replaces older technology investments with new solutions that deliver improved operational efficiencies, better customer experiences and, ultimately, higher profits. The issue for many organizations is that they often cling to past investments for too long, still expecting a continued return on investment (ROI) and shuddering at the thought of spending more financial resources on technology to replace older investments.

Different retailers will find themselves in unique positions. Some may have had legacy technology for years and might not know where to start. Others may have already made investments but haven’t been able to realize the value in them. The first step is recognizing exactly where the business stands.

Creating The Right Foundations

Structurally, retailers are typically set up in a way that does not facilitate effective digital transformation. Traditionally, retailers started with brick-and-mortar stores before e-commerce was introduced and heralded as the newer, cooler way of selling products. This created an inherent division between the two channels—fiercely competing with each other.

In many cases, in-store functions and e-commerce operations are conducted separately. However, in today’s omnichannel world, the two need to work together in real time, and this is the challenge facing many retailers over the last few years.

Fundamentally, retail businesses need to take a step back and look at their brand from the view of the consumer. Today’s consumer purchases through a range of channels; organizations need to embrace this, and they should be looking to restructure around this changing demand. The second step to any form of digital transformation lies in understanding what the customer wants. In the current landscape, the customer wants convenience. Online and in-store operations need to unify in order to deliver a frictionless experience for consumers.

Driving Internal Buy-In

It’s one thing knowing that change needs to happen; it’s another to get everyone on board with it. This is where internal challenges can arise.

Stakeholders can quite easily take one look at the associated costs of new technologies and shut down any suggestion of innovation. Meanwhile, store managers or associates might not be too enthused by the idea of training to use new devices in-store when they struggle to see the benefit. Buy-in is necessary across all levels of the retailer, and the most effective way to deliver it is from the top down.

It starts with the vision—showing board members the long-term benefits and, importantly, ROI. They need to understand and get on board with the way that the landscape is changing—driven by the consumer’s demands for convenience and personalization.

Another integral factor in creating buy-in comes from the understanding that this is not an overnight investment. Instead, it is the gradual evolution of the business. Much of today’s urgency in retailers is coming from the recognition that they needed to change years ago. However, they cannot go at break-neck speed immediately. There will be disruption, not everything will go completely seamlessly, and retailers will need to ramp up gradually.

Investing in technology relies heavily on well-oiled change management. Everyone is used to operating in a certain way, from the CEO right down to the latest trainee sales associate. Digital transformation changes everything, and it will be a challenge to come to terms with it.

The sooner that board members recognize this is a slow process and that it will not be without its challenges, the quicker there will be top-down buy-in.

Coming To Terms With The Tech

With an understanding of where the business sits and what its customers need, retailers can now focus their attention on the technology.

While buzzwords such as “omnichannel,” “frictionless commerce” and “seamless customer experience” have become the hot topic, many retailers cannot give a detailed explanation of what they actually mean.

Immediately, this causes significant issues. A lack of understanding eventually translates into a lack of strategy and direction. In such a highly competitive environment (primarily governed by the meandering expectations of consumers), retailers without guidance can quickly fall behind the rest of the pack. By blindly investing in technology they don’t understand, retailers are unable to optimize their use of the solutions they have purchased, failing to drive ROI and making unnecessary losses.

Finding The Right IT Partner

An IT provider should not be thought of as simply a vendor but, rather, a partner—an extension and the technology backbone of a retailer.

In such a fast-paced industry that is becoming increasingly reliant on technology, retailers should not be looking for a partner that will fill an order and forget about them. An IT provider should care about how the business performs. It should have deep industry-specific experience, have seen similar cases previously and have the ability to consult, provide insight and deliver the right solutions at the right time.

As the complex retail sector continues to evolve, it has never been more important to invest wisely in technology. Retailers cannot afford to get this decision wrong.

The right partner will be able to scale a retailer’s technology stack in line with its growth, providing new technologies that demonstrate new capabilities as and when they are required. This choice is imperative not just for the implementation of that technology but for long-term business sustainability and growth.

Sergey Kozhevnikov, VP of Product Development, Teamwork Commerce. Read Sergey Kozhevnikov’s full executive profile here.

Supply chain management has risen to prominence in recent years, owing to widespread disruptions caused by geopolitical tensions and subsequent supply chain bottlenecks. According to an Accenture survey, 75% of retailers experienced negative business impacts as a result of supply chain disruptions. As a result, investment in supply chain agility and resilience is a top priority for 96% and 90% of retailers, respectively.

Because of the prevalence of last-mile delivery issues, as well as reliance on suppliers who are frequently experiencing difficulties, global and local retailers need to review their inventory distribution network and create a seamless experience based on a unified commerce approach. The significance of a well-functioning supply chain cannot be overstated. It serves as the backbone that connects various components of a retailer’s operations, ensuring the smooth flow of goods and services from suppliers to customers.

In today’s competitive retail environment, where customer expectations are high and demands are constantly evolving, businesses must grasp the importance of an efficient and effective supply chain. By being proactive and embracing technological advancements, retailers can mitigate risks, optimize operations, and ensure that their supply chains operate effectively in an ever-changing business landscape.

Supply Chain Challenges

Retail supply chains operate in a dynamic business landscape, facing multifaceted challenges that require careful navigation. Demand volatility has added complexity to already challenging supply chains as retailers must anticipate and respond to fluctuating consumer preferences and behaviors. This has resulted in inventory management becoming a delicate balance, ensuring optimal stock levels to avoid overstocking or stockouts.

Furthermore, as more retailers adopt an omnichannel approach, smoothly integrating numerous channels raises complications in providing a consistent customer experience. Retailers need to deliver highly tailored customer service while developing and sustaining solid supplier relationships, guaranteeing quality control, and adapting to sustainable and ethical practices to meet the demands of conscious consumers. It is undeniable that retailers require real-time visibility across the entire supply chain to make informed decisions.

Deploying the Right Technology

Retailers are recognizing the need for a digital transformation, or more specifically, a supply chain digitization. With the advancement of technology, businesses may now approach supply chain management from a novel perspective, employing lateral thinking and utilizing new technologies to obtain unprecedented visibility into supply chain operations. Furthermore, retailers now have access to data-driven insights into their operations, allowing them to make better decisions about operational processes and distribution networks.

For retailers, staying ahead of the curve in today’s world means having the right technological solutions at their fingertips. Teamwork Commerce’s innovative, user-friendly, and augmented technology solutions help businesses overcome a variety of challenges, from streamlining processes to improving the customer experience, all aiding in optimizing the supply chain. With these tools, companies can be more agile and responsive to changing market conditions and customer needs.

With Teamwork Commerce’s Inventory Control technology in place, retailers can set new horizons for their omnichannel strategy and focus on creating a fully-integrated shopping experience that meets both their strategy and consumer needs. Teamwork’s customizable Inventory Cost solution is designed to help businesses optimize their inventory costs and gain visibility into their stock. It is built for efficiency, allowing businesses to access their inventory levels at the touch of a button and ensure consistent stock management.

Additionally, Teamwork Commerce offers order management capabilities, allowing businesses to handle and complete consumer orders across numerous channels in an effective manner. This tool assists businesses in streamlining their order processing procedures, improving order accuracy, and providing customers with quick order updates. With this in place, retailers can take the next step toward an exceptional customer experience (CX). 

From Efficiency to Excellence

In today’s highly competitive business landscape, a strong supply chain foundation is the key to delivering exceptional customer experiences. It enables companies to meet customer demands with agility, efficiency, and reliability, setting them apart from the competition. It empowers companies to anticipate customer needs, manage inventory effectively, and fulfill orders promptly, allowing them to stand out in a crowded marketplace. Once retailers have overcome supply chain challenges, they are able to focus all of their efforts on developing an excellent CX.

Creating Opportunities Out of Challenges

Retail businesses have had to rapidly adapt and deploy the appropriate technology to overcome the challenges in their supply chains. The key is to adopt a holistic approach that streamlines operations and focuses on customer-centric experiences. As retailers strive to improve their omnichannel services and adapt their supply chains, implementing technological solutions can help by managing inventory movement, improving the customer experience, and leveraging analytics to provide data-driven insights on how to continuously improve processes.

As shoppers flock to stores and websites to purchase their summer essentials, retailers must navigate ways to make the most of the summer shopping peak. According to the National Retail Federation (NRF) forecast, United States retail sales are estimated to expand by 6% in 2023. To capitalize on this busy shopping period, retailers must cater to rapidly changing consumer behavior.

Today, consumers demand a seamless shopping experience at their own convenience. From product recommendations and discounts to automated checkout processes – convenience and customization have become a common part of consumer expectations. Any variances in consumer inclinations can directly affect retailers, and they must comprehend how to meet the needs of their customers while out-maneuvering the competition.

To make the most of the upcoming shopping peak, retailers must be able to create a more efficient and cost-effective way of doing business while also being able to ensure a high-quality shopping experience for their customers. Technology can serve as a great facilitator to help retailers advance their capabilities to meet customer demands. In fact, a 2022 Coresight survey estimated that more than two-thirds of retailers plan to increase their investment in technology over the next three years.

From the supply chain through to in-store operations – retailers are deploying next-generation solutions to boost their sales, efficiency, and profitability.

As shoppers flock to stores and websites to purchase their summer essentials, retailers must navigate ways to make the most of the summer shopping peak. According to the National Retail Federation (NRF) forecast, United States retail sales are estimated to expand by 6% in 2023. To capitalize on this busy shopping period, retailers must cater to rapidly changing consumer behavior.

Today, consumers demand a seamless shopping experience at their own convenience. From product recommendations and discounts to automated checkout processes – convenience and customization have become a common part of consumer expectations. Any variances in consumer inclinations can directly affect retailers, and they must comprehend how to meet the needs of their customers while out-maneuvering the competition.

To make the most of the upcoming shopping peak, retailers must be able to create a more efficient and cost-effective way of doing business while also being able to ensure a high-quality shopping experience for their customers. Technology can serve as a great facilitator to help retailers advance their capabilities to meet customer demands. In fact, a 2022 Coresight survey estimated that more than two-thirds of retailers plan to increase their investment in technology over the next three years.

From the supply chain through to in-store operations – retailers are deploying next-generation solutions to boost their sales, efficiency, and profitability.

Accurate Inventory Is a Must

Manual entries with traditional inventory solutions are clearly not enough to meet today’s retail requirements. Not only do manual entries slow down the entire process, but they also do not guarantee the required accuracy due to human error. This can further lead retailers to make inappropriate inventory decisions in areas such as production, procurement, and distribution.

To boost efficiency and profitability, retailers must be able to ensure that the right amount of product is in the correct place and accessible when required. This can be achieved through the deployment of the right technology. For example, the Teamwork Commerce Inventory Management System is designed to help retailers automate and streamline their processes, so they can reach the next level of success.

The core principles of the solution are advanced functionality, data-driven information, analytical insight, and strategic analysis. With this information available at the click of a button, retailers are aware of every single detail concerning unit availability, location, and status. This technique helps retailers maintain a proper balance between stock and demand, particularly when there is an increase in consumers and an exponential increase in demand.

Ahead of summer’s shopping peak, having the right technology can help retailers track their inventory more accurately in real time. In addition, retailers can further prevent stock-out situations whilst avoiding overstocking items that aren’t selling fast. Moreover, retailers must advance their in-store technological deployments to ensure a top-tier shopping experience for their customers.

Strengthening the Brick-and-Mortar

Summers tend to be a busy shopping season for retailers and customers alike. Long queues and delays can be a nuisance for customers, compromising their overall experience with the retailer, thus, retailers must find an efficient way to bust queues and keep up during periods of high demand.

One way retailers can help in-store associates serve their customers more quickly is by introducing a mobile point-of-sale (POS) system which allows staff to serve customers from any part of the store. Teamwork’s Mobile POS system operates exclusively on cutting-edge iOS devices with Apple UI/UX (User Experience/User Interface), this system has revolutionized the checkout experience and created a better customer journey. What’s more, the solution is also designed to facilitate complex calculations, increase efficiency and leverage advanced technology processing capabilities.

Taking Personalization to the Next Level with Secure CRM

During busy periods, retailers need to obtain accurate data about their customers to ensure success. In a cookieless world, first-party data has become increasingly valuable for businesses. This data, which is generated by customers’ interactions with websites, apps and other digital properties, provides an unprecedented level of insights into customer behaviors and preferences. It is the jewel in the crown that can help them understand their customers better and offer them a personal shopping experience.

Knowing that data is a game changer for retailers, Teamwork Commerce’s Customer Relationship Management (CRM) tool offers a comprehensive overview of customer interactions with a business, allowing retailers to track customer behavior over time and make informed decisions. By leveraging this data, retailers can create tailored experiences for their customers that will keep them returning. For example, by leveraging customers’ purchase history of previous summer seasons, retailers can better understand customers’ purchase budgets, categories and preferences.

In addition, the solution offers an overarching holistic view of the consumer journey, from gaining insights into the customer retail journey to analyzing the customer’s overall information and finally providing a customer-centric service to the consumer. Integral to the state-of-the-art solution is data security, it ensures the utmost security for safeguarding customer information. By keeping it in a centralized location, the CRM makes sure that all data is secure and compliant with industry regulations.

With an increase in customer requests during the summer season, it becomes imperative for retailers to prioritize setting up the right mechanisms to ensure that customers have a hassle-free and enjoyable shopping experience. To maximize commercial success, retailers need to develop and execute a comprehensive strategy that relies on technological solutions. These solutions streamline processes and enable retailers to concentrate on optimizing the customer experience from start to finish.