The impact of the digital world in the Retail Strategy space.
It is becoming increasing apparent that digital is already having, and will continue to have, a major impact in the retail space. Our Strategy team reveal the 3 most prevalent impacts on the market:
The links between suppliers and consumers will be increasingly eroded with ‘disruptors’ such as digital – as a result, retailers will have to work harder than ever to demonstrate value-add to consumers through clever use range, availability, marketing, loyalty, etc. (e.g., what’s to stop Unilever selling nappies directly to mums online or via Amazon rather than going through Tesco, Sainsbury’s et al?
“Multi-channel” becomes extinct as retailers understand it’s all about “omni-channel” – it’s no longer enough to build great stores, websites, mobile apps, great delivery service, etc. Consumers expect to shop with a brand and move seamlessly between them and this will only intensify going forward, e.g., “I’m going to buy from John Lewis” rather than “I’m looking at John Lewis online, using my mobile, but will order it for click-and-collect at my nearest John Lewis branch”
Customisation will go from being a ‘nice to have’ to the ‘norm’ – consumers are incredibly well served by online retailers, who understand their shopping behaviours and personal preferences, therefore offline retailers will need to do the same to stay in the game/differentiate themselves
Digital is going to define the rules of the game!
What do you think about the impact of digital on retail?