Page 56 - February 2021

SPECIAL FEATURE: InnovATIvE TEChnoLogy In RETAIL

Adapting To

The Digital Age

During the next decade, like it has in recent years, technology is set to fundamentally

change the shopping experience. Even with the incredible rise in online retail in recent
times, a place still remains for physical retail, and the incorporation of technology

into these environments will be key in keeping its place on the high street.

here’s simply no getting away from the impact Online returns for anyone - The well-documented
that technology has had, and will continue to surge in online commerce has occurred since the outbreak
have, on the retail sector. According to Sigma’s of Covid-19 is producing an accompanying rise in online
T ‘Retail Trends in 2020’, it has completely returns. Commercial real estate firm CBRE predicts
transformed, and disrupted, the industry, from the consumers will wind up returning $70bn worth of 2020
expectation that almost every consumer has access to online holiday purchases, and there are no signs of a post-
online through to the introduction of cash-free payments holiday dip in digital transactions or returns. A number of
and as is being trialled by the likes of Amazon, interaction- retailers are turning what could be a major supply chain
free shopping where clever algorithms work out what bottleneck into a competitive advantage by partnering
you’ve picked up and charge you accordingly. with a variety of third-party platforms to accept any and
The emergence of new technologies has given retailers all online returns at their brick-and-mortar stores. Simon
a vision of the future, a new way to engage customers Malls, Staples, and FedEx Stores are just a few examples.
whilst breaking down boundaries by implementing exciting Autonomous delivery - While self-driving delivery
and innovative technology. During the global pandemic vehicles are still in early pilot stage, more retailers are
digital adoption has soared, with many brands taking the starting to test them out. Autonomous delivery by
opportunity to enrich their online presence and embrace nature is quick and contactless, two features which have
digital innovations like livestreaming, customer service become even more prized in the Covid-19 era and will
video chat and social shopping. likely continue to grow in popularity among consumers in
As online penetration accelerates and shoppers demand 2021. A few notable projects include Walmart’s self-driving
ever-more sophisticated digital interactions, retailers must electric cars and autonomous box trucks, Walgreens’ first-
optimise the online experience and channel mix while in-the-nation drone delivery test, and Amazon’s six-wheel,
finding persuasive ways to integrate the human touch, using self-driving delivery robot known as “Scout.”
ambience, emotion, sound and activity to get customers In an article penned by Tara Johnson earlier this year, she
interested in their merchandise and in a mood to buy. suggests that the past year’s surge in online shopping is
After a turbulent 2020, the retail industry is in a state of here to stay, especially given the hurdles presented by the
flux according to Nigel Ashman, President of ONVU Retail, Covid-19 pandemic and the closure of brick-and-mortar
and keeping up with all the changes requires the inclusion stores. Social commerce - native shopping experiences on
of innovative technology to gain actionable customer a social media platform - offers shoppers an even more
and operational insights. Whilst it may not seem like the seamless way to shop online. Instead of clicking through to
right time to be investing in tech infrastructure there is a third-party website, users can make purchases right from
compelling evidence to suggest that it should be at the the social media app or site. In 2021, Johnson believes we
top of every retailer’s “To-do” list because doing nothing can expect to see social commerce become an even more
means going backwards. integral part of the ecommerce experience for brands and
Technological Trends in Retail shoppers alike.
Key emerging technology trends offer a ray of light to Johnson also argues that there will be an increase in
retailers after what will probably go down as the most Smart Speaker Shopping. Smart speaker sales reached a
difficult year in retail in history in 2020. new record in 2019, up 70 per cent from 2018. And it’s
In an article by Dan Berthiaume on Chainstoreage, he still growing: By 2025, projections suggest that the global
highlights a couple of retail trends that could have a major smart speaker market could grow to over 35.5bn U.S.
impact on retail in the coming year: dollars. As we move into 2021, we can expect to see more

56 RETAIL & LEISURE INTERNATIONAL FEBRUARY 2021