Digital Solutions are not only reshaping organizations but also industries on the whole. They assist in improving day-to-day business operations as well as boost connectivity across various channels and devices. Advancements such as the Internet of Things, Artificial Intelligence, and Data Analytics help retailers gain insight into industry trends as well as fulfill customer demands and preferences. Furthermore, these developments also increase productivity and reduce the overall cost incurred drastically. As a result, over 85 percent of businesses are predicted to invest in these developments to stay relevant in the highly dynamic industry.
Benefits of Technological Advancements
According to a recent market study, over 50 percent of firms have witnessed a rise in profits after introducing IoT to their infrastructure. The Internet of Things enables firms to improve operational efficiency and assist retailers to offer premium customer experiences to tackle the intense market competition. Moreover, IoT also helps in monitoring electronic devices across various platforms to conduct asset and employee tracking and gain real-time insight into the customer journey. Thus, firms can better train their workforce to promote repeat purchases, loyalty, and brand advocacy. Therefore, over 60 percent of companies consider IoT as a crucial component in organizational success.
Over 65 percent of customers prefer companies that offer personalized products and services. Through Artificial Intelligence retailers can gather and process large amounts of customer data to introduce robust marketing strategies and fulfill customer demands successfully. AI also allows retailers to evolve firms’ infrastructure digitally and offer more interactive shopping experiences. Therefore, Artificial Intelligence improves customer satisfaction and retention by more than 30 percent and promotes repeat purchases.
Statistically, more than 60 percent of companies consider Data Analytics crucial to organizational growth and development. They enable retailers to monitor the retail landscape for upcoming opportunities to gain a competitive edge. Furthermore, they also assist businesses in predicting and tackling online risks to maintain data security. As a result, more than 40 percent of companies are predicted to introduce data analytics to their corporate infrastructure.
Impact of Online Risks
Cyber-security and other online risks continue to pose a challenge in promoting digital solutions. Thus, businesses must invest in smart security measures to protect customer data and digital infrastructure against cyber threats. Smart government initiatives and conferences play a vital role in raising awareness and providing strategies to tackle digitalization risks. The low cost of implementing technologies and the high return on investment will further urge retailers to opt for these solutions.
Today’s data-driven economy urges retailers to implement technological advancements to succeed in the highly dynamic industry. Growth of concepts such as Omnichannel and Experiential retail urge retailers to adopt digital solutions to stay ahead of market competition. Customers are very tech-savvy; they prefer researching online before shopping in-store. As a result, it becomes imperative for retailers to provide a seamless experience across various platforms. Technological advancements assist firms to track the customer journey and offer personalized services to promote customer satisfaction and retention. Moreover, they will also enable owners to achieve the ‘Store of the Future’ and further strengthen corporate image within the highly competitive industry.
Written By: Rajiv Prasad
CIO – Xpandretail