Growth in Smartphone sales, ever-growing presence of fourth industrial revolution technologies and latest concepts to boost customer satisfaction have significantly changed the face of the retail sector. Nowadays, customers are highly knowledgeable and prefer more convenient and quick services, and thus are generating new trends and demands across the industry. Therefore, retailers all around the world must monitor and adapt their corporate structure to fulfill these demands and flourish in the highly competitive market.
Despite growing concerns against online retailing, over 55 percent of customers prefer shopping from companies with an online presence. According to industry experts, the E-Commerce sector will continue to rise as they provide their customers with immersive shopping experiences. As a result, by the end of the year, global E-Commerce sales will reach up to $4.2 billion.
Improving Customer Experiences
According to a recent market study, more than 30 percent of shoppers prefer online stores as they provide product recommendations based on previous search and purchase history. Artificial Intelligence, Machine Learning and Data Analytics enable online retailers to gather, store and process accurate and real-time customer information. And thus, firms can launch strategies to attract their target audience better and improve customer engagement and retention rates.
In the day and age of social media, online users are more concerned about the impact of product usage on the environment. In fact, over 50 percent of shoppers prefer stores that implement sustainable business practices to their day to day operations. These customers are also more prone to recommending such brands to their friends and relatives. Therefore, companies that incorporate such practices gain a competitive advantage in the dynamic and fast-paced industry.
Role of Augmented Reality in Online Retail
A significant reason why customers prefer shopping from Brick and Mortar stores is to gain a better understanding of the product offerings. Through Augmented Reality, E-Commerce firms can provide a more interactive shopping experience, where customers can utilize mobile apps and other devices to visualize the product offering in their lifestyle. Industry experts believe that this technological advancement will significantly evolve traditional retail practices and improve customer traffic online. In fact, over 25 percent of customers prefer shopping from E-Commerce firms that include Augmented Reality to their store infrastructure.
In the digital era, retailers must leverage disruptive technologies to ensure optimal utilization of data and efficient management of resources. Ai-based software enables online retailers to enhance performance metrics and generate opportunities to build upon employee skills. In addition, Artificial Intelligence also assists in promoting brand loyalty and reducing lost sales opportunities by over 35 percent.
The retail industry is very unpredictable in nature. Therefore, monitoring customer trends and preferences are essential in promoting organizational growth and development. With the rise in technological advancements, it has become simpler for online retailers to provide frictionless and convenient services. Moreover, these developments also assist in boosting conversion rates and creating a robust brand image in the industry.
Written By: Ranjeewa Dias
Business Technology Manager