Retailers need a network fit for a multichannel environment

The in-store network is fast becoming the life line for retailers that need to reach their customers through multiple channels and devices. There has never been a better time for the store to rediscover its strengths as the flagship for the retail brand as, regardless of which channel a consumer decides to shop via, the store remains a key destination at any stage in the shopping journey.

In particular, the millennial generation (generation Z) take a different approach to shopping, one that centres round the store. Before making a purchase it has become common practise for this group of consumers to visit the store for the purpose of browsing, taking pictures of products to send to friends, log onto the Internet through tablets and kiosks and update their Facebook pages with latest locations – all before deciding what, when and which channel to make a purchase.

While eCommerce provides convenience, consumers actually gain more enjoyment from the physical shopping environment. However, at present it lacks lustre in comparison to product availability and the capability to evaluate prices online. To counteract customer disappointment, new technologies have recently been deployed to bridge this gap and entice tech-savvy consumers back in-store.

The emergence of these new interactive technologies are also delivering value added services within the store environment. These include payments on the spot, scanning of product tags using a mobile for detailed information and connection to the online channel.

However, it’s a double edge sword as generation Z have high expectations once in store. Some retailers have worked hard over many years to satisfy these demands, but  the bar has risen: retailers need, if they can, to identify every customer as they arrive and provide each of them with a personal experience, regardless of the reason behind their visit.

This is where the store network comes into play. Retailers cannot forget the technology behind the scenes that enables all this functionality – the retail network. It is the crux of in-store operations and will continue to be so, as the in-store environment evolves into an interactive hub, where consumers can look, touch, feel, test products and engage with sales staff armed with devices delivering in-depth knowledge far beyond the capabilities of a lone sales assistant.

Is sunny weather generating a bright shopping forecast?

The UK skies have been filled with a strange, yellow globe during the past fortnight – after months of rain, the sun is finally shining! With temperatures increasing and the official start of British Summer Time bringing lighter evenings, lifted spirits are having a positive impact on High Street traffic.

Latest figures from retail intelligence company Springboard revealed that during the week ending March 16th 2014, UK High Street traffic increased by 8.2% on the same period the previous year, with retail parks enjoying a 3.3% increase as well.

So why does the sunshine cause a spike in sales? Firstly, consumers are much more likely to go out and about if the weather is pleasant. Secondly, and perhaps more importantly, the change in season marks a shift in buying patterns. Instead of stocking up on woolly hats and hot water bottles, spring’s arrival prompts people to invest in new outfits, garden furniture and barbeque equipment in anticipation of the summer heat.

Many retailers are already seeing a surge in certain product sales due to changing conditions; Karen Millen noted strong dress sales for the week ending 16th March, for example. The hospitality industry has also seen a welcome boost from impromptu trips for coffee, drinks and dinner in the sunshine.

Even if consumers aren’t setting out to buy anything in particular, some retailers believe that weather-induced happiness prompts impulse purchases. This can often be the case if the first weekend of the month, after most people have been paid, coincides with a sunny spell.

With temperatures and sunshine levels set to increase over the coming weeks, there is a huge opportunity for retailers to capitalise on the latest wave of consumer enthusiasm. Their secret to success will be marketing the right products and creating a seamless customer experience in-store, maximising sales by ensuring product availability and a joined-up service.