To help retailers identify areas within their organization primed for radical transformation as well as next steps to be taken, retail innovation consultancy PSFK has partnered with growth and transformation consultancy Prophet to unearth the 12 trends shaping the next retail landscape. Each of these trends are further brought to life by best-in-class examples of innovation from the marketplace. As organizations consider how best to implement these strategies, PSFK and Prophet have outlined the transformational imperatives necessary to bring them to life. Looking across the transformative strategies, this report has been designed to support leadership and innovation teams as they look to provide impactful experiences today and future-proof their business for tomorrow.
Alongside today’s digital acceleration, consumer expectation for diverse and rapid delivery solutions and real-time availability have placed greater strain on companies’ operational capabilities. For retailers that lack the necessary operational network to meet these expectations, a frustrating online or delivery experience has become a point of friction for shoppers, leading to cart abandonment and lost dollars. In order to connect consumers to orders in a timely manner, small-, mid-, and even large-scale retailers are partnering with organizations, from big box retailers to eCommerce giants and transportation companies, to leverage their networks and share resources.
To better meet consumer needs, brands and retailers are taking aggregated information about consumers and their buying behaviors to inform product design. By harvesting customer feedback through technology to inform the product development process, retailers are better positioned to accommodate consumers’ lifestyles and preferences, while learning how best to achieve a well-designed product that resonates with customers on a deeper level.
Beyond offering products, there is a need across communities for retailers and brands to provide services at a local level that address personal consumer growth as well as systemic change. As they look to strengthen community ties and support their customers, retailers and brands are building greater trust and buy-in by not only committing to inclusive and equitable pledges but integrating these initiatives into their business model on a permanent basis. By tying social impact initiatives to their revenue outlook, retailers can not only meet real needs, but also ensure initiatives are sustainable and continue to grow.