The Internet of Things (IoT) will affect a myriad of industries, and the retail sector will be no exception. Unlike other industries, retailers are progressively developing strong connections with individuals who have already embraced digital change, including IoT-related technologies and developments.
It would be in the best interest of merchants to use these fast changing customer expectations by adopting the next trend of disruptions — or risk becoming irrelevant.
An excellent starting point would be to identify the growing technologies that tend to disrupt retail value chains. For instance, cognitive computing will make it possible for retailers to offer customers the best retail experience, encouraging long-term brand commitment. With data gathered from smartphones, sensors, wearables and other devices there will be substantial amounts of new ideas and possibilities. When this data is combined with cognitive computing, retailers will be able to better understand and react to the disrupted landscape and transform consumer expectations. Retailers looking to benefit from IoT will innovate in four crucial areas:
Improved consumer experience
More and more, consumers anticipate customized service dependent on their personal shopping habits. Incorporating information from in-store IoT systems with consumer buying history, merchants can produce a solitary view of each client, discover patterns, and produce a more personalized shopping experience.
Enhanced retail store processes
Information gathered from IoT devices and sensors will permit retailers to not only properly handle store investments, personnel as well as energy utilization, but additionally boost in-store advertising initiatives. This functional information will supply real-time ideas to store administration and workers. For instance, smart building technologies such as IoT-connected thermostats, lights and fridges can help stores optimally manage power consumption.
Increased stock and supply chain management
Merchants are not solely interested in which goods are selling well. They also want to understand why these products are top sellers. To help respond to that concern, we gather info on who is purchasing those products, exactly where (within the retail store) those products perform most effectively and any additional information that may better forecast upcoming product sales. IoT solutions help retailers monitor and keep track of stock utilizing new approaches. As an example, IoT-enabled solutions can set off real-time stock activities depending on information from high-resolution digital cameras and detectors on packages, shelving along with other assets.
Seizing new sales opportunities
Leading-edge retailers will become familiar with how to capitalize on connected experiences to discover new strategies for attaining shoppers and growing profits. Within the store, consumers kept waiting might leave without making any purchases. An in-store application can determine wait times at particular places within the store, sending shoppers push notifications in order to save at-risk purchases.
Consumers are significantly more engaged than they have ever been. The ability to make relevant, appropriate associations with customers has become increasingly difficult but is now more important than ever. Retailers that leverage the potential of connected experiences can acquire a strong advantage within a hyper competitive atmosphere.
Sheetal is a 13 year veteran of the tech industry. In his current role as CEO of TribalScale, Sheetal is applying his business development skills to quickly scale the young IoT and mobile development company. Outside of his day-to-day role, Sheetal is an avid investor in the technology space as well as a volunteer and member on the BoD for the Ontario Association of Food Banks.