There are many components involved in conducting retail analysis. Any investigation into how shoppers shop and what entices them to buy, is an intricate interplay of human behaviour, and global patterns of supply and demand. Such investigations involve understanding capital markets, investor relations, and having access to the latest consumer research.
Over the past 20 years, consumer behaviour has shifted, not just in the United Kingdom, but globally. The digital world has had a major impact on consumers. It may take a little longer to wait for delivery of an item, but the range of available choices compensates for the delay. Big discount stores remove a great deal of the personalisation of a neighbourhood store, but the prices compensate for that lack.
Traditional methods of marketing may no longer make up for shortfalls in consumer appeal We may think that the ability to touch and smell products will keep consumers coming to old-style marketplaces, but is this based on reality? In a world that is increasingly fast-paced, convenience, coupled with lower price points, seems to be a bigger factor than sensory satisfaction. It is a combination that is hard to compete with.
Retailers need to make changes. According to the Econsultancy report, Digital Intelligence Briefing: 2017 Digital Trends in Retail, retailers say that they compete by focusing on differentiation through customer experience. The tools they use to engage with their customers are virtual and augmented reality (VR and AR). Econsultancy’s quip sums it up, “Retailers sell products. Retail leaders sell experiences.”
IGD’s Retail Analysis notes that the shift to shopping online for food and groceries means that “bricks and mortar stores must rapidly evolve and innovate to remain relevant.” The big question is how can a store, living in a digital world bring fresh food and taste experiences to the buying public?
IGD identifies four forces of change in retail: resource resilience, altering authorities, societal shifts, and transformative technology. The bottom line, according to IGD, is that store ranges and designs must be reconsidered; staff are the differentiator, products must be unique and delivered with inspiration and engagement. Also, measures of success must be revamped.
There is information and expertise available on the various sectors involved in the development of corporate services that will keep the typical retailer ahead of the curve. While it is possible to read the reports and gain insight into your retail business and know the market share in your sector, the real key to success is in knowing the industrial and financial backdrop, as well as having extensive knowledge of the global market place and the client psychology when it comes to making a purchase.
I’m Phillip Adcock and SBXL is my company. I’m one of the world’s leading authorities on shoppers and shopping. My team and I constantly study the market place and the consumers who use it so that we always have a strong understanding of both the trends and responses. Contact us for research and consulting in the challenging and evolving world of selling merchandise. You can contact me on: 07960 109 876 or Email: firstname.lastname@example.org.