Retail before technology? Never heard of it!
As a relatively new entrant to the world of retail technology, I understand and realise that the past shapes the future immeasurably. However, I honestly can’t remember a time before click and collect, Amazon Prime and online-only retailers. To give you some context, I was born in January 1999, meaning that I was only 17 months old when ASOS was founded (a retailer that has only ever traded online). I haven’t known retail without the influence of the internet, ecommerce and, to some extent, social media.
What really is innovation in retail?
I was recently having a chat with a colleague about how innovative brands have to be to satisfy and keep up with consumer expectations nowadays. We discussed how industry leaders seem to consist of online-only retailers at the moment, like ASOS and Gymshark, and how that was partly down to the inability to visit brick-and-mortar stores this year. After much discussion, I came to the realisation that actually, pure-play retailers aren’t any more innovative than many of their omnichannel competitors. They are just seen that way, as pure-play retailers are seen as much more modern than omnichannel brands. Despite still being considered a relatively new type of business model, the market is actually highly saturated, with more online retail businesses being founded every day.
What Generation Z expects
To Generation Z, pure-play retailers are the norm and, quite frankly, the expectations are high. More often than not, Generation Z expects a high-quality, exciting customer journey (whether that be online or in-store) and impeccable service without a hefty price tag. Unfortunately, well-established and once well-loved brands such as Debenhams and Topshop don’t make the cut anymore. The BBC suggest that Debenhams became irrelevant after failing to keep up with trends and filling their stores with concessions that had their own shops just around the corner. It was sadly a store that wasn’t considered a worthy visit by Generation Z when they made trips into town centres across the UK. Topshop, on the other hand, kept up with trends but product price wasn’t low enough to compete with fast-fashion, pure-play brands, and the stores weren’t sleek or exciting enough to keep shoppers revisiting. There are many other reasons why the two brands (as well as others) failed to keep in business and ultimately, the pandemic only sped up the inevitable.
As briefly touched upon above, Generation Z’s expectations are high. My peers have come to anticipate stimulating customer journeys when they go shopping. The store has to be worth the trip – otherwise they may as well have just bought the products online. In an article last year, Forbes suggested that Generation Z responds well to visual content, especially videos. According to Forbes, Generation Z spends 23 hours per week streaming video content but only have an attention span of 8 seconds, meaning that quickly drawing (and keeping) Gen Z’s attention is paramount. In the same article, Forbes state that Generation Z have come to expect personalised service. I am a part of a generation used to personalisation. For example, pretty much everything we watch and listen to comes from a Netflix or Spotify recommendation. ‘Personalised service comes from knowing and understanding each customer and helping meet their needs with proactive solutions… The more unique and individualised something can be, the better.’
Online store visits also have to be faultless as well as enjoyable. Despite not having a physical element, online shopping journeys can be just as exciting as physical retail. Exciting campaigns, imagery and aesthetic all have a huge part to play in the success of ecommerce. However, the most important element is a smooth functioning, high quality website. Yes, for shoppers to use and enjoy, but also for retailers to use to their advantage. A lot of this comes from brands utilising the data they have, and continue to produce, in the best possible way. This is where Retail247 come in. Our PIM platform (Origin) establishes a single point for all things product. Massively scalable and completely flexible, Origin can be used in multiple product management scenarios. The Retail247 team are developing technology that I would hope to see a part of all retailers’ main structure in the not-too-distant future.
Where does it go next?
Retail has changed so much in the last 2 decades, let alone the last year. It seems premature to imagine where it will be in another 10 years’ time considering the fact that many retailers are still being forced to shut their doors amidst the pandemic. However, with shoppers giving experience a much higher value, I predict that the high-street will remain an integral part of retail. It will be a place to give brands a platform and create ‘Instagrammable’ moments, with all retailers hoping to go viral (on probably a brand-new social media platform). Just think of the Fendi Café in Harrods.
Customer experience will always be the most essential thing that retailers have to nail in order to thrive. Despite the success of online shopping, consumers still want to use their senses and visit stores. According to Forbes, Gen Z will bring back the in-store shopping experience. They expect a strong, consistent omni-channel experience and want to do more than just browse through products whether that be online or in a physical retail space. Brands will be expected to have it all. Generation Z wouldn’t allow anything less.
Our CEO, Martin Schofield, once said that Retail247 strive to do things better time and time again. We get it right first time and then reinvent it to make success even more prominent. We like to constantly improve, develop and change, to keep up with the evermore fast pace of the retail landscape.
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Marketing Manager
From launching Retail247’s presence at trade shows for the first time to significantly growing our social media audience, Lucy has played a key role in elevating the business’s visibility and outreach.