Three Hot Technology Trends in Retail

Retail technology has been evolving since the invention of the cash register in 1883. Most innovations over the last 100 years were designed to make the management and operation of retail stores easier.  Very little was done to incorporate technology into the consumer’s experience. As Amazon and other ecommerce platforms developed, they focused a lot of their innovations on improving the consumer’s experience.  For instance, people enjoy the incredible search technology and easy checkout features provided by online retailers.  Shoppers responded by shifting their spending from local brick-and-mortar stores to the major ecommerce players. Brick and mortar retailers have been playing catchup for the last 10 years. Innovative retailers are starting to rethink their stores, with consumers at the center of their thinking. The following are three trends that can help brick-and-mortar retailers win back in-store shoppers. We hope that the ideas outlined below will inspire you to improve your own store.

#1 Find Your Way

The big online retailers make shopping simple. Powerful search technology makes it easy to find anything in seconds. It is one of the big advantages over local retailers. No one enjoys wandering the store looking for a must-have utility item. The National Retail Federation reported that “around 20 percent [of consumers] said they shopped a new retailer in the past three months because it was less crowded or offered good delivery or pickup options.” Wayfinder apps allow local retailers to utilize the same search and navigation tools that online retailers use and are becoming common at big box stores. They offer shoppers efficient navigation directly to the items they need. Looking for .32 caliber ammunition? Go through the front door, turn left in 10 feet, turn right, head down aisle 2, walk 12 feet, turn left, and pick the brand of your choice from the bottom shelf. The apps get that specific. While they are currently more common at larger retailers, it is only a matter of time before smaller retailers can adapt them for a smaller footprint.

#2 You Can’t Touch This

Consumers have enjoyed the flexibility of credit cards for almost 50 years. Unfortunately, scammers have been cheating the system for almost the same amount of time, resulting in multiple attempts to increase security. The embedded chip that facilitates the “tap” payment uses improved encryption technology to reduce fraudulent charges.  In 2018, just over 3 percent of cards in the U.S were contactless. According to Mastercard, as of Q1 of 2020, more than 51 percent of Americans now use some form of contactless payment, which includes tap-to-go credit cards and mobile wallets like Apple Pay. In the last six months, the rate of adoption has increased even more. Consumers are now using their chip-enabled credit cards to avoid touching credit card machines. A recent Mastercard survey found that 50 percent of U.S. consumers worry about the cleanliness of signature touchpads, and 72 percent of U.S. consumers prefer to skip signatures altogether. An astounding 87 percent of consumers would prefer to shop at stores with contactless payment methods.

#3 Grab & Go

In 1999, Amazon patented the one-click checkout process. They understood how a quick and easy checkout process could offer an advantage for online retailers. Fast forward 20 years and every retail store is rethinking its checkout process. Two emerging trends stand out when it comes to a redesigned checkout process: counter-less and curbside pickup.

Counter-less

The goal of the counter-less checkout is to mimic the smooth checkout process that ecommerce giants have perfected. Consumers grab what they need and go to the closest associate to pay. Staff are no longer tied to the counter. Management can flex resources anywhere they need within the store. Counter-less checkouts are still in their infancy, but they are gaining traction. Big name tech retailers like Apple have been dabbling with the concept for several years. Now, new, lower-priced hardware options like Gun Show Plus are hitting the market, allowing all retailers to consider whether implementing a counter-less shopping experience is right for their store.

Curbside Pickup Three Technology Trends in Retail

Restaurants like Ruby Tuesday, The Ninety-Nine, and Chili’s started offering curbside pickup to reduce the headaches associated with take-out ordering. Research showed that consumers wanted the higher quality food associated with sit-down restaurants, but they hated the inconvenience of the pick-up process. Covid-19 forced non-food retailers to consider this technology too, and it’s gaining traction fast. Curbside pickup gives local stores new advantages over online-only retailers. For instance, items are generally available in a few minutes: no more waiting 48 hours for the delivery truck. The concept is easy to implement since it uses the store’s existing e-commerce technology. Walmart is now leading the $35 billion a year category. Publicis Sapient states retailers will win at curbside pickup by “providing services such as cross-selling adjacent products when customers come to pick up their order, allowing customers to schedule their pick up to reduce wait time, or providing visibility around wait times so customers can plan better.” Successful apps remove complexity and process orders with speed, showing appreciation for the customer’s valuable time.

Summary Three Technology Trends in Retail

To better compete with online retailers, stores are rethinking how they operate. They are redesigning shopping and checkout processes to enhance the consumer’s experience.  Many retailers understand that investments in technology can help create new opportunities for brick-and-mortar stores. For retailers in the shooting sports industry, it can be a lot to digest, but Orchid Advisors is here to help. Our products and experts are ready to help you take your store to the next level. Ready to Learn More About Orchid’s Expanded Offerings? Contact Us Today.