More forecast notes for retailers
Retailers that take the most intelligent stances on strategic planning and general management tend to be the most successful in practice, as every step taken should be measured, assessed and driven by purpose. When looking at the retailers which tend to have the most consistently positive financial results at the end of each year, it will quickly become clear that none of their strategies are lacking in intelligence, bravery and foresight.
Now, as the retail sector has been forever transformed by the advent of new technologies, notably ecommerce platforms and websites, the rules of engagement have changed significantly, and in a relatively short period of time. These businesses will need to remain extremely agile to sustain growth in the coming years, and this begins with understanding where the trends are leading their operations and how to best keep pace.
What the pros have to say
International Data Corporation recently released the results of its Worldwide Retail FutureScape study that stated omni-channel integration is going to become more highly demanded among businesses in the industry. Similarly, each channel is expected to require a bit more investment in the coming years, with IDC forecasting more than half of all retailers to launch mobile payment systems and programs to enhance their clients' experiences.
"Relentless technology innovation underpins consumers' participatory behavior and expectations," Leslie Hand, IDC Retail Insights vice president, affirmed. "The most successful retailers will find opportunities by putting mobility, analytics, cloud, and social to work in their customer and operations strategies, adopting omni-channel integration technologies and IT governance, unifying customer engagement for hyper-personalized loyalty, adopting product intelligence for marketing and competitive insight, employing location-based services via analytics driven agile engagement and operations, utilize socially-networked on-demand delivery services, and gain share with private label merchandise."
Furthermore, the firm went on to explain that consumer-driven private brand growth will begin to truly take hold in the coming years, with retailers focusing on the development of products that fit a specific demand. Perhaps the most positive take away from this forecast report was the segment on security, in which analysts predicted that 50 percent of the largest retailers in the world will enjoy 50 percent fewer threats thanks to increased investment in protection.
Riding the wave
Retailers cannot sit back and wait for trends to become a bit more palpable before diving in, as the sector and consumer preferences are likewise evolving at an extremely rapid pace going into the new year. Although some predictions listed above go beyond the next 12 months, foresight will be critical in planning and strategy building to ensure a brand's relevance is sustained over time.
With the right level of research and planning, retailers can begin to enjoy the enhanced opportunities presented by a return in consumer spending and general economic improvements that have taken place throughout the past couple of years. Focus on agility and alignment and the sky will be the limit for financial and operational performance improvements.
