Businesses around the United States unfortunately face instances of fraud, and this is especially felt by retailers that have to deal with stolen merchandise, damaged products and even large returns. There are several ways that companies are attempting to reduce these types of situations, as theft and fraud take a toll on revenues.

The CPA Practice Advisor writes that according to a study by the Centre for Retail Research, American merchants lost an approximate total of $8.9 billion during the 2012 holiday shopping season to fraud. This amount came from stolen items, employee misappropriation and other factors, the source notes. Fortunately, businesses are taking steps now to prevent these instances in the future, such as hiring store guards, equipping products with anti-theft devices and video surveillance.

Another form of fraud that many merchants are coming across is returns, as Retail Solutions Online states that some customers bringing back merchandise for exchanges or refunds are in fact fake. This is happening both in stores and online, as individuals are creating false receipts and submitting them for returns, the source reports. This newer form of fraud is getting the attention of companies, and many are taking steps now to pinpoint fake receipts and documents.

Retailers employ a variety of tactics to get to know their customers more, such as asking for feedback and remembering past purchases and personal details. One solution that can help merchants' with their goal of increased consumer understanding is retail management software. These solutions provide businesses with the tools needed to store shopper data and determine which products and service methods are preferred by individuals.

Econsultancy writes there are several aspects pertaining to consumers that retailers can maintain within their software systems in order to make more informed decisions regarding shoppers wants and needs. The source outlines these elements as data points, one of which includes the average order values of individual patrons, both in stores and online. This information gives companies insight into customers' favorite products and how much they spend. In addition, responses to marketing methods can also be measured through management systems, like how much sales increased due to direct mailings or how many email messages were opened and then resulted in website visits.

"Knowing your customers is about recognizing the valuable customer data you have, associating it with each customer in a meaningful and usable way, and making sure that the right people can and do apply that customer data to their decision-making processes on an ongoing basis," Econsultancy writes.

Businesses that have not yet implemented mobile options for customers may want to start paying attention to the growing mobile commerce trend, or else risk losing out to competition. Shoppers are increasingly using their smartphones and tablets to browse for, compare and purchases products from retailers, meaning that merchants need to provide resources for device-carrying customers.

According to a study from research firm MarketsandMarkets, the next few years are forecasted to see significant growth in the use of mobile devices for completing transactions for retail products. To put it in perspective, in the near future, the number of mobile phones could very well surpass the world’s population. This means that consumers will be using their devices to complete a variety of daily tasks, including shopping at retail brick-and-mortar locations and on websites.

This trend is set to change the retail industry, writes Mobile Payments Today, as people will perform a variety of shopping-related functions on their phones and tablets, such as comparing items, looking up reviews and completing purchases. To accommodate these customers, retailers need to focus on adopting solutions that can complete these tasks.

Consumers are increasingly using mobile devices such as smartphones, tablets and other gadgets to perform a variety of daily operations. This trend is making its way to retail, as shoppers are taking out their devices to browse for and purchase items, both in brick-and-mortar locations and on merchants’ websites. While some companies have implemented solutions that accommodate device-carrying customers, a significant number have not, and if they fail to do so in the near future, they would risk losing out on business. There are several systems that can be adopted to give shoppers more mobile options, such as mobile POS software and applications. Whatever the approach retailers decide to take, they do not need to ignore the growing importance of the technology, which is set to increase over the coming years within the industry.

Mobile needs to be fused with store operations
At the beginning, mobile purchases were mainly made outside of retail brick-and-mortar locations, as merchants did not have the solutions available to provide in-store customers with mobile options. However, that is expected to change, as the technology can now be used to draw shoppers into storefronts, according to UTalkMarketing. Citing its own research, the source reports that approximately 26 percent of smartphone owners and 35 percent of tablet owners browse for merchandise on their devices before going into stores to make purchases. In addition, 70 percent of respondents would like the option of being able to reserve items through their gadgets and then go pick up them up in retail brick-and-mortar locations.  

So what do these findings mean for merchants? The results point out the growing importance of mobile devices within the retail realm, and the research can help businesses see how consumers are beginning to prefer to bridge the gap between mobile commerce and in-store visits, the source writes. To accommodate these shoppers and attract them to storefronts, companies can adopt solutions, such as mobile POS systems and applications, that encourage the use of the technology at brick-and-mortar locations.

Overall mobile retail sales set to increase
Whether they want to boost in-store mobile use or remote purchases, retailers need to know how much the technology will impact their operations – and bottom lines – in the coming years. Forbes reports that a study by Forrester Research revealed that mobile retail sales within the United States are expected to reach $31 billion by 2017. This trend is forecasted to grow globally as well, the source notes.

Retailers have taken notice of mobile technology by developing apps and providing mobile options for their customers both at brick-and-mortar locations and online. One element that is steadily gaining traction among businesses is mobile payments, as merchants look to accommodate device-carrying consumers and make transactions more streamlined for both themselves and shoppers.

Mobile Payments Today reports that research from Shop.org found that businesses are planning to put more focus not only on accepting payments from mobile devices, but other aspects as well, including mobile site optimization, analytics and page enhancements. More than half of retailers (51 percent) stated they will be working on improving optimization, such as checkout and payment transactions, to make purchases from mobile devices more streamlined for shoppers.

Many merchants around the country are already accepting mobile payments, and they are seeing success through the technology. The Sioux Falls Business Journal highlights several businesses in Sioux Falls, South Dakota, that have been using the method, and these merchants say they like being able to accept mobile payments. It has helped to increase customer satisfaction and even boosted their financial recording processes as the technology keeps track of sales numbers.

Some retailers have been hesitant to enter the mobile realm, choosing instead to rely on traditional forms of marketing and tools for their customers. However, recent research has revealed that mobile applications may actually help to boost customer retention as well as revenues for merchants.

Business Insider reports that according to a study by Flurry, consumers spent 15 percent more time on retailers’ mobile apps in 2012 than they did throughout the previous year. The research compared individuals’ use of several different applications, including daily deals, price comparison and online marketplace tools. While in 2011 retailers came in fourth place regarding app use, last year, customers increasingly accessed merchants’ mobile resources for shopping purposes, bumping up their use to first place above all other apps.

Tech Crunch writes that while daily deal apps did have their success, the Flurry study found that consumers prefer going straight to retailers’ mobile tools to browse for and purchase the products and services they are looking for. For this reason, companies that have yet to develop mobile apps should consider doing so this year, or else risk losing out to competition.

Technology has quickly come to the forefront of the retail industry, mainly in the form of boosting web sales and reaching out to consumers through digital marketing. However, many merchants are now looking to use devices and systems for their in-store operations and enhance customers’ experiences through technology.

Advertising Age reports that one technological method that is becoming more popular is “rapid-fire” price changing tools. These systems are being used in brick-and-mortar locations, such as in Best Buy stores, to research various product prices on the internet and then adjust their in-store costs quickly based on the findings. This is helping to draw consumers into storefronts by offering them the same or less expensive prices on items they would find on the web. Industry analysts expect that the adoption of this technology will increase among retailers in 2013, the source notes.

Another technological approach is the use of location-based systems, according to Directions Magazine. Through this method, brands are able to send out marketing initiatives to smartphone users, who can take advantage of deals and discounts based on their current locations and which merchants are nearby.

When social media sites like Facebook and Twitter first started out, they were used mostly for members to keep in touch with family and friends. However, these platforms have evolved, and they are being utilized to not only connect with others, but to browse for information about retailers and even purchase products from businesses.

Recent research from the Advertising Research Foundation (ARF) found that 22 percent of consumers stated that in the month of December, social media played a significant role in their final retail purchasing decisions. In addition, approximately one-third of respondents said that social sites have influenced their opinions of brands and/or products. Many customers also stated that these platforms have introduced them to retailers they were unfamiliar with, highlighting the importance of these networks in showcasing their merchandise to target audiences.

Voice & Data writes that many brands are beginning to use social media to gather feedback from customers, whether about the price and quality of their products or shoppers’ experiences in stores and on websites. Companies are also using their social pages to share videos, blogs and other content that helps boost their reputations within their industry.

The rise in use of smartphones, tablets and other mobile devices has steadily been gaining the attention of retailers over the past few years, as consumers are increasingly using these forms of technology to browse for and purchase products, both in stores and through websites. In 2013, the implementation of mobile shopping options is expected to become even more widespread throughout the retail industry.

1to1 Media writes that businesses that have not yet developed mobile strategies for accommodating device-carrying customers will begin to do so in 2013, as these options gives brands the ability to connect more with shoppers. The constant availability made possible by mobile gadgets means that retailers can reach out to consumers at anytime and from anyplace. The source also notes that companies that establish mobile practices are able to build more personal relationships with customers, as data gathered from the use of these devices can be used to improve upon marketing and service methods.

The revenue to be gained by offering mobile options may be all that is needed to get retailers to adopt mobile shopping options. Forbes reports that a study by Forrester Research revealed that retail sales made through mobile devices is expected to reach $31 billion by 2017.

Retailers do everything in their power to prevent theft and damage of their merchandise, but unfortunately there are times when these negative situations take place. For businesses in the United Kingdom, recent research has revealed that billions of pounds are lost each year due to retail crime.

Financial Times reports that according to a study by The British Retail Consortium (BRC), retail crime between 2011 and 2012 jumped by 15.6 percent and resulted in a loss of £1.6 billion ($2.5 billion). These figures include the value of goods that are stolen or damaged as well as the money spent on preventing theft.

Unfortunately, this research looked only at reported crimes, and the study stated that retailers are often not alerting authorities when theft takes place, The Guardian notes. For every eight retail crime incidents, only one is reported to police.

“Systematic targeting of higher value goods by organized criminals is pushing up the cost of retail crime but the proportion of shoplifting incidents reported to police has plummeted to just one in eight, highlighting just how much there is to do to build retailers’ confidence in the way police forces respond,” said BRC director general Helen Dickinson.