Top 100 Retail Technology Influencers List interview: Brittain Ladd
As part of a series of interviews with those who made it on to the RTIH Top 100 Retail Technology Influencers List, we discuss rapid grocery delivery services and why the metaverse is a game changer with Brittain Ladd, a former Amazon exec and supply chain consultant.
RTIH: What does recognition as a retail tech influencer mean to you?
BL: It means that the hundreds of hours of research I perform annually has paid off.
It means that the articles I write contain content that people believe in, and my willingness to take a position on different topics has separated me from the crowd.
RTIH: Who have been the big retail winners and losers during the coronavirus outbreak?
BL: The losers are the retailers who were deemed non- essential, and who to this day, still have not realised that they must introduce automation in their stores to allow customers to place orders, and the automation will fulfil orders from the stores.
The winners were those retailers who put their focus on food and groceries, and who were able to ramp up operations to meet increased demand for home delivery and store pickup.
RTIH: What are your retail predictions for 2022 and beyond?
BL: Rapid grocery delivery (RGD) companies will have to eliminate their promise of deliveries in 10-15 minutes, and instead will have to extend deliveries to one to two hours.
In addition, RGD companies will have to increase the number of products they sell to consumers, and also embrace the use of technology to automate order fulfilment.
Grocery retailers will invest in micro-fulfilment. Companies like Aldi and Lidl will slowly turn to automation. Carrefour and Tesco will also embrace more automation. Amazon will accelerate opening more Amazon Fresh stores.
Two words will drive retail in 2022 and beyond - robotics and automation.
I anticipate that there will be significant M&A activity in retail in 2022. The biggest opportunity is for Ahold Delhaize and Albertsons to merge. I believe this is a must have for both retailers.
RTIH: What will be the must watch retail technologies over the next year?
BL: Micro-fulfilment, robotics, and Just Walk Out adoption across retail.
RTIH: Which technologies are overhyped in your opinion?
BL: Grocery smart carts. They’re too small. Parents can’t place a child in the carts, and the value they offer is limited.
Grocery retailers would be wise to adopt Just Walk Out technology over smart carts.
RTIH: Talking of Just Walk Out technology, do you see more retailers buying into the checkout-free stores space this year and beyond?
BL: Another big change that will occur in the grocery industry will be the adoption of more checkout-free stores leveraging a variety of technology partners that offer their version of Just Walk Out.
Removing cashiers is absolutely one of the best ways to reduce costs in a grocery store and increase margins. Also, as Amazon expands its use of Just Walk Out technology, it truly does make other grocery retailers’ stores obsolete.
RTIH: What is your take on the metaverse and the retail space?
BL: In my opinion, the biggest game changer in the coming years will be the metaverse.
Far too many retailers are ignoring the buzz around this because they aren’t sure if it’s hype. It’s not. There are billions of dollars being invested in the metaverse.
Retailers must have a strategy for ensuring that they’re able to leverage the technology to their advantage.
It is absolutely plausible that consumers will shop and buy groceries in the metaverse, and have the products they purchase delivered to their home. I believe it’s too risky for retailers to sit on the sidelines while this grows.
RTIH: Finally, what are your thoughts on Amazon closing all 68 of its physical book stores, pop up shops and 4-star locations in the United States and United Kingdom?
BL: The brutal truth is that the stores Amazon closed weren’t able to generate enough interest from consumers to remain open.
Amazon’s own data clearly indicated that there was no strategic value in maintaining the stores or opening new ones. Any data Amazon wanted to collect on buying habits and product assortment was also collected.
Personally, I was not impressed with any of the store formats being closed.
I’ve stated since 2013 that Amazon’s retail strategy will be focused on physical grocery stores they acquired (Whole Foods) or build (Amazon Fresh). They must operate 2,500 such stores at a minimum to be competitive.
I anticipate that Amazon will open their version of a department store that will include a combination of categories similar to Target.
In 2017, I recommended to Amazon to acquire Target. They should have done so. They will continue to experiment with retail.
It plans in terms of a decade. If they can’t make their grocery retail strategy work as desired, Amazon will divest Whole Foods, and shut down Amazon Fresh and Amazon Go. I don’t anticipate this happening but it is a possibility.
