Scandit flags importance of retail tech to bridge digital and physical worlds gap
51% of European retailers believe the primary role of the physical store will be an online-offline hybrid, with 64% citing challenges in differentiating themselves from their competition as the biggest barrier to delivering this experience.
That’s according to a Scandit survey of 111 retail leaders.
The respondents, representing the largest grocery, DIY, sports and consumer electronics brands across Europe, see store operations technology as critical to achieving their business goals.
41% stated that technology is moving towards improving the customer experience, while 36% believe the core future of store operations technology lies in blending online and offline experiences together.
The research also highlighted the potential challenges that come alongside the implementation of technology into store operations.
68% cited integration with existing systems as their largest concern. The experience store associates have with technology is also causing issues, with 48% noting this as their biggest challenge and 45% struggling with out-of-date hardware.
Samuel Mueller, CEO at Scandit, says: “The research highlights the importance of technology to bridge the gap between the digital and physical worlds.”
“It’s critical to provide store associates with fully functional and familiar technology, enabling them to enhance store operations that help provide a seamless customer experience. If retail leaders can effectively extend the online experience in-store, the differentiated offering that they desire can be achieved.”
The biggest challenge for those surveyed is how to create a differentiated experience, with half of all respondents aiming to develop or improve the human-to-human connection.
Understandably, the personal touch between staff and customers is viewed as vital by 100% of leaders with a sales focus.
Some have different views as to the future of the physical retail store, with 18% of all respondents believing the future of the physical store will solely be an interactive, brand experience hub, supporting an e-commerce presence.
A minority of 8% feel that store operations technology is evolving towards using drones and robots, although 31% believe that these automated tools will eventually become the most important technology in fulfilling omnichannel tasks.
However, the data points to difficulties in creating these meaningful connections. Respondents rank store associate training (39%) within their top five challenges overall.
By providing better support and training for their employees to interact more effectively with customers, retail leaders can create stronger customer interactions with highly engaged and fully trained staff — 89% consider this important or very important in the store of the future.
Retailers need to upscale their technology with a clear desire to improve customer experience and deliver true omnichannel shopping.
52% see managing and updating legacy technology systems as key to achieving this goal. In addition, 39% state that having too many tools to choose from is one of the biggest challenges with today’s store operations technology.
The retail leaders also detailed which critical operational tasks needed the most technological assistance: managing inventory is cited by 57% as the biggest challenge, while 53% struggle with shelf management. 49% also want assistance with clienteling, and 36% require help with order picking.
Mueller adds: “Fulfilling omnichannel tasks is vital, but retail leaders face challenges in choosing the right tools.”
“It appears many have been struck with ‘paralysis by analysis’, unable to choose the right tools and technology due to the overwhelming number available. Retailers clearly have a need for innovative technology that integrates easily into existing technology and applications.”
