Technology In Retail
Many technology converge in the retail sector and the most intriguing is the internet. The impact of technology in retail is regarded as the biggest game change of all, with the current technology affecting small, medium and even retail giants. Convergence is a trend and is not going anywhere. Lots of technology converge in the retail sector and the most intriguing is the internet, since it delivers an opportunity to access. The retail industry is not any stranger to transformation and change. From the early days of shopping from mom and pop stores within communities, the sector has evolved to department shops in bigger cities, the mega shopping in suburban centers where everything might be found under one roof, which caused local shops to close down.
Technology has given access to the world and it seas of content. The impact of technology in retail might be the greatest game changer of all. The current wave of emerging technology affects both smaller, local stores and even retail giants as well. Merchants which were unprepared for new ways of doing things or the new ways that technology is found themselves in a graveyard of has beens and joined the list of people who suffered. The key areas where technology transforms the retail field include the supply chain, in store operations and client outreach. The technology footprint which leads the transformation impacts numerous phases of retail, like back office and enterprise system, to a lot of client facing functionalities like payments, client services and loyalty programs.
TRANSFORMATIVE EFFECT OF TECHNOLOGY IN THE SUPPLY CHAIN – By forecasting demand accurately, keeping track and predicting inventory levels that may separate a discount retailer that competes in a division which has razor thin margins. Technology advancements on supply chain also allow a new business model in the sector. Until now, physical stores had the protection of immediacy than online. Customers want things inexpensive plus they want them at that moment. Ecommerce can compete on price, but not accelerate the availability and purchase. Nonetheless, technology giants like Amazon, Google and even Uber are slicing away the advantage from mortar and brick stores driving the same day delivery that provide more threats to physical stores that cater to immediate needs.
TRANSFORMATIVE EFFECT OF TECHNOLOGY IN STORE OPERATIONS – In store operations have been transformed by new developments like mobile payments, interactive kiosks, RFID tagged products, BLE technology and smart shopping carts. Most aim to minimize the friction of in store client experience, from reducing waiting times at the register to making sure that clients could determine which products are in stock, while continuing to manage an efficient inventory. Smartphones particularly are putting pressure on physical shop sales.
In addition, trends like showrooming are causing physical locations to be the means for consumers to see or try the products they want, only to find a cheaper option online.