The Transition To Digital In Retail
The Transition to Digital Retail
Companies are in the midst of changing the landscape of how they conduct business. Some may ask what is at the forefront of these changes, and the answer to that question is Digital Transformation. To put it into simple terms, Digital Transformation is the radical change in how a business may use technology to improve performance. Retail stores are having a difficult time competing with online shopping services because of the convenience and speed of the operation. However, through technology upgrades and steadfast leadership, retail can fight back. The personal touch of retail has always been the advantage of in-store shopping. Combining that aspect with digital upgrades makes it possible to compete with online services. The future will not be about the end of the retail stores but combining the digital advantage of technology with retail.
Leading a Digital Transformation
Making the necessary changes to conduct a digital transformation is perhaps the most important aspect of successfully completing the process. Organizational changes such as adding key roles, innovation labs, and teaching employees new skills for the digital changes are all on the mind of CIOs everywhere.
A digital transformation will be a massive event for a company undergoing the changes. Reassessing your business strategy, through radical changes, is a concept that may have retailers skeptical, but the digital upgrades are a major exception. Smart business leaders are realizing this and are in the process of accepting the future with open arms. Businesses are unloading their expenses on digital transformation technology, but are wholeheartedly faithful in this process. Worldwide spending on these technologies is estimated to reach $1.3 trillion by the end of 2018, which is around a 17 percent increase from the $1.1 trillion spent in 2017. By 2021, spending is projected to be more than $2.1 trillion, which will nearly be double the amount spent in previous years.
Understanding the advantages of digital transformation is the key to applying the technology that could be used in these stores. The leading-edge digital retailer will be able to integrate all of the important assets that will make the transition much smoother. Creating an ecosystem of suppliers, customers, shippers, and technology vendors is going to be essential in conducting a successful digital transformation.
Having everyone on the same page cannot be overstated, because having cultural issues in the work environment can be pervasive. These issues must be addressed if a retailer wants to succeed in their initiatives. If managers cannot successfully teach their employees the ins and outs of a new technology, it can be polarizing. The older generation of workers will need a comprehensive learning process in regards to the drastic changes bound to take place. An all-inclusive work environment is crucial in achieving success in this transformation process.
Two massive advantages of digital transformation in retail?
Machine Learning and Predictive Analytics–
Customers are now at the center of attention. Creating a bond between the brand and the consumer is crucial in making the experience as valuable as possible for the customer. Making the customer feel appreciated and making their visit worthwhile is a must for retailers.
A digital transformation allows machine learning to aid in creating this bond with a customer. Predicting and understanding a customers actions is vital to this operation. Machine learning is the science of collecting data from multiple sources and feeding that data into machine learning models. This process would lead to an analysis of this data and would help in predicting outcomes in the future.
Collecting data through machine learning allows retailers to see patterns in a customer’s shopping behavior. This would then allow retailers to update special offers and promotions, price change products to a more comfortable number for consumers, and create a more appropriate product layout. Holiday seasons are a perfect example of this coming into play and differentiating between different seasonal shopping tendencies.
Innovative technologies will soon be installed in nearly every retail store near you. Stores that are not looking toward the future will soon be left in the dust by businesses embracing the digital age. Companies like SYNQ have the technology to make all of this possible. Linking up with these innovators is going to be the name of the game, and SYNQ is a leading company for the transition into digital retail.
Theft is a serious crime, but do you ever wonder how easy it is to actually pull it off? With most retail stores, the technology in place is hilariously outdated. This ultimately makes shoplifters lives easier than it should be. According to shopliftingprevention.org, shoplifters say they are caught an average of only once in every 48 times they steal. Retailers need to make a stand; allowing shoplifters to steal so easily is unacceptable and the businesses that incorporate a digital transformation will end this problem.
SYNQ is, again, the perfect example of a company installing technology to prevent theft. Advanced technology such as EAS security gates, high-resolution cameras, and POS (point of sale) tag deactivation are vital components of SYNQ’s loss prevention protocol. That is only going into vague detail; there is much more to account for in a thorough explanation.
The security systems stores have in place now are outdated and need an upgrade. Aging systems can cause a litany of problems for employees. Video support issues and low resolution makes the job of a person working in loss prevention extremely difficult, especially when trying to identify thieves. The longer the technology has been around, the more vulnerable it is. Stopping hackers is essential in preventing all types of theft. Highly skilled shoplifters, although rare, are going to be a continuous threat in the 21st century. Missing out on important information, the inability to gather data, and not being able to identify potential crime are all a result of having a system that does not run optimally.
Preventing shrinkage is at the head of a digital transformation. Theft and other errors have generated astounding numbers lost by retailers worldwide. It is estimated to have cost retailers nearly 100 billion across the board, or about 2 percent of sales globally. Staying relevant at the turn of the next decade is going to be the ultimate goal for retail stores; the integration of new technology prevents obstacles, like shrinkage, from getting in the way.
The possibilities are endless in the digital age, and businesses are now beginning to realize this. Why should retailers be any exception? It is time to innovate retail and provide a complex system that can ensure success in these stores.
Visit SYNQ Tech to get a full overview of the cameras being used and the variety of labels at their disposal. Many companies are trying to lead digital transformation in retail stores, but few have the full package that SYNQ provides.
Leading and preparing for a digital transformation is becoming essential to conduct business in the 21st century. Companies need to look toward the future and use the new technology to their advantage. Loss prevention, increased sales, and creating valuable customer experiences are all improved through a digital transformation. Learning this now, while it is still in its infancy, is a good start in staying relevant in the digital age. Why let other companies take advantage of this innovation in retail technology when you can be one of the first to incorporate it yourself?