A few pieces of retail info that came out of a recent dinner:
- A fundamental shift has been taking place in retail – power is shifting from the retailer to the consumer through the use of technology. However, retailers are working hard to maintain, and even grow, market share. Customer satisfaction is a main focal point. Now, there are multiple touch points to reach the consumer (through personalized promotions, mobile websites and social sites like Facebook).
- Although e-commerce is posting huge comps (YOY) versus their brick and mortar counterparts, mobile devices are not driving the sales. Size of screen and limitations on mobile content are some of the primary challenges. When shopping for a fashionable dress from Elie Tahari, or the latest in technology on a site like Amazon.com, the typical cell phone screen just doesn’t cut it. Not surprising, in a “statistically insignificant” but real poll taken of my students (who are Gen Z “trendsetters”) only 8.3% actually use their smartphones to shop.
- Social is becoming a powerful player in the retail space. According to a global survey by IBM, up to 84% of consumers rely on their social networks when researching new products. When buying online, shoppers coming from a social network convert at 2x the rate of other non-social network channels.
More to come.