The world of retail has been going through a digital transformation for several years that has not yet found its ceiling. With the aim of providing a better shopping experience, merchants adhere to trends that will mark the future of the sector.

The growing development in the software industry has an impact on all productive sectors, and retail is no exception. Thanks to increasingly sophisticated technologies, it is possible to automate many processes, such as stock management, sending promotions, payment processing, among others.

This comes hand in hand with the growth of eCommerce and its consolidation around the world, which brings up new trends that sophisticate this sales channel or vindicate physical businesses with new store models, in such a way that these are integrated into the online channel as purchase and pick-up points, for example, and offer differentiated experiences.

Today the physical and digital stores are obliged to understand each other, support each other and take advantage of the advantages they offer. In this sense, what retail should propose is a symbiosis between the physical store with the technologies and advantages of the digital store.

Thus, omnichannel stopped being a trend and became the norm. Having an omnichannel strategy is essential for every retailer that wants to be competitive in a challenging context such as the current one. Through this business model, brands are available to users through multiple platforms and channels, seeking to guarantee the greatest comfort and security in the purchasing process.

According to a study carried out by Scandit - which included the participation of the main European retail leaders - more than half of retailers (51%) believe that physical stores will have a hybrid online-offline model.

"Since the pandemic, many digitalization processes have accelerated and as a result we see consumers with higher expectations who not only demand from brands the possibility of buying online, but also expect to find various payment methods, a friendly and fast website, personalized offers and quick responses through different channels, such as social networks or WhatsApp. In addition, they are looking for an integration of physical and digital stores, with the possibility of switching from one channel to another during the purchasing process," explains Martín Malievac, Director of Research and Development at Napse.

Artificial intelligence, the star of the new Retail

One of the technologies that has had the most development in recent years is Artificial Intelligence, which has had a great impact on retail. Through it, retailers can collect, process and analyze user information to apply customer attraction and retention strategies, improving their operations and achieving more sales. This tool is found, for example, in web searches, digital windows, recommendations and suggestions, personalization of email marketing and promotions.

Using data in your favor as part of the business model is essential to optimize processes, anticipate and design business strategies.

Marketplaces and social networks

Marketplaces are a great option for retailers, since they are configured as a channel in which users browse spontaneously. Being present on multiple platforms allows for more coverage and a greater chance that potential buyers will discover the brand.

In this sense, social networks also play a fundamental role, and it is advisable to explore them to get the most out of each one. For example, Facebook has its own marketplace, Instagram offers the possibility of tagging products in published photos, WhatsApp Business allows you to create product catalogs in your profile and segment contacts to make more personalized promotions or dissemination.

Using omnichannel management tools to integrate all these channels is essential to optimize processes, save money and provide a better experience.

New consumers, new sales strategies

Although social commerce - sales through social networks - is an already consolidated trend at the local level, live streaming ecommerce is taking this format to another level. This tool, which is based on the integration of two large digital worlds (social media and e-commerce), offers users the typical advantages of traditional commerce, such as seeing the product more clearly, asking questions and receiving answers instantly, but from the comfort of their homes.

Shoppable TV is another feature that is gaining ground in new generations. It is a tool that allows you to buy the products shown on the screen live. As they appear, they arrive accompanied by a QR code so that the consumer can scan and purchase the piece on the spot.

Payment options

In recent years, the diversification of payment methods has grown enormously and it is important that retailers respond to this trend, accepting as many options as possible, which translates into a competitive advantage.

Little by little, cryptocurrencies are evolving and beginning to gain more space in the financial market; there are even large organizations that accept these currencies as a payment option. As it is a digital medium of exchange, its massive adoption in electronic commerce is a matter of time.

”Given the diversification and growth of electronic payment methods, having solutions for retail such as VTOL, which centralizes all payment methods, both for physical and virtual channels, allows us to avoid human errors and provide buyers with a better experience,” says Malievac.

Pick up points y Smart Lockers

Along with pandemic-driven e-commerce growth, there was a home delivery boom. However, this is not the only modality that retailers are betting on.

Some trends, such as “smart lockers” – cabinets distributed in high-traffic locations – are gaining popularity around the world. These are storage spaces intelligently designed so that users can collect their products at various geographic points without the need for a door-to-door logistics service, with great benefits in terms of sustainability, for example.

On the other hand, configuring the store as a pick up point is consolidated as one of the most chosen methods. These are purchases that begin online but end in the physical store. It provides users with convenience and is cheaper than shipping. However, for these to work correctly and without human errors, merchants must have solutions that integrate physical and digital channels, which is known as omnichannel.

"With these tools, businesses can offer a complete shopping experience, with diverse options that meet customer expectations. Whether purchasing in-store with home delivery, purchasing online with pickup at the branch, fast delivery or picking up through lockers, retailers must be prepared for all possible scenarios," adds Malievac.

Humanize the brand

To achieve a unique and positive purchasing experience, it is essential to humanize attention throughout the process and for the consumer to feel identified and/or close to the brand, which generates loyalty.

In this sense, it is important to use data and tools to understand the client and what interests them and thus generate an emotional connection. To achieve this, this treatment must cover all contact channels. For example, having a channel as popular as WhatsApp is essential to provide a quick and personalized response instead of an automatic one.

According to the Qualtrics 2023 Global Consumer Trends Report, consumers are increasingly seeking a human connection in their interactions with brands, valuing individual and personalized, empathetic and practical service above all. The study insists that consumer loyalty is earned through personal connections with organizations. That is, retail should not lose sight of the overall customer experience by focusing solely on economic efficiency objectives.

Continuing with the Scandit report, half of those surveyed aim to develop or improve personal connection, which is essential to boost sales. On the other hand, 18% of those surveyed consider that in the future physical stores will function as an interactive center to provide a brand experience.

Augmented reality and virtual reality

Augmented reality is a technology that allows virtual elements to be superimposed on the vision of reality to show buyers what a product will look like when it actually reaches their hands. From this characteristic, many possibilities open up for industries such as fashion or decoration, which will be able to offer a more detailed image of how a piece of clothing or furniture looks in a certain space in the house.

This trend will have a significant impact on reducing the exchange or return of products since it will facilitate a first impression 100% remotely and virtually, in addition to a great improvement in the purchasing experience for the consumer.

Virtual or augmented reality allows users to have an experience similar to that of the physical store, but without having to leave their homes. Likewise, the concept of the Metaverse, as an immersive virtual reality, also has infinite possibilities for the sector, since it would allow the consumer to experience the product as if they were physically in the store, seeing it up close, from different angles, perceiving the size on a real scale.

"New technologies are essential to continue building the future retail. The appearance of these tools opens new opportunities for the region and their adoption will allow retailers to offer a unique shopping experience, be closer to their customers and even reach new markets" concludes Martín Malievac from Napse.