The immaculate store
displays only one of each item, allowing more space for browsing. Emma sees a
pair of white jeans that she likes, and she scans the tag with her phone. The
system immediately sets aside Fitting Room 3 for her while the jeans—in her
size, of course—are dispensed via a chute into the room. She makes her way
around the store, scanning as she goes. She passes by a leather jacket, and her
phone pings to remind her that it’s been on her wish list.
In Fitting Room 3, Emma
activates the interactive mirror. With the touch of a button, she orders a
soda. She pulls on the white jeans just as the store associate arrives with her
drink. Emma looks at herself in the mirror and decides that she doesn’t like
the white after all. She taps the screen and changes the color of the jeans to dark
denim. Much better.
But she isn’t 100 percent
sure yet. Through the mirror, she sends a video to her two best friends. They
instantly message back: two emoji thumbs up. Emma adds the jeans to her cart,
and based on an algorithm, the mirror recommends a blouse and pair of heels. She
likes the heels and adds them to her cart. Checking out is a breeze: With her
phone, she pulls up a virtual bankcard and waves it over the mirror. “Thank you
for your purchase, Emma,” says a voice. “Your items will be delivered in one
business day. We hope to see you again soon.”
***
Would you enjoy the futuristic shopping experience described in this article?
***
The scenario above reads
like an alternate reality, but with the incredible amount of competition in the
retail space, many brands are turning to unique store experiences. These
experiences are rooted in technological advancements, and soon, the retail habits
that we’re accustomed to will be obsolete. So, what’s in store for us as
shoppers?
1. Personalized
Experiences
Retailers are investing in
learning more about their customers, which will allow them to create
personalized experiences. When a retailer understands their customer’s
preferences, it creates a more memorable and welcoming experience for the
customer. Additionally, retailers can push products that they know their
customers will like based on their past purchases. In the scenario above, the
store can guess what types of shoes Emma would like. This valuable information
will also allow store associates to form a relationship with the customer.
2. In-Store Push Notifications
Some retailers are
experimenting with beacon technology, which consists of placing wireless
Bluetooth devices in a store. This in turn allows the store to better serve and
target each customer. For example,
sensors can be placed around the store to serve targeted promotional messages
and sales. In the story above, beacon technology is used to remind Emma of the
leather jacket that’s been on her wish list.
Studies find that customers
are often very receptive to such messages given the value and timeliness. In a
study conducted by Swirl, a beacon platform, 73 percent of shoppers who
received a triggered message on their smartphone said it increased their
likelihood of making a purchase during a store visit. Beacon technology would
also help stores track foot traffic as well as customer behavior and movement.
This information would then help the store when it comes to scheduling staff,
merchandising and more.
3. Smart Mirrors
Dressing rooms have long
been a point of contention for shoppers, and many retailers are looking to
change that. Rebecca
Minkoff, for example, has invested in dressing rooms with interactive
mirrors that ease the shopping process. Customers can change the lighting in their
room, call for an associate, request different sizes and more. Besides
improving the customer experience, these interactions generate data that can
help the brand make marketing decisions.
Other retailers, such as
Chinese grocery brand Yihaodian, have invested in completely virtual retail
spaces. Shoppers can enter a “store,” browse virtual aisles and add items to
their cart through their smartphones in designated areas.
4. Omni-Channel Integration
As shoppers’ expectations
grow, retailers are now pressured to integrate the online and in-store
experience. In a survey
conducted by Mozu, shopping capabilities most desired by consumers include:
buy online, pick up in store; buy online, exchange in-store (same day); and
same-day delivery.
Emma’s shopping model was a
bit different. Because the store blurred the lines between its channels, it stocked
less inventory. Thus, she was able to get a new pair of jeans (never touched or
tried on by anyone else) delivered straight to her home in one business day—via
drone, perhaps?
5. Self Check Out
Say goodbye to long lines and
hello to instant check out! Many retailers currently offer self-check out
lanes, but that process may become even easier. Michael Chui, a partner at the McKinsey
Global Institute, predicts that customers will be able to walk into a store, grab
products and simply leave. Think automatic road tolls but with items in your
hands. Dangerous. Earlier this year, Toshiba rolled out Touchless
Commerce, which uses 3D and facial recognition to scan your face and the
contents of your basket before charging your credit card. As of right now, the
scanner only works for purchases with 10 items or less.
***
Which of these technological advancements makes you uncomfortable?
***
While many of these
advancements are exciting for retailers and shoppers alike, they also pose a
lot of potential risks. Shoppers could become more susceptible to identity
theft, and retailers could become more susceptible to hackers. Additionally, all the information retailers
are gathering about their customers could be sold to interested third parties, posing
privacy concerns. Retailers will have to find ways to protect their brands and
customers.
Despite these concerns, the
retail space will need to change to keep up with the new generation of tech-savvy
customers. You never know—the Emma experience may be coming to a store near
you.
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