5 Retail Digital Transformation Trends for 2022
The year 2022 could be big for the retail industry, with many companies having fully adjusted to the new normal of doing business two years after the pandemic hit the world.
The first two years of the pandemic showed the need for a strong pivot to digital, with new tools, platforms, and systems emerging to help businesses survive the uncertainty.
This year, however, is different. Businesses now have a clearer insight into how the new normal works, and what the future demands – embracing retail digital transformation and innovations.
Here are five retail digital transformation trends to watch out for throughout 2022.
1. Streamlined and modernised checkout experience
The pandemic has placed a strong emphasis on convenience among consumers. People would now prefer stores that offer options most convenient to their situation, whether it is BOPIS (buy online, pick in-store) or contactless transactions.
This new attitude towards retail will require streamlined and modernized checkout systems, with an emphasis on mobile and “touchless” options. Businesses would also need innovations to integrate platforms, applications, and other point-of-sales to meet high customer expectations on convenience.
2. Full steam ahead on the Internet of Things
Internet of Things (IoT) devices have been readily available for a decade, but adoption was slow. With the pandemic triggering tight restrictions and enforced distancing protocols, many businesses were forced to try this innovation.
The first two years showed the industry how viable and dependable IoT systems are in every aspect of the business, like customer feedback, supply chain logistics, asset tracking, and more. Prices of IoT devices have gone down considerably, making it a suitable time to explore other types of devices.
3. Centralising inventory management with digital tools
Omnichannel strategies have been necessary throughout the pandemic, and most businesses have adapted well during the last two years with technology. It only follows that organisations must adopt a centralised inventory management system capable of handling multiple channels.
Businesses would find IoT devices and artificial intelligence solutions extremely useful in getting accurate, real-time information on the supply chain for optimal tracking. A centralised inventory management system will help deliver results and make life easier for businesses.
4. Building cyber-resiliency for data privacy
Data privacy will be a top concern of consumers moving forward. With every business making a shift to digital, the risk of compromising sensitive information rises. Actual data shows that there has been a 300% increase in cyber-attacks in the US since the pandemic began.
Building on cyber-resiliency will be crucial for businesses as customers would prioritize transacting with brands that promise security. When you build on cyber-security, you also build on customer trust, and eventually, would make loyal clients in the age of new normal.
With the experience of doing business under the new normal for two years, the industry is looking more settled. Companies look poised to be more aggressive in adopting new technologies, innovations, and approaches.
5. New business models with collaborative ecosystems
During the last two years, supply chain disruptions have taught the industry the value of a collaborative approach to business. Even pandemic-driven customer behaviour and purchase patterns showed how crucial it is for companies to adopt new and collaborative business models.
Outsourcing is a collaborative business model that delivers on multiple ends. Outsourcing partners can provide teams or qualified experts, based on a company’s requirements, to focus on specific business processes that will allow retail and e-commerce companies to adapt faster to retail digital transformation trends.
With the right outsourcing provider, a company can build their team of supply chain analysts, content marketers, sales associates and managers, customer service representatives, compliance analysts, retail accountants, e-commerce developers and programmers, and more.
Because outsourcing providers source talent from countries with a lower cost of living, building a team will cost much lower making the whole business solution cost-effective. Having a team of experts doing the job will allow companies to fully embrace retail digital transformation.