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As the world gradually recovers from the pandemic many retailers are reopening with a great deal of relief , hope , and the will to succeed . The challenges from supply chains , staff shortages , rising costs , and new consumer behaviors have confronted all retailers globally . Many large retailers have been able to secure their supply chains by investing in them or securing their own shipping . We will see much more focused attention and investments in supply chains and technology to manage the flow of information that ’ s generated from production to the retailer and the last mile of delivery to a consumer ' s home . It must happen because we now recognize the level of vulnerability at all ends supply management . This same objective will be a little tougher for SMEs ( small and midsize enterprises ) but not if retailers work together and in collaborative ways to solve these issues .
Today I tell business leaders that the next generation of retailers will be continually future proofing their brands for greater resilience . It isn ' t only essential and possible ; it is a necessary imperative . Many realize that they have under-invested in supply chains , technology , digital capabilities , talent , and their ability to adapt . Without future proofing your business it is impossible to tell a relevant and compelling brand story to consumers which creates loyalty .
How do you future proof retail ?
The first is to focus on becoming Street Smart , which means competing on many levels . It begins by defining new ways to collaborate with local businesses and creating mutually beneficial alliances . Wherever possible , retailers should experiment , such as identifying
shop-in-shop relationships with other recognized brands . Of course , at the same time , staying in touch with your customers and acting on opportunities such as live-streaming and being mindful of a fast-changing landscape in the consumer sector because it is in a significant transition . In addition to being cognizant of technological developments , evolution with fashion trends , consumer behaviors around convenience , faster service , and being aware of competitive changes and potential threats to business growth .
The second is to be Tech-Driven by investing in the right technology and media assets to keep a business visible and interact with its customers . A consumer ' s desire to engage with a retailer online is expanding . Therefore , merely having a hybrid business model which operates on a physical and e-commerce level is only the beginning . Businesses are connected today at a Web 2.0 level , which includes social media , texting , email mobile , and the cloud to store data . This is the current gold standard . Unfortunately , many are still at Web 1.0 , which is not engaging with consumers and operates at a low-level frequency platform weak in their ability to engage with customers . The opportunity and challenges ahead are that Web 3.0 is coming , with AI , augmented , and virtual reality . We ' ve already heard that Meta ( formerly Facebook ) is looking to add stores . It is a sign that more sophisticated and technically driven competitors will continue to change the global landscape , and for that reason , all retailers need to continue to advance . That means investing in and progressing with technological adoption that works for them .
The third is to become more Customer-Obsessed than you were in the past . Consumers have high expectations around more convenience , less friction , faster service , and value for a price . According to a recent survey by Oracle , over 80 % of consumers spend over an hour online browsing and shopping for products and services . If you are going to operate a customer-obsessed retail brand , you need to look for opportunities to deliver on those new customer expectations . The world is now Customer to Business ( C2B ), much as I had predicted in my last book . Consumers are now in the driver ' s seat . How well you deliver on those expectations will form a consumer ’ s immediate perception of your brand . For that , you need strong operational execution .
The last is to pursue Bold Innovation . Sometimes we confuse innovation with being technology-based only . But it can be a service , product improvements , or new products and menu items . The challenge here is to be continuously innovative , never to stop with one recent development that worked . Nothing lasts forever . Unique and intriguing draws customers , and in this climate of continuous searches for something new , bold innovation is a significant contributor towards growth .
Future-proofing retail is made up of these four initiatives however , to be effective they also need organizational alignment with culture , talent , strategy , and operational execution . That ’ s the New Bricks & Mortar .
About the Author : George Minakakis
George Minakakis is the Principal of Inception Retail Group Inc . He is a global retailer and former CEO , leading retail chains in Canada , the US , and China . And the author of a new book called " The New Bricks & Mortar Future-Proofing Retail available on Amazon and participating booksellers .
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