PHILIPPINE RETAILING NEWSLETTER 2017 PRA Newsletter 2017 3RD Quarter | Page 7

Feature 3RD QUARTER, 2017 Many retailers today seem fixated on introducing new technologies to appeal to the millennial consumer. Millennials — those born between the mid-80s and 2000 — are now the largest group in the workforce and according to a recent study from Accenture, are expected to spend $1.4 trillion in the U.S. by 2020. With millennials making up approximately 30% of the population, retailers strive to tailor all their efforts to reel in this group, yet often overlook the remaining 70%. The millennial generation may be driving retailers to keep up with their tech savvy speed and connectivity, but retailers must build an environment that works for all generations. While millennials represent a sizeable amount of shoppers today, concentrating all efforts on them can cause retailers to miss out on key customers who have a passion to shop and willingness to spend. There is no ‘one-size fits all’ approach to reach all generations, however retailers must bring a more diverse attitude to build a system that works for everyone. Defining today’s retail consumer According to the research firm IDC, a majority of U.S. shoppers using digital platforms have a wide range of technical expertise. These consumers fall into four categories: • Equipped and ready (10%) — majority under 45 years old and early adopters, promoters and power users. • Equipped and unsure (30%) — underutilizing digital assets, adopt a lot of technology, but require long lasting value proposition and great customer experience. DATA-PRIVACY COMPLIANCE... from page 5 companies in the Philippines need to implement their data-protection and data- privacy obligations not only to keep their existing clients, but also assure future growth.” Liboro said. Malcolm Crompton, former Privacy Commissioner of Australia explained why having a privacy-management plan is essential for organizations to ensure the longevity and competitiveness of their business. “With the successful implementation of privacy-management plans, companies • Varied experience (50%) — both over and under 45 years old, have variable levels of tech ownership. • Generally interested (10%) — over 45 years old, lack tech independence. As communication preferences, media and technology skills constantly change, retailers must become aware of these generational differences and create a desirable customer experience for all. Whether, its online, mobile or in-store purchasing, customers strive for a sense comfortability, ease of use, and convenience around their purchase decision-making. The right mix of tools No matter the generation, consumers will remain loyal to a retailer based on the type of experience they have visiting a store. As retailers must compete with the growing e-commerce market, they have begun installing new technologies that focus on developing a unique in-store experience. As retailers cater to millennials with mobile apps, digital coupons or social media promotions, these technologies can seem daunting to those varied experience shoppers. While those quick and easy solutions are great for the equipped and ready consumer, there remains an opportunity to connect with the customer base that is not yet ready to fully adopt these technologies. How to bridge the divide Retailers are now taking steps to shift their efforts to accommodate all generations with a special focus on the Baby Boomers who tend to be less tech-savvy than millennials. One tactic retailers are using is implementing smaller store layouts to help reduce customer confusion and anxiety levels when shopping. Also, to ensure customer can expect; increased business, enhanced reputation, more satisfied clients and improved adaptability to change. Organizations need to rethink the risks associated with data processing in order to manage them effectively,” said Crompton. As part of information drive on the DPA, the NPC has been conducting seminars and talks in collaboration with various stakeholders in the public and private sector. satisfaction, retailers provide an assortment of product options to avoid confusion with site-to- store shopping. Reader-friendly digital signage is also being implemented in stores to help older customers adapt and easily navigate the space. In-store kiosks are positioned throughout stores to help customers order desired products or explore other options that may not be in-store. Giving staff members the tools to better serve customers in a more relaxed fashion helps ensure that retailers meet consumer needs without compromising those for whom speed is their number one priority. Looking to the future While efforts to appeal to the older generations continue, retailers must begin to gear up for Generation Z and their increasing interest in social media and digital devices. On average, Gen Z uses their smartphones 15.4 hours per week — more than any other type of device. They shop about eight to nine times per month and prefer mobile payment options. The younger generation thrives on social media and brand engagement on these platforms. Retailers are recognizing and adjusting accordingly to reach this generation on social channels and digital devices. As retailers continue to make adjustments to consumer behavior, it is important that they incorporate products and services tailored to all generational needs. While millennials demand a speedy, innovative customer experience, solely focusing on these consumer demands could come at the cost of alienating many key customers. The most effective retail operations are those that recognize the diverse needs and preferences of their shoppers, and work hard to make sure they’re offering the right solutions for everybody. Retail Customer Experience, 7/5/2017 be made aware of the need to responsibly handle personal information.” The Data Privacy Act applies in general to any person or organization, whether from the government or private sector, that is involved in the collection, processing and any further use of personal data. Personal data is any information that may identify a person, such as names, identification numbers, and personal circumstances. Business World, 7/27/2017 / NPC website Liboro said, “With the prevalent use of personal data in access devices, social media, and smartphone apps, as well as in the delivery of basic services, it is extremely important that the public and organizations 7