How Innovative Tech Can Reshape Retail in the Future: NRF 2020 Insights
NRF 2020: Retail’s Big Show is the central theme of the world’s largest retail conference and expo currently happening in New York. The conference has become the powerhouse where we are witnessing the announcement of significant partnerships and the launch of cutting-edge technologies to strengthen connections between consumers and brands and empowering them to create an ever-lasting relationship with their customers.
One such example of an impressive partnership at NRF was seen between Microsoft and SAP. They are all set to modernize and simplify the journeys of their retail customers as they move to the cloud while becoming an intelligent enterprise.
Let’s explore some innovation scenarios showcasing how the partnership between Microsoft and SAP will lay the foundation of groundbreaking retail concepts that will inspire retailers and delight consumers in 2020.
Blockchain: This use case is about the usage of blockchain to infuse transparency and traceability in the production process of fair-trade chocolate bars as how the cocoa that comes from African farms gets converted into beans and then reaches to consumers in the form of chocolate. The case entails how blockchain ensures the accountability and integrity of the supply chain to ensure that sustainable business practices are followed, including the prohibition of child labor and deforestation.
Implication for Retailers: Blockchain is a promising technology that rests on the principle of immutability. By storing every transaction on blocks that are interconnected and impossible to be altered, retailers can win modern customers who believe in sustainability. They can make their production process transparent while committing to reduce their carbon footprints.
Machine Learning: The next case focuses on increasing the quality of ecommerce experience. By migrating to the cloud and implementing AI and machine learning, retailers can embrace smart warehouse management practices where inventory moves faster with lowered warehouse costs and increased transparency.
Implication for Retailers: Automated warehouses will significantly help retailers to improve process efficiencies. Warehouse automation intends to cut down the costs and time invested in manual labor due to which inventory moves slowly. Moreover, with robots, it is possible to control value leakage by reducing the number of touchpoints between humans and goods in a warehouse.
Augmented Reality: The case suggests the implementation of augmented reality in retail to deliver a personalized experience to the consumers through an online showrooming model where customers can try on the furniture and visualize its look and feel with the help of AR technology. This invariably leads to a reduction in inventory levels and overhead costs.
Implication for Retailers: AR is going to redefine the fashion industry, where e-retailers will rely on AR to deliver convenience to its customers. They will offer a customized experience for consumers with the help of augmented reality, where they can try on apparel or cosmetics on them before making an online purchase.
Advanced analytics: This use case explains how retailers can use advanced analytics and machine learning to analyze and predict consumer behavior to use the data for improving the quality of future interactions. They can create personal profiles of each customer to deliver higher value while aiming to increase sales per customer.
Implication for Retailers: Personalization will be a crucial phenomenon in the retail industry. Every retailer online and offline will endeavor to deliver personalized user experience based on their preferences and past behavior using advanced analytics.
NRF 2020 is all about bringing a fresh perspective to the retail industry. The aim is to make retail intelligent so that consumer experience can be improved manifolds while reinventing the business model. So, retail is expected to be transformed in 2020, and enterprises need to adopt innovative tech into their business operations, especially those that are customer-facing. To meet these ends, you will need a tech partner who can offer a comprehensive stack of disruptive technologies.
Katalyst Technologies can be your partner in transforming your retail enterprise by integrating latest advancements in your technology frameworks. Being Microsoft and SAP silver partners, we endeavor to offer cutting-edge technologies that make retail enterprises intelligent.
