Retail used to be a relatively straightforward industry. In the past, malls, town centers, and commercial districts would provide the primary point of contact between consumers and their preferred brands. Today, however, retail has become an omnichannel industry, allowing shoppers to interact with brands through any physical or digital channel that’s most convenient to them.
This shift gives consumers great freedom and flexibility in deciding both how they will interact with brands, and which retailers they ultimately shop with. This has changed the operational structure of most retailers, as they have to embrace both physical and digital channels to drive sales and loyalty, rather than choosing one over the other.
Retailers must reorganize to meet customers on their terms
For instance, retailers that are closing physical storefronts may give off the perception that their business is suffering, when in reality they are actually adapting to new trends. By utilizing customer data, a particular retailer may have decided that a lean brick-and-mortar operation and expanded focus on their online storefront makes more financial sense than the old model.
That isn’t to say that all brands embracing digital are necessarily doing omnichannel correctly. While on social media, for instance, a consumer may be bombarded with targeted advertising from a brand that they’ve shopped with once or twice in the past. But, if this advertising is more of an annoyance than an enticement, is this retailer actually succeeding in marketing, and ultimately selling, their product? Is this retailer actually succeeding in building brand loyalty, or driving traffic to their store, and ultimately selling their product?
Location Intelligence can help drive critical business changes
A lot of what is driving the big decisions in retail is Location Intelligence harvested from customer data, which is easier to harness today than ever before.