Consumer Analytics

The Internet of Things (IoT) is one of the hottest topics in retail technology. While there has been a lot of talk about IoT’s status as a game-changer for retail, there has been less discussion on exactly how it will drive industry transformation.

Here are three specific ways IoT will bring about a new era in retail operations.

Automatic shopping

Whether you're in-store or online, the benefits of a personalized customer experience are undeniable. We want salespeople who can help us find exactly what we're looking for as quickly as possible; we return to lunch spots where all we have to ask for is "the usual." For e-tailers, personalization has traditionally relied upon recommendation engines, algorithms that look to match prior consumer clicks and purchases with like-minded cohorts. And personalization is indeed effective for those e-commerce sites.

The Internet of Things (IoT) is one of the hottest topics in retail technology. While there has been a lot of talk about IoT’s status as a game-changer for retail, there has been less discussion on exactly how it will drive industry transformation.

Here are three specific ways IoT will bring about a new era in retail operations.

Automatic shopping

The retail executives responsible for delivering omnichannel customer experience admit there is much work to be done to come in line with consumer expectations and demands.

Business technology and services provider Periscope, a McKinsey solution, conducted a survey of attendees at World Retail Congress 2016 held in Dubai in April 2016. According to the results, only 21% say they are more confident than a year ago on delivering omnichannel experiences. Another 45% say progress is not happening fast enough.

Amazon.com has found another way to demonstrate its commanding lead in e-commerce – monthly unique visitors.

According to the comScore March 2016 rankings of the top 50 multi-platform (desktop and mobile) properties by unique U.S. work and home visits, Amazon sites received 180.97 million unique visitors. This ranked first among all predominantly retail web properties and fifth overall.

Under Armour continued its winning ways in the first quarter, beating sales and earnings forecast as net revenue rose 30%. The brand has had 24 consecutive quarters — six years — of sales growth of more than 20%.

Sales rose to $1.05 billion for the quarter that ended March 31, up from $805 million in the first three months of last year. The company noted that footwear sales soared more than 60% to $264 million amid the popularity of NBA superstar Stephen Curry’s signature basketball shoe line and expanded running offerings.

When it comes to shopping in stores, “digital natives” want the same technological conveniences they have come to expect online.

According to a new research report from Euclid Analytics, “Bringing Digital Engagement In-store,” 67% of millennial adults age 18-34 would be very or somewhat likely to use in-store WiFi for faster checkout via an exclusive VIP line. This compares to 60% of Gen Xers 35-54 and only 38% of baby boomers age 55 and older.

Digital retailing is growing in popularity, but the brick-and-mortar channel remains dominant for at least one crucial consumer activity.

According to research firm Toluna, an equal percentage of consumers browse before purchasing online or via mobile (76%) as browse in-store (also 76%). However, when it comes time to make a purchase, 82% will do so in-store while only 65% purchase items online or via mobile.