Survey: In-store technology not keeping up with experience customers want
A majority of retailers say that their current technology doesn’t meet in-store shoppers needs.
While 85% of retailers say the store remains their primary growth channel, 65% admit their current technology stack doesn’t enable the customer experience they want and need to deliver, according to a study from Retail Systems Research (RSR), sponsored by Jumpmind.
Sixty-two percent of those surveyed said customers are demanding different store experiences than what they can currently provide. Point of sale is a particular pain point for retailers: Less than half (47%) say their POS system supports an innovative or differentiated store experience, and one third report it’s actively holding them back.
[READ MORE: Survey: Retailers to continue investing in personalization, AI tools]
A third (34%) of retailers say that consumer adoption of new tech is simply moving so fast that they can’t keep up. Others (31%) say new tech is prohibitively expensive, while more than half (54%) say technology changing too often is a top inhibitor to taking advantage of opportunities to improve the store.
“Many retailers have yet to crack the code on creating relevant and inspired in-store shopping experiences and time is running out,” said Joe Corbin, president and CEO of Jumpmind, a retail technology solutions provider. “As inflation continues to impact consumer spending, it’s absolutely critical for retailers for creating compelling and seamless in-store experiences that deliver value and differentiation and empower both associates and shoppers.”
In other findings from the survey:
•Forty-one percent said the rise of online competitors is eroding the value of stores, while 38% say direct-to-consumer retail is undermining the store’s significance, while 28% consider e-commerce same-day shipping a threat.
•More than one third (36%) say the fact that consumers are more “hyper-informed and demanding” than ever is a top threat to their business, with 35% admitting they can’t provide the level of service consumers expect.
•Sixty-three percent of retailers rank mobile devices for associates that free up store managers’ time and offer operational visibility as “high value.”
•Seventy-percent of retailers have planned investments in assisted selling and endless aisle capabilities within the next 12 to 18 months.
“While the past two decades have brought enormous technological potential to retail, the store of the future remains an elusive vision for many,” said Steve Rowen, managing partner at RSR. “Fortunately, low-cost, fully-featured, consumer-grade technology is now available for far less capital investment than older store systems. Retailers remain ‘all in’ on stores and have significant funds set aside to invest in technology, so we expect 2025 to be an exciting year.”
