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Retailers Know Their Stores Are In Trouble: They’re Losing To eCommerce, But Few Know What To Do About It

consumer demands, in-store shopping, Marketing, modernized stores, online experience, Paula Rosenblum, Pr, Public relations, Retail Systems Research, RSR Research, shopping experience, top retail performersBest Performers See Advantage in Taking the Hard Steps to Modernize Stores

Retailers are increasingly painfully aware of how short their in-store shopping experience falls compared to the online experience, but are stymied on what to do about it, according to a new 2016 benchmark report from Retail Systems Research, The Retail Store In 2016: Poised For Transformation.

“Not only are there still too many retail stores, but even worse, the lion’s share of today’s stores are relatively uninteresting,” said Paula Rosenblum, managing partner at RSR Research and co-author of the report, in a news release. “Retailers agree that the consumer is demanding better, but so far, only the best performers see the advantage in taking the hard steps to modernize stores.”

Key research findings include:

  • The best performers, sales-wise, are more likely to say competition from online sources (such as Amazon) is stealing sales away from their stores, more likely to blame their own lack of integration between selling channels, and more likely to cite competitive price transparency across these myriad channels as real problems they must face.
  • By comparison, their underperforming peers are more content to blame rising minimum wage pressures, an inability to separate their own stores from their competitors’ and, most tellingly, increasing consumer price sensitivity (for which is there is little evidence).
  • More than half of retailers say their store operations management has grown accustomed to the way things are, the enterprise is hesitant to add more to store employees’ plates, and it’s not clear that any technology installation beyond the obvious will deliver a quantifiable benefit.
  • Despite their best intentions—and their rapidly increasing understanding of the problem—just over 50% of retailers see a lot of value in employee-facing technologies, with roughly the same number having either implemented or budgeted for these technologies. We are still a ways off from physical stores that bring a strong fight to the online experience.

The report contains analysis of the business drivers, opportunities and organizational constraints surrounding technologies in retail stores. It also offers baseline recommendations for navigating this brave new world for retailers.

Download the complete study here (free registration required).

The report is part of RSR Research’s ongoing efforts to provide market intelligence on retail technology trends, is sponsored by Manhattan Associates, is supported by Tyco.

Source: PRWeb; edited by Richard Carufel

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