With another NRF Big Show in the books, it appears retailers and solution providers have set the tone for 2016, further responding to consumer expectations of service that takes place anytime, anywhere.
The RTP team discusses the major takeaways and surprises they caught from this year’s event, and shares advice to retailers based on what they learned.
Debbie Hauss, Editor-in-Chief: It’s going to be a year of positive progress for the retail industry, based on my experience at #NRF16. Overall, I think retailers and solution providers are focusing on the speed of change in today’s demanding retail environment. They are finding ways to update systems and implement new capabilities quicker and more efficiently. I also was inspired by some great retail success stories at this year’s NRF Big Show. True Religion is using an Endless Aisle Apple Watch app, along with a digital screen, to capture shoppers’ attention and keep them in the store longer. AT&T is tapping interactive digital signage and mobile technology to improve associate-shopper engagement and make the entire store experience more entertaining. The execs at Lucky Brand didn’t take the easy route when it was time to break away from the business technology used as part of the Kate Spade system. Instead of replicating outdated systems, the team jumped head first into an entirely new cloud system designed to meet the needs of omnichannel shoppers, and help the brand innovate and grow. I am looking forward to hearing more great success stories that focus on both innovative strategies as well as building a strong foundation for the future.
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Adam Blair, Executive Editor: While #NRF16 had its usual share of shiny-object futuristic gizmos on display, there was also a refreshing trend toward practicality. Many solution providers are prepared to help retailers turn the gee-whiz technologies around mobile, beacons, store-based fulfillment and even augmented reality into real-world applications that improve the customer experience and measurably boost profitability. Electronic shelf labels that double as beacons and then triple as task management signposts were just one example of multiple-use devices on display. My advice for retailers would be to identify your business problem or opportunity first and then seek out a technology capable of addressing it – versus being seduced by a cool technology and then looking high and low for a use case that fits it.
Alicia Fiorletta, Content Strategist: Several common themes cropped up during my time on the show floor at #NRF16 and for the first time, I can say they are all interconnected. The core theme is “fail fast, learn faster.” Meaning, don’t be scared to try new things or test new tactics, but make sure they enable you to bounce back quickly and adapt accordingly. The second is: Be realistic about innovation. I think when people hear the word “innovation,” they think embracing wearables, drones, mobile, beacons and all these other touch points on a whim. But in reality, retailers need be smart about their investments. Consider your target audience, your challenges and how you can embrace technology to add surprise and delight to the customer experience. There’s no point in having cool fitting room touch screens if your associates don’t know how to use them and help your customers. Instead, focus on a technology that you can benefit from quickly, then consider how you can scale up in the future. For example, RFID allows you to better track inventory location and availability. However, you can easily augment that by implementing touch/digital screen technology and having RFID tags trigger dynamic content when a customer picks up an item.
David DeZuzio, Managing Editor: #NRF16 proved that customers and retailers will get every single piece of information they’ve ever wanted to know about their products, for the former, and their shoppers, for the latter. The trick for retailer success is to take the massive amounts of data available, distill them to a granular level and create the ultimate customer experience. Of course, with all of the interactive displays from companies like Elo and Perch that made omnichannel experiences immersive and visually rewarding, profits will definitely rise. These displays did exactly what they were supposed to: they made me want to buy what was in front of me. Did I need it? Nope; but it sure looked good.
The most exciting thing I saw: Cimagine’s augmented reality demonstration. With just a tablet (no bulky virtual reality glasses needed) you can place a scaled, movable product (let’s say it’s a chair) in any room of your home and pick the available colors and patterns. This will take a lot of the guesswork out of shopping for furniture, and other products, and prevent countess arguments with your significant other. AR is projected to be a $120 billion industry by 2020 and it’s easy to see why. My advice for retailers would be to keep RFID technology from becoming too creepy; I’m not sure if I want my running shoes telling me when it’s time run. Then again, it always helps to have something get you going.
Klaudia Tirico, Associate Editor: Virtual reality in the retail world is nothing new. Just last year, Tommy Hilfiger brought the Samsung Gear VR inside its stores to showcase the designer’s Fall 2015 runway show. I didn’t believe that virtual reality could be implemented to mobile e-Commerce, but I was wrong. At NRF, I had the opportunity to meet with Howard Goldkrand, Head of Innovation Design at SapientNitro, where he showed me the advertising firm’s collaboration with The Apartment by The Line, a retailer in SoHo, NYC. With the Samsung GearVR headset, retailers can create an in-store shopping experience through virtual reality. When customers put on the goggles, they get a real-life look at products as if they were actually in the brick-and-mortar store. By simply gazing at a specific product, customers then are able to add the item to their cart to complete the checkout process on their phones after taking the headset off. Experiencing how virtual reality will change the game for mobile e-Commerce is one of the biggest highlights of my time at #NRF16, and I encourage retailers to think outside the box of traditional e-Commerce with virtual reality.
Glenn Taylor, Associate Editor: #NRF16 brings out the best in retailers, particularly as they display how particular solutions have helped them achieve new areas of success. One example that stuck out to me came from an interview I had with execs from Best Buy Canada and marketplace platform provider Mirakl. During the briefing, Thierry Hay-Sabourin, the VP of E-Commerce at Best Buy Canada, explained that by entering the marketplace mold, the retailer was able to branch out into the sales of additional products it wasn’t already known for, and could partner up with other Canadian retailers rather than worry about competition. It actually surprised me how the sentiment of working together with other retailers became more of a theme for the new year. It appears retailers are less fearful about competitors as their focus gears to gaining more knowledge of the consumer’s needs. With that in mind, I hope retailers continue to focus on the experiential side of things so that they can truly stand out on their own. With a unique brand name, every retailer has something of their own to offer that can supplement the product and services provided.
