The in-store shopping experience is increasingly being transformed into a digitally enhanced experience for both the customer and retailer. Technologies such as beacons, retail store analytics, and store fulfillment programs are rapidly changing the definition of how a retail store operates and engages with customers. While 68% of customers use a mobile device while in a store, retailers are just beginning to take an active role in that in-store digital experience.
Forrester believes that, in the future, retail stores that drive convenience, service, and relevant personalized experiences through the use of digital store technology will succeed. Why? Because today. customers show an affinity for digital store technology. In fact, 66% of luxury apparel customers are more likely to shop with a digitally-enabled associate. Those retailers who wait on the sidelines are at risk of maintaining the status quo and may only grow marginally.
Infrastructure professionals are now all too familiar with the dynamics of bring-your-own (BYO) technology and devices: Their workers walk into the office with consumer technology all the time. This post is one in a continuing series on how consumer retail stores act as de facto extensions of the IT department in today's BYO world.
The rumors have abounded for more than six months: unconfirmed whispers that Google will open up its own major chain of consumer retail stores. The company has dipped its toes into the retail waters with Chromebook-focused kiosks in the U.S. and the U.K. over the past few years, with installations inside larger retailers like Best Buy, Dixons, and Currys.
A Google Kiosk in the U.K.: Not Yet Reaching Revolutionary Heights
Yet while kiosks – particularly those staffed by Google employees – offer some value in promoting Google’s products and services, the company has a much greater opportunity for late 2013 into 2014. Kiosks aren't going to foment a retail revolution. To quote the popular Star Wars geek meme, "these aren't the droids you're looking for."
No, it's time for Google to think big – to go gangbusters. To do something nobody has done as well previously. Why is this imperative?
JC Penney’s CEO Ron Johnson is hedging his bets that among other innovations, in-store iPads and iPods will help make his new concept stores a hip place for customers to hang out. Ron is not alone in his mission; Macy's, Staples, Urban Outfitters, Home Depot, Wal-Mart, Target, Nordstrom, Neiman Marcus, Sephora, Clinique (the list goes on and on) are all in the process of piloting new in-store digital technologies.
However, “hip” is not a business case. In-store technologies must not only digitize existing experiences but, in doing so, must improve upon or completely re-invent them. As I see retail technology concepts like magic mirrors, virtual shelves, augmented reality displays, and touchscreen kiosks, I worry that retailers are getting swept away in the hysteria of the technology and are failing to articulate the value proposition that these technologies offer to the consumer.
Don’t get me wrong; many of these in-store digital experiences resonate well with the tech-savvy Gen Y shopper, but do they make the shopping experience more convenient?
Picture the scene: Mom has 20 minutes to spare on the way to pick up the kids from school, so by the time she’s found a parking spot, she has 10 minutes (at best) left to walk into the store, find what she is looking for, pay for it, and get out again without risking being late. Does she have any chance of meeting her SLA? Probably not, unless she knows exactly what aisle the product(s) she needs is in, whether the product(s) is in stock, and whether the checkout lines are empty.