Reinventing Retail for 2020
Shopping is a large part of every culture. Whether it is getting the basics or going for the new and fun items, retail has been around for over 100 years. Shopping has evolved from the “mom and pop” shops to giant global corporations that offer just about anything. Now that retailing has become a huge part of the global economy, the impact of trends are important to follow and plan for. Looking ahead to 2020, we can gather information from recent changes and be prepared for more to come. Here are some changes to anticipate in the next few years:
- The Baby boomers will be in their 60s or 70s and supporting their aging families or unemployed children. They will also be working on rebuilding their savings for retirement. Baby boomers will no longer be spending as much money on discretionary retail purchases, making them less of a loyal consumer.
- The Millennials, who will be in their 30s, will be the main consumers for retailers. However, they tend to value quality over quantity and have a real passion for social causes. Having grown up using the internet for everything, retailers will need to be able to offer products and experiences in various outlets that are important and valuable to the millennials to be most successful.
- Consumers in general will have a less disposable income and an adjusted spending behavior. Those that are positioned to serve the middle market have seen their share of a shrinking trend, the hourglass effect. Retailers in the middle will need to rethink their value to avoid a continued loss of market share.
Things to consider for retailers today to prepare for the changes in the next 5 years:
- Appeal to millennials: These are the shoppers to target for the widest range of categories of goods
- Invest: Build and maintain a strong, compelling brand
- Ease: Make it easy to shop whenever, wherever
- Technology: Utilize your store and technology as a competitive weapon. Customers are more likely to go to a store when they are motivated and given a reason to do so. Create a positive environment within their in-store experience
- Customer service: Invest in associates who solve customer’s problems personally and accurately
As we are reinventing retail, again, ask yourself if you have a strategy that will allow you to stand out and meet the needs of the 2020 consumers. With the next decade coming in fast, it’s time to get going. For questions regarding POS systems, and to find the right POS system for you, visit our website or call us toll free at 1-877-580-9687.