3. The Internet revolution has profoundly impacted our lives. Not only has it fundamentally changed the way
businesses operate, but also the way we live. Today, we are witnessing yet another technology and data-led
transformation. Internet of Things (IoT), which is disrupting every industry and it almost transforming retail
industry. If the Internet of Things is causing a wave of disruption across industries, then the retail industry is
poised to ride the crest of that wave. They transform the way retail industry operate, driving new innovations and
opportunities to dramatically change the customer experience.
Consider the traditional brick and motor retail outlets that are experiencing a steady decline in foot traffic. Internet
of things technology is propelling innovation in retail stores that will revolutionize in-store shopping experiences.
Unlike any other sector, retail has direct contact with one of the largest populations of potential consumers that
fully embrace technology and innovation. Retailers need to stay current with the latest technologies to earn the
loyalty of the next-generation consumer and capitalize on emerging business opportunities
There is no doubt that retailers are excited about the possibilities IoT has to offer. However, when it comes to
implementing IoT in their businesses, they are unsure where to begin and the tangible value it can bring. This
research focuses on highlighting the impacts of IOT in retail industry and how retailers can leverage on technology
to reshape customer experience.
4. The Internet of Things (IoT) is a computing concept that describes a future where every day physical objects will
be connected to the Internet and be able to identify themselves to other devices. It connects people, machines,
items, and services to streamline the flow of information, enable real-time decisions, and heighten consumer
experiences.
Leading retailers are already investing billions in the IoT – and realizing returns that range from Uber-efficient
inventory management to real-time promotions that grow sales. They are beginning to transform their business
practices and recognize that, in time, the IoT will touch nearly every area of retail operations and customer
engagement .IoT will produce enormous amounts of data that companies can leverage and create entirely new
ways of doing business.
IoT is a platform for connecting people, objects, and environments to inform and enable visibility, engagement,
and innovation.
"A network of physical objects that contain embedded technology to communicate and sense or interact with their
internal states or the external environment." Gartner, IT Research Company
“The growing trend of adding sensors and communications to retail shop [or other] objects so they can help
monitor and be managed efficiently” BBC
The term ‘Internet of everything’ is also sometimes used, to refer to an almost limitless number of connections
that could be possible between people, systems, devices and industry.
Crucially, such interconnections are able to bypass the need for human to computer interaction, meaning that the
most common interaction with the Internet could soon come from passive engagement with connected objects
How it works?
Objects can be made ‘smart’ by embedding technology such as sensors, software or Internet connections. The
objects then become capable of sensing activity, collecting data, and exchanging this with other connected objects
and devices, users, smartphones and remote information systems. Exchanges and connections are made via the
Internet, mobile phone networks, Wi-Fi or Bluetooth.
At this point, various actors get involved: for example, application platforms, device manufacturers or cloud-
based data analytics providers to run analytics on the data collected, design automated responses or link up to
other data sets and analyses
5. Where are we headed?
Gartner Inc. forecasts that 6.4 billion connected things will be in use in 2016, up 30 percent from 2015, and will
reach 20.8 billion by 2020
Gartner estimates that IoT will support total services spending of $69.5 billion in 2015 and $263 billion by
2020.With the number of IoT installed units expected to touch 20.8 billion in 2020, retailers cannot afford to
ignore the impact IoT will have on their business.
A recent study found that while 87% of consumers were unfamiliar with the term Internet of Things, 65% plan to
adopt connected technologies in the future. What businesses must understand is that while these are early days
for IoT, there is no doubt the next era of the Internet is upon us
Interaction between IoT and Retail industry
The Interaction between Internet of things and retail industry gives huge efficiencies to be gained for both
consumer and retailer. When devices can collect, data on present and use real-time information in meaningful,
actionable ways. It helps retailers grow more nimble because the information and insights they need are readily
available. Below exhibit shows us how internet of things technology impacts retail industry in various dimensions.
Exhibit: Showing opportunities offered by IoT in few critical areas retail:
Internet
of
Things
Enhanced
Customer
Experience Improved
Supply
chain
Operations
Optimize
Store
operations
Capture new
revenue
opportunities
Real time
marketing
Customer
relationship
management
Reduces
frauds and
theft loss
Provides
Omni
Channel
experience
Ease of
Payment
services
6. Key drivers for IOT in retail industry:
New contexts created by Internet of Things technology give cause for serious consideration and in many cases,
concern. Other issues such as the blurring of boundaries between digital and non-digital classifications force a
retailer to adopt a new strategy to sustain their business.
Below are the few issue or drivers which coalesce together to put pressure on the ability of retailers adopt new
technology like IOT to sustain their business.
Industrial Transformation Perspective
The IoT is breaking down traditional retail industry boundaries. Customers are individuals with interests that
drive interactions across retail industry verticals. With increasingly sophisticated technology, businesses can now
intersect to enable one user experience across all interaction points and channels, creating added value for the
customer and new growth opportunities for well-poised companies.
The IoT is at the heart of this transformation. It connects people, machines, items, and services to streamline the
flow of information, enable real-time decisions, and heighten customer experiences.
Internet of
things for
retail
To meet
customer
expectations
(Transparency
)
Provide
multi
channel
retailing
Increase in-
store
engagement
of shoppers
To improve
POS and
payment
services
Analyze
Purchasing
Behaviour
To satisfy
GEN Z
customers
Competitive
Advantage
7. They are beginning to transform the retail business practices and recognize that, in time, the IoT will touch nearly
every area of retail operations and customer engagement
Exhibit: Shows Traditional Retail Business Model
Idea of smart, connected retailing of products will have a dramatic impact on business model because we’ve
always thought of the value chain as being around the product and that the product was just a dumb stone, if you
will, moving through some smart value chain. But now, the product’s actually a first-class participant in its own
value chain. It’s talking to its creators in engineering and manufacturing. It’s talking to the people who are
supposed to service it. It’s talking to its operators. It’s even talking to the sales and marketing department about
what the customer is thinking. The product becomes, for example, a sensor in the relationship with the customer.
And this challenges the conventional concept of CRM. The idea of customer-relationship management is that
customers will talk to you about their feelings about your product
Plan
Merchandize
planning
Financial
Planning
Supply Chain
Planning
Business
Intelligence
Buy
Partner
relationship
management
Purchase
order
management
Product
lifecycle
mangament
Inventory
management
Move
Warehouse
management
Transportation
management
Replenishment
& allocations
Transfers
Return to
vendors
Sell
Marketing
Selling
Order
management
Store
operations
Returns
Corporate
Finance
HR
Realestate
IT
8. Exhibit: Shows Transformed Retail Business Model
And now, in this new world, we’re going to have products that are early-warning devices that tell us about what
value the customer is getting or not getting. What’s the degree of utilization? What kind of problems are customers
having? What are the opportunities for upsell? When are customers going to need a replacement product, a
consumable? You name it. The product becomes a sensor in the relationship with your customer. That will change
a lot in terms of how things are created, sold, serviced, operated, and so forth.
Plan
Merchandize
planning
• With consumption
pattern
•Demand forecasts
Financial planning
•Hardware
investment req
•optimize pricing &
promotions
Supply Chain
planning
•In transit Visiblity
•Supplier
collaboration
•Traceability
Business
Intelligence
•Discover patterns
•capture new
revenue streams
Buy
Partner
relationship mgmt
•New partner
opportunities
•Adjacent business
Purchase order mgmt
•Match supply to
demand
•streamline order
•integrate all channel
orders
Product lifecycle
mgmt
•Trigger order
•Monitior usage
level
Inventory mgmt
•Real-time update
•Availability of
products
Move
Warehouse mgmt
•Stock
maintenance
•Perishability data
•inventory level
Transportation
mgmt
•Routing plan
•optimize logistics
Replenishment
& allocation
Transfers
•In-store transfers
•product placement
data
Returns to vendors
•Return process
•Quality check data
Sell
Marketing
•Personalized
•Real-time
•Digital
•omni channel
Selling
•mulitchannel
•automated pos
•touch points
•digital payment
Order mgmt
•Integrating channels
• On timeDelivery
Store Operations
•Manage energy
usage
•Assitance
•Product info display
Returns
•Fullfillment
•Replacement
Corporate
Finance
HR
•Salesperson
work hour
Real estate
•Location plan
•Retail space plan
IT
9. Customer Experience Perspective
New technologies are permanently transforming how customers communicate, interact, research and shop for
goods and services. Among that IoT technology makes vast changes in customer experience lifecycle. IoT data
harvested from smartphones, wearables, sensors and other devices will provide significant new insights and
opportunities. Paired with retail analytics, this IoT-generated data can assist retailers in understanding and
responding to the disrupted landscape and changing customer expectations.
Here we see various steps involved in traditional customer experience lifecycle path
Exhibit: Shows Traditional Customer Experience lifecycle
Retail customers are more empowered than ever before. Creating real, relevant connections with them has become
extremely needed. Innovative retailers that lead in the adoption of IoT systems and solutions will gain an
important advantage in a hypercompetitive environment, improving the overall customer experience .Thus IoT
technology helps retailers to transform customer experience lifecycle has below.
Exhibit: Shows Transformed Customer experience lifecycle
Search for
item
Compare
item
Plan visit Try on
Ask for
opinion
Ask for
size
Pay Wear
Search
for item
compare
item
Try on Plan visit Try on
Ask
opinion
Ask for
Size
Pay
Wear
Review
10. Customers are judging satisfaction against their best consumer experience, and boomers, zoomers and savvy
seniors are increasingly echoing the attitudes of the millennial demographic in their desires for value and brand
experience. Customer experience is the new differentiator in a competitive economy for retailers. Online retailers
are winning emotional equity over physical retailers. In-store discovery is a key element of physical retail success,
and the immersive experience using digital can create a deeper emotional connection. To increase the foot fall
traffic in-store every retailer must focus on strategies in improving customer experience. Thus promising
technology like internet of things will support a retailer to meet the expectations of a customer. Now we can see
how Internet of things is reshaping the customer lifecycle from its traditional way.
(From Consumer
Perspective)
Exhibit: shows impacts of IoT on consumer
Consumer
facing IOT
Reward
• Promotion
• Gamification
• Entertainment
Service
•Support
•Sales
Innovation
• Customization
• Feedback
Facilitation
• Conversion
• Utility
• Identity
• Payment
Information &
Decision making
•Evaulation
•monitoring
•Navigation
•News
11. : The retailer’s rewards consumer for their interaction (time, loyalty, purchase,
location, product/service use, behavior, etc.)
Reward enabled by sensors incentivizes engagement and purchase by drawing from contextual elements. These
elements combine both digital (e.g., online browsing and purchase histories) and physical (e.g., location, time,
weather, and product) realms. These contextual elements are what differentiate sensor-based reward (e.g.,
promotion, gamification, entertainment) from traditional advertising and loyalty programs
Example:
•They are most common form of location-based advertising we’ve seen to
date. One vendor reported that on Black Friday, 80% of a retailer client’s in-
store mobile navigation (map) usage wasn’t for finding specific products but
for locating the deals offered throughout the store.
Promotional rewards
•Foursquare check-ins in exchange for coupons are one familiar example of
location-based reward. Retailers can also use sensor te chnologies to reward
customers for walking down certain store aisles, submitting an in-store
review, or even interacting with a connected product in a particular way.
Gamification rewards
•Retailers can entertain customers by extending content experiences to
products themselves. Access to exclusive content (featuring a celebrity, for
example), campaigns, or offers can inspire engagement with brands in the
physical world (e.g., via QR codes), just as we have seen in the digital world
Entertainment based
rewards
Walgreens has been piloting an augmented reality mobile app
that is part gamified product finder, part discount program, and
part loyalty program. As shoppers walk down the aisle, they
receive a notification informing them of a discount in the laundry
section or loyalty points in grocery
12. The retailers helps consumer make informed decisions by providing them more
relevant information precisely when they need it.
Example:
The retailer makes it easier for customer to access, acquire, or accomplish what
they need, exactly when they need it.
•Companies can send the content that they’ve produced for the web
directly to connected devices and in response to such triggers as location,
weather, and product interaction. Examples might include checklists,
comparison guides, and ratings and reviews from other customers.
Content aids in evaluation
•This is information provided to customers to aid in locating products,
based on the user’s relative proximity to the productLocation-based aid
•Through sensors, retailers can enable monitoring (visibility) into store
operations and supply chain tracking the entire lifecycle of the product
•Provide extra value by delivering more efficiency to customers
Monitoring capability
The Sampler mobile app from shoe brand
Converse uses augmented reality (AR) to allow
shoppers to try on any shoe in the mobile app
virtually by simply pointing the phone’s camera
at their foot. Shoppers can post to social media
channels to solicit their friends’ opinions and
even purchase directly from the app
13. Example:
: The retailer identifies ways to provide customer a better (more enhanced, functional,
secure, compatible, or personalized) experience, sometimes before they know they need it.
Service in the IoT is about identifying gaps, issues, or opportunities to either react in real time or proactively
suggest, service, or resolve before customers realize they have a problem.
•Monetary transactions can be facilitated through mobile wallet, mobile payment
(smartphone or wearable), in-app transaction functions, NFC readers, identity
authentication, QR codes, or any other sensor-enabled manner of digitally
exchanging money for goods or services.
Better payment process
•To streamline the process of securely authenticating identity based on
consumer identifiers aggregated from multiple data sources (e.g., personally
identifiable information, financial data, product usage data, biometric data,
social data).
Identity authentication
•To move consumers through the purchase funnel. Example sensor-based conversions
are used to track location-based activities, such as entering a store, dwelling time in
certain racks and redeeming a promotion and connected product-based activities.
Expands conversion
Starbucks now makes transactions possible beyond the
Starbucks app through third-party integrations (extending
beyond smartphones) with wearable devices such as
Microsoft Band, Samsung’s Galaxy Gear, and Pebble. By
integrating with PebbleBucks, Pebble’s native payment
app, for instance, Starbucks customers are able to pay for
their beverages via the wearable
•Reactive service is an extension of support as we know it today, where
consumer drives interaction. Two examples of sensor-enabled
extensions of reactive support include Amazon’s Mayday button and
troubleshooting a smart refrigerator through live chat.
Reactive service
•Proactive support is when service converges with automatic resolution.
Sometimes this is invisible to the customer. For example, When something
goes wrong, the manufacturer can either deliver a software update over the
air or preemptively schedule a technician visit.
Proactive Support
14. Increased efficiency in supply chain management
Increased efficiency in labor costs for service agents, field technicians, and the like
Increased revenue and/or customer retention through timely upsells (e.g., preventing product/service
malfunction and customer frustration)
The retailer listens to and implements consumer requests for product or service
improvement more rapidly
Example:
Whirlpool’s latest connected washer/dryer
streamlines the support process so when an issue
occurs, the machine itself hosts a diagnostics tool
that provides simple how-to guides and step-by-
step troubleshooting assistance to help resolve
common user errors in real-time
•Monitoring sensors attached to connected products, environments
•Facilitating feedback directly from customers
Feedback and innovative
services are faster
•Whether through direct solicitation for customer-submitted requests or with more
•automated mechanisms like machine learning or algorithms, connected products,
•devices, and environments can learn, and even predict customer desires over time
Enables Customization and
Personalization
Tesla Motors, manufacturer of connected
cars, crowd sources ways to innovate by
allowing customers to submit requests for
features they would like. Recently a
customer submitted a request for a crawl
feature: in effect, extremely slow cruise
control to ease the driving experience during
heavy stop-and-go traffic. Not only did Tesla
implement the crawl feature for that
customer, but they rolled it out across the
entire fleet via a software update.
15. Shorter feedback loops: companies could learn very quickly about the consumer experience of products
or services, identify faults and make adjustments. Feedback loops between consumer and retailer could
greatly reduce as real-time knowledge of usage is communicated
Convenience - saving time and money: automating tasks such as checking use by dates of food and
medicines, or supplies being reordered based on need can save time. The disparate nature of providers,
regulators and systems makes many daily consumer experiences inconvenient, time consuming and
inefficient.
Enhanced experiences: a step on from convenience is the idea that consumer experiences such as
shopping could be enhanced or made more enjoyable by Internet of Things technology, by linking
products to recipe suggestions, in the same way that reading on an e-reader enables instant access to
dictionaries, tracking characters in a book and information on reading progress, etc.
Increased insight into behavior: assumptions made about habits, for example how much you might shop
during festive or offer days, the amount of time spent on particular assortment can be more accurately
understood and services related to these will no longer have to rely on assumptions.
Decision making support: consumers will be able to take best decisions on their purchase and make the
best match with offers on the market, or nearby availability.
Solving offline safety and security issues: many of the methods employed to secure our valuables like
wallet or cards have weaknesses that can be mitigated to a certain extent by Internet of Things technology,
for example digital keys can limit or allow access .Similarly, the age old issue of losing important objects
can be greatly reduced by Internet of Things technology, as geo-location tags can be fitted to almost
anything and be identified.
Optimize Store operations : IOT enabled thermostats and sensors in smart building, refrigerators and
freezers can manage energy usage
Improved supply chain operations : Sensors on product shelves, packaging centers and can monitor and
maintain inventory level and quality of perishable goods
Capture new revenue streams and opportunities: By connecting homes and stores items can be
replenished faster and more conveniently, kitchen pantries, refrigerators and washing machines can
restock their groceries and laundry detergent for undisrupted usage. This provides retailer a new revenue
stream without customer footfall.
16. Cost Involved in implementation
The significant investment required for a retailer to implement IoT on a wide scale may be the single
biggest reason why there aren’t yet more real world examples.
Concern with privacy issues: Customers are concerned with privacy therefore IoT devices which record
customer data must be secured enough and avoid any kind of data breach
Business leadership : When Top Management doesn’t understand benefits of implementing internet of
things technology in retail outlets it is challenge for bottom management to leverage the advantages
Lack of trained manpower or possession skills: There is gap between technology and users as they don’t
possess ability to manage the analytics and predictive modelling required to take advantage of IoT data
Value chain collaboration: To deliver a high ROI to the retailer for an IoT solution, make sure each
stakeholders within the IoT ecosystem understands the business value to be derived from the solution.
Getting right IT partner: This is a crucial challenge for retailers to select the right IT partner for any IoT
initiative. The consulting IT partner needs to have a vast experience (across the depth & breadth) of
delivering enterprise-level projects
Infrastructure & networking elements
IoT proliferation in retail stores will result in a large number of sensors and digital tags in a typical retail
environment. For instance, video cameras, motion sensors, door hinges sensors, shelf weight tags and
digital signage are just a few examples of the expanding sensing layer that IoT’ s networking elements
will have to take care of.
17. Today when it comes to IoT, there is a question that weigh heavily on every retailers mind, how quickly can my
business start to accrue the benefits of IoT?
It depends on the strategy that retailers frame for their enterprise understanding their enterprise nature of
operations
Enterprise
culture,
attitude,
affinity to
innovate
Enterprise
long term
goal
Enterprise
key purpose
for IOT
Enterprise
long term
IOT goal
IOT success
metrics
Enterprise
structure to
support and
enable IOT
IOT
platform
IOT strategy
for each
business
function
Proof concept
of a problem
IOT related
programs to
educate
IOT related
projects
Pilot in one
store or
module
Roll-out in all
functions
IOT related
operations
18. To reap the benefits of IoT faster, retailers must reduce the cost of implementing IoT. To make IoT cost effective,
retailers must leverage existing devices in stores and warehouses such as CCTV cameras, Wi-Fi and Bluetooth,
in addition to installing new IoT devices and sensors.
Although one may consider IoT as a disruptive technology, for retailers it need not be about negatively
disrupting today’s business operations. Retailers should focus on starting small and keeping things simple,
before incrementally increasing the scope and coverage of IoT
Exhibit: Shows incrementally increase the scope and coverage of IoT
Proof of
Concept
•for a problem
Pilot
• In one store
Roll-out
• Across the
estate
Successful
IOT
Implementation
19. US retailer Target recently installed
beacons in 50 stores to make
content available to customers via a
newsfeed-like stream on Target apps
homepage called ‘Target Run’.
Customers with the Target app on
their smartphone, and with Bluetooth
switchedon,will get product
recommendations depending on the
department they arein via a push
notification on their phone
The Dandy Lab has the ability to track personal
shopping behaviors and preferences, enable
personal mobile shopping with a digital helper,
deliver real-time data, and create seamless checkout
experiences.
To further this inter-connectivity, screens are provided to
compliment the main product information system. By
holding an item of clothing in front of the screen,
customers are provided with product details, stock levels
and pricing among other useful information
Near the entrance of the showcase store in London,
there is a large display connected to and NFC terminal
and surrounded by NFC-tagged products. When the
products are placed near the sensor terminal, customers
can get more information about these products.
20. With a vision in place to become a ‘store of the future’, METRO Group set about creating the Future Store
initiative. Business partners including IBM, SAP and Intel and other IT and consumer companies worked with
the METRO Group on the project.
On Demand Business Benefits
• Improved store inventory management due to real time information on products and order
• Cost reduction—missing products are noticed immediately
• Real-time data about the entire supply chain, thanks to wireless tracking of pallets with goods and the
integration of the tracking system into the backend system
• Increased volume of customers—boosted by a third
• Greater customer loyalty through widespread approval of the new technologies.
Why become an on-demand business?
METRO MGI was seeking an end-to-end solution that makes a large section of the life-cycle of a product
‘transparent’.
For example, pallets with boxes leaving the distribution centre and heading for the Rheinberg store are now
scanned as soon as they pass through the dock door. Shipment data is sent automatically to the store warehouse
information system. The Rheinberg store manager knows that the shipment has left the distribution centre and
what products to expect. As soon as the shipment arrives at the store, the RFID-tagged pallets are scanned again
and checked against the previous data. The store manager knows immediately if anything is missing and can
request a replacement shipment from the distribution centre. In addition, when customers enter the store, the
RFID-equipped shopping carts are scanned, enabling the store to monitor
• The number of shoppers and their length of stay.
• Shelves with built-in RFID to notify store management about:
–low volumes of crucial items for swift replenishment
–misplaced items which need restoring to their correct place.
RFID-tagged items are scanned at the check-out with the Electronic Article Surveillance (EAS) disabled. The
item is removed from the inventory and the supplier is updated about the store’s stock level of the product. The
cart is scanned again when the customer leaves.
METRO is now able to explore the on-demand, in-store impact of smart-shelf technology on re-stocking
capabilities
21. John Deere has fitted its tractors sold with sensors. This helps the company update the farmer if a moving part
of the tractor or the harvester is likely to fail, around one month before the event. Farmers can get update on
lifecycle of the tractor and plan their new tractor purchase
(The analytics behind the predictive framework is said to have been done by a Bengaluru-based analytics firm,
TEG Analytics.)
Case 2: Sheela Foam Manufacturers
Sheela Foam, the manufacturer of Sleepwell brand of mattresses in India, has introduced the IoT technology to
help identify and offer the right kind of mattress to its customers as per their body shape. Every human body is
different and needs a mattress that matches the body posture and the pressure distribution while sleeping. The
company has devised an IoT based solution that is fitted to the mattresses on display at Sleepwell’s various
retail outlets. There are sensors attached to this special mattress, called Sleepwell Sensobed, which scan and
capture the various body shape related parameters when a person lies down on the mattress. The data is then
analyzed and used to suggest perfectly matched mattresses to individual customers.
Case 3: IBM solution for Rashtrapati Bhavan
IBM is using a slew of technologies, including IoT-based solutions, to digitally transform the Rashtrapati
Bhavan in India. The company has created the business architecture and operating procedures, implemented the
technology platform and solutions, and is managing the entire technology deployment. (The scope includes
smart, eco-friendly solutions such as energy management, water management, waste and horticultural
management, and security systems.)
22. In Relevance to Indian Scenario:
Pilot study is carried out regarding applicability of IoT technology in Indian retail stores measuring customer
perception towards customer experiences in retail store environments.
Data collection Plan: Open-ended questionnaire
To understand the customer perception towards usage of IoT technology in improving customer experience in
retail store, we are measuring it with help of five parameters that impact customer experience
Sample Data: Pilot study has been carried out with 20 retail customers from the Kochi population to identify the
perception towards disruptive technology implementation
Observed Results:
Below are the graphical results of customer perception towards different factors that contribute for customer
experience in respective to traditional and future retail store
Not Satisfied
Partly Satisfied
Satisfied
More than Satisfied
Very satisfied
0
2
4
6
8
10
12
14
Traditional Retail Store Future Retail Store
2
0
3
1
13
4
1
5
Atmosphere
Not Satisfied Partly Satisfied Satisfied More than Satisfied Very satisfied
23. Not Satisfied
Partly satisfied
Satisfied
More than satisfied
Very Satisfied
0
1
2
3
4
5
6
7
8
9
Traditional Retail
store
Future Retail
Store
1
0
9
2
7
3
3
7
0
8
Facilities
Not Satisfied Partly satisfied Satisfied More than satisfied Very Satisfied
Not satisfied
Partly Satisfied
Satisfied
More than Satisfied
Very Satisfied
0
1
2
3
4
5
6
7
8
Traditional Retail
Store
Future Retail
Store
5
0
7
0
7
5
1
8
0
7
Process
Not satisfied Partly Satisfied Satisfied More than Satisfied Very Satisfied
24. In an attempt to understand how the customer experience is affected, these parameters are important to be
analyzed to understand the interaction between the technology and the customer experience.
From the results above we can say that the customer perceive the advantages of internet of things technology in
various functions of retail operations that contribute to the customer experience lifecycle. This data analysis shows
relevance of IoT technology in Indian retail sector.
Not Satisfied
Partly Satisfied
Satisfied
More than Satisfied
Very Satisfied
0
2
4
6
8
10
Traditional
Retail Store
Future Retail
Store
3
0
5
0
10
5
2
10
0
5
Staff /Personnel Service
Not Satisfied
Partly Satisfied
Satisfied
More than Satisfied
Very Satisfied
Not satisfied
Partly Satisfied
Satisfied
More than Satisfied
Very satisfied
0
2
4
6
8
Traditional Retail
Store
Future Retail
Store
1 1
7
3
7 75
6
0
3
Value For Money
Not satisfied Partly Satisfied Satisfied More than Satisfied Very satisfied
25. Technology disruptions can fundamentally change business model, destroying existing ones and creating others.
Often, disruptions are caused by a single technology, but several new and existing technologies that come together
find innovative ways to improve business standards. Consumer mind-sets, their patterns of purchase and their
decision making is being redefined by new digital wave. With significant changes taking place in the marketplace,
retailers need to update themselves in order to stay relevant.
It is clear that the Internet of Things is changing the retail sector, from the way retailers monitor stock and restock
items, advertise products and track customer behavior down to how shoppers identify and purchase their favorite
products. IoT, simply put, is making both the retailer and the shopper smarter
Through this report, we have tried to research and analyze the key areas such as customer experience, Optimized
store operations, Inventory and supply chain operations, new revenue opportunities and their impacts because of
adopting internet of things technology.
The future holds a plethora of opportunities for retailers. They need to realize the potential that the future
withholds to service the digital consumer optimally and cater the disruptive technology that have the potential to
reshape the traditional practices.
We do hope that this report will be useful for researchers and practitioners in the field, helping them to understand
the huge potential of IoT and what are the major issues will be tackled with help of IOT, devising innovative
technical solutions able to turn IoT from a vision into reality.
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11. Quoted in Tom Kaneshige, “The Internet of Things now includes the grocery store’s frozen-food aisle,”
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http://www.intel.com/content/www/us/en/internet-of-things/infographics/guide-to-iot.html.
