At a VisionID Retail Technology event Damian O Reilly from Dublin Institute of Technology discusses the future of retail

1. TEO RAW KI

2. The End Of Retail As We Know It?
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The Future is Not What it Used to be
Consumer confidence is weak
High oil prices
Eurozone not out of crisis
U.S.A. has $16.7 trillion debt
China’s growth is slowing
Global recession may last another 5 years!

3. Recent Retail Trends

14. ASDA new Drive Thru in York
ASDA have 5,000 collection points in UK

15. But what will happen to our Local Stores?

17. Indicators of Retail Health
• Demand
– Depressed; loss of confidence and lack of credit
facilities have weakened demand
• Margin
– Discounts/Promotions having significant affect on
margins
• Costs
– Have been increasing: insurance; fuel; rates

18. Polarisation of the Consumer market
Source: IBM – Institute for business analysis

19. “Pretty good isn’t good enough anymore”

20. The Future - Retail Analytics
Era of Big Data and The Science of Retail
• Walmart has more than 1 million customer
transactions every hour, in databases estimated
to contain more than 2.5 petabytes
• Walmart creates more data per hour than
research surveys have ever delivered
• Data storage capacity is doubling every year and
there is no constraint on the amount of
information to analyse

23. Online & Offline Analytics….

25. Omni-Channel Retailing
• The quest for the Holy Grail…..

26. We exist in a multi-screen world

27. Virtual Shopping Wall on side of Truck

28. Augmented Reality

30. Commerce and Facebook-Assisted Commerce
Selling ON Facebook
Selling WITH Facebook

31. Disney built in movie-ticket sales into their Facebook page

32. Counters built into
each hanger, which
are networked,
update in real time
to reflect the input
of C&A's Facebook
fans voting with their
FB virtual thumbs on
photos of each
clothing item.
C&A (Brazil)calls the
system "Fashion
Like."

33. Commerce
Electric Ireland setting up a “Tweet Café” at Dublin Web Summit
August 2013 -Twitter appoints Nathan Hubbard (ex-CEO Ticketmaster)
as Head of Commerce

34. Mercedes sells 666 cars in 8 hours with 3 point “Twitter-Commerce” Plan
Mercedes made 4% of its annual sales for SMART cars in 8 hours

35. Social Commerce Model
• Create a special limited edition – a Twitter
exclusive.
• Theme and schedule the special edition
around a popular calendar event (e.g. Chinese
New Year)
• Don’t ask for full payment, just a deposit (e.g.
1.5%) – “de-risked” the purchase

36. mCommerce
mCommerce is NOT mobile
eCommerce

44. 3 Main Approaches to mCommerce
• Shopping Apps – giving customer a better shopping experience
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Location based services
QR Scanners
Shopping lists
Price comparison
Social shopping
• Retailer branded apps – driving loyalty with customers
– Transactions possible; but on watered-down version of website
– In-store apps to track behaviour; increase conversions with in-store
deals
• Traditional eCommerce mobile apps – retailer online offering
ported to mobile
– Few retailers provide good user experience comparable to eCommerce

45. Digital Couponing

47. TEO RAW KI?
Winning Retailers will embrace technology and
engage with shoppers in an omni-channel
world & through multiple devices
Retailers ask “How can we sell more?”
Instead they should ask:
“How can we get shoppers to spend more?”

48. Make the Shopper HAPPY
1. Give shoppers the products they WANT
2. Support shoppers in-store and at the
shelf
3. Make the shoppers’ trip as quick as
possible

49. dboreilly@dit.ie