They’ve made tidal waves in the retail world raising red flags for an industry wondering, what’s next? But Amazon Go isn’t shying away from their plans of a global expansion, with the recent announcement for the launch of services in Australian and New Zealand. For a retail industry with a conservative attitude this must generate concern – being a changing market whose suppliers are stagnant when responding to global technology trends. So what does the market do to respond, replicate?
Well the answer doesn’t necessarily lie in competing at consumer automation. There are opportunities already in the market that can be harnessed. One such unaddressed opportunity is consumer personalisation.
The concept of retail personlisation was researched by TimeTrade and presented in their ‘The State of Retail Report’. During studies they conducted focus groups centralised around consumer spending habits – identifying that respondents were *4.7% more likely to increase spending if presented with more personalised shopping experiences. From an industry standpoint this equates to a $150 billion revenue increase; achievable through big data.
Big data is becoming a commodity in the current consumer landscape and revolutionising the way industries collect, interpret and use data. Where once thought to be overly complicated and without sufficient purpose, these troves of information are now being harnessed to create outputs benefitting all aspects of business, from operations through to marketing.
At a consumer level, this information can create shopping experiences that are highly engaging and relevant. What can we take away from the wonders of Amazon Go and automation? Well, there is a clearly unaddressed need for consumer personalisation; for retailers to make sense of the data in front of them and create shopping experiences beyond what is confined to a retailer’s normality.
At Skyfii we liken this ability to what is becoming a ‘Smart Store’, where consumers’ smart mobile devices provide the insight and big data that’s being harnessed to create proven return for retailers – centred around personalisation.
So aside from big data, what does personalisation look like?
Imagine the ability to deliver segmented marketing campaigns based on the shopping habits of individual consumers; in the store at the most crucial moment in a consumer’s shopper journey – direct to their mobile phone. Better yet, the campaign is backed by real-time data of their shopping habits; dwell time, conversion, zone affinity and loyalty rates.
Data from Wi-Fi, POS, Foot Counters and other sources is making this possible and it can all be ingested and measured accurately in one platform, providing companies with a true ROI. Creating learnings, improving conversion and importantly, revenue – this is what can be achieved with big data.
In order to compete against Amazon Go, bricks and mortar retailers need to embrace innovation and look to ways that big data can help revolutionise their service offering. History has shown that a lack of innovation is a catalyst for failure.