3 Indispensible Ways To Secure Retail’s Future

When we talk about retail’s future, we often think of the raft of store closures and bankruptcies, primarily among big US chains.

We know the trends. Foot traffic disappeared, people went online. And after decades of building out malls and anchor stores, retail’s future includes a lot of real estate rationalization. If a big retailer doesn’t go bust, it certainly scales back on the square footage.

But what about the concept of the physical store itself? What about smaller businesses that grow, and find physical retail a promising (and logical) sales channel?

Retail’s Future is Smart and Small

First, let’s talk about the theoretical utopian (dystopian?) stuff.

We already see retail going small. Big retail chains experiment more with smaller formats.

But going by a recent report on retail’s future, the in-store experience in a decade will be all sci-fi. The name of the game, apparently, will be DIY. We won’t see cashiers, but AI-assisted registers. We won’t talk to sales associates when buying clothes, but we’ll use interactive touchscreen mirrors.

“Everything will be around convenience and time,” an executive with Synchrony (which ran the survey) told Retail Dive. “Technology’s going to drive all that.”

In the Synchrony scenario, customers want a lot more self-service, scan-and-go, and pay-in-the-app options. And they want stores that will be open whenever they want to shop.

But the retail experience will not be entirely about tech. Stores will include amenities, like bars or cafes, and entertainment. But customers will expect the retail side to be focused on doing one or two things very well as opposed to being all things to all customers.

Meanwhile, Back in the Present…

Luckily for brick-and-mortar retail, people still prefer shopping in stores than online. Even as sales growth goes eCommerce, research shows customers still want to shop local, to support area businesses. They want small, friendly, and knowledgeable.

This puts SMBs in a nice position compared to big chains. And there are three things they can do right now to make their retail channels more secure:

1. Be The Authority. Customers will keep coming back if you know your product and dispense good advice. They will trust you more, and feel a connection that will make your retail location a place to return to for future purchases.
2. Build Your Brand. The in-store experience continues to grow in importance. This means you have to tailor your space in a way that connects your customers to your product in a way that goes far beyond what they can learn online.
3. Break the Barriers. Speaking of online, B2C retail cannot stand on brick-and-mortar alone. You must extend the brand experience to your eCommerce presence. This means you don’t just sell online, but you make that online presence your own, as you do with your physical retail space.

Regardless of what the long term future will bring, the short-term can be fruitful for physical retail. The brand experience and the expertise you provide will keep customers returning. And integrating stock online and in the store will let you give customers more options and better service.