RETAIL EVOLUTION

 

 

 

 

 

 

 

 

 

RETAIL EVOLUTION

 

 

 

 

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Retail Evolution

Does The Massive Growth In ‘Online Shopping’ Really Mean The Extinction Of The Traditional ‘High Street’ Store…Or Can They Successfully Co-Exist?

 

The account of Statista (2019) asserts that e-commerce platforms will not advance on the extinction of traditional high street stores. Statista released graphical comprehension that positioned the global retail sales in accordance with the financial turnover of 3.1 trillion U.S. dollars in 2019. Progressively, in 2020 the graph posited the financial statement of a physical store in the attainment of 4.13 trillion U.S. dollars. Hence, sighting a substantial increase of 1.03 trillion U.S. dollars from 2019 to 2020. The articulated financials of the traditional stores were further propounded that in 2021, an increase of 0.74 trillion U.S. dollars would be observed. Thusly, evaluating the market demand of the high street stores was up to 6.8 trillion U.S. dollars in the year 2023.

Conversely, the Statista total numbering of the online buyers amounted to 1.92 billion U.S. dollars in 2019, whereas in 2020, 2.05 billion U.S. dollars was recoded from the online market. 2021 Annual financial statement of online shopping was outlined in the response of attaining 2.14 billion U.S. dollars. Conclusively, distinct variances are intrinsically possessed when online shopping and the physical stores are being compared. The Physical market heightens product variety; thus, one will tend to locate a product like bread upon the physical store in contra to a person deeming appropriate to purchase the aforementioned item from an online platform. The ability of product variety and consumer expectation, concurrently with high street stores, is the prime element behind the inability of online shopping to defunct the traditional stores. However, the online market approval rate is exponentially rising; hence, society ascertains the convenience of purchasing a product whilst maintaining their usual arrangement of daily errands (Chaffey, 2019)

 

Moreover, the idealized practicality of online shopping institutes the threat of driving traditional stores out of operations (Rayport and Jaworski, 2003). However, the online practicality experiences difficulties onwards the issues of getting the intended product size, the lack of bargain, and the hand to hand assessment before one transacts the purchasing amount is utterly obscure. Thereafter, the online difficulties appoint an additional approach that limits the stores’ potentiality to encounter substantial decrease in their financial turnover.

Conclusively, the co-existence of the online market and the retail stores is identified with the Alibaba group on the formalization account of New Retail (Evans, 2010). Concerning this particular co-existence of Alibaba, co-opts the utilization of the existing traditional stores in conjecture with a digital infusion. Hence, the traditional stores can provide an online shopping experience and still mitigate the difficulties of pure online shopping by maintaining the clients’ ability to come to the physical store upon the concern of product size and creating the most identified bargaining platform when the consumers purposefully desire to shop physically (Michaelman. 2018).  Attentively, there would not be any reason as to the need for defacing either the traditional or the online market in order for one to prevail.

 

 

 

Discuss The 5 ‘New’ Technologies Outlined In Video Two And Explain Each Technology’s Advantages And Disadvantages.

The five new technologies that are discerned by the video entail:

1. Smart mirrors
2. Facial recognition
3. Auto checkout
4. Beacons
5. Robot assistant

 

The advantages and limitations of smart mirrors, respectively:

 

• Important information can be obtained in devoid of interrupting the standard routine.
• Updates can be observed effortlessly through the programed voice controller.

• Smart Mirrors are capable of frequent auto-saving the weather forecast, traffic reports, and daily news. Hence, enabling the user to multitask on different engagements (Sterne and Priore. 2000).

 

Limitations

 

• Human interaction will be decreased since detailed interaction will be upon the user and the mirror screen.
• A smart mirror is delicate equipment that requires extensive foster towards taking care of it.
• The machine is costly, ranging from $1,000 to 4,000 depending on the level of customization.
• A smart mirror is not purposefully designed to heighten online security threats. Thus, a breach of personal data can occur.

 

 

Advantages of Facial Recognition

 

• Missing persons can be recognized through facial recognition.
• The security protocol that requisite verification passwords would be significantly eased by showing one’s face and the passwords would be updated.
• Security measures would be improved due to the capability of precisely recognizing one’s face. Attentively, at security threat intervals where a person has gained possession of the password whilst unauthorized, the invasive person will not be granted access considering facial recognition is demanded.

 

 

Disadvantages

 

• When facial recognition technology wills are heavily utilized, the potentiality of it being misused by the lawmakers might expand. The corrupt officials might only require registering one’s face in the recognition database whereupon they want to impose false accusations on a particular victim.

 

• Facial recognition will infringe on the personal right when it is unknowingly used on persons.

 

• Some people would initially want to use facial recognition; however, they might not necessarily want their facial identification to be stored in the database.

 

 

Advantages of Auto-checkout

 

• Labor cost will be narrowed since the automatic checkout machine proceeds as the cashier (Aguiar, 2020)

 

Lengthy queues will be reduced apt to the automated efficiency of a checkout machine in contra to a human cashier (Miller, 2011).

 

• Whence making a payment, the clients will spend limited time awaiting the fast auto- checkout technology. Hence, the consumer’s experience will effectively commission a commendable market appreciation on the ventures that deploy the use of this machine (Turban, McLean and Wetherbe, 2010).

 

Limitations

 

• The initial purchase price and installation of the auto-checkout machine are relatively high.

 

• If the clients are not familiar with the auto-checkout procedure, confusion will arise in the business locality.

 

 

• Due to the limited number of employees, theft might impose an occurrence.

 

 

Advantages of Beacons:

 

• Through the beacons, technology to use Low-energy Bluetooth connectivity transmits wireless signals to other devices as network supplementary is quite viable.

 

• Beacons operation is uncomplicated.

 

• The beacon usage can navigate the client’s positions, perhaps until the required bill is fully settled. This usage will ensure the consumers have contributed to the intended payment.

 

• Beacon observes an upstanding value price of about $25 while on a single unit.

 

Disadvantages

 

• The beacon requires a supply of power to maintain its usage.

 

• The beacon battery is a subject of multiple exchanges since it gets damaged.

 

• More than often, push-notifications will be signaled.

 

Advantages of Robot assistant:

 

• The concept of having a personalized robot that can assist the business operations and the day to day household functionalities is satisfactory.

 

• Assurance of quality will be informed if robots will be incorporated in the mentioned task (Evans and Wurster, 1999).

 

• Roberts can work in dangerous environments and still deliver a commendable result.

 

 

Disadvantage

 

• The robot will replace the human efforts on multifold operations; sequentially, increases in the unemployment rate will be established.

 

• The maintenance amount and the initial purchase of the robot are costly.

 

In Video 3, We See Symphony Retail’s Vision Of Supermarket 2020. Discuss

What Your Supermarket Of The Future Would Look Like And What It Should Contain/Not Contain.

 

In the current digitalization world, the Supermarket needs to be altered according to the client’s needs. Thereafter, creating the Supermarket in a redesigned innovation that ascertains to the modern schemes and observing the Supermarket’s future outlook is pivotal (Laudon and Laudon 2020). My Supermarket in the future would implement the following concept:

 

• The procedure of paying or getting some of the items from the shelves can be introduced to a Drive-thru, hence to lower the time wastage the client’s experience when locating deferent items that could be provided to them at a drive-thru (Byström, Heinström and Ruthven, 2019).

 

• While one needs to dine and yet pass by the Supermarket in hopes that considerable time will be on their side, they can be assisted with the ideology of enabling the person to make an order of the various items they need. And the collection point will be stationed with a 24hours service. Therefore, ensuring the clients carry on their daily engagements and simultaneously being able to perform the supermarket shopping (Bell, McNaughton and Fletcher, 2004).

 

• Detailed information about the shelves items would undergo a second confirmation as to whether or not the manufacturing companies inform the same ingredients advertised on the product’s container. This motive is primarily engaging in a genuine consumer relationship with the supermarket’s efforts.

• Electronic Checkouts and robot assistance will be positioned in different zones of the Supermarket. The self-checkout processes and the robot assistance will enable the Supermarket to function in conjuncture with the current customer’s needs (Laudon and Traver 2020). An exemplar of consumer demand will engross the benefit of these technologies when my future supermarket opens the 24hrs pick-up stations. Therefore, the chain cost of the operation will still be relatively low due to the utilization of machines that are not paid (Dann & Dann, 2011). Inclusively, maintaining the customers’ demands while improving the future evolution of technology upon the Supermarket’s operation.

 

References

Laudon, K.C. and Traver, C.G. (2020) E-Commerce 2019: Business, Technology, Society, Pearson, Harlow, UK.

 

Chaffey,D. (2019) Digital Business and E-Commerce Management, 7th Edition, Pearson, Harlow, UK.

 

Laudon, K.C. and Laudon, J.P., (2020), Management information systems: Managing the digital firm, Pearson, Harlow, UK.

 

 

Michaelman. P. (2018) How to go digital: practical wisdom to help drive your organisation’s digital transformation, Review M.I.T., Sloan Management, MIT Press, Cambridge Mass.

 

 

Byström, K., Heinström, J. and Ruthven, I. eds., (2019). Information at work: information management in the workplace. Facet Publishing.

 

 

Aguiar, Y., (2020) Digital (r)evolution: strategies to accelerate business transformation, John Wiley & Sons, Hoboken, N.J.

 

 

Turban, E., McLean, E. and Wetherbe, J. (2010) “Information Technology for Management:

Transforming Organisations in the Digital Economy”, Seventh Edition, John Wiley, New York.

 

 

Bell, JD., McNaughton, RB. and Fletcher, R. (2004) International E-Business Marketing, Thomson Learning.

 

 

Dann, S. & Dann, S. (2011) E-Marketing: Theory and Application. Palgrave Macmillan.

 

 

Evans, D. (2010) Social media marketing: an hour a day. Indianapolis,Wiley Publishing.

 

 

Evans, P. and Wurster, T.S. (1999) “Blown to Bits: How the New Economics of Information Transforms Strategy”, Harvard Business School Press.

 

Miller, M (2011) B2B Digital Marketing: Using the Web to Market Directly to Businesses. Que Biz-Tech, Pearson Education, USA

 

Rayport, J. F. and Jaworski, B. (2003). Introduction to E-Commerce, 2nd Edition, McGraw-Hill.

Siegel, C. (2005) Internet Marketing, Houghton Mifflin.

 

Sterne, J. and A. Priore (2000), Email Marketing: Using Email to Reach your Target

Turban, E., King, D., and Lang, J. (2011) Introduction to Electronic Commerce, Prentice Hall, New Jersey.