The Future o How We Consume Things
The Future o How We Consume Things
get git reminders rom Amazon to buy a book
get git reminders rom Amazon to buy a book
or a toy or a piece o jewelry, with recommen
or a toy or a piece o jewelry, with recommen
dations based on your previous purchases? Do
dations based on your previous purchases? Do
you purchase CDs at Best Buy, or do you buy
you purchase CDs at Best Buy, or do you buy
online digital music tracks individually and
online digital music tracks individually and
create your own custommade playlists? Do
create your own custommade playlists? Do
you shell out cash or a printer or your home
you shell out cash or a printer or your home
oce, or do you take advantage o Xerox or
oce, or do you take advantage o Xerox or
HP copier services by the page? Do you hire
HP copier services by the page? Do you hire
an accountant to prepare your
an accountant to prepare your taxes, or do youtaxes, or do you
use an online service to prepare and le your
use an online service to prepare and le your
return? I you live in a city, do you own a car,
return? I you live in a city, do you own a car,
or do you turn to ZipCar whenever you hap
or do you turn to ZipCar whenever you hap
pen to need one?
pen to need one?
The continuing change in how we consume
The continuing change in how we consume
things is a good deal or us and or our suppli
things is a good deal or us and or our suppli
ers. The suppliers will benet rom their abil
ers. The suppliers will benet rom their abil
ity to utilize their specialized knowledge to
ity to utilize their specialized knowledge to
design better, aster, and more costeective
design better, aster, and more costeective
ways to deliver these services to us. We will
ways to deliver these services to us. We will
benet
benet rom rom greater greater exibility exibility (no (no uprontupront
payment, or example), plus the comort o
payment, or example), plus the comort o
paying only or what we use.
paying only or what we use.
FEATUR
FEATURED ED COMMENTCOMMENT
“Interestin
“Interesting how g how the process o the process o product/product/
service development has become so
service development has become so
collaborative and seamless, with less and
collaborative and seamless, with less and
less separation between manuacturer and
less separation between manuacturer and
consumer
consumer. Good . Good product development wasproduct development was
always the result o listening to
always the result o listening to customers;customers;
however, now the rapidity and volume o
however, now the rapidity and volume o
consumer eedback has emphasized the
consumer eedback has emphasized the
importance o distilling and prioritizing user
importance o distilling and prioritizing user
input, as well as translating it eectively into
input, as well as translating it eectively into
meaningul products and
meaningul products and eatures.eatures.””
—Madelyn Sierra
For retailers, the uture o shopping is here and many are scrambling just to keep up. Ushered in
For retailers, the uture o shopping is here and many are scrambling just to keep up. Ushered in
by the onslaught
by the onslaught o mobility, social media, and online o mobility, social media, and online commerce, the rcommerce, the rampant consumerizationampant consumerization
o IT is creating a power shit rom associate to shopper. Increasingly, consumers on the oor
o IT is creating a power shit rom associate to shopper. Increasingly, consumers on the oor
know more than the sales sta abou
know more than the sales sta about the store’s products and price points—and competing oers.t the store’s products and price points—and competing oers.
Some retailers are responding with clever innovations. Old Navy deployed a mobile payment
Some retailers are responding with clever innovations. Old Navy deployed a mobile payment
checkout device over Christmas. Nordstrom and Home Depot an
checkout device over Christmas. Nordstrom and Home Depot announced largescale mobile solunounced largescale mobile solu
tions or their associates to help digitally enabled shoppers. And we’ve all seen Apple apply IT to
tions or their associates to help digitally enabled shoppers. And we’ve all seen Apple apply IT to
“outretail” pretty much everyone else.
“outretail” pretty much everyone else.
But many retailers seem a
But many retailers seem a bit overwhelmed. How do they adopt an bit overwhelmed. How do they adopt an intelligentstore strategy thatintelligentstore strategy that
incorporates associates, shoppers, changing technology, new consumer behaviors, and the store
incorporates associates, shoppers, changing technology, new consumer behaviors, and the store
itsel? Our research suggests ve key strategies.
itsel? Our research suggests ve key strategies.
Create a store without boundaries. Take the store to the shopper, regardless o the consumer’s
Create a store without boundaries. Take the store to the shopper, regardless o the consumer’s
location. Why should the shopper in aisle three be treated worse than a shopper in a checkout lane
location. Why should the shopper in aisle three be treated worse than a shopper in a checkout lane
or sitting at home? Shouldn’t all shoppers receive customized shopping recommendations based
or sitting at home? Shouldn’t all shoppers receive customized shopping recommendations based
on past behavior, integrated with their online accounts and delivered to their mobile devices?
on past behavior, integrated with their online accounts and delivered to their mobile devices?
Shouldn’t every shopper have access to time, loyalty, or locationbased oers, whether in the
Shouldn’t every shopper have access to time, loyalty, or locationbased oers, whether in the
store or walking in the park?
store or walking in the park?
Create an IT environment based on the “shopper architecture.” Leverage cloudbased services
Create an IT environment based on the “shopper architecture.” Leverage cloudbased services
to augment basic mobile device services to provide a rich and contextual shopping experience.
to augment basic mobile device services to provide a rich and contextual shopping experience.
Our shopper in aisle three would need the store’s WiFi network and IT ecosystem to support the
Our shopper in aisle three would need the store’s WiFi network and IT ecosystem to support the
technology on his or her mobile device.
technology on his or her mobile device.
Get away rom xed POS devices. Well, maybe some o them will have their place. But i we can get
Get away rom xed POS devices. Well, maybe some o them will have their place. But i we can get
more associates out rom behind the P
more associates out rom behind the POS and into aisle three to provide an improved shopping expeOS and into aisle three to provide an improved shopping expe
rience, we know the positive impact o a shopperassisted sell on basket size and conversion rate.
rience, we know the positive impact o a shopperassisted sell on basket size and conversion rate.