Why automation will play a key role in the future of retail – Telegraph.co.uk

As Britain cautiously emerges from coronavirus lockdown, automation technology is proving crucial to retailers hoping to tempt customers to spend again, according to retail experts.

During the pandemic, retailers such as Aldi used automation to reassure nervous customers. The supermarket pioneered a traffic-light system to show shoppers when to enter. McDonalds trialled a social-distancing restaurant in the Netherlands, with automated ordering and contact between staff and customers minimised.

This is a really pivotal moment for the uptake of automation in retail, both on the front and back end

For bricks-and-mortar retailers, the recovery from coronavirus looks set to be challenging, with two in five (42pc) consumers intending to shop online more, according to research by ChannelAdvisor and Dynata.

But this turbulent period offers quick-thinking retailers new opportunities, says Phil Jones. managing director at business technology solutions provider Brother UK. Its important to remember that opportunities often arise from adversity. Be fast on your feet and focus on adapting, rather than optimising, to seize the openings that will come.

Mr Jones says there are five key themes that business leaders must consider to reshape their companies for the post-pandemic environment. The first is reorganising their business model or cost structure; then enhancing what they did before; pivoting to reinvent where needed; creating innovations; or capitalising to grow exponentially from what is.

Retailers that have adopted automation weathered the crisis in better shape, says Miya Knights, co-author of Omnichannel Retail. And that trend looks set to continue. Covid-19 has only accelerated the trend towards more complex automated robotics and AI [artificial intelligence] systems.

Those that did not have sophisticated forecasting and planning systems were unable to address out-of-stocks as fast as those who did, losing out on sales and potentially damaging customer relations and brand image.

The automated front end of a transactional ecommerce website or an AI chatbot may have been the only way non-essential businesses stayed open or in touch with customers during lockdown. Those without that connection have suffered.

Businesses need to build on this to form a digital connection with their customers, Ms Knights believes. Businesses now need to make sure they have a digital connection to their customers that is as tightly coupled to their operational systems as possible, she says.

This is so that any automation investments not only improve trading efficiency and resilience in the face of a second wave [of coronavirus], but can also help the business stay current by giving customers more of what they want now and into the future.

Coming out of lockdown offers an opportunity for retailers to reassure customers using technology, while also pioneering new ideas, says Erik Mueller-Ali, director of speciality retail at retail architect CallisonRTKL. This is a really pivotal moment for the uptake of automation in retail, both on the front and back end, he says.

Retailers have talked for years about creating the seamless digital-to-real-world customer journey. Low-touch and contactless transactions are now mission-critical considerations.

Companies are already embracing automation to bridge the world of offline and online retail

Automation can be leveraged for both optimal customer convenience and enhanced experience, while still providing comfort and reassurance to consumers. This can take the shape of digital click-and-collect functions in more localised places; 24-hour vending machines; or augmented reality fitting options and interactive in-store displays.

Automated self-checkouts or even checkout-free transactions offer further streamlining opportunities, while also easing the all-important margins for retailers and freeing necessary staff for value-added services.

Companies are already embracing automation to bridge the world of offline and online retail, says Peter Scott, head of retail consultancy at Graystone Strategy. Some retailers are already doing this, like PC World where you can book a slot to speak to a real person who is in store from the comfort of your home.

They will show you the range and help you select the product thats right for you. You then buy it and collect it from the store at an agreed time.

This sort of mixture of online and offline will grow ever more important, Mr Scott believes. Quantum-leaping into the future, there could be virtual shopping putting on a headset and going shopping, interacting with virtual assistants, he says. The key here is to join the digital to the physical so that it is seamless.

From streamlining existing processes to monitoring and controlling expenditure, successful business transformation is vital to remaining competitive.

To find out more about how you can transform your office technology, visit Brothers business transformation areabrother.co.uk/business-transformation

See the original post here:

Why automation will play a key role in the future of retail - Telegraph.co.uk

Related Posts

Comments are closed.