9 Tech Trends That Will Transform the Fashion Retail Sector in 2020
Technology is changing the way every industry operates by making business more efficient, reducing costs, and providing better products and services.
Here are nine technology trends that will transform the fashion retail sector this year:
Virtual and Augmented Reality
Perhaps you remember the phenomenon of “Pokémon Go” a few years ago? As users walked around the real world, Pokémon characters popped up in the game app. When users came within close range, the Pokémon would appear on the device screen, and users would throw Poke balls to capture them. The goal of the game was to collect as many different characters as possible- and it was a worldwide hit. This game was so popular because it brought the game to life.
After Pokémon Go, augmented reality made its way into several industries. Specifically for retail, augmented reality has changed the customer experience in some really cool ways.
With augmented reality, customers no longer have to have items in their hands to be able to try them on or see what they’d look like in real life. IKEA for instance recently launched an augmented reality application that allows users to test IKEA’s products in real life through a smartphone. If a customer wanted to know how a new couch looked in their living room, all they would have to do is pull up the couch through their IKEA app, hold the phone in the direction they would place the item, and in an instant, consumers could see how the product looked in their home without having the product with them.
Predictive Analysis and Big Data
Big data refers to the large, diverse, sets of information that grow at increasing rates. Predictive analytics is a category of data analytics aimed at making predictions about future outcomes based on historical data. For retailers, these concepts together mean that you can be proactive about the future by analyzing consumer behavior from the past. The more data retailers have, the more they are able to understand information that describes purchasing behavior, personalize the shopping experience, address a consumer’s needs based on where they are in the customer journey, advance efficiencies, and lower costs of supply chains.
Thanks to Google and other search engines, we can have the information we need within an instant. Retailers should take advantage of micro-moments and being there when consumers need a product, or even before they know they need a product.
“Recommendation engines” recommend products to consumers that they might not have known they needed. Several E-commerce sites, such as Amazon, utilize recommendation algorithms (engines) to better serve customers with products that they are likely to be interested in.
This is huge for retailers because it can significantly boost revenues and other critical metrics. Not only will it be beneficial to your business’ bottom line, but it will provide your consumers with better customer experience. Think of recommendations as an additional part of your team. In-person, a customer would walk up to the service desk or sales team to ask for product recommendations but with recommendation engines, you have customers instantly receiving accurate recommendations.
Order Fulfillment Automation
Since the eCommerce industry exploded, consumers are demanding faster and cheaper delivery rates. As a result, by 2025, nearly 580,000 autonomous mobile robots will be put into action to help retailers fulfill customer orders. Several eCommerce businesses are feeling the pressure because of Amazon’s impressive delivery rates. Most retailers are working hard to adjust to the “Amazon effect” so they can keep up with demand.
Facial recognition can offer businesses two big benefits: prevent crime and personalize the shopping experience. Facial recognition could be a way to solve shoplifting and retail crimes. Facial recognition could also potentially enhance the customer’s shopping experience. For example, facial recognition can help to identify a customer’s online shopping history so that when they come into the store’s physical location, your sales team can better assist them. Keep in mind that there are certain legal and privacy concerns to be aware of, so working with an expert to understand those boundaries will be in your best interest.
An automated warehouse uses technology to cut down on manual tasks that slow down the movement of products. Manual inventories can take a long time, which is why smart robotics and computer systems are becoming more and more popular. In addition to speeding the inventory process up, it keeps hold of accurate data and helps retailers to manage stock flow, make solid predictions and smarter decisions, and forecast accurately to boost the business’ bottom line.
Robotic Store Assistant
In 2016, Lowe’s introduced LoweBot to its stores. The LoweBot helps find products in several languages and helps customers find things around the store. Many retailers are bringing robotic assistants to their stores. Robotic assistants can help customers find the products they are looking for and answer questions. If you are looking to improve customer service, you might want to consider a robotic store assistant!
Most online sites feature an online customer Chatbot and if not, retailers might be missing out. That’s because instant messaging has become the preferred customer service channel, and sitting on the phone waiting for a customer service representative can take hours. Chatbots can provide customers with the information they need within seconds. Chatbots can also help solve problems and reduce cart abandonment rates.
Jordan Alliance Group: Connecting Retailers with Technology
It might seem crazy to think about having a robotic store assistant or having a robot to help manage your warehouse. Or maybe all of this technology seems way over your head. At Jordan Alliance Group, we’re here to help. All of this new technology can bring exponential growth to your retail store and we want to help you adjust to the changes.
Want to explore what technology can benefit your business the most? Request a free consultation with our team today!