4 Key Trends Entrepreneurs Need to Pay Attention to Retail 2021 – Consumer shopping behavior has changed and every retail entrepreneur is moving towards digitization.
The current global health crisis has changed the world around the retail world. Businesses of all sizes continue to capture dramatic changes in operations every day and anticipate what will happen next.
According to Opportunity Insights, consumer spending in the United States has reached more than 90% of pre-epidemic levels but is increasing in various regions.
Restaurant, hotel, and transportation costs have fallen, while grocery and home entertainment stores have risen. In the week ended November 1, total retail spending in the United States was about 8% higher than in January.
Even in this confusion, there are opportunities for entrepreneurs.
Consumer spending behavior has changed and every retailer is competing through digital transformation to meet the needs of new consumers and adapt to different partners.
As reported by Entrepreneur, on Thursday (10/12), four trends emerged that are important for businesses that want to succeed in the retail sector and beyond the influence of the Covid-19 driver.
4 Key Trends Entrepreneurs Need to Pay Attention to Retail 2021
1. Reduce physical space, increase product diversity.
In the epidemic, retailers are focusing on specific products and local suppliers are shortening their supply chains. Many retailers are looking for new partners to diversify products or meet epidemic-related needs such as masks, partitions, and other items that customers always need.
Manufacturers and suppliers who successfully partner with retailers must be aware of the detailed and accurate product information. This data plays an important role in ensuring the right product when the consumer needs it.
2. Ask for insights on consumer needs.
The current state of the retail sector is an opportunity for technology startups to support access to consumer insights and analytics. Consumers understand the interaction with products and have a greater understanding of expectations. Any direct interactions that may be small in number need to be committed and used for the long-term purpose of employing consumers.
Retailers will be able to know when and how customers are using different products, which can help with inventory planning, merchandising, and local promotion.
3. A new way to try a product.
Today, consumers prefer to have less contact with people and products that other people have touched. Although customers will return to the store as health protocols begin to relax, online shopping will increase.
Augmented reality technology has shown signs of pre-epidemic growth and presents solutions to today’s retail challenges. According to the 2019 Nielsen survey, nearly half of consumers are willing to use AR for product use. As the epidemic spreads, jewelry, fashion designers, and footwear brands have proposed new virtual fitting systems and monitored the development of applications related to consumer shopping preferences.
For vendors to experience virtual products for successful fruit production, product information needs to be standardized to ensure a smooth flow from the physical to the digital world.
4. Increase stability and transparency.
According to Accenture, epidemic-related experiences have resulted in consumers around the world feeling more connected to each other and increased interest in conscious use and buying local products. Many retailers are taking sustainable initiatives and seeing the environmental impact of their supply chain.
As interest in used or reusable products grows, more and more consumers want to understand where the products come from and how they are made. This kind of transparency requires brands, retailers, and online marketplaces to align their requirements for unique product identification.
The Covid-19 has created an issue of change in customer behavior. Even if they currently suffer difficulties, brands and small entrepreneurs will see this as an opportunity.
Their courage in finding a depopulated sector is very important for the retail sector. Successful standardization requires rapid innovation, keeping in mind the indomitable rules of engagement for retailers around data standardization, completeness, and accuracy.