Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
SlideShare a Scribd company logo

Recent marketing trends in retailing

•
•
StrongPoint Baltics
StrongPoint Baltics

1. The document discusses recent trends in the retail industry, including the rise of omnichannel retailing, increasing online shopping and mobile payments, and a focus on personalized customer experiences. 2. Key trends include increasing consumer interconnectivity and demand for individualized experiences, as well as the growth of social media and data collection about customers. 3. Retailers face issues around managing large amounts of customer data while respecting privacy, and need to listen to consumers through multiple new channels to understand changing needs and spot trends.

Related slideshows

Recruiting and selecting the sales force
Recruiting and selecting the sales forceRecruiting and selecting the sales force
Recruiting and selecting the sales force
 
Topic sales promotion sales promotion mix kinds of promotion
Topic sales promotion sales promotion mix kinds of promotionTopic sales promotion sales promotion mix kinds of promotion
Topic sales promotion sales promotion mix kinds of promotion
 
Retail location
Retail locationRetail location
Retail location
 
1 of 34
Download to read offline
Recent marketing trends in retailing PhD candidate Mindaugas Sinkevičius 2014-09-30
Looking into the crystal ball “Scientists don't need a crystal ball to predict events. Therefore attending a conference can be a way of looking into the crystal ball in your field…” Unknown author
Scientific marketing journals 1.International Journal of Marketing 2.Direct Marketing: An International Journal 3.European Journal of Marketing 4.International Journal of Advertising and Marketing to Children 5.International Journal of Bank Marketing 6.International Journal of Pharmaceutical and Healthcare Marketing 7.International Journal of Retail & Distribution Management 8.International Journal of Wine Marketing 9.International Marketing Review 10.Journal of Business & Industrial Marketing 11.Journal of Consumer Marketing 12.…
Contents of the presentation 1.Demographic shifts and retailing; 2.“Nowaday” consumer; 3.Current transformations in retailing industry; 4.Recent trends in retailing; 5.“Up to date” retailing model suggestions.
Demographic shifts and retailing Source: UN, Dept. of Economic and Social Affairs, Population Division (2013). World Population Prospects: The 2012 Revision. Demographic shifts essential aspects of retail as they influence or change consumers’ needs and demands. In Europe, demographic shifts include the following sub trends: •Aging population; •Increase flow of immigrants; •Increased urbanization.
Global Population Changes (2010-2020) Source: UN, Dept. of Economic and Social Affairs, Population Division (2013). World Population Prospects: The 2012 Revision. 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 By 2015, there will be more smaller households of one or two persons, and fewer traditional family households due to the aging population, empty nesters, and singles.
Ageing Global Society (1950-2050) Source: UN World Population Prospects, 2012.
Understanding the Multi-Generational Consumers Mass appeal approach of the 1980s is history!
Internet Users Worldwide (2005-2014) 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Mobile Phone Users Worldwide (2012-2017) 2012 2013 2014 2015 2016 2017 Source:. eMarketer, 2013
“Nowaday” Consumer (1) The distinguishing features of “nowaday” consumers: •Interconnected – interconnectivity is a part of life. •Individualized – consumers gravitate toward products and experiences that offer individual focus. They will desire products and experiences they perceive as meeting their unique needs. •In control – with interconnectivity as a base assumption, consumers are to be more adept at controlling the ways in which they interact
“Nowaday” Consumer (2) “Nowaday” consumers hold retailers responsible for the social and environmental impact of the products they sell. Growing concerns about sustainability require retailers to develop new strategies, such as: •Innovation: Develop, potentially together with suppliers, new and improved products and production processes. •Choice influencing: Marketing strategies with product labels referring to some sustainable theme, such as ‘efficient’, ‘environmentally friendly’, ‘fair (trade)’, ‘healthy’, ‘locally grown’, ‘low impact’, ‘organic’, etc. •Choice editing: Removal of ‘unsustainable’ products and processes.
“Nowaday” Consumer: Top drivers of customer spending Source: PwC’s Multi-channel Retail Survey 2012
Current transformations in retailing (1) •Interconnectivity will impact the way people get and share information, communicate, transact business, even the way they socialize; •Many existing retail concepts will reach the end of their expansion runway; •Spending on services will grow at the expense of spending on goods; •Digital and personal media will continue to grow exponentially and create new channels for customer insight, interaction and engagement.
Current transformations in retailing (2) •Just-in-time supply chain and the technology to support it will no longer be the gold standard; extremely reduced cycle times will require accelerated trend identification, entry and exit. •The value chain will become more intimate: Consumers will share more information with retailers and suppliers but expect to get more value in return.
Recent trends in retailing #1 #1: Omnichannel retailing becomes a norm Consumers shop: Anytime, Anytime, Anyhow, Any Device
Recent trends in retailing #2 #2: Online shopping is to further increase How many online-only retailer have you shopped in the past 12 months? PayPal processed payments of 78 Billion USD 2011, which is up 36 % from 2010. We will most likely see an explosion in mobile payments in years to come as several retailers adapt in order use the different platforms being developed for mobile payments.
Recent trends in retailing #3 #3: Rapid increase of mobile payments and transactions using a mobile phone It is predicted that mobile payments in US will amount to $90 billion in the 2017. How often do you shop using…
Recent trends in retailing #4 #4: New forms of consumer loyalty programs Businesses with loyalty programs are more profitable then their competitors. Consumers on average are enrolled in 7.4 loyalty programs. However, each year 53 percent of these members stop participating in at least one loyalty program a year.
Recent trends in retailing #5 #5: Retail companies will continue invest in consumer tracking and purchase data gathering Companies are to analyzes massive amounts of information from in-store sales, online behavior, social media, and more to determine which products to promote and how to market them
Recent trends in retailing #6 Forecasted retail sails growth per year #6: Retail will grow in emerging markets
Recent trends in retailing #7 #7: Relationship marketing will emerge Retailers are to learn that going for the “hard sell” isn’t effective anymore. Instead, they’ll invest in cultivating relationships and establishing thought leadership.
Recent trends in retailing #8 #8: Extreme consumer personalization EXTREME PERSONALIZATION 34% of consumers use multiple channels when shopping 49% of consumers are comfortable with retailers collecting personal data when shopping online 65% of consumers want to receive retail advice on their location through their mobile device EXTREME PERSONALIZATION 34% of consumers use multiple channels when shopping 49% of consumers are comfortable with retailers collecting personal data when shopping online 65% of consumers want to receive retail advice on their location through their mobile device EXTREME PERSONALIZATION source: Cisco Customer 34% of consumers use multiple channels when shopping 49% of consumers are comfortable with retailers collecting personal data when shopping online 65% of consumers want to receive retail advice on their location through their mobile device consumers want to receive retail advice based on their location through their mobile device; consumers are comfortable with retailers collecting personal data when shopping online; consumers use multiple channels when shopping.
Recent trends in retailing #9 #9: The increase of mobile businesses
Recent trends in retailing #10 #10: Personalized shopping experience Consumers are craving a more personal touch as the world becomes digitized, anonymous, automated, and virtual. Customized messages, depending on where they are in the stadium. For example, when they arrive at the gates, the app can give them directions towards their seats.
Recent trends in retailing #11 #11: Changes in supply chain due to recent technologies Technologies like 3D printing will even more dramatically change the nature of the supply chain. Embrace technology or die!
Recent trends in retailing #11: Consumer needs for technologies Which of the following in-store technologies would make your shopping experience better?
Recent trends in retailing #12 • During the last decade, there has been a fantastic growth of what is called social media: Different digital services for sharing views and information, connecting and self branding. • Social media platforms have made it possible to connect with friends and with brands. Consumer are able to talk about, share views and experiences with others with no representative of brand owner. I use social media… Source: PwC’s Multi-channel Retail Survey 2012 #12: The increase of social networks and media
Recent trends in retailing #12 Source: PwC’s Multi-channel Retail Survey 2012 Which of the following have you done using social media?
Issues to resolve (1) Information Overload Retailers will be awash in data. The typical retailer will capture not just product profitability and store and transaction data but also customer data and operating data delivered nonstop by in-store devices. The majority of consumers accept giving up some privacy for free services, better services and ease of use as long as they have transparency on the use of their personal data.
Issues to resolve (2) Individual’s privacy and data security issues Information sharing will reach new levels: between supplier and retailer, supplier and consumer, retailer and consumer, and consumer and consumer. Consumers will feel the risk of sharing data unless it is outweighed by the rewards. Why don’t you buy products online?
Summing up the trends In 2015, the market will talk to the retailers and suppliers that tune in: •Consumers will tell you what they want-if you know where to listen; •More places to listen to consumers and spot trends; •More tools and technologies to enable more focused responses; •Greater opportunity to be specific, individualized and relevant.
Up-to-date retailing model
Thank you for your attention! Mindaugas Sinkevičius Ph. D. Candidate at ISM University of Management and Economics Arklių g. 18, Vilnius LT-01129, LITHUANIA Phone: +370 676 36853 E-mail: sinkmind@stud.ism.lt “Time is running will you do anything to stand out of the crowd?

More Related Content

Recent marketing trends in retailing

  • 1. Recent marketing trends in retailing PhD candidate Mindaugas Sinkevičius 2014-09-30
  • 2. Looking into the crystal ball “Scientists don't need a crystal ball to predict events. Therefore attending a conference can be a way of looking into the crystal ball in your field…” Unknown author
  • 3. Scientific marketing journals 1.International Journal of Marketing 2.Direct Marketing: An International Journal 3.European Journal of Marketing 4.International Journal of Advertising and Marketing to Children 5.International Journal of Bank Marketing 6.International Journal of Pharmaceutical and Healthcare Marketing 7.International Journal of Retail & Distribution Management 8.International Journal of Wine Marketing 9.International Marketing Review 10.Journal of Business & Industrial Marketing 11.Journal of Consumer Marketing 12.…
  • 4. Contents of the presentation 1.Demographic shifts and retailing; 2.“Nowaday” consumer; 3.Current transformations in retailing industry; 4.Recent trends in retailing; 5.“Up to date” retailing model suggestions.
  • 5. Demographic shifts and retailing Source: UN, Dept. of Economic and Social Affairs, Population Division (2013). World Population Prospects: The 2012 Revision. Demographic shifts essential aspects of retail as they influence or change consumers’ needs and demands. In Europe, demographic shifts include the following sub trends: •Aging population; •Increase flow of immigrants; •Increased urbanization.
  • 6. Global Population Changes (2010-2020) Source: UN, Dept. of Economic and Social Affairs, Population Division (2013). World Population Prospects: The 2012 Revision. 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 By 2015, there will be more smaller households of one or two persons, and fewer traditional family households due to the aging population, empty nesters, and singles.
  • 7. Ageing Global Society (1950-2050) Source: UN World Population Prospects, 2012.
  • 8. Understanding the Multi-Generational Consumers Mass appeal approach of the 1980s is history!
  • 9. Internet Users Worldwide (2005-2014) 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
  • 10. Mobile Phone Users Worldwide (2012-2017) 2012 2013 2014 2015 2016 2017 Source:. eMarketer, 2013
  • 11. “Nowaday” Consumer (1) The distinguishing features of “nowaday” consumers: •Interconnected – interconnectivity is a part of life. •Individualized – consumers gravitate toward products and experiences that offer individual focus. They will desire products and experiences they perceive as meeting their unique needs. •In control – with interconnectivity as a base assumption, consumers are to be more adept at controlling the ways in which they interact
  • 12. “Nowaday” Consumer (2) “Nowaday” consumers hold retailers responsible for the social and environmental impact of the products they sell. Growing concerns about sustainability require retailers to develop new strategies, such as: •Innovation: Develop, potentially together with suppliers, new and improved products and production processes. •Choice influencing: Marketing strategies with product labels referring to some sustainable theme, such as ‘efficient’, ‘environmentally friendly’, ‘fair (trade)’, ‘healthy’, ‘locally grown’, ‘low impact’, ‘organic’, etc. •Choice editing: Removal of ‘unsustainable’ products and processes.
  • 13. “Nowaday” Consumer: Top drivers of customer spending Source: PwC’s Multi-channel Retail Survey 2012
  • 14. Current transformations in retailing (1) •Interconnectivity will impact the way people get and share information, communicate, transact business, even the way they socialize; •Many existing retail concepts will reach the end of their expansion runway; •Spending on services will grow at the expense of spending on goods; •Digital and personal media will continue to grow exponentially and create new channels for customer insight, interaction and engagement.
  • 15. Current transformations in retailing (2) •Just-in-time supply chain and the technology to support it will no longer be the gold standard; extremely reduced cycle times will require accelerated trend identification, entry and exit. •The value chain will become more intimate: Consumers will share more information with retailers and suppliers but expect to get more value in return.
  • 16. Recent trends in retailing #1 #1: Omnichannel retailing becomes a norm Consumers shop: Anytime, Anytime, Anyhow, Any Device
  • 17. Recent trends in retailing #2 #2: Online shopping is to further increase How many online-only retailer have you shopped in the past 12 months? PayPal processed payments of 78 Billion USD 2011, which is up 36 % from 2010. We will most likely see an explosion in mobile payments in years to come as several retailers adapt in order use the different platforms being developed for mobile payments.
  • 18. Recent trends in retailing #3 #3: Rapid increase of mobile payments and transactions using a mobile phone It is predicted that mobile payments in US will amount to $90 billion in the 2017. How often do you shop using…
  • 19. Recent trends in retailing #4 #4: New forms of consumer loyalty programs Businesses with loyalty programs are more profitable then their competitors. Consumers on average are enrolled in 7.4 loyalty programs. However, each year 53 percent of these members stop participating in at least one loyalty program a year.
  • 20. Recent trends in retailing #5 #5: Retail companies will continue invest in consumer tracking and purchase data gathering Companies are to analyzes massive amounts of information from in-store sales, online behavior, social media, and more to determine which products to promote and how to market them
  • 21. Recent trends in retailing #6 Forecasted retail sails growth per year #6: Retail will grow in emerging markets
  • 22. Recent trends in retailing #7 #7: Relationship marketing will emerge Retailers are to learn that going for the “hard sell” isn’t effective anymore. Instead, they’ll invest in cultivating relationships and establishing thought leadership.
  • 23. Recent trends in retailing #8 #8: Extreme consumer personalization EXTREME PERSONALIZATION 34% of consumers use multiple channels when shopping 49% of consumers are comfortable with retailers collecting personal data when shopping online 65% of consumers want to receive retail advice on their location through their mobile device EXTREME PERSONALIZATION 34% of consumers use multiple channels when shopping 49% of consumers are comfortable with retailers collecting personal data when shopping online 65% of consumers want to receive retail advice on their location through their mobile device EXTREME PERSONALIZATION source: Cisco Customer 34% of consumers use multiple channels when shopping 49% of consumers are comfortable with retailers collecting personal data when shopping online 65% of consumers want to receive retail advice on their location through their mobile device consumers want to receive retail advice based on their location through their mobile device; consumers are comfortable with retailers collecting personal data when shopping online; consumers use multiple channels when shopping.
  • 24. Recent trends in retailing #9 #9: The increase of mobile businesses
  • 25. Recent trends in retailing #10 #10: Personalized shopping experience Consumers are craving a more personal touch as the world becomes digitized, anonymous, automated, and virtual. Customized messages, depending on where they are in the stadium. For example, when they arrive at the gates, the app can give them directions towards their seats.
  • 26. Recent trends in retailing #11 #11: Changes in supply chain due to recent technologies Technologies like 3D printing will even more dramatically change the nature of the supply chain. Embrace technology or die!
  • 27. Recent trends in retailing #11: Consumer needs for technologies Which of the following in-store technologies would make your shopping experience better?
  • 28. Recent trends in retailing #12 • During the last decade, there has been a fantastic growth of what is called social media: Different digital services for sharing views and information, connecting and self branding. • Social media platforms have made it possible to connect with friends and with brands. Consumer are able to talk about, share views and experiences with others with no representative of brand owner. I use social media… Source: PwC’s Multi-channel Retail Survey 2012 #12: The increase of social networks and media
  • 29. Recent trends in retailing #12 Source: PwC’s Multi-channel Retail Survey 2012 Which of the following have you done using social media?
  • 30. Issues to resolve (1) Information Overload Retailers will be awash in data. The typical retailer will capture not just product profitability and store and transaction data but also customer data and operating data delivered nonstop by in-store devices. The majority of consumers accept giving up some privacy for free services, better services and ease of use as long as they have transparency on the use of their personal data.
  • 31. Issues to resolve (2) Individual’s privacy and data security issues Information sharing will reach new levels: between supplier and retailer, supplier and consumer, retailer and consumer, and consumer and consumer. Consumers will feel the risk of sharing data unless it is outweighed by the rewards. Why don’t you buy products online?
  • 32. Summing up the trends In 2015, the market will talk to the retailers and suppliers that tune in: •Consumers will tell you what they want-if you know where to listen; •More places to listen to consumers and spot trends; •More tools and technologies to enable more focused responses; •Greater opportunity to be specific, individualized and relevant.
  • 34. Thank you for your attention! Mindaugas Sinkevičius Ph. D. Candidate at ISM University of Management and Economics Arklių g. 18, Vilnius LT-01129, LITHUANIA Phone: +370 676 36853 E-mail: sinkmind@stud.ism.lt “Time is running will you do anything to stand out of the crowd?