How IoT is transforming Retail. Chiefly, customers should be able to identify and request stock items from tablets inside the changeroom at the press of a button. Markedly, 3D sensors installed behind mirrors should allow customers to select, model, style and fit items of clothing and accessories.

To Accept and process payments from customers anywhere in the store. This increases sell-through for the retailer while providing customers with immediate service.

To arrange for customer deliveries with mobile tracking facilities at the point of sale – this would allow customers to continue shopping or with other activities without the hassle of carrying their bags around. The benefit for retailers. Customers who don’t have to worry about carrying their bags will likely purchase more goods per shop.

To provide instant in-store feedback on a customer’s loyalty status and any discounts and/or awards available for use.  Consequently, this would influence purchasing decisions and drive sales while providing customers with benefits. Benefits would be based on personal history and loyalty points earned and could include free delivery, price discounts, giveaway items.

The IoT creates a seamless and effective communication channel for retailers. In order to, target customers with contextualised messages wherever they are and whatever they’re doing. This especially becomes relevant when a customer can be identified by location-based services within a certain distance of the retail outlet. Thereby, creating an incentive for them to engage. Additionally, time-specific and personnel offers can be pushed to customers. Ultimately, driving traffic in-store when retailers are less busy or during specific promotions.

The result increased turnover for retailers and personalised and relevant services delivered directly to the customer.

What is a Platform Strategy

How the retail environment as we know it is transforming:

The Internet of Things. Creating a personalised service offering for all. 

The Internet of Things has the power to transform behaviour and lifestyles. Consequently creating value throughout the economy.

In retail, it drives loyalty by providing customers with one-on-one services focused on personalisation.

 Retail environment

The Internet of Things will enable sales personnel with digital mobile devices will have immediate access to a shopper’s prior history. Including, their shopping preferences, loyalty points and demographics. Therefore, allowing them to deliver a meaningful and engaging shopping experience. Moreover, customers will instantly be shown relevant products based on their purchase history and profile choices.

Communications

The Internet of things facilitates an efficient marketplace by promoting real-time, instant and relevant communications. Thereupon, resulting in cost-effective and real-time services for all users.

The Internet of Things creates a seamless and effective communication channel for retailers to target customers. Instantly, with contextualised messages wherever they are and whatever they’re doing. Especially, when a customer can be identified by location-based services within a certain distance of the retail outlet. Significantly,  creating an incentive for them to engage.

Time-specific and personalised offers can be pushed to customers driving leads in-store. For example, when retailers are less busy or during specific promotional periods. Resulting, in increased turnover for retailers and personalised and services for shoppers.

Data Analysis

The Internet of Things enhances customer loyalty by providing access to and analysis of meaningful customer and sales data. In particular, using artificial intelligence-driven by machine learning.

The richness and reliability of a customer’s sales history and personal data, combined with analytical tools provide accurate insights into consumer preferences and behaviour.

By collecting all of a customer’s personal data and demographics at the outset and after each sale. Accordingly, retailers will be better placed to analyse and understand buying habits, optimal pricing and shopper preferences resulting in;

1. The shift to a customer-centric organisation. Therefore, providing customers with instant and bespoke services. Successfully creating an improved, seamless, cost-efficient and more meaningful shopping experience.
2. Enhanced retailer engagement. Ultimately, transforming the role of a sales assistant from a cost centre into a profit centre. Accordingly, driving sales from the shop floor whilst providing personalised and value-driven customer services.
3. Creation of switching costs. The Internet of Things, when leveraged appropriately, will play a significant role in generating increased profitability at the store level. While enhancing customer relationships and customer loyalty creating switching costs.

For further insights on the Internet of Things

IoT explained