Amazon wants to view your selfies, location and calendar to recommend outfits for you to wear today, displayed on a virtual avatar of you.
In 2019, regardless of size, tenure or segment of business retailers, brands and suppliers must recognize that they can no longer navigate the new landscape with old maps.
Tomorrow’s retail winners will be nimble, data-driven, fast-to-market and cost efficient. They will have the foresight, fortitude and fearlessness to disrupt their own identity and legacy models.
“Do or do not. There is no try.”
The rate of change will escalate. There is no time for deep contemplation. Winners will leap, measure and then optimize.
Failing fast will be a requirement, not an option. Succeeding fast will be a requirement, too.
The Alchemist’s Retail Prophecies for 2019:
Warning: One can identify prognosticators who use a crystal ball to predict the retail future. They’re the ones with glass shards in their bleeding hands and smoke issuing from their charred eyebrows.
The Starbucks Reserve Roastery opened its doors today in New York City. A further example of mortar & brick retail expansion.
The 23,000 sq. ft. flagship showcases coffee’s journey from bean to cup and joins locations in Seattle, Shanghai & Milan, with future openings coming to Tokyo & Chicago.
The store is a fully working coffee roastery, where small-batch and rare single-origin coffees and blends are created. “We designed the Roastery as the pinnacle experience around all-things-coffee, there is nothing else like it in the world…
It serves as a Starbucks brand amplifier and a platform for future innovation,” said Kevin Johnson, Starbuck’s new ceo.
The Roastery will debut the Arriviamo (aperitivo) Bar, where mixologists will serve cocktails and “spiritfrees” featuring coffee and tea, Drinks will include the Nocino Notte, made with cold brew coffee, barrel-aged gin and black truffle salt, and the Triomphe, made with Teavana Darjeeling Tea, gin, dry Riesling, aquavit, passionfruit sparkling water & orange saffron bitters.
Customers will also discover the Milanese bakery Princi with on-site baking of fresh breads, Pizzas, cornetti, focaccias, desserts and more.
The Hershey Company idenitified “eight human truths” to help retail partners increase impulse purchases.
1. Indulge. Shoppers seek permission to “give in” to the guilt. They know they can’t be good all of the time and really don’t want to be.
2. Delight. New flavors? New packaging? An exciting retail display? Offer something that breaks up the sometimes mundane or noisy…
3. Score. Help shoppers feel they’re beating the system by giving them a sense that they’ve found a great deal. Make it fun to follow an impulse.
Take a deep breath…
UBS Financial estimates that for every 1 percent increase in eCommerce penetration to total retail sales (excluding food & gas), 9,000 retail stores would need to close in order to maintain current levels of sales per physical store.
This would be the equivalent to shutting down seven Toys ‘R’ Us chains.
Americans spent 22 BILLION minutes on Amazon shopping platforms in December 2017 alone. More than the next nine platforms combined.
Interestingly, there is a large gap between time spent and dollars spent on mobile vs. desktop devices: while Americans spent nearly two thirds of their online shopping time on smartphones or tablets in Q4 2017, more than 75 percent of e-commerce dollars were spent on desktop devices. This indicates that many people browse products on their mobile devices, but prefer the convenience of a larger screen and keyboard to complete the checkout process.