Arnold Dillon
Director, Retail Ireland
Major changes are sweeping through the retail sector, as new technologies transform business models and alter the experience and expectations of consumers.
Increased automation, artificial intelligence, new online platforms and virtual reality present new commercial opportunities for many businesses. Understanding and getting ahead of these trends and the impact they are having on consumer behaviour is key.
Technology adoption gap in Irish retail
Retail Ireland recently published a major report on the digital transformation of the sector and its impact on the Irish retail landscape.
It found that the level of disparity between the rate of adoption of technology among Irish retailers is concerning. While some retailers are at the forefront of technological innovations, others are struggling to overcome significant barriers. These include cost, time and a lack of expertise and skills in key areas.
Retailers seek tech startup partnerships
Many retail businesses are changing their business models and looking to partner with other service providers to enhance their customer experience. This includes using the capabilities and resources alongside other sectors and tech startups to develop new technologies and customer solutions.
Almost 40% of the retailers that contributed to the report are already partnering with tech startups while another 33% are looking for tech startups to collaborate with.
Many retail businesses are changing their
business models and looking to partner
with other service providers to enhance
their customer experience.
Developing data expertise for system integration
The integration of systems to deliver real-time consumer insights is one of the key priorities. However, a majority of businesses said a lack of available data experts makes it difficult to fulfil their potential in this area. Retraining current staff and bringing in new expertise from outside is, therefore, part of the solution for many.
The challenge facing businesses, however, is that many of these skills are already in high demand from other sectors, and attracting and retaining this talent is becoming more difficult.
There is no easy formula to tackle this problem, but providing learning and development opportunities, competitive remuneration, new career opportunities and an environment where employees can thrive is a good start.
Tech enabling enhanced personalisation
Technology and automation will free up the workforce from routine and repetitive tasks allowing them to focus more on customer-facing activities providing a new level of personalisation and improved customer experience. Putting in place the right strategy and having the skills to deliver it where the focus now needs to be.
