The retail sector is undergoing a transformation thanks to the benefits of digitalization. This does not imply that the physical stores will disappear (at least in the near future), but they do need to adapt to the current times to continue being competitive. That is why today we are going to talk about what solutions for the retail sector currently exist, based on geolocated information and location intelligence.
Over the last few years, consumption within the retail sector has taken a leap from traditional stores to online purchases. Physical stores are still very important, but we must understand both ways of consuming, which are often complementary, to be able to evolve and adapt to current needs and technologies.
Even today, 90% of purchases are made in a physical store. In addition, of the users who make online purchases, two thirds of them used the store before or after said transaction. One in three consumers starts the purchase process from the brand’s website, although it does not necessarily end online. The Internet also helps when it comes to deciding, since approximately 90% conduct a previous investigation through the Internet.
These data confirm the symbiotic relationship they have within the retail sector between the two worlds and the need to take advantage of technological tools to renew traditional commerce.
In this sense, many trends have already arrived, the main objective of which is to facilitate customer purchasing processes so that they only have to worry about choosing the product they like the most. For example, the payment with the mobile is more and more settled. Recent studies predict that “by 2021 they will have largely replaced the physical purses”.
The personalization of the product is also another trend that has come to stay. The advance in subjects such as machine learning or big data allows the experiences to be more and more personalized and expressly designed for each of the clients.
Location intelligence to revive traditional commerce
Location Intelligence, the technology that takes advantage of geolocated data to turn them into very valuable information, is another of the tools that traditional commerce can use to update and reinvent itself. In addition, it is applicable in several parts of the chain, which significantly improves the entire system.
The indoor mapping solutions, like the one we developed for El Corte Inglés, seek to make a radical transformation in the sales process of establishments as well as the relationship with their customers, in favor of greater digitalization. This helps to know in depth the needs of the users and to make more precise and beneficial decisions for the final consumer.
This solution is aimed to three audiences, and therefore, has three parts. The first is aimed at the general public in the form of an application for the mobile. In this way, customers receive fully customized offers (we link to the trend we talked about earlier) according to their tastes and previous purchases. In addition, it functions as an information hub about other stores in the center or to request assistance from a dependent.
The second application is aimed at store professionals, to maintain direct contact with customers who may need their services and know in advance who they are and what they are looking for.
Finally, the dashboard, where all the information collected is clearly and visually displayed. This part is aimed at the management team, those who must make the strategic decisions and who will do it in a more efficient way by having more enriched data.
Taking advantage of geolocalized data for the retail sector
Geolocated information is not only useful at the time of purchase, but extends to other equally important departments. The implementation of geomarketing also contributes to the improvement of decisions by the company.
Through geomarketing not only it is known in depth to existing customers, but can locate potential customers know the overall profile. From here, it is a question of each company how it wants to reach those who are in more remote areas, perhaps with advertising campaigns located in that area or with bolder movements, such as opening a new store there.
In addition to the set of clients, it also allows us to better know the competition, offering an exhaustive analysis based on its location. If there are many similar businesses in the area, it may be a good idea to look for a special way to differentiate yourself from others.
Geomarketing and location intelligence in general merge to bring their benefits to the logistics and distribution system. Thanks to these technologies, an analysis of the transport routes can be made and discover if they can be optimized in some way so that this part can be developed more efficiently.
In resume, all these tools help the decision-making process to be carried out with a greater quantity and quality of information, which makes the company’s strategy go in the best way.
Implementing these solutions must be accompanied by adopting the trends that are consolidated over time. After personalization or payment with the mobile phone, there are others such as concept stores, special stores that seek to transmit a brand experience over the purchase of the product they offer, or pop-up stores, another type of store that it has a short period of life.
To all this, it only remains to add more facilities to the customer, in the form of the combination of the advantages of physical and digital stores or delivering service in 24 hours. We will remain attentive to the evolution of this sector that is constantly evolving, and adding value with the new technological solutions for the retail sector.