What to Expect in Retail in 2022: Trends and Predictions
The past two years were significantly impacted by the COVID-19 pandemic, which put incredible demands on retailers. That said, the retail landscape has changed so fast and in so many ways that much remains uncertain when it comes to looking ahead to 2022. However, the pandemic continues to accelerate some trends, several of which will most likely have a great impact this new year.
Thus, retailers need to plan strategies to deliver a better customer experience that aligns with customer expectations and adapts to the changes that 2022 will bring. So, what can we expect to see from the retail industry in the coming years? Here are some trends and expectations SmartSpotter predicts for 2022.
Redefining the role of stores
Shopping habits have changed, and in some customers, for good. Retailers know that the industry's future relies on providing a different kind of retail experience that adapts and can be flexible to customers' needs and is more digital, personalized, and sustainable.
The pandemic has accelerated this trend, but the problem is that very few retailers were prepared to set the stage to support the digital shift. This new year is the opportunity for them to commit to offering customers personalized online and offline experiences and creating their own retail space.
That is what we call an online-merge-offline (OMO) model, the future of retail, which evolves around technology-driven sales and cost-efficiency. It means creating a diverse store portfolio tailored to the needs of local customers, using an existing e-commerce platform, thus driving unit cost down and saving time for the consumer's shopping experience. OMO provides flexibility and creates business opportunities. It allows customers to access your brand's products and services from any channel, allowing it to succeed as customers diversify their shopping habits. The best part is that it applies to all retail sectors!
Conscious consumerism is reshaping consumer behaviour
A variety of factors highly influence purchase behavior. Moreover, the perception of essential products constantly changes, and the pandemic has shaped consumers' needs and their perception of retail. We are in the era of conscious consumers who are more interested in the company's footprint and the products and understanding of their purchasing power.
Research shows that customers are more conscious about their shopping habits and are more likely to support companies that align with their ethics and values, are more sustainable, and have less environmental impact.
That said, factors related to social responsibility increasingly matter to customers. They have an enormous impact on the brands and products they choose to buy, and 2022 will not be different. Our message to retailers is that regardless of the cause your brand supports, communicating your business's values to your customers is more important than ever. Make sure that what you have to offer aligns with their principles and standards and is authentic to them.
Technology and automation will be crucial to the customer's experience
Both in-store and online, technology is a critical factor that will determine business growth, and access to it will result in a rise in customized marketing from all brands. It is a consequence of marketing automation software not being exclusive to big brands that can afford it.
In 2022, even small businesses must begin to find ways to set themselves apart from competitors and, for example, capitalize on the ubiquity of smartphones, thus improving communication strategies and providing the customer with 24/7 shopping with eCommerce, taking advantage of social media platforms.
Innovate and adapt. As the world changes, so does the industry. Engaging with customers and finding new ways to deliver a better, personalized customer experience has never been more critical. SmartSpotter's platform has been designed to help businesses of any size adapt and innovate so your brand can prepare to take on 2022!