Digital and connected retail "How digital does the grocery retail sector have to be in 2024?"
The food supply chain is facing major challenges. Many producers are forced to review their supply chains and adjust their processes to address uncertainties. Looking to the future, the grocery retail sector must adapt to changes in consumer and shopping behavior.
Since 2020, clear trends have emerged that will greatly influence the strategies of retailers and suppliers in the coming years. Fortunately, these new consumer needs and the challenges they pose for the supply chain can be addressed through the use of appropriate technologies and a stronger partnership between suppliers and retailers.
Digital and connected to the smart store: "Where smart technologies are used efficiently"
The fusion of local proximity and online trade holds great potential. Retailers need to authentically combine both worlds by consistently focusing on customer centricity. An integrated customer database for online and offline use, live advice in the online shop, and click & collect systems are approaches to strengthen digital services. Additionally, there is the option of 24/7 smart stores offering comprehensive service all year round.
The smart sales floor: Digital and connected "Reinvent retail with product focus and hybrid distribution"
During the pandemic, the focus was on the survival of trade. Now, it is about the long-term realignment of trade, as the pressure for change continues to increase. Consumers are already using the internet and digital offerings as a normality. Retail must leverage technological innovations to meet the expectations of modern customers and thus tackle current challenges.
Especially Generation Z must not be forgotten. Studies show that young people eat impulsively, love meat, and care about their appearance. And they are digital. Retail must use this knowledge to develop appropriate offerings and effectively address Generation Z.
Customer centricity in smart grocery retail: "Holistic customer centricity: a missed opportunity"
The retail sector has extensive datasets collected about customers online and offline. These valuable pieces of information should be used to improve the customer experience. Unfortunately, this rarely happens, possibly because the data is collected unstructured. As a result, retailers miss the opportunity to better understand their customers and increase sales through personalized offers.
A targeted use of the collected data could create tailored shopping experiences and strengthen customer loyalty. By analyzing purchasing behavior and preferences, individual offers can be developed that are precisely tailored to customer needs. In this way, retail could not only increase customer satisfaction but also sustainably increase sales.
- Customer profile as a basis: A missed opportunity
- The sales floor with smart access: A new era of shopping
- The mobile shop: Flexibility and convenience for modern customers
- In-store service: The key to improved customer experience
- Keeping stock up to date: Efficiency through real-time management
- Scan & Go rethought: Revolutionary shopping experience
- Customer Relationship Management (CRM): The key to long-term customer loyalty
Customer profile as a basis: "A missed opportunity and optimal personalization in smart grocery retail"
Today, it is more important than ever to actively manage personalization while considering different interests and perspectives. The customer journey begins with the customer. Therefore, every effort should be made to create a detailed customer profile and focus especially on a mobile-first strategy.
The most important thing is to put the customer at the center. As Jeff Bezos says, "Our goal is to be the Earth's most customer-centric company." This principle should also be applied to grocery retail to achieve optimal personalization and meet modern demands.
The smart sales floor: "A new era of shopping"
The smart sales floor of the future is a world where everyone can easily and conveniently shop with their own smartphone. Products can be effortlessly selected via touchscreen or smartphone and paid for contactlessly, offering
numerous advantages such as digital credits and coupon campaigns.
Particular importance is attached to various forms of in-store media campaigns, including displays, digital shelves, digital signage, brochures, posters, and disruptors at the checkout area. These elements contribute to improving customer communication and making the shopping experience even more attractive.
All of this should come from a common data base to avoid media discontinuity as much as possible. A unified data base allows for seamless integration of various marketing measures and for conveying a consistent message across all channels. This not only increases the efficiency but also the effectiveness of the campaigns and ensures a unified customer experience.
The mobile shop: "Flexibility and convenience for modern customers"
An important trend in food supply in 2024 is the growing preference of customers for online shopping. More and more people are buying
groceries online as they seek new, more convenient shopping opportunities and want to visit physical stores less often.
Customers increasingly view online grocery shopping as a long-term preference, not just a temporary trend. They order groceries online, pick them up in-store (Click & Collect) or have them conveniently delivered to their home (Click & Delivery). Once convinced of this convenience, customers are reluctant to return to traditional in-store shopping.
The mobile shop thus offers the flexibility and convenience that modern customers expect. By utilizing mobile technologies, retailers can provide their customers with a seamless and comfortable shopping experience that meets the demands of modern lifestyles. This not only strengthens customer loyalty but also allows retailers to expand their reach and sustainably increase sales.
In-store service: The key to improving the customer experience
Touchpoint management is one of the key topics along the customer journey. Optimizing the customer experience through effective in-store touchpoint management is crucial for the success of retail. Technology, well-trained staff, and attractive product presentation are key elements.
Modern technologies such as mobile payment and self-checkout must be intuitive and user-friendly to provide real added value. A smooth and fast checkout process greatly enhances the shopping experience and fosters customer satisfaction.
Well-informed and friendly staff play a crucial role. The staff should not only be competent but also able to enrich the shopping experience through personal advice and targeted actions. This can significantly boost customer satisfaction and sales.
With a thoughtful combination of technology, human interaction, and strategic product presentation, retail can sustainably improve the customer experience and successfully position itself in the market.
Keeping stock up to date: Efficiency through real-time management
Perishable goods pile up and spoil because it is never clear when which item reaches the minimum sell-by date, where they are located, and how much is still in stock. This is not only annoying but also avoidable.
With our real-time management system, we support you in inventory, the sales floor, and managing your perishable foods. You always have
an up-to-date overview of when and where which goods are nearing their sell-by date.
More importantly, you can offer your customers special offers with a click or automatically, e.g., 30% off certain products the next day. This reduces losses, increases efficiency, and offers your customers attractive discounts.
Scan & Go rethought: Revolutionary shopping experience
Our system fundamentally differs from most solutions on the market. It does NOT require a separate native app that must be laboriously
downloaded from app stores. This greatly reduces the effort for the customer and thus increases acceptance.
The retailer particularly benefits from our solution: They save the complicated and often error-prone processes needed to connect to
their ERP or inventory management system. Furthermore, the costs for developing and maintaining an additional app are
eliminated.
Our smart Progressive Web App (PWA) was designed to seamlessly support the following workflows in retail: Click & Collect, Click & Meet,
Click & Eat, Click to Pay, Get & Go, Grab & Go, Pay & Go, Pick & Go, Shop & Go, Scan & Go, Tap & Go.
This innovative solution enables a smooth and efficient shopping experience that enhances both customer satisfaction and operational efficiency. Customers can shop conveniently and quickly, while shop operators benefit from simplified and cost-effective implementation.
Customer Relationship Management (CRM): The key to long-term customer loyalty
Smart MDM - Master Data Management
With Smartstore, you manage all your digital master data in a single application. This increases the efficiency of your business processes by organizing all company data in a central repository and synchronizing it with your ERP or inventory management system as needed. Central management of master data ensures data consistency and significantly improves operational efficiency.
Smart CRM - Customer Relationship Management
The CRM module from Smartstore helps you gather all customer data in one place. This includes unifying profiles, modeling customer data, personalization in real-time, and automation. Once all customer data is centralized, data personalization, data segmentation, and marketing automation can be easily carried out.
With these integrated solutions, businesses can better understand their customers, develop targeted marketing campaigns, and strengthen
customer loyalty in the long term. With Smart CRM, you can offer your customers a personalized and consistent experience, leading to
higher customer satisfaction and greater revenues.
Digital touchpoint: Interactive information areas for the store
Customers are used to getting all the information they need about a desired product from the internet, reading customer reviews, and researching whether the product suits them. They can now enjoy this experience in brick-and-mortar retail as well.
Through integrated digital kiosk systems, customers can interactively inform themselves about products in-store and even receive online advice from a personal consultant in the store. Regional retailers have the opportunity to present complementary products. If the desired product is not available in the store, the customer can have it conveniently delivered to their home.
This approach enables the intelligent linking of staffed and unstaffed shops with online shopping, thereby creating a seamless and enhanced 360-degree shopping experience. Customers benefit from convenience and comprehensive information, while retailers can increase their reach and efficiency.
Efficiency and customer service in focus: The advantages of smart shelves in grocery retail
Smart shelves offer numerous advantages in grocery retail that significantly improve both efficiency and the customer experience. A key benefit lies in the increased efficiency of inventory management. By equipping shelves with sensors, stock levels are continuously monitored and automatically updated. This reduces human errors and ensures constantly up-to-date inventory lists, facilitating reordering and avoiding overstocking.
The customer experience is also enhanced by smart shelves. Using RFID technology or other sensors, customers can be informed when a
product is nearly sold out, or alternative products can be suggested. This leads to greater satisfaction and a better shopping
experience.
Shelf maintenance is also optimized. Staff are immediately informed when a product is out of stock or misplaced, allowing for quick corrections and ensuring shelves are always neat and fully stocked.
Another advantage is the possibility of data analysis and understanding customer behavior. The collected data allows detailed analysis of which products are popular, at which times they are most sold, and how customers move in the store. These insights can be used for marketing strategies and store planning.
Moreover, smart shelves help reduce food waste. They monitor the expiration date of food items and can initiate timely promotions or discounts to drive sales and reduce waste. When connected to our software, this information is available to staff at any time.
Cost savings also play a significant role. By automating many tasks that would otherwise need to be done manually, retailers save on labor costs. More accurate inventory management and fewer overstocked items also help reduce overall costs.
Finally, smart shelves offer improvements in security. Some are equipped with features that can reduce theft and fraud by triggering alarms when products are removed without authorization.
Overall, these benefits make smart shelves a valuable technology for grocery retail, significantly improving both operational efficiency and the customer experience.
Benefits of Grab & Go and Scan & Go technology with Smart Checkout
A standout feature of Smart Checkout is the innovative Scan & Go and Grab & Go technology. This enables a true hands-free checkout without camera tracking, providing a whole new shopping experience.
The customer enters an unmanned store, scans the goods with their smartphone or places the goods on a marked area if RFID is used. The products are automatically placed in the virtual shopping cart. Registered customers can leave the store without paying at the cashier. The amount is later debited from the customer's account via SEPA mandate.
Furthermore, our Smart Checkout significantly improves the customer experience. By shortening shopping times and offering multiple payment options, customers can shop at their own pace and according to their own preferences. Moreover, Smart Checkout offers the option to receive digital receipts.
This approach not only provides convenience and efficiency but also flexibility and a modern shopping experience that meets the needs of today's consumers.
Price automation through digital pricing with Smart Shelf Labels (ESL)
The key to quick margin improvements lies in detailed, accurate, and responsive management of sales prices. With Smart Shelf Labels (ESL), you can make better pricing decisions daily that are based on competition, stock levels, and demand – reflecting the current situation in each branch.
Each branch has its own conditions regarding the local market, competition, and temporary under- or oversupply. Pricing decisions must always consider this local and regional context to maximize branch sales and profitability.
By analyzing internal and external data, smart digital price tags enable informed pricing decisions that can be implemented quickly and cost-effectively. This approach leads to higher margins and sales while optimizing the price index.
Digital price label technology allows for a flexible and dynamic response to market changes, supporting a modern and efficient pricing strategy and increasing customer satisfaction.
Parcel lockers instead of parcel service: Pick-up stations in the store
The provision of parcel lockers in the store offers numerous advantages. An important benefit is increased customer loyalty. Customers appreciate the convenience of picking up their packages in-store. This fosters customer loyalty as the store is perceived as a convenient and useful place.
Additionally, the introduction of parcel lockers improves operational efficiency. Delivery services can deliver multiple packages simultaneously, increasing efficiency and making operations smoother. This leads to better logistics and reduces the need for multiple delivery attempts.
Another advantage is the creation of an additional revenue stream. The use of lockers offers the operator the opportunity to charge fees for using the lockers. This can be a constant and predictable source of income beyond regular sales.
Parcel lockers also offer an excellent opportunity for sales promotion. Customers picking up their packages can be encouraged to purchase additional products in the store through targeted advertising. This can increase sales and optimally utilize the increased customer frequency.
In summary, in-store parcel lockers offer a convenient solution for package collection, promote customer loyalty, enhance operational efficiency, and offer additional revenue streams. At the same time, they provide an opportunity for sales promotion by leveraging increased customer frequency.
Efficiency gains and sales growth through the WOLT delivery service
The WOLT delivery service offers grocery retail an innovative solution to meet the modern needs of consumers. With the increasing trend towards online shopping and demand for fast and reliable deliveries, WOLT represents a valuable addition to retail.
A key benefit of using the WOLT delivery service is the expansion of customer reach. Retailers can cater not only to their local customers but also reach new target groups who prefer to shop online. This contributes to increased sales and better market presence.
Moreover, WOLT enables efficient and fast delivery, increasing customer satisfaction. In an era where convenience and time savings are of great importance to consumers, WOLT offers a solution that benefits both customers and retailers.
Another advantage is the flexibility and scalability of the WOLT service. Retailers can easily handle peak periods without having to provide additional logistical resources. This reduces operating costs and increases efficiency.
Furthermore, WOLT provides detailed reports and analyses that help retailers optimize their business model and better cater to the needs of their customers. By partnering with WOLT, grocery retailers can not only improve their service but also gain valuable insights into their customers' purchasing behavior.
Overall, the WOLT delivery service provides grocery retail with a comprehensive solution to meet the challenges of the modern market while boosting efficiency and customer satisfaction.
Customer service and efficiency in focus: How automated age verification is transforming the grocery trade
The introduction of automated age verification systems in the grocery trade brings numerous benefits that improve both operational efficiency and the customer experience. An important benefit is the reduction of waiting times at checkouts. In many supermarkets and retail stores, manual age verification can be time-consuming, especially for products like alcohol or tobacco. Automated systems can perform these checks in a fraction of a second, speeding up the entire checkout process and reducing wait times for all customers.
Another advantage is the accuracy and reliability of age verification. Human errors that can occur during manual verification are minimized by automated systems. This increases safety and ensures that only authorized individuals have access to age-restricted products.
The use of such systems also relieves the staff. Employees spend less time on age verification and can instead focus on other tasks that improve customer service and store maintenance. This increases the overall efficiency of the store and allows for better resource allocation.
Moreover, automated age verification offers better traceability and documentation. Electronic systems can record and store all checks, which is beneficial for compliance purposes and regulatory adherence. This reduces the risk of penalties and legal issues that can arise from faulty age verifications.
Last but not least, the introduction of this technology can also enhance customer satisfaction. Faster and more accurate age verifications mean less waiting time and a smoother shopping experience. Customers appreciate efficient service and modern technology, which makes shopping more convenient and enjoyable.
Overall, the use of GDPR-compliant automated age verification systems leads to a significant efficiency increase in the grocery trade, improving the safety and accuracy of age verification and contributing to a better customer experience.
Conclusion
Omnichannel shopping experiences are a crucial success factor in modern grocery retail. They enable retailers to offer their customers a flexible, convenient, and personalized shopping experience while optimizing their business processes and strengthening customer loyalty. The future of grocery retail lies in the seamless integration of all sales channels to meet the ever-growing expectations of customers.
Do you have questions about this topic? Or would you like to send us your feedback? You can reach us via the contact form, by email at info@smartstore.com, or by phone from Monday to Friday between 10 a.m. and 4 p.m. at +4923153350.