Retailers Lost $150B in 2016 By Not Providing Personalized Shopping Service

Smart-enabled devices undoubtedly make everyone’s lives easier. As a result of being able to research anything from anywhere at any time and ordering services at the drop of a hat, consumers have turned into seekers of instant gratification who prefer personalized experiences.

Given this fast consumer-driven nature, retailers can’t keep track. According to TimeTrade’s State of Retail 2017 Survey, retailers missed out on $150 billion in sales during the 2016 year by not catering to this consumer desire for a more personalized experience.

It was also found that while 82 percent of respondents shopped in traditional brick-and-mortar stores, 49 percent shared they never receive personalized shopping experiences.

How will this impact brick-and-mortar stores down the road?

TimeTrade’s CEO, Gary Ambrosino, shared his thoughts on brick-and-mortar’s future in a press release: “In-store shopping is far from dead — but it does have to change to keep up with the trends. These survey results show that people definitely like shopping in stores so they can touch and feel products and because they enjoy receiving prompt, personalized service. The key to success for brick-and-mortar retailers is to fully utilize their existing staff and relentlessly focus on providing personalized service to every customer. We know consumers are willing to pay for better service. It’s a big opportunity for traditional retailers to up their game across the board and capture that additional revenue, instead of letting those dollars go elsewhere.”

As retail moves forward, the space will likely incorporate more online experiences into real-world shopping trips. One such example of a retailer doing this well is Amazon’s grocery store, Amazon Go, that will remove cashiers and allow shoppers to buy items via sensors and apps.