Changes in the European retail industry as a result of dynamic growth rates in online sales make it increasingly necessary to focus on the demands of the customers. Such vital concepts as shop design, staff quality and shopping experience must come back into focus.
Below are some of the developments we can currently forecast:
- On average, customer return rate in over-the-counter retail will continue to decline. In particular, properties in B and C locations will continue to come under pressure.
- The online segment will continue to grow strongly in retail. However, the dynamics seen in recent years will lose momentum.
- Late-comers, such as the food trade, will ensure further growth in the online market. However, most trading revenues will continue to be realised in the over-the-counter trade in the future.
- The share of purchases planned online and implemented over-the-counter will continue to grow.
- The number of omnichannel providers will continue to increase, more over-the-counter retailers will set up online shops or enter eCommerce cooperations.
- Shop designs, staff quality and experiential shopping are becoming the central drivers in traditional retail.
- Online shops will continue to have to align themselves with the services of the logistics giants, such as Amazon.
- Customer communication and marketing will work across media and platforms based on a better understanding of the customer journey.