And only the savviest will survive. The smartphone that “killed” brick and mortars is now the only solution to save it. How? Data. There isn't a single individual who isn’t addicted to their phone. In fact, with each click and press of a button, a user is leaving a digital footprint. Shoppers move in trackable ways which means a lot of data is collected. In fact, 90% of the world’s data was collected last two years alone. By combining tools such as GPS, beacons, geofencing and one step further with geoconquesting, retailers have what it takes to thrive.
Geoconquesting: using location data to detect when customers are in a competitor’s store, sending them a deal they can’t pass up and luring them away from the competitor.
When analyzing your data, bear in mind that:
The only way to understand your audience is to track their every move.
Just like the omnichannel customer, in order to survive in retail, your associates must be omnichannel oriented as well. About 25% of store associates say they have not been given the right tools and technology to do their jobs and 50% feel they are not reaching their full potential.
Moore’s Law, originating in 1970, states that the number of transistors on a CPU would double every two years. In layman terms, it means that processing speeds/power will double every two years. The capabilities computers now have are incredibly high and growing at an exceptional rate. That is also true for the data living in it. The abundance of data has made it a commodity. A commodity extremely attractive to criminals.
Just how we lock our doors at night to prevent intruders, small and large retailers alike need to ensure they are equipping themselves to protect from any digital intruder. The National Institute of Standards and Technology has defined 5 main categories in a framework designed to reduce cyber risks to infrastructure. These five include:
Advanced persistent threat (“APT”) is a cyber attack in which an unauthorized person gains and maintains access to a network for an extended period of time. The term was first coined by US military and defense agencies. They can take a number of forms such as malware, spam, botnet and ransomware attacks designed to remain undetected, allowing attackers to steal as much data as possible.
Hackers are getting more and more skilled to go undetected, causing retailers a huge investment in cybersecurity. In total, global spending on cybersecurity will increase at a 8.3% CAGR between 2016 and 2020, growing from $73.6 billion to $101.6 billion.
In the very near future, payments will become automated to the point it’s devoid of all humans. Intelligent machines will be able to negotiate payment terms and agree to payments with other machines. For example, a self-driving car paying other intelligent machines for parking.