HP Innovation Journal Issue 10: Fall 2018 - Page 44

REINVENTING THE BRICK-AND-MORTAR EXPERIENCE KO B I E LBA Z Vice Presid e nt a n d G e n e ral M a nag e r, Am e ric as Pe rso nal Syste ms B usin ess , H P The emergence of e-commerce has radically changed how we shop. Its speed and convenience have attracted everyone from consumers to huge online retailers and artisan websites, like Etsy. Last year U.S. consumers spent more than $453 billion in online retail, a 16 percent increase over 2016. 1 But even as a sizable majority of Americans has joined the world of buying online, many still appreciate the benefits of the brick-and-mortar experience, according to a recent study by Pew Research. Overall, 64 percent of Americans indicate that, all things being equal, they prefer buying from physical stores to buying online—a statistic that only increases among younger shoppers. The tangible nature of the brick-and-mortar experience, the ability to touch and feel the product, the instant gratification of immediately taking purchases home, and the enduring, highly social nature of in-store shopping are what continue to bring customers back to physical stores. This is not to say, however, that all traditional brick-and-mortar tactics will automatically appeal to younger generations, whose buying power is rapidly increasing. 64% Though they appreciate the benefits of in-person shopping, customers of all ages now expect much more from their retail experience. In particular, they crave the convenience and personalization they find in online retail, where virtual stores remember their name, preferences and measurements. Successful brick-and-mortar strategies are leveraging innovative technologies and omnichannel strategies to combine the experiential benefits of in-person shopping with the ease of e-commerce. RETAILERS RESPONDING TO EVOLVING NEEDS From practical to experiential, retailers are responding. Starbucks’ Mobile Order & Pay app is an example of off- and online retail integration. Using the app, customers can order their drinks, tip the barista and skip the line. Amazon’s Just Walk Out Technology detects when consumers enter the store with the Amazon Go app and place items in a virtual cart. When consumers complete their shopping, they simply walk out of the store with the purchases charged on their Amazon account, avoiding checkout lines altogether. REINVENTING RETAIL POINT-OF-SALE (RPOS) In this evolving in-store experience, new retail point- of-sale (RPOS) technology from HP is helping retailers enhance the present and prepare for the future. In one example, Nebraska Future Mart, one of the largest home furnishings retailers in North America, integrated HP’s mobile POS (mPOS) solution. Comprising the HP ElitePad and Retail Jacket, mPOS allows sales associates to scan bar codes and swipe credit cards. The result is a fast and frictionless buying experience, with employees empowered to complete purchases and check inventory from the sales floor, allowing customers to skip the checkout line. RPOS systems also enable retailers to integrate in-store and online channels by tracking and maintaining inventory simultaneously. 1 Digital Commerce 360. Innovation Journal Issue Ten of Americans indicate that, all things being equal, they prefer buying from physical stores to buying online.