4 Surprising facts about retail’s new entrepreneurs

SAM BERNDT | October 18, 2018

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You likely know that retail is evolving. Retailers are increasingly engaging in new forms of customer engagement, new store concepts and bold new forms of virtual and augmented shopping. What you may not know, however, is that this new class of retail entrepreneurs looks and thinks a little differently from those before them. Using new data from the National Retail Federation’s 2018 Small Business Owner’s Survey, here are four ways new retail business owners differ from their more established peers: Online engagement is the primary focus. As recently reported by The New York Times, retailers that succeed are more likely to embrace online and enhanced customer experiences. Data shows that 54 percent of all retail small business owners are either exclusively online or have an online presence. When looking just at new business owners, that percentage climbs to 63 percent.

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The Retail Network

The Retail Network, founded in 1990, has established a reputation as one of the retail industry's premier executive search firms. Our record of connecting talented retailers with top-notch companies is unmatched. We have worked closely with some of the nation's leading retail organizations to provide them a constant, dependable source of retail talent and will continue to do so as the industry continues to evolve on a regular basis.

OTHER ARTICLES

How Amazon’s Cashierless Tech Will (Or Won’t) Change The Physical Retail Landscape

Article | March 11, 2020

The advance of Amazon’s cashierless technology is not a new story to the retail beat as of 2020. Since the first AmazonGo retail location opened in early 2018 with its much-hyped walk-in, walk out retail technology designed to make the line at checkout a thing of the past, Amazon has been slowly but surely expanding the technology’s footprint there are now 26 Go stores in operation in the U.S. with new openings scheduled for New York, Chicago, Seattle and San Francisco on the agenda for his year. And, as of reports two weeks ago, cashierless tech is breaking out of the small footprint, convenience store-esque locations that are Amazon Go stores. As of the end of February, Amazon announced the tech was making its full-fledged grocery debut in the form of Amazon Go Grocery stores.

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Retail ,Wholesale Trade,Ecommerce,Retail,E-commerce,point of sale.

Article | March 11, 2020

Last July, a small group representing the giants of the tech industry gathered in the seat of US government, Washington DC. They probably didn’t want to be there. Congress had summoned their employers Apple, Facebook, Google, and Amazon to answer questions about the command they hold over the markets they operate in. On Amazon’s behalf, associate general counsel Nate Sutton spoke in defense of his employer’s role in US retail. Throughout, he argued that Amazon isn’t so powerful as to be able to control prices and stifle competition. Amazon, he pointed out, makes up less than 1% of retail globally. In the US, it accounts for around 4% of retail. In fact, Walmart is much larger than Amazon, he said. In terms of sales, Sutton is right. Walmart reported $510 billion in total sales across its US and international segments in the 2019 fiscal year, versus Amazon’s $233 billion in roughly the same period.

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POS SOLUTIONS

Getting smart about payment terminals

Article | March 11, 2020

For many years, payment terminals have been a vital tool for businesses that complete their customer transactions in-store. The familiar hand-held devices have reliably taken card payments and offered simple additional services like mobile phone top-ups, cashback or electronic tipping solutions. However, with recent technical innovation, boosted by the urgency surrounding Covid-19, the humble payment terminal is shedding its hard exterior - no longer is it, as some would argue, simply a commoditised, hardware-based necessity. As many within the payments space have predicted, the payment terminal is truly becoming a digital enabler and vital pivot point of modernisation for any business that accepts electronic transactions. The Android Operating System leads the way Today, payment terminals come in many forms. Though the traditional, handheld counter-top devices remain, many businesses now use off-the-shelf smartphones or tablets enabled with SPOC and CPOC technology. Regardless of their physical form, truly modern payment terminals share a commonality – enhanced functionality which allows businesses to update and adapt quickly to changing performance, environments, and customer needs. The Android operating system has been at the centre of a latest wave of innovation, facilitating the rise of mobile payment devices - pushed hard by the likes of Visa - and supporting the budding versatilities presented by Open Banking and PSD2 initiatives. Combined, this new choice and flexibility has the potential to deliver significant advantages to businesses deploying Android point-of-sale (POS) solutions. These include integrated EPOS, strong authentication, and an array of alternative payment methods such as bank-to-bank payments, QR codes and even crypto currencies. It’s about more than being just Covid-ready Getting the timing right to make adjustments and improvements is now a focus for businesses across the UK as we start to emerge from Covid-19 restrictions and resume face-to-face interactions. The conventional payment terminal can play a central part in engineering the essential adjustments needed to create a Covid-safe environment – the new £100 contactless limit being the most obvious example. However, functionality provided by the latest payment terminals allows businesses to do more than just make their premises Covid-ready. For more commercial gains, payment terminals running on the Android OS allow for this same POS functionality but combine it with other essential business systems such as stock management, visual itemisation, and centralised booking systems. As well as providing greater visibility of a business’ health and finances, more information also means friction points such as wait times and queues in store can be better managed. More data about customer behaviour also makes the in-store experience more customisable, for example, businesses can use this data to identify their busiest periods, explore seasonal changes or test new product lines and structure their staff planning and stock levels accordingly. Coupled with more vital operational efficiencies, payment terminals can allow for a speed and flexibility of payments that can directly enhance the bottom line. As the pace in retail environments ramps up to match that of the pre-Covid days, meeting new customer expectations and new environmental changes will be critical in staying relevant. An ability to accept the latest types and methods of payment could actually play a part in helping a business survive through difficult economic times. Bolstering cash flow will also take on added importance as businesses rebuild. Payment terminals powered by better internet connections mean transactions are already faster, but internet speed alone is not enough. Today, terminals can be updated in ways that allow merchants to process those transactions faster still and get funds deposited into bank accounts in batches throughout the day, often completing within the hour. Payment terminals and Big Data With data becoming the bedrock of all modern businesses, it is the Android operating system’s ability to generate such an impressive wealth of data that adds to its compelling proposition. The value of Big Data and analytics to filter large volumes of information and uncover actionable insights is well known to the business world. Useable information can help leaders learn about their customers, make better decisions and, ultimately, produce more revenue. Customer data, for example, makes it possible for a business to learn about the buying behaviours of an individual customer or of defined customer segments. When a business knows the time of day (or night) their customers shop and what type of purchases they make, it becomes easier to plan when inventories are stocked and with what items. Android payment terminals can provide data in a way that offers easy visibility of key trends and which specific hours of the day produce the most sales, allowing businesses to investigate possible reasons and react accordingly. Such knowledge can then be used for a variety of purposes including the ability to upsell to future customers with greater success and the tactical arrangement of items in store. Crucially now, it will also enable businesses to maintain a Covid-safe environment by planning ahead for in-store activity and capacity limits. With hundreds of applications already available to download from the app store, it’s important that SMEs are able to use this scale of choice to their advantage rather than become overwhelmed or distracted by it. Indeed, by taking the time to explore the apps available, smaller businesses can find the tools which allow them to level the playing field by bringing their operational efficiencies in line with larger brands and by leveraging the solutions that allow them to compete on customer service.

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Retail's secret weapon: Order fulfillment optimization

Article | March 11, 2020

The start of a new year is the perfect time to reflect on the past and prepare for the future. While holiday 2019 was another record year for retail sales, brands faced some serious challenges when it came to a shortened shopping window and the ever-growing consumer expectations around timely, accurate, and convenient deliveries (and returns). Some may believe these woes to be behind us now that the holidays are over, but the potential for spikes in product demands remains throughout 2020 leading into next year's holiday season. And if history has shown us anything, it's that now is the time for retailers to implement the right processes and technologies that ensure seamless and positive customer experiences, or risk ongoing negative impacts to the bottom line.

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Spotlight

The Retail Network

The Retail Network, founded in 1990, has established a reputation as one of the retail industry's premier executive search firms. Our record of connecting talented retailers with top-notch companies is unmatched. We have worked closely with some of the nation's leading retail organizations to provide them a constant, dependable source of retail talent and will continue to do so as the industry continues to evolve on a regular basis.

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