3 Software Trends to Rule the Retail Game

It's no secret the retail industry is always changing. New software is constantly being introduced, and merchandisers have to decide which technologies to implement to help jumpstart their merchandising strategies and leave their competitors in the dust.

Although it can be confusing, there are certain technological trends emerging in the age of digital business that are surefire ways to improve the way retailers do business. Merchandisers who want to stay ahead of the game should make sure they're utilizing mobile technology, managing their supply chain with CRM software, and implementing automation.

Mobile tech is a must

Sixty-four percent of U.S. residents own a smartphone, according to the Pew Research Center. That's hundreds of millions of opportunities for new business if merchandisers strategize effectively. Consumers are increasingly bombarded with advertising as they walk down the sidewalk, take the subway, or ride in an Uber, which means marketers have to find a way to get their message to stand out above all the noise. 

Using mobile CRM technology, marketers can learn a wealth of information about the individuals who use their products. From a detailed purchase history, to the condition of each sale - such as whether there was a sale going on at the time of purchase - and the quantity of each purchase, merchandisers have the ability to know the preferences of each and every one of their customers. Merchandisers can use this information to demonstrate to retailers the value of their products in their stores. Using sales data to show a retailer how popular a certain product is will make it more likely that a retailer will make another purchase or increase the quantity of their next order.

Beacons are an efficient replacement for newsletters and emails that many consumers aimlessly scroll through or ignore altogether. They can also easily replace coupons, which consumers either lose or won't go through the hassle of printing to use. In a world where consumers are constantly on the go, it's critical for merchandisers to be able to reach out to them anytime or anywhere. Merchandisers can use beacons, which are mobile alerts that are sent to consumers who have downloaded a brand's mobile app, that detail new promotions, products, and up-to-date brand information in short, easily digestible news blasts. These notifications are sent out when consumers are close to a brand's retail store, or even while they're shopping in-store, allowing merchandisers to reach people at the time when they're most likely to make a purchase.

"We're seeing that as consumers become more comfortable and at ease with technology, they're willing to provide information to retailers in order to continue to capture discounts and incentives on the go," Brian Meier, director of strategic merchant relations at Discover, told Payment Week.

This merchandising tactic falls perfectly in line with current consumer demands. Forty-nine percent of consumers want access to customized information based on their location, according to a 451 Research study. But merchandisers need to implement technology into their strategies from the beginning.

Simplify the supply chain

For retail merchandising software to be effective, it needs to unify all aspects of a brand's supply chain: the warehouse, transportation, and retail. Employees can use CRM software to take a more accurate inventory of products at every level of the supply chain. Warehouse managers can use it to keep track of how much inventory is available. Distributors can make sure they have the right amount of product with them, and retailers can analyze which items are in high demand and which ones aren't selling well. From there, merchandisers can adjust their orders from the warehouse and cater more efficiently to their customers.

As CRM software continue to improve, merchandisers will not only be able to analyze consumer trends from in-store purchases, they will also be able to use data mined from a brand's social media websites, Modern Materials Handling reported. Merchandisers can create an even more tailored experience by gathering social media to find out what a brand's customers are yearning for in real-time updates. 

To measure how successful a business' social media efforts are, merchandisers can analyze data from their CRM mobile software with their leads from social media  to determine how many of those people were converted to customers.

Automation is the future

Automated systems - particularly at the warehouse and manufacturing level of the supply chain - are becoming increasingly popular as technology gets better. In the food and beverage industry especially, this is not only a cost-saving measure, it has been proven to increase product quality, according to Food Engineering magazine. Food and beverage merchandisers benefit from automation in several ways, far beyond simply making it more efficient to produce items. 

Using a CRM system, food merchandisers can organize food quality and safety documents, in addition to easily keeping track of a company's inventory, all in a cloud-based system managers access in real-time. This saves time and resources that would normally be used to take inventory by hand.

"In order to perform well, processors should practice internal document control, record collection and management, internal audit scheduling, execution and management, supplier auditing, document and record collection and management, end-to-end batch traceability, reporting and analysis," Andrew Kennedy, co-founder of software company FoodLogiQ, told Food Engineering magazine.

With enough preparation, integrating technology into everyday merchandising practices can reap huge rewards for brands in the form of closer relationships with retailers, streamlined supply chains, and increased revenues.