Over the past decade, e-commerce has transformed the retail value chain. With location becoming less important and price transparency increasing, retailers face intensifying competition from a growing set of rivals. Meanwhile, manufacturers have begun building their own relationships with customers, technology is enabling completely new types of business, and “last mile” delivery is becoming ever more important. In this changing competitive landscape, what is the role of a retailer? How can they ensure they are still relevant to customers in ten years’ time?
While physical stores can still be a valuable asset, and offering low prices or great service can still attract customers, these traditional strengths won’t be enough to defend market share in the long run. Retailers in all sectors and geographies will need to identify new ways to win and retain customers. And to achieve this, they will need to transform themselves into more adaptable, innovative organizations.
This article discusses the changing retail landscape in more detail, and suggests some ways retailers can meet the challenges it presents.
