Relevance, agility take center stage at Stoptalk 2023

What this means: Shoptalk 2023 signaled that retailers and brands recognize that, in order to keep up with a sophisticated and fast-moving consumer, playing it safe is no longer adequate and will result in falling behind. The curtain has fallen on Shoptalk 2023 in Las Vegas, but the excitement around the retail industry is only just beginning to take shape. This year’s show centered around the theater of retail, and as the industry looks ahead beyond the landscape of the pandemic, brave and bold strategies are emerging to meet the demands of the ever-evolving U.S. retail consumer. The industry is poised to shape its future by combining the power of technology and data while celebrating the joy of shopping and the excitement of everyday occasions. Here are some of the recurring themes woven across Shoptalk’s sessions and exhibit hall, signaling what might be taking shape in retail during the next few years: Relevance The U.S. consumer has more choices than ever before when it comes to where they shop, how they shop and what they buy. Cutting through the noise to reach consumers is increasingly complex for brands and retailers to reach their shoppers and keep them engaged. Staying relevant in retail is a daily obstacle, and brands are investing in ways to build community, engage directly with consumers and stay top of mind. Brands are embracing short-form video, social selling and eliciting emotional responses from consumers to drive purchasing. The industry is also focused on aligning purchase occasions with related experiences like travel, special occasions or entertainment to entrench themselves into consumers’ daily lives. Building relevance means fostering the cycle of discovery, desire and conversion for consumers at retail, while embracing new selling and marketing strategies. Agility The pandemic changed many things about the retail industry, but probably the most important was the speed at which consumers evolve and adapt. Between the acceleration of retail trend curves due to TikTok or faster adoption of digital platforms, consumers are evolving at a rapid pace, and their tastes and needs are changing just as quickly. The need for agility in retail has never been greater, and retailers and brands must be able to improve speed to market, in-store enhancements, and react to real-time data and differences in local markets. Agility also means that retailers cannot shy away from investments in new technologies and innovations or they will fall behind their consumers quickly. Many brands recognize they don’t currently have the infrastructure or tech stack in place to deliver against these new demands, but are structuring business operations to become more agile across all departments. Monetization of data Retail media was present across Shoptalk, but it’s only one piece of the larger story about data monetization at retail. Retailers now have the option to sell, rent or use their first-party data to better reach shoppers and partner with brands to drive higher conversion. But, looming unanswered questions arise about data privacy and the shifting balance of power between brands and retailers. Data is the new currency of marketing in retail, but programs like retail media networks represent a shift in where marketing dollars can be spent, not necessarily an entirely new opportunity. Honorable mention: The buzzword of the show was “generative AI,” which powers popular tools such as ChatGPT. Generative AI is at its core a creative outlet for AI, which can power personalization, customer service and research. Retailers and brands were ecstatic about how generative AI can improve the customer journey and experience in all touchpoints. What’s next: Relevance, agility, data monetization and generative AI are all themes that will transform the industry during the next year as retailers look to spur consumer demand despite economic headwinds.

Monthly
Subscription

TRIAL
SUBSCRIPTION

ANNUAL
Subscription

Monthly Subscription

TRIAL SUBSCRIPTION

ANNUAL Subscription

Monthly
Subscription

TRIAL
SUBSCRIPTION

ANNUAL
Subscription