Retail Trends 2021
Estimated reading time: 3 minutes
In 2021, retailers face new challenges, amplified by the impact of the COVID-19 pandemic. Here you can read the trends that have developed in the retail industry in 2021.
Short and sweet
Whether with completely closed stores, pickup via Click and Collect or shopping with an appointment with Click and Meet - retail is probably one of the industries that the Corona pandemic has hit the hardest and caused the most uncertainty. Retail open, retail closed - that's how it went for a long time. Especially those retailers who do not have online stores had to process this and catch their breath. Fall and winter goods are piling up, customers are staying away. To ensure that retailers are not left sitting on their costs, there have been repeated new bridging aids and special arrangements from the state. Nevertheless, the retail sector has been undergoing a transformation process since before yesterday, or since Corona. After all, the demands and expectations of customers regarding the retail trade have been moving at a rapid pace in the direction of certain trends for quite some time.
We have summarized the most important five for you below. So, that - pandemic or not - you can secure long-term customer satisfaction and loyalty.
The trends in retail 2021
1. connected store
The Merging digital and physical retailing is nothing new at first. However, the fact that it has become a necessity is. The exponential acceleration of this development can no longer be ignored, at least since the Covid 19 pandemic. Adaptation and rethinking are the order of the day: in order to become a Connected Store and to Closing the gap between online and offline.
The branch and online store should no longer be thought of separately. Quite the opposite: they must be organized as a unit. Hybrid sales centers are the goal, where customers can browse and shop as well as order and pick up goods via click and collect. Stores will also be linked to the online store so that orders can be taken directly from the inventory in the store instead of accessing external warehouses. And thus ultimately become a holistic and networked Connected Store.
Learn more about how you can become a Connected Store here.2. individualizationThe personal touch must not be missing, or no longer missing! Every person and therefore every customer wants to be addressed as an individual. Fulfill this wish for your customers! Because the
Times of mass consumption are long gone
. Whereas about ten years ago there was still talk of the trend towards individualized mass production, nowadays this has long since become history. What was once only to be found in luxury boutiques, for example, must now be taken to heart by every retailer!The motto "One size fits all" no longer works
. In this sense, the rules imposed by the government to let only a small and certain number of customers into the store are also a chance for retailers to renounce this motto. The dream of every customer - to have the whole store (almost) to yourself - can finally come true. Convince your customers at this very moment and you will retain their loyalty in the long term.In this context, they should also think about the embroidery word "Microsegments"
think about. With an always greater diversification in customers and target groups of the retail trade, the latter must follow the trend and align its product range accordingly.3. big data, AI & Co.Artificial intelligence, big data, augmented reality. Many technical terms are shaping the world of retail in 2021. What you need to know first is that all these technologies aim to understand your customers even better, predict their behavior and ultimately present them with exactly the offer they were looking for. A
hyper-personalized address of your customers
through those same data analyses and with the help of those technologies will put you ahead in the long run.There is no question that artificial intelligence is changing all dimensions of retail, from production to the interface to the customer, and will continue to do so in the future. With such data-based technologies
significantly increase the customer's shopping experience and thus your company's sales. In doing so, it is essential to Data processing as transparent as possible to make. Especially in the case of personal data, which is already a sensitive topic, you must inform and disclose. Because that is what is particularly important to your customers.4. omnichannelOmnichannel refers first and foremost to the
Use of multiple channels
meant. According to Adobe Research, 73 percent of consumers surveyed use a variety of channels to gather information before making a purchase. Purchase decision meet. This means for you - if you are active and represented on more than one channel, or as many channels as possible - the chance that a purchase decision will fall on your product increases by a lot.The omnichannel strategy aims to enhance the customer experience through a Cross-channel touchpoint model
to optimize the customer experience. The aim of the strategy is to enable customers to switch at will between different channels such as stationary retail, mobile devices, online applications, and social media. The Covid 19 pandemic showed just how important this is.The Total and consistent fusion of different channels
and an omnichannel strategy on which it is based is already and will continue to be a topic that occupies retailers for a long time to come.5. neo-ecologyThe megatrend came creeping, yet steadily. Today the
Awareness for sustainable consumption
almost completely arrived in society. Neo-ecology means a new value setwhich is not only found in the retail sector, but extends into every area of our everyday lives. In the retail sector in particular, however, this has a major impact - especially on purchasing behavior and decisions.Environmental awareness and sustainability are becoming a consumer trend. What this means for you: Your Zero Waste Strategy
build up and further expand. Even design products are increasingly recycled or upcycled. In this context, sustainability is also associated with high individual demands on the product range.Fast fashion is yesterday's news. Zero waste is the future. With the right strategy, you not only retain existing customers, but also gain new ones. A decision in favor of a particular brand or product often depends on whether the company behind it acts sustainably, is committed to the environment, and acts and produces ethically. Transparency and authenticity in ethical and environmental issues
have therefore become a key decision criterion for many customers since last year at the latest.You can find out more about Responsible Retail here.
Outcome: The new normal in retail
With this last point, we would like to give you an impetus - to the effect that it is not too late to accept the new normal in retail and adapt strategies accordingly. This much is certain: There are changes ahead that will bring challenges.
The most important facts that retailers:inside in their "New Normal" We have summarized the takeaways from the "key issues" that are driving your business and that you can use to adapt your strategies.
The Increasing the use of digital channels and tools by consumers leads to the acceleration of digitalization.
Short- and medium-term income losses reduce the consumer's willingness to spend and lead to a loss of sales for many retailers
Excellence in customer retention is a success factor in the present and the future - loyal customers must be retained, they help to maintain turnover
A Clear and elaborated digital and omnichannel strategy across all channels and services is no longer "nice-to-have" but essential for survival
An Efficient technical setup Massively simplifies the automation and efficiency increase in your digital communication
With Efficient campaign design across all channels and a high level of automation, customer loyalty can be ensured even during times of crisis, with positive economic effects.
Ultimately, every company and every retailer:in determines for themselves how they respond to such trends. Even though these can seem like mammoth tasks, you should always take a breath and tackle one at a time. That's undoubtedly why there are partners who can help you with the strategy and the elaboration.
Ready for the next project? Let's talk!
We will be happy to assist you in an initial consultation.