Retail media and improvements in efficiency are among the global retail trend predictions from international insight provider IGD.
In a new report, IGD’s team of global insight leaders outline five trends that are set to shape the retail market in 2024 and beyond:
- The Efficiency Imperative Retailers globally are looking to low-tech and high-tech ways to reduce wage bills and drive improvements to enhance efficiency. Even marginal gains can add up to big savings.
- Media Matters Retailers media is already a major source of high-margin incremental revenue thatis anticipated to grow over the coming year.
- Unleashing the promise of technology Retailers chase efficiency, personalised experiences, and profitability, but grapple with implementation challenges. A disparity is emerging between larger retailers with resources to invest and smaller players, posing a formidable competitive gap.
- Health: strategies for a fitter future New policy, legislation and ‘health by stealth’ continue to be vital ways to improve the future prognosis. At the same time, there are many opportunities to align with consumer needs and positively champion different aspects of health.
- Sustainability: time to deliver – Retailers will try to inform and educate shoppers to get them to purchase more sustainable products and services. They will do this through in-store and online messaging, using digital media and running campaigns, along with price, promotions and incentive tactics.
Toby Pickard, Retail Futures Senior Partner at IGD, said: “This year, the inflationary backdrop in most major markets remains on our minds. It is a considerable challenge, driving up the cost base for retailers and suppliers and pressuring shoppers’ income.
“This has led to an intense focus on costs, improving efficiencies and delivering value to consumers in new ways. It has also led to retailers investigating new sources of revenue and profitability. These initiatives are helping retailers reset the cost base and develop go-to-market models for the future.”
IGD’s Global Trends 2024 report can be download for free here.
