- “But AI is changing all of this, and adding tools which make the arsenal owned by e-commerce companies look archaic. Many malls in India and abroad are already adopting AI services which allow them to learn who the customer actually is.
- The cameras installed in the malls are performing face recognition, and matching it back to the available database, where very rich and contextual information is stored about the customers.
- Companies like Inkers are providing advanced retail analytics to offline retain chains which can tell retailers whether the customer walking in is a high-value customer or not, or whether he/she is walking in with the family, or the kind of stores visited prior to visiting their store, or even whether they came in a luxury car or simply walked in.
- AI is bringing a new battlefield for the e-commerce players and AI analytics are helping offline retailers fight back.
“’Retailers have been in need to make their brick-and-mortar stores function more like websites; connecting touch-points across channels by gathering, interpreting and translating omnichannel analytics into real-world solutions on the sales floor,’ said Oded Edelman, chief digital innovation advisor at Signet Jewelers and president of JamesAllen.com. “We quickly recognized how Mystore-E can help close this gap and we are excited to partner with them.”
Mystore-E, an AI-based retail intelligence solution already operating in top retailers in Israel, recently secured seed funding of $2.2 million, led by Signet Jewelers.”
- How to compete with Amazon
- Win through direct to consumer model: Casper Mattress, Warby Parker glasses
1) Good Value
2) Easy Returns
3) Utilize data – “Data is the new oil”
4) Simple Marketing – Mobile First, Social, Content; “Don’t buy media, create media”
5) Adopt New Tech Early
– Messaging apps are the new internet
– Augmented reality
Fast-forward to interesting points:
7 min – Friction and UX
10 min – Retail jobs eliminated 7M
30 min – Example – Friction in pizza business
“As is clear from the chart above, online shopping is shattering ceilings. And the disruption runs deeper than productivity, says Stern’s Kleinberger.
- Big-box stores also aren’t aligned with how younger consumers shop, he says. In a March 2017 eMarketer survey, 78% of 18-29 year-olds said they prefer to shop online.
- Online shopping has only 9% of the overall retail pie, but some product categories have seen much greater penetration. Amazon has about half the market share for print books, toys and baby products, for instance.”