According to news I have been reading, the current financial crisis is responsible for a change in customers’ behavior and it has slowdown consumer spending. The future retail stores need to adapt to changes that are going to define who can survive in the market in the next decade.
Providing fast and quality service along with the ability to attune to individual taste will be vital. Retailers may need to change their business models significantly.
Retailers must adapt to a number of changing factors:
1.The new generation of consumers contains more tech-savvy and more diverse groups with different values if compared to the previous generation .
2.The one-size-fits-all approach of the mass market chain store format will not be a viable one. Stores able to respond to individual tastes will become dominant.
3.The belief that bigger is better will break down—aggregation of small will be the new big. The new consumer will be more intent on quality than quantity. Mass production models will not succeed.
4. Ability to keep close contact with customers through mobile devices will be important to maintain quality of service and product as well as receive customer feedback.
5. The still large group of Baby Boomers will remain active in the economy. However, their demands will shift from goods to service and healthcare.
6. Retailers may also expand in developing economies. These growing markets have much more room to expand along traditional modes than developed nations. “
The future retailers need to react quickly to consumer trends, to treat the client as one single person (personalized services and products), make fast contact , personalised offers and be technologically updated; mobile devices are going to be one of the most important communication tools.
More at http://www.pwc.com/en_US/us/retail-consumer/assets/retailing_2015.pdf