Getting purchase receipts checked at the exit of a retail store? This is a common routine for most retail shoppers. It would seem that one of the largest retailers in the world may have decided to get rid of this. At the 2024 Consumer Electronics Show (CES), Walmart-owned Sam’s Club announced showcased plans to use computer vision (CV) to digitally scan shopping carts for purchases.
This is a completely different and more elegant process than the common time-consuming process of “manual” scanning of purchase receipts by store employees. Why do more retailers need to make this change? Two words, customer experience (CX).
65% of retail consumers have stated a positive brand experience is more impactful than powerful brand advertising. In 2024, retailers must shift their focus from just ensuring they sell quality products to creating a positive CX. Brick-and-mortar retail stores are elevating CX with interactive displays and virtual try-ons. An example of this is Nike’s new flagship store in New York.
Here’s how retailers can “win the battle” for customer experience in 2024.
How can retailers improve their CX in 2024?
According to Forrester, 75% of global businesses are prioritizing customer experience. However, in reality, this is a major challenge for most organizations including retail companies. With nearly 3 million retail companies in the U.S., it’s difficult for retailers to “stand out” from competitors and build customer loyalty. The answer lies in building an exceptional CX.
Here are 4 effective strategies for retailers to elevate their CX in 2024:
- Invest in an omnichannel experience
Retail consumers are already interacting with brands across multiple channels (online and physical) and touchpoints. Through an integrated omnichannel experience, retailers can elevate CX and facilitate a seamless customer journey. Here are some CX-related points to ponder over:
- How easily can customers find information on the website?
- What are the common concerns that customers talk about?
- How easy (or difficult) is the customer check-out process?
- Leverage real-time analytics.
As retailers generate more customer data, they can leverage real-time data analytics to improve their decision-making abilities. Powered by AI technology, real-time analytics can provide retailers with valuable insights into their customer’s shopping behavior, spending patterns, and preferences.
By using customer’s feedback and suggestions, retailers can drive data-powered improvements. Based on analytical insights, retailers can customize or personalize their marketing campaigns and promotions.
- Evaluate the entire retail experience.
Be it through physical or online channels, customers start forming their brand perception right from the first interaction. Hence, retailers must focus on mapping the entire customer journey and identifying the potential touchpoints. With real-time data at each touchpoint (for example, the checkout counter at Sam’s Club), retailers can resolve any bottlenecks that can impact CX.
- Leverage technology to improve the shopping experience.
With the latest in digital technologies, retailers can effectively connect with their consumers and improve their shopping experience. For instance, retailers can leverage CRM tools to collect customer information across multiple channels. AI-powered computer vision (CV) can facilitate retail innovations like cashier-less stores, product recognition (using images), and optimized store layouts.
How Retailers can leverage Computer vision to elevate their CX
AI-powered computer vision (CV) technology can elevate the retail CX in more ways than simply automating the checkout process. Here are some ways in which retailers can leverage CV technology to improve their CX:
- Self-checkouts
CV technology is facilitating the popularity of cashier-less stores or self-checkouts. Consumers no longer have to wait in queues to pay for the products they purchase. Besides improving CX, self-checkouts can reduce the retailer’s bottom-line profits by 50% annually (on average).
- In-store traffic analysis
Camera-enabled CV systems can analyze in-store traffic and footfalls in retail stores. With these insights, retailers can observe consumer behavior and detect the “most-visited” parts of the store. Further, they can measure how shoppers are reacting to store promotions and marketing campaigns. Retailers can leverage these customer insights to personalize their offerings and messaging.
- Inventory management
Stockouts can frustrate the most loyal customers in the retail space. Online shoppers also expect accurate information about when their chosen products will be available for purchase. With computer vision, retailers can now automate inventory management, thus preventing any stockouts and providing real-time stock information to customers.
Besides, CV systems can prevent overstocking, thus saving their inventory costs and wastage. Using in-store CV systems, retailers can automatically check retail shelves for any understocked items.
- Virtual shopping
With the increased focus on personalization, more retailers are installing “virtual” mirrors in their brick-and-mortar stores. Enabled by computer vision, these mirrors are enabling shoppers to connect with retail brands.
Fashion brands like H&M, Lacoste, and Ralph Lauren are leveraging virtual mirrors to enhance their shopping experience.
In summary
The ever-competitive retail industry is constantly in the process of attracting new shoppers with an elevated shopping experience. With the adoption of CV technology, retailers can transform this experience and differentiate themselves from their competitors.
At KamerAI, our CV solutions are the “eyes” that enable retailers to understand their customers and improve their store experience. Along with AI technology, retailers can now extract relevant data-driven insights and make improved business decisions.
Are you interested in knowing how CV solutions can benefit your retail business? We can guide you. Speak to our CV experts now.
