A system that transfers data without a human to human or computer interaction over a network is known as the Internet of things. This is a simple understanding, but a lot is required to make it happen. IoT has taken the globe by a storm and penetrated every industry possible. Be it manufacturing, service, or retail. It not only increases customer satisfaction but reduces costs as well.
Specifically, IoT in retail is anticipated to cover 80% of the market by 2021. The retail market was one of the initial industries to adopt IoT. And this is seen by the whooping increase in IoT’s popularity. Here’s how IoT in retail functions. In brief, it enhances customer experience and optimizes the supply chain, and creates profitable business conditions. Here are some solutions that revolutionized the retail industry.
Digitized Shelves
Earlier, a huge chunk of time was spent organizing and keeping track of items in a retail store. With the advent of smart shelves, the hassle is gone. These shelves have weight sensors with RFID tag readers that scan items on display and stock. Shortage and misplacement of inventory are informed at the earliest. This saves time and money. Hershey’s and Walmart have implemented this system across the US.
Loyalty Discounts
Personalized discounts are a creative way to retain existing customers. IoT provides in-store sensors that track returning customers and rewards them with discounts. This happens when the customer has a smartphone near the item. They have to sign up for such discounts beforehand. Additionally, Online searched items will have an automated discount request sent to the customer if they choose to visit your store. A cool way to reward loyalty!
Beacons
Imagine if a customer receives your store’s recommendation when nearby. Will that not increase your visibility? That’s what beacons do. These are Bluetooth devices used for sending promotions and discounts as per location closeness. Stores such as Macy’s have used beacons since 2014 and even use location proximity alerts for different store segments. If you are in the beauty section, you will receive alerts of makeup products you searched online.
SCM Optimization
IoT was used earlier to track items, but it was limited. New and innovative RFID sensors can track information such as storage temperature, Transit time, etc. This leads stores towards precision and in time solutions. Retailers now have the requisite information to improve their supply chain management with IoT.
Innovative robots
IoT has made this techno-fantasy a reality. Now, you will find robots as your customer representatives, and it is captivating. This is not only fantastic but also reduces boring workload from your employees. Target has launched robots for noting misplaced items and checking inventory. This frees up human resources for enhanced customer support. Lowe’s robots even inform customers about products, offers, and discounts with ease in English and Spanish.
These are only a handful of solutions developed by IoT in retail. One can easily say that customers, retailers, and the workforce have benefited tremendously. Look around and marvel at what IoT adds to our experience.
