NEW YORK — Today’s retail environment is continuing to evolve, so understanding consumers’ expectations is more important than ever. With the convergence of supply chain, digital technologies and other innovations, convenience will become an even more crucial piece of the puzzle for retailers in the year ahead according to Deloitte’s 2020 Retail & Distribution Industry Outlook, released Wednesday.
Key highlights from the report include:
- Uncertainty looms in 2020: With economic factors playing a significant role in the retail outlook over the next year, including a possible recession and potential fallout from tariff tensions, retailers should have a flexible game plan that can be adjusted as needed.
- Growing consumer expectations bring tough choices: Given the rapid pace of technological advances and social transformation, expectations for outstanding customer service and experience are now being set by those outside the business. To stay competitive, many retailers must make a difficult choice on what products to offer to remain profitable.
- Digital and brick-and-mortar continue to merge: In 2019, we saw digital natives embrace a move to physical stores, while traditional retailers rolled out digitally-powered physical stores to better enhance the in-store experience and engage with customers. In 2020, retailers will need to up their game with stores that can help deliver more convenience to the consumers’ order fulfillment journey.
The full 2020 Retail Industry Outlook is available for download here