Retail, or the sale of goods and services, is booming despite the inflation and social turmoil we are experiencing. More and more retail businesses are offering attractive products and services to attract customers from all walks of life.
So what can help you stand out amid all the competition and changing consumer preferences? Staying up to date with the latest trends in the industry, of course. Let’s explore some macro and micro retail trends in 2023.
What Are Macro Trends?
Before we dive into the topic, let’s explain what macro trends are. Macro trends in retail can be described as a shift in consumer behavior that can reshape businesses online. For example, one macro trend we’ve seen in the last years is the rise of online or eCommerce stores as more customers turned to online shopping amid the pandemic. In fact, in 2022 alone, over 58.4% of users across the globe reported making a purchase online weekly.
Other macroeconomic factors that can affect retailers and consumers include the availability of investors, inflation, media, workforce, social environment, and technology.
Global Macro Trends to Explore on Your Way to Success
So how is retail changing and what can we expect beyond 2023? As stated above, moving online is perhaps the leading retail trend of 2023. As per Insider Intelligence, eCommerce sales are almost one-quarter of total retail sales, accounting for around $6.169 trillion.
That’s not all! Other macro consumer trends that can influence the industry are the need for personalization, sustainability, and flexible payments. We should note that these trends can unfold not only in the retail industry but across sectors such as medicine, education, data management, leisure, and more.
2023 Retail Trends to Stay Tuned With
Now let’s explore some macro consumer trends that are specific to the retail sector. Below we will briefly explain 5 booming trends:
- Responsible consumerism: Today’s consumers demand sustainable policies. Thus, more brands are trying to ensure their shoppers have access to environmentally-friendly products and services that can help the community. Besides, big and small retailers go further and try to provide funding to local initiatives and green causes.
- Need for high-quality products: It’s not only sustainability but high quality that shoppers demand. Many users are searching for high-quality products that are not associated with any exploitation of personnel. Actually, some users go for private labels instead of pricey but often poor-quality brand names.
- Social media as a driver of change: Given the rise of eCommerce practices, social media will definitely continue to play a crucial role in business settings in 2023 and beyond. Interestingly, data show that by 2024, retail media spending might exceed $60 billion. And guess what! Even B2B can take advantage of channels like TikTok.
- AI tools and interactive experiences: With the rise of AI, more companies are willing to implement AI tools to support their operations. One way AI can help is by automating processes, especially after the exodus of workers and the notorious layoffs in 2022. Did you know that over 4 million US workers quit last year? Another way to use AI is to complement AR technologies and provide interactive experiences. Brands like Nike, for example, are among the companies that are embracing AR and metaverse-ready products to help people stay engaged. Why? Because data provided by Gartner shows that ¼ of users will use the metaverse by 2026.
- Omnichannel shopping: While eCommerce is on the rise and the days of big malls are fading, physical stores are here to stay. In fact, companies are investing in micro-retail stores and strategies to help more people check products sold online and create local events. Yet, safety remains a priority and more stores focus on self-service options – with flexible payments being highly in demand. In-store appointment bookings and contactless terminals (projected to reach $40 billion by 2026) are also on the rise.
How to Boost Your Retail Growth Strategy
So how can you take advantage of these trends and the changing consumer behavior we are witnessing in order to stay ahead of the game?
- Be prepared: Make sure you provide services that align with your customers’ views. When it comes to sustainability, for example, a good idea is to cut waste in packaging. Also, provide fluid pricing to help customers and make sure your inventory is top-notch.
- Improve logistics: Ensure your delivery offerings are competitive. Make free and same-day delivery the norm for your business. Do not forget that 70% of shoppers do not engage with a retailer that doesn’t provide transparency about delays and issues.
- Stay connected: Leverage your technology and services to offer 24/7 customer support, including chatbots, and interactive experiences. Do your best to create an excellent media presence to attract customers from different generations.
- Improve payments: Create convenient check-out options. From self-checkout methods to consumer financing (e.g., installment loans), make sure you support your customers at every step of the way, which can lead to higher satisfaction and repeat purchases.
- Perfect personalization: Show your customers you care and ensure they have a personalized experience when shopping. From targeted ads to attractive coupons, show your buyers that they are more than numbers but partners in your business success.
Macro Retail Trends 2023 | What’s Next?
It’s hard to say how the retail industry will change amid the supply chain vulnerability, inflation, and political instability of 2023. However, experts predict that the retail sector will continue to grow supported by novel payment technologies – with customers being at the center of this exponential growth.
And there’s one thing that’s certain! Tarya Fintech is here to help you implement such novel technologies and stay competitive in the years to come. Join NOW!