Point of Sale Digitization

Most consumers today use online and stationary retail selectively. This means that they choose whether to buy online or stationary depending on the situation and needs. Only one-third of the population in Germany count as traditional retail shoppers, preferring to buy over the counter.

This consumer behavior has three direct effects on retailers:

Visiting a stationary store is no longer a requirement automatically set within the minds of consumers. Online retailing offers an alternative shopping option with great potential. Thus, customer frequency in stationary stores is overall declining.

Customers leave behind a great deal of data online, which can be automatically analyzed and used in recommendations for cross-selling and upselling. This is additionally perceived by the customer as added value and not as a problem.

Consumers who shop in brick-and-mortar stores have high expectations of retail stores. For online purchases, consumers are accustomed to extensive assortments, details, and a simple as well as convenient product selections. Thus, they are increasingly demanding the same from brick-and-mortar stores.

Retailers face the enormous challenge of meeting customer’s expectations in their local stores as well. In addition, consumers are well informed in retail stores and have constant access to knowledge and comparison offers thanks to smartphones. Sales staff must be prepared for this and also be very well informed in order to meet the customer’s expectation of an expert for the product to be purchased. Only then can competent advice take place at eye level, which is seen as added value by the customer. Digital technologies in particular can provide sales staff with optimum support and bridge barriers to customer demands.

Retailers – especially small and medium-sized businesses – face major challenges in implementing this:

Digital services at the point of sale support staff in providing advice, satisfying consumers’ need for information, improve the brand experience through personalized experiences, and can integrate other digital channels in a targeted manner. Digitization does not replace advice in this regard, as two out of three consumers believe that the best digital services are of no use if in-store advice is poor.

Meaningful integration of brick-and-mortar stores into cross-channel sales is the trend in retail. This allows retailers to grow more efficiently, reduce costs, and increase customer satisfaction in the process.