The Digital Landscape

 

QUESTION 1

Ali Baba's Latest 2020 retail strategy

Jack Ma, the founder of Alibaba, realized that the destiny of retail will not be a contest between offline and online shopping. Those two choices cannot be the only ones available. The new retail model is predicated on the straightforward assumption that e-commerce will not come to completely dominate the retail industry in the foreseeable future. Instead, it will involve the digitization of every type of commercial transaction. Not only will new customer engagement be required for successful retail, but so will an overhaul of the complete value chain. It's a digitalization of the complete stack. Retailers will have the opportunity to design supply chains that are more intelligent and adaptable, and which can manage inventory across both traditional and digital channels. At the very same time, data will play an even more significant role than it has in the past when it comes to the development of products. Retailers and manufacturers will start viewing everything through the prism of how it will enable technology, how it will affect their business, and how it will affect their customers (Khan and Tariq, 2021). Alibaba is the company that runs the major e-commerce networks in China and says that more than half a billion people shop on its many marketplaces. Brick-and-mortar retail still dominates more than 80 percent of overall retail sales, even though China has the highest prevalence of online sales of any country on the planet. Even though it is still in its infant stages, Alibaba's new retail model is already showing signs of being a paradigm shifter in the retailing innovation scene. Alibaba opines that its Hema Supermarkets are "vibrant and lucrative" in their respective markets.

Hema has the potential to more than quadruple the normal profit margins of typical supermarkets and hypermarkets, which are typically between 2% and 4%. The company claims that the fact that it allows consumers to shop in both its physical and virtual locations contributes to an increase in the consumers' overall monthly spending (Khan and Tariq, 2021). People who purchased at Hema both online and offline invested an average of 575 yuan per month, which is significantly higher than the less than 300 yuan spent by people who shopped exclusively online or exclusively offline. Alibaba knows anything you've bought as a consumer. Therefore, it records that information and stores it so that when you shop again in the future, you can have the same things delivered to your door. It's possible that one of the most important pillars of Alibaba's approach is to help individuals feel more at ease placing orders online. The personalized physical space is the next great revolution in retail, and Hema may very well be the single biggest analogy of this invention that exists anywhere in the world right now. In addition to grocery stores, Alibaba is also making the process of buying a car less stressful. You can purchase a vehicle from one of Alibaba's automated automobile vending machines in China as part of your New Retail experiences there (Kumar and Venkatesan, 2021).  The days of having to spend hours with a chatty salesman and scheduling appointments have long since passed. Only when you are ready to purchase something should you set up a meeting with a dealer.

QUESTION 2

The major technologies of 2020 are the following:

Bluetooth beacon

A Bluetooth beacon is an extremely low-power wireless device. It acts similarly to a lighthouse in that it constantly broadcasts a signal for other devices to pick up. It doesn't shine brightly like a typical light bulb, but rather sends out a radio signal that contains numerals and letters at frequent intervals (Gillpatrick et al, 2019).

Advantages

·         The machine can offer better quality outcomes.

·         Productivity and accuracy in the process (Pitt, 2019).

·         Easier data collection for daily reports and work analytics.

·         Happier Employees sharing jobs with robots

Disadvantages

·         Need a new business model to accommodate new jobs and training for the low-skilled labor.

·         Lack of efficiency and prohibitive cost.

Facial Recognition technologies

An individual's identification can be verified or established through the use of facial recognition. People in images, films, or instantaneously can all be identified with the use of facial recognition technologies (Kahn et al, 2018).

 

 Recognition of an individual's face is a form of biometric protection. Additionally, voice recognition, fingerprints scanning, and retina/iris scanning are also examples of biometric software. There is growing interest in applying technologies outside of security and law administration.

Advantages

·         Helps in better security measures in banks

·         Protect against business theft

·         Makes shopping efficient

·         Helps in reducing human touchpoints

Disadvantages

·         Threat to societal and individual privacy

·         Violation of personal rights

·         Helps in vulnerabilities of data

Auto Checks

This technology consists of the machines that are used for automated checks in any particular industry in any kind or form (Kahn et al, 2018).

Advantages

·         Helps in saving time

·         Faster feedback cycle

·         Better insights

·         Improvement accuracy

Disadvantages

·         Very expensive technology

·         Limited to only a few organizations

·         Requirement of extra skilled and trained staff

Smart Mirrors

There is a digital screen behind the mirror glass, and it communicates with your smartphone via Bluetooth or Wi-Fi. Time, date, headlines, predictions, and traffic updates are just some of the things that can be found on this screen (Pitt, 2019).

Advantages

·         Can be used for its safety and appearance.

·         Helps in the administration of makeup.

·         readily access the information given to it.

Disadvantages

·         Expensive technology in the shape of equipment gadgets.

·         Many different technical issues.

·         Image perception will be distorted.

Robot Assistant

A robot personal assistant is an AI system that provides practical assistance with mundane domestic duties. Numerous tasks can be accomplished with the help of these handy household adjuncts. They are made to relieve you of the burdensome responsibilities you face regularly, such as keeping track of your schedule or remembering important dates like anniversaries and birthdays. Smart robots can swiftly and easily adapt to your desires after being set up (Pitt, 2019). The vast majority can be used immediately after the initial pairing with the corresponding mobile app.

Advantages

·         Helps in controlling the extreme environment around the specific place.

·         Helps in the replacement of human labor.

·         Creating more jobs for the robotic industry

Disadvantages

·         Safety hazards

·         Reduction in jobs of low-skilled workers

·         More expensive than human labor

QUESTION 3

Supermarket 2020: Vision of Future

The behavior of customers is shifting; thus, the supermarket must adapt to remain competitive.

 In the grocery store of the year 2020, there ought to be a greater degree of connectivity between the shoppers and the proprietors of the market. While multi-channel platforms make it possible to have seamless transfers and self-defined limitations in all aspects of life, the advanced grid gives people more authority over their lifestyle choices and helps shape those choices. In Turkey, more than sixty percent of the population conducted online product searches in the previous year. It is quite clear that businesses need to transition to a user-centered strategy, move to areas where individuals are, and adapt their marketing messages to many devices (Bottcher et al, 2021). Citizens Of other countries are culturally receptive, mobile individuals who are also market influencers who are "digitally native" and are establishing appropriate norms in many aspects of life. Companies are required to deliver National Capital and 'real' brand experiences that promote trust and make it possible for communities to thrive to participate in A Real Thing. People are interested in knowing and experiencing the specific reasons why they need to communicate with you.

People will interact with brands and businesses that are creating a positive change in the world since that is what everyone wants—a better world—and businesses, not governments, need to be the driving force behind a sustainable society. Because excessive consumption has prompted a focus on "Well-Being Economics" and is already shaping our choices, Intelligent Health solutions need to be incorporated. It's not about getting more of the same thing; rather, it's about getting something better. In the end, all of these movements contribute to our yearning for "The Good Life," a state of being in which we challenge traditional standards of achievement and contemplate ways in which a society can become more joyful. Statistics have shown that cheerful people are more involved, more concentrated, and up to fifty percent more productive than their less happy counterparts (Kaur et al, 2020). This is something we already know to be true. It is time to contribute values from both the left and right sides of the brain to form a constructive future vision.  It gives a visual foundation of insights, which enables us to understand issues and opportunities on a global as well as a local scale.

We believe that the shop of tomorrow will have a variety of elements that are centered on the client, as the retail stores of today are no longer appropriate to suit the requirements of the clients of today. The traditional department store is undergoing a radical makeover as a result of the rise of multi-channel and convenient shopping (Naseri, 2021). In a reputational economy, where businesses have to work even harder to be seen and trusted by consumers, complete transparency has emerged as an absolute must. Your organization's leaders and the brand commitment you make to customers must be perfectly aligned for you to be considered an Authentic Organization. Cloud services, which prioritize adaptability and scalability, encourage the development of novel commercial and collaboration strategies that center on the discussion. Because there will be more than 50 billion gadgets connected to the "Internet of Things" by the year 2020, there will be abundant opportunities to communicate with a significantly wider audience of consumers and gain insight into the way they live (LEU and MASRI, 2021).

QUESTION 4

Localization based marketing

Thanks to its demonstrated efficacy and effectiveness, location-based advertising is quickly becoming increasingly popular. More than $26 billion was expected to be spent on geo-targeted advertising in the United States in 2019 by marketers, according to a study by BIA Advisory Services. It is expected that this number would keep growing throughout 2020 and then beyond. Based on current trends and the industry's growing trust in location-based marketing, this strategy is set to maintain its dominance in 2020. Them' location information is used in location-based advertising and marketing campaigns to offer customers more relevant and timely ads. Improved campaign participation and actionable information gleaned from customer behavior are two clear benefits of this type of marketing (Dyk and Belle, 2019). It's hardly shocking that most of your clients are always connected through a smartphone. It's true that most people openly disclose their whereabouts using their mobile apps. Here's where salespeople can make a case for their wares using location-based information from nearby mobile devices. Of course, effective marketing is crucial for every company. Although businesses work hard to ensure their advertising and promotional materials appeal to target audiences, statistics show that they are not always successful. Forty-plus percent of consumers who receive advertising messages from companies via their mobile devices view them as irrelevant and ineffective, per a study on mobile marketing. Location-based marketing is one strategy that is supposed to improve this situation.

Customers' location information is used in location-based advertising to provide them only relevant and valuable material at optimal times (Ferreira et al, 2020). If a consumer is at a shopping center, for illustration, a coffee shop might send them a notification offering a special deal. If the offer is current and relevant, the customer is far more likely to think about taking advantage of it. You may increase customer interaction with your adverts and ultimately your business's success through the use of location-based marketing. Marketers constantly strive to maximize efficiency in their efforts to reach their target audience without breaking the bank (Chaparro-Pelaez et al, 2020). One approach to do this is through hyperlocal advertising, in which customers are identifying the benefits of their intended destinations within a smaller geographic region. The area around these locations, within which a consumer would be notified, is known as a geofence, and they are often landmarks. Hyperlocal advertising and geofencing help businesses of all sizes take advantage of the fact that consumers are more likely to support local establishments. An increasing number of our settings are becoming "smart," making it simpler for businesses to contact us through our electronic gadgets and for us to remember to make purchases from or through these businesses. Since the client already has the device, the use of smart devices paves the way for improved tracking of their activities and more options to display adverts in a non-intrusive manner (Borjesson, 2021). Customers can become dependent on the company's smart devices, which is a form of self-targeting.


 

References

1.      Börjesson, P., 2021. Developing Digital Value Offerings in the Car Retailing Industry: A Customer-Centric Approach to innovation.

2.      Böttcher, T.P., Rickling, L., Gmelch, K., Weking, J. and Krcmar, H., 2021, March. Towards the digital self-renewal of retail: the generic ecosystem of the retail industry. In International Conference on Wirtschaftsinformatik (pp. 140-146). Springer, Cham.

3.      Chaparro-Peláez, J., Acquila-Natale, E., Hernández-García, Á. and Iglesias-Pradas, S., 2020. The digital transformation of the retail electricity market in Spain. Energies13(8), p.2085.

4.      Dyk, R.V. and Belle, J.P.V., 2019. Drivers and challenges for digital transformation in the South African retail industry. In Information Technology for Management: Current Research and Future Directions (pp. 42-62). Springer, Cham.

5.      Ferreira, M.J., Moreira, F., Pereira, C.S. and Durão, N., 2020, April. The digital transformation at organizations–the case of the retail sector. In World Conference on Information Systems and Technologies (pp. 560-567). Springer, Cham.

6.      Gillpatrick, T., Blunck, E. and Boğa, S., 2019, November. Understanding the role of consumer behavior in forecasting the impact of industry 4.0 and the wave of digital disruption driving innovation in retailing. In DIEM: Dubrovnik International Economic Meeting (Vol. 4, No. 1, pp. 165-176). Sveučilište u Dubrovniku.

7.      Kahn, B.E., Inman, J.J. and Verhoef, P.C., 2018. Introduction to the special issue: Consumer response to the evolving retailing landscape. Journal of the Association for Consumer Research3(3), pp.255-259.

8.      Kaur, J., Arora, V. and Bali, S., 2020. Influence of technological advances and change in marketing strategies using analytics in the retail industry. International Journal of system assurance engineering and management11(5), pp.953-961.

9.      Khan, S. and Tariq, M.U., 2021. Harnessing IoT advantages in the disruptive era: UAE retail industry. Academy of Entrepreneurship Journal27, pp.1-13.

10.  Kumar, V. and Venkatesan, R., 2021. Transformation of Metrics and Analytics in Retailing: The Way Forward. Journal of Retailing97(4), pp.496-506.

11.  LEU, J.F. and MASRI, R., 2021. Omni-Channel Retailing and Digital Business: A Case Study in Malaysia. The Journal of Asian Finance, Economics, and Business8(4), pp.403-412.

12.  Naseri, R.N.N., 2021. Issues And Challenges Of Online Shoppingactivities On The Impact Of Corona Pandemic: A Study On Malaysia Retail Industry. Turkish Journal of Computer and Mathematics Education (TURCOMAT)12(10), pp.7682-7686.

13.  Phillips, P.W., Relf-Eckstein, J.A., Jobe, G. and Wixted, B., 2019. Configuring the new digital landscape in western Canadian agriculture. NJAS-Wageningen Journal of Life Sciences90, p.100295.

14.  Pitt, B., 2019. The study of how XR technologies impact the retail industry, now and in the future.

 

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