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TheMobileBuzz

IoT changes Beacon technology creates an opportunity for merchants to connect
digitally with mobile customers while in-store and offer discounts
retail dynamics and promotions based on actual products being viewed. Social media
also serves to bring online visitors into physical stores for highly
personalized experiences.

obile-connected consumer Researchers believe online retailers should focus more on adopting
behaviors are changing the such technologies as machine learning, which can provide digital
rules of engagement for retail- assistance, as well as digital performance management. In the
M ers. Juniper Research Ltd. esti- latter case, measurements such as user experience, IT performance
mates that retailers will connect 12.5 billion and business outcome can be analyzed holistically, and necessary
business assets, including products, digital improvements and adjustments can be made across the platform,
signs and Bluetooth beacons, to Internet of researchers noted.
Things (IoT) platforms by 2021, a significant
increase over the number of assets connected Either way, a number of retailers have migrated to a hybrid model
today. According to Juniper, 2.7 billion assets to some extent. Many have invested in online and in-store channels
were connected to IoT platforms in 2016. As hoping to bridge both worlds for fleeting customers in search of
to which technologies will prevail in this instant gratification. Large-ticket retailers still have the advantage
movement toward connectivity, radio-fre- of time to address consumer education and financing using the
quency identification (RFID) was identified latest technologies. Juniper's white paper titled, Agile Retail in the IoT,
as one of the top technologies expected to is available for download. The IoT in Retail: Strategies for Customer
drive the IoT retail ecosystem in the com- Experience, Engagement & Optimism 2017-2021 research can be
ing years. "RFID tags, used to identify and purchased online. Visit www.juniperresearch.com for more details.
locate retail assets in real-time, are now at a
low enough price point for mass deployment
and integrate well with new IoT systems
and analytics," Juniper stated. "New services,
such as dynamic pricing or enabling promo-
tional offers via in-store digital signs are also
poised for growth."

Another factor cited was the pivotal role of in-
tegrated systems in next-generation process-
es, such as personalized retail, whereby en-
terprise software and emerging technologies
integrate with data from connected IoT assets,
researchers noted. Juniper predicts software
spend for enterprise resource planning sys-
tems that integrate this data will reach $11.3
billion in 2021, up from $1.5 billion projected
for this year. "Innovative retailers such as
Rebecca Minkoff have combined RFID with
smart mirrors," noted Juniper research author
Steffen Sorrell. "Integrating these systems al-
lows real-time information to improve the
store experience and bridge physical and vir-
tual worlds – in this case, the concept drove a
200 percent increase in sales."

Playing to dominant channel strengths
For merchants, the real challenge will be to
remain focused on the most prominent chan-
nel. In its research, Juniper analysts pointed
out that physical retail stores still have many
benefits, not the least of which include over-
coming the lack of face-to-face interactions
and sterility often associated with online
shopping.

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