Omnichannel Retailing (Brynjolfsson et al. 2013)

Question 1

How is technology changing the retail landscape as a whole?

Answer 1

Technology is blurring the distinctions between traditional and online retailing (or physical and online retailing).

Improvements and diffusion of mobile computing, location-based applications, and emerging technologies such as AR are driving this blend.

Retailers will need to compete and innovate in new ways.

Breakdown old retailing barriers such as geographic concerns and consumer ignorance.

Question 2

How is technology specifically affecting the retail industry?

Answer 2

Technology is blending the key elements of physical retailers (touch and feel, instant gratification) and online retailers (wide product selection, lower prices, content). Improvements and diffusion of mobile technology and location-based applications is allowing consumers to access information anytime anywhere, they can compare prices in store, access more information and a wider range of content, then purchase a competitors product on the spot. AR can bring online exclusion content and information into the physical world, such as Amazons Flow app - point your camera at book, shows you amazon price and info about it. Stores and 3rd parties can employ more targeted promotions and improve customer due to improvements in location-based tech and applications..

Question 3

What are the 7 omnichannel strategies for success?

Answer 3

1) Provide attractive pricing and content curation
2) Harness data and analytics
3) Avoid direct price comparisons
4) Establish product knowledge
5) Learn to provide niche products
6) Establish switching costs
7) Embrace competition