Beyond procurement: Transforming indirect spending in retail

McKinsey

If retailers treat indirect costs as an opportunity for business transformation rather than just a procurement matter, they can boost return on sales by as much as 2 percent. Retail Insights

How analytics and digital will drive next-generation retail merchandising

McKinsey

As merchandising in retail continues to evolve with the integration of analytics and other digital solutions, merchants need to become much more nimble and ready to fulfill customer needs. Retail Insights

Who’s shopping where? The power of geospatial analytics in omnichannel retail

McKinsey

Using advanced geospatial analytics, retailers can now quantify the true economic value of each of their stores across channels—and they’re uncovering surprising insights. Retail Insights

Small Box Retailers

Strategy+Business

Target is the latest retailer to double down on mini versions of its stores -- and hopes to avoid others' pitfalls

In fresh-food retailing, quality matters more than price

McKinsey

Retail InsightsOur survey of 23,000 European shoppers reveals specific ways grocers can win in fresh fruits and vegetables, boosting sales by as much as 10 percent even in a flat market.

Retail Payments: Mapping Your Digital Destiny

BCG

Below, we take a regional look at how incumbents in retail payments can excel in an increasingly digital world. Overall, growth in retail payments revenues will be driven by account and debit card revenues. Article Monday, September 26, 2016.

Retail Banks at the Crossroad

BCG

Nearly eight years after the financial crisis, the performance of many retail banks is still disappointing investors and financial markets, particularly in Europe. In fact, retail banks have to reinvent themselves. Article Tuesday, June 21, 2016.

The Best Retailers Combine Bricks and Clicks

Harvard Business

Retail profits are plummeting. Sure enough, the Census Bureau just released data showing that online retail sales surged 15.2 But before you dump all of your retail stocks, there are more facts you should consider. percent of retail sales in the first quarter of 2016.

Navigating Retail's Last Mile

Strategy+Business

Today, retailers approach the last mile making more nuanced trade-offs among speed, variety, and convenience. The right combination entails a complex set of compromises that depend on the product type, consumer segment, shopping occasion, and retailer positioning Nearly two decades ago, the first home delivery startups focused on speed at the expense of variety -- they could get you a small selection of goods relatively quickly.

Retail Survival 101: Treating Employees Better

1 to 1

For retailers, 2017 will be remembered as the year of store closings. This article appeared originally in Customer Strategist. Nearly 13,000 stores are expected to shut their doors this year, compared with 4,000 in 2016, Bloomberg reports.

Uniqlo Addresses Retail Woes with High-Tech Vending Machines

Strategy+Business

A small but growing number of retailers and restaurants are experimenting with selling their wares through unstaffed kiosks, often linked to apps and e-payment systems

The future of customer-led retail-banking distribution

McKinsey

Customers are leading the way toward next-generation retail-banking distribution strategies. Our Insights

4 Omnichannel Examples in Retail

1 to 1

Smart retailers know that consumers expect omnichannel experiences. Even smarter retailers understand that the omnichannel goal posts continue to move. Retailers must balance business objectives with the flexibility to adapt to new customer expectations and industry trends.

Retail Sales Cannibalization

MishTalk

Retail firings continue. is attempting to right-size itself by closing 33 under-performing stores around the country and eliminating 2,000 positions, the retailer said Wednesday. In addition to the workers losing their jobs, some associates will be reassigned or transferred, the retailer said. Today, Wal-Mart announced a 2% Reduction in Sam''s Club Employees to thin middle-manager ranks. Wal-Mart Stores Inc.

Retailing in the Middle East: How to recapture profitable growth

McKinsey

Major structural shifts in the region will compel retailers to transform their businesses both commercially and operationally. Our Insights

Retail's Risky New Strategy

Strategy+Business

How to convert extraordinary behaviors into ordinary parts of your culture

Amazon Prime Day: What the real lessons are

McKinsey

But surprising insights are reshaping the retail sector. Retail InsightsPrime Day has emerged as a mammoth shopping event.

Is apparel manufacturing coming home?

McKinsey

Retail InsightsTo meet customers’ needs, apparel companies need to focus on nearshoring, automation, and sustainability.

African retail banking’s next growth frontier

McKinsey

Revenue could pick up significantly in the next five years. The region’s winners are likely to emphasize a few key themes—such as going digital first or making banking leaner and simpler. Insights on Financial Services

Retail Sales “Solidly” Flat

MishTalk

Economists missed the mark on retail sales this month by a mile. The Bloomberg Econoday consensus estimate was +0.4% in … Continue reading → Economics

A consumer-centric approach to retail banking sales

McKinsey

Scrutiny of retail banking sales practices is at a high pitch—banking leaders should also see this as an opportunity to reset and strengthen relationships with their customers. Our Insights

Today's Retail Needs Both Tech and the Human Touch

Strategy+Business

Findings from a recent PwC Consumer Intelligence Series (CIS) survey of 15,000 global consumers confirm that technology will remain central to retailers' ability to understand and predict customer behavior. But none of these high-tech capabilities would be possible without people

Retail Bank Operational and Digital Leaders Reap the Rewards

BCG

BCG’s Retail-Banking Excellence benchmarking study (REBEX) profiles the operational and digital practices and performance of 20 of the world’s leading retail banks, a group of 40 institutions chosen for their size and the strength of their capabilities. Article Tuesday, May 10, 2016.

Winning the cost battle: Success factors in digital transformations for energy retailers

McKinsey

As the battle for profitability increases, energy retailers are embarking on digital transformations to lower costs. Insights on Electric Power & Natural Gas

Wholesale and Retail Inventories Rise

MishTalk

Census bureau reports show wholesale and retail inventories jumped in November. more…). Economics

Customers Steer Digital Trends Driving Retail Bank Transformation

BCG

The return of economic growth to many of the world's markets, albeit at different rates, should help to boost the overall outlook for retail banking. Article Tuesday, May 10, 2016.

The quest for quality in fresh-food retailing

McKinsey

Here’s how retailers can make the quality investments that yield the highest returns. In fresh foods, quality is critical—but hard to define and measure. Our Insights

Retailers Give AI the Wheel

1 to 1

For retailers, customer data is at a tipping point. From image recognition to shopping assistants, many of the hot new products that were unveiled at the annual tradeshow were designed to help retailers act on in

There’s Only One Way to Break into China’s Crowded Retail Market

Harvard Business

China’s two retailing powerhouses, online commerce pioneer Alibaba and social media-gaming pioneer Tencent, have systematically established a duopoly of record proportions in record time. Tencent took a different path to becoming China’s other retail leader.

Reshaping ‘retail-tainment’ in the Middle East and beyond

McKinsey

Alain Bejjani, CEO of conglomerate Majid Al Futtaim, shares his perspectives on retail’s future and on his own leadership journey. Our Insights

A Study of 46,000 Shoppers Shows That Omnichannel Retailing Works

Harvard Business

Traditional retailers are feeling the heat. Even as competition intensifies , shoppers’ visits to retail stores are declining every year, leading one industry veteran to ominously ask his peers , “Is anyone not seeing large traffic declines?” ” Online retail, on the other hand, is thriving. Retail sales through digital channels (including mobile sales) increased by a massive 23% in 2015. Much of these gains have gone to online retailers.

Virtual and Augmented Reality Will Reshape Retail

Harvard Business

Virtual reality (VR), along with its sister technology augmented reality (AR), offers retailers the opportunity to transform how people shop. The successful incorporation of VR and AR into retail models also has the potential to vastly change the way retailers are thinking about stores of the future. Retailers looking to develop a virtual commerce strategy should consider breaking it down along the following dimensions. Your camping trip is coming up.

Eurozone Retail PMI Sinks Again

MishTalk

Markit reports the Eurozone Retail PMI shows further drop in sales at year-end. Key Points: Retail sales fall at faster rate in December Rates of contraction accelerate in France and Italy , while growth eases in Germany Wholesale price inflation remains close to November’s recent low Summary: Latest PMI® data from Markit showed deteriorating trends with in the eurozone retail sector in December.

How retailers can drive profitable growth through dynamic pricing

McKinsey

The secret is in customization: dynamic-pricing solutions must be tailored to a retailer’s business context, objectives, and ways of working. Our Insights

The Secrets of Retail’s Repeat Top Performers

BCG

Article Friday, January 20, 2017 During the past decade, the global retail industry established a solid record of very strong value creation. Ninety-four of the companies were in the retail industry. Overall, from 2011 through 2015, the retail companies in our sample returned an annualized TSR of 16% (down from 21% for the five-year period ending in 2014).

Driving Digitization in Retail Banking

Strategy+Business

A call to arms for the digital executive

Toys ‘R’ Us Is Dead, but Physical Retail Isn’t

Harvard Business

The news is part of a larger trend of closings that some are calling the retail apocalypse. The rise of e-commerce, combined with a shift in consumer preference toward dining out over shopping and with years of overbuilding , has made for distinctly unattractive economics in traditional retail. Amazon has made a big push into physical retail, capped off by its $13.7 None of these ideas are necessarily bad, but they fail to address the shifting economics of retail.

How Retailers Should Think About Online Versus In-Store Pricing

Harvard Business

One of the biggest questions faced by brick-and-mortar retailers today is whether prices should be the same online and in stores. Gaining clarity on this issue is critical for traditional retailers to successfully compete in both environments. Brick-and-mortar retailers have been struggling with pricing since Amazon’s inception, 23 years ago, so why is it so important to resolve this issue now? Well, the news for retailers keeps getting worse.

How Low-Paying Retailers Can Adapt to Higher Minimum Wages

Harvard Business

So how can a low-wage retailer increase productivity? But it’s a different story for retailers and fast-food companies — the largest low-wage employers. So far, the technology we hear most about in retail is self-checkout.

Why Augmented Reality Will Be the Next Revolution in Retail

Strategy+Business

Brands, retail stores, and marketers quickly realized the opportunity inherent in the success of Pokémon Go. In fact, AR may offer physical retailers a competitive advantage against brick-and-mortar competitors.

Why Retailers Should Retire Holiday Shopping Season

Harvard Business

The retail industry has been disrupted in practically every way imaginable. It’s about time that retailers also rethink their approach to the holiday shopping season. Customers don’t want retailers to dictate their shopping schedule. More and more shoppers across the retail spectrum are only frustrated by deals restricted to a certain timeframe (such as on Black Friday) or buying mode (such as in-store specials only).

Retailers’ Holiday Strategy Doesn’t Have to Be “Discount Everything”

Harvard Business

But there’s a surprising insight in the data released by the National Retail Federation : 36% of shoppers reported that all of their purchases were on sale; 11% made that claim in 2015. Analysts attribute this more than 300% increase to widespread discounting by retailers. unemployment rate , applications for unemployment at a 43-year low , median income on the rise ), why are retailers choosing to battle it out on price?

Today's Retail Needs Both Tech and the Human Touch Copy

Strategy+Business

Findings from a recent PwC Consumer Intelligence Series (CIS) survey of 15,000 global consumers confirm that technology will remain central to retailers' ability to understand and predict customer behavior. But none of these high-tech capabilities would be possible without people