The New Retail
A Catalyst for the Retail Industry to Evolve
The retail industry has been evolving for years, the eruption of the internet and dot com age created a surge of fear into what brick and mortar would become. Some of those fears were rightfully founded, major department stores were closing and the threat became real during the 2010's as we saw more and more companies move to online primarily with physical locations taking a backseat. However, as dire as things were during the housing crash (and for the years after), this generation has yet to experience something like this, something that will most likely change the way we operate. For lack of a better (and less serious) example, the way flying changed after 9/11, the way we shop, eat, and simply exist is going to be different. Retail, restaurants, and the rest of the service industry is reeling with how to deal with an evolving landscape that no one knows really knows how to safely navigate through. And while we are certainly living in a new and disrupted era, is Covid really the cause or just the catalyst?
Department giants like Macy's and Neiman Marcus had to deal with mass layoff's and bankruptcy filings, while the situation for smaller businesses being even more dire (with a projection of only 30% being able to return after the pandemic). E-commerce has been "threatening" the existence of brick-and-motar for over a decade, especially in cities where people even before the pandemic were delivery grocery orders form Instacart and basic necessities from Amazon. Restaurants are also playing with delivery options and meal kits as opposed to relying on dine-in customers, but this practice isn't new, restaurants have been experimenting with new types of events and food sampling the last few years. This shift is working for a good amount for restaurants and is a natural move, but for clothing, replicating the in store experience is challenging. Don't get me wrong, I love the convenience of online shopping, but the tactile experience of running my hands through racks of clothing and having an actual human being assist me and use their knowledge to help find a pair of jeans that work with my body type is something a bot online could never replace. I'm not alone, a big reason Ecommerce hasn't been able to completely take over is due to people wanting to physically try on or touch the products they're buying. There is an uncertainty that comes along from just trusting a picture online or an app that is suppose to be able to match foundation to your skin just from a picture. And while we are seeing huge tech improvements when it comes to virtual reality fitting rooms and apps to help find a new makeup or hair color, they aren't advanced enough to replace or even use regularly in place of physically trying products.
VR isn't the only viable solution either, the role retail employees have will need to adjust as well. Clearly, the old normal of standing around waiting for costumers to come in, isn't going to be sustainable. Employees will need to adapt new strategies to keep and engage with clients, whether that be through video calls, sending products directly to try on and keep what they like, or utilizing curb pick ups. Regardless of how people shift, shifting early and learning about different approaches will be necessary.
