In our previous article, we highlighted the significant shifts we’d be seeing next year in retail, including the rise of omnichannel retail, emphasising seamless online and in-store integration.
Ethical shopping emerges as a commitment to sustainability, while experiential retail takes shopping beyond mere transactions. AI and Machine Learning revolutionised personalisation. We see localised and community-centric retailing gaining prominence and contactless and alternative Payments becoming the new norm.
Here are the other six trends retailers should be looking for in 2024:
7. Rapid delivery innovation
A store that offers delivery will soon see delivery customers become the main source of sales as they spend three times more than in-store customers. Retailers are now racing to offer the fastest and most efficient delivery options to meet consumer demand for immediacy.
2024 will experience a surge in expectations for rapid delivery services, including same-day or even two-hour deliveries. This trend is powered by the proliferation of local fulfilment centres and the advent of drone deliveries.
8. Personalisation for curation
Personalisation has taken a leap forward with the rise of subscription boxes and AI-curated product selections. This trend caters to the individual preferences of consumers, offering them tailored shopping experiences that align with their unique tastes and needs.
With the market predicted to be worth £1.8bn by 2025, UK consumers spend £395M each year on subscriptions, which include Amazon Prime and independent subscription boxes.
According to Kantar TGI data, 57% of UK adults have increased their frequency of deliveries since the pandemic began.
A new report by Expert Market Research supports the trend, adding that the Europe subscription box market size is projected to grow at a CAGR of 17.5% between 2023 and 2028, driven by the increasing popularity of convenience shopping and the burgeoning applications of subscription boxes across various sectors.
9. Reskilled workforce in retail industry
The retail workforce is undergoing a transformation. In the decade between 2020 and 2025, the World Economic Forum (WEF) predicts that new technologies will eliminate 85 million jobs and create 97 million new ones.
This is due to a radical shift where human capital and artificial intelligence technologies are boosting productivity to increase business value. This is already happening, and to keep pace with increasingly tech-savvy customers, employees are being reskilled with a focus on both technological tools and soft skills.
This shift is crucial for retailers in 2024 to maintain a competitive edge in a technology-driven market. A company can foster loyalty to its employees by making upskilling relevant to their job–as well as other roles they might want to try. It is more likely for employees to face challenges confidently if they have the right tools and training and to tell others outside the organisation that they are supported at work.
10. New retail technologies
Blockchain technology is on the rise for enhancing supply chain transparency. Meanwhile, the Internet of Things (IoT) is being increasingly leveraged for smart store setups, offering enhanced customer experiences and operational efficiencies.
There will be more than 207 billion devices connected to the Internet of Things (IoT) by the end of 2024. We are becoming more familiar with wearables and everyday connected products as individuals, as businesses around the world have unlocked the benefits of IoT in recent years. As the distinction between the digital and the physical continues to be broken down during 2024, this trend will certainly not slow down.
11. New use cases for QR codes payments
QR Codes are transforming the retail experience, simplifying transactions at airports, cashless stores, and restaurants. They offer a convenient and fast way to shop, pay bills, wire money, and drive overall customer engagement.
QR codes are becoming increasingly popular with consumers and companies, so more companies are using them to make payments. Over the next five years, contactless payments are expected to continue to gain popularity, influenced by COVID-19. QR codes account for 4% of consumer transactions globally today, which is expected to increase by 16.1% by 2030.
In 2024, retailers will continue to use QR code payments at the cashier’s desk or on product packaging for customers to make purchases without cash or a card. QR codes will continue to be accepted by online marketplaces and e-commerce platforms, and with retail becoming more localised, small businesses, street vendors, and independent sellers now have a simple and affordable payment option.
12. The rise of pop-up stores
Pop-up stores will continue to gain popularity, offering flexible and innovative retail spaces. These stores require adaptable payment methods to support their dynamic nature, reflecting the changing preferences of both retailers and consumers.
A growing number of big box retailers are introducing concept areas to cater to niche markets. Pop-up stores and larger stores are collaborating to offer consumers the best of both worlds.
The essence of retail trends in 2024
The essence of retail in 2024 can be summed up in one word: change. However, the core objective remains unchanged—to delight, serve, and connect with consumers in meaningful ways. Retailers must embrace innovation and seek partners that provide insights to stay competitive in this ever-evolving landscape.
The retail industry in 2024 is marked by a blend of technological advancement and a deep understanding of consumer needs. The future of retail is here, and it is rich with opportunities for those prepared to adapt and evolve.
Make your shopper experience your top priority in 2024, and get in touch with Trust Payments for a technology stack that will save you time!
