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1 CATALUNYA SMART RETAIL 2030 Think Tank RETAILcat White Paper on the Role of Retail in Cities 30th of January de 2019

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Page 1: CATALUNYA SMART RETAIL 2030 · collaborative economy, participative governance, smart urban mobility, sustainable environment, and connective living. This new concept of smart retailing

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CATALUNYA SMART RETAIL 2030

ThinkTankRETAILcatWhitePaperontheRoleofRetailinCities

30thofJanuaryde2019

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CATALUNYA SMART RETAIL 2030

EXECUTIVESUMMARYTheaimofthiswhitepaperistohelptheCatalanRetailAssociationRETAILcatidentifyingkeydriversandanticipate future trends thatwill shapeconsumerbehaviourandtheimpactitwillhaveontheCatalanRetailSectorby2030.Thedeliverableofthispaperisa proposed roadmap of working areas/themes to help both Catalan publicadministration&Catalanretailersdefinestrategicplanningandseethepotentialcostsandpitfallsofnotmeetingthesetrendsinthefuture.

Successfullyidentifying,analysingandactingontrendsisessentialforthesuccessinanymarkets.Theworldischangingfast,anditisbecomingincreasinglydifficulttokeepupwithtechnologyandsocial-economicchanges.Assuch,itisdifficultforanindustrytounderstandwhyitisevolvinginthewayitistoday,andmuchlesstopredicthowitwillevolve into the future.TheCatalan retail industry isnotexcluded from thisdynamicoperatingenvironment,andwithincreasingcompetitionfrommultinationalcompanies,Catalanretailersmayfacedifficulttimes.ThiswhitepaperwillhelpRETAILCATtoworkclosely with the Catalan Public Administration to build a long-term strategy that isproactive,ratherthanreactive,ensuringaplantohelpremainrelevantCatalanretailersandmoveforward.

Forthis,athink-tankgroupwascreatedbyREAILCATtoidentify,analyseandharnesstrendswiththeobjectivetoforeseetherequirementsoftheCatalanretailenvironmentforyear2030.Thethinktankgroupwascomposedbythoughtleadersfromtheretailindustry,directorsfromtheCatalanpublicadministrationandCatalanretailassociationsandacademicfacultyfromEADABusinessSchool.Fiveworkshopstookplaceduringthesecondtrimmestof2018.Thefirstfourworkshopscoveredthemessuchasgeopolitics,the futureof consumption, smart cities andnewbusinessmodels. Theobjectives oftheseworkshopsweretoexposegroupparticipantstonewtrendsandstimulatedebateregarding the future of retail. The last workshop aimed to synthesize all previousoutcomestocreateathememapwhereRETAILCATcanstartworkingonfutureprojects.AllworkshopswereorganisedandrunundertheacademicsupervisionofEADABusinessSchool.

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During the workshops five main drivers were identified that will shape the retailenvironmentby2030.Theseare:

EconomicShift,PopulationChange,EnvironmentalPressure,Technologicaldisruption,ChangeinConsumerValues.

Interestingly,thesedriverscanbyencapsulatedinasmartcityenvironment.SmartCitiescanberegardedastheeffectiveintegrationofphysical,digitalandhumansystemsinabuiltenvironmenttodeliversustainableeconomicdevelopment,andhighqualityoflifeforitscitizen.TheideaoftheSmartCityistogiveurbanpolicymakersandbusinessesreal-timeinterconnectedinformationonawholevarietyofindicatorsinordertobetterunderstandandcontrolitsoperation,toimprovedecision-makingandoptimiseservicedeliveryfromtheuseoflimitedresources.

Derivingfromtheconceptofsmartcities,andthepotentialimpactitwillhavefortheretailindustry,RETAILCATproposesathemetoassesstheintegrationandroleoftheretailIndustryinfuturesmartcities.TheprojectcalledSMARTRETAIL,goesbeyondtheapplicationofmoderntechnologyandhighlightspotential rolesandchallengesthe retail industry could face in an environment of wireless infrastructures,collaborativeeconomy,participativegovernance,smarturbanmobility,sustainableenvironment,andconnectiveliving.

This new concept of smart retailing can be investigated according to Patano andTimmermans (2014) in two broad areas: organizational level and selling activity.Organizational level refers to the internal aspects retailers need to consider foroperating inasmartenvironment.Forthis threemaintopicscouldbeof interest forfurtheranalysis1) theneed fordevelopingconstantad-hoccapabilities2)Enhancingknowledge management processes (from and to clients) 3) the creation of smartpartnershipsbetweenretailers,suppliers,consumersandpublicadministration.Sellingactivity refers to theofferingaspects retailersneed to considerwhenoperating inasmart environment. Likewise 3 potential topics have been contemplate for furtheranalyses1)constantchangesinconsumption2)changesinserviceaccessand3)changesintherolesalespersonsjobs.

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CATALUNYA SMART RETAIL 2030

RETAILcat&EADACentreforretailleadership·2019Adapted from Pantano, E. and Timmermans, H., 2014. What is smart for retailing? Procedia Environmental Sciences, 22, pp.101-107

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DRIVERSTHATARESHAPINGTHEFUTUREDuetoglobalandlocalsocio-economicchangesconsumerconfidence&expenditureisexperiencing slow growth. In addition, technological disruption has created newshopping behaviours, allowing consumers to deal directly with other consumers,comparepricesandgetthebestdealatthetouchofabutton.

Today, consumers are seeking to reassess their values and priorities and focus onobtainingthemostoutoflife,whetherthisbeprioritisingexperienceoverpossessions,sharingoverowningortimeovermoney.Inadynamicoperatingenvironmentsuchasthis,withincreasingcompetitionfrommultinationalcompaniesCatalanretailerscouldface difficult times. Identifying, analysing and harnessing trends and meeting therequirementsofconsumersisimperativetogainfuturesustainablegrowth.

Fivedrivershavebeenidentifiedthatwillshapeconsumerinthenextcomingdecades.Thesedriversexplaintheon-goingchangeswewillwitness inretailbusinessmodels,consumerbehaviour,shoppingexperience,&ethicalliving.Theseare:

• ShiftingEconomicPowerEmerging economies have seen strong growth, at a time when development inadvancedeconomieshasfacedheadwinds.By2030globaleconomywilldoubleinsize and reach 256.1 trillion in terms of GDPwith a huge shift to emerging anddeveloping markets accounting for 76% of total growth. By 2030, the Chineseeconomywillbe1.8timeslargerthanthatoftheUSA.

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Source:EuromonitorInternationalfromnationalstatistics/Eurostat/OECD/UN/IMFThere are a number of growing centres of economic power, such as BRICs andMINTs, that are transforming the global economy and challenging the status ofdeveloped economies. As a result, developed economies show slow labourproductivity growth. If sustained, it could delay the progress in living standards,threatenthesustainabilityofprivateandpublicfinances,andincreasevulnerabilitytofutureshocks.

• PopulationChange

By2030worldpopulationwillaccountfor8.5bilwithamedianageof32,8yearsandalifeexpectancyof74,4years.The3predominantpopulationchanges,are:

a. Urbanisation,b. Migrationc. Ageingpopulation

Source:EuromonitorInternationalfromnationalstatistics/Eurostat/OECD/UN/IMF

Combining these 3 changes will reshape consumer lifestyles and purchasingdecisions. In 2030, 61.0% of theworld’s populationwill live in urban areas, 995millionwillbeaged65andover,andnetmigrationwillaccountformorethanhalfofpopulationgrowthto2030inWesternEurope,AustralasiaandNorthAmerica.

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• EnvironmentalShiftsandNaturalResourcesPressure

Aspopulationgrows, incomesandqualityof lifewill increase,sothedemandforresources,suchasenergy,soil,foodandwater,threatensresourcesecurity.Addingto this, increasing and rapid urbanisation, and industrialisation will led toenvironmental problems, such as air pollution andwastemanagement, inmany

citiesacrosstheworld.Asaresult,theeffects of climate changewill becomemore visible, from changing weatherpatterns, ice caps melting and waterstress, to deforestation, reduced cropyield,andbiodiversityloss.Astheworldconsumesmore resources than it canproduce, there is an impetus to pushawayfromalineareconomybasedonamake/use/dispose model, towards acirculareconomybasedonareduce/re-

use/recyclemodelthatfocusesonminimisingwasteandrecyclingorre-usingallendproducts.Therearesignificantbenefitstothisapproachbeyondsavingtheplanet.Resourcevolatilitywill leadtoanunpredictablerawmaterialsflow,instablecostsandchangesinregulation.Reducingdependenceonrawmaterialswillhelpcontrolmanufacturingcostsandoperations.

Overall, competition for resources and increasing awareness of environmentalchallengeswillhaveatransformativeeffectonconsumerbehaviour,atarapidpace.

• Technology

As mobile devices and internet household penetration continues to grow,technology will play a pivotal role in consumer decision-making. The number ofinternetusershasmore thandoubledover the lastdecade,givingway toa trulymassparticipationoftechnology.In2018,almosthalfoftheglobalpopulationusestheinternet,andthreequarterswillhaveaccessby2030.Todaytwothirdsoftheworld’shouseholdsownasmartphone.

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Source:EuromonitorInternationalfromnationalstatistics/Eurostat/OECD/UN/IMF

The smartphone and the on-the-go access will provide truly democratised internetaccess. Mobile internet will enable consumers of all types to plug in and connectregardlessoftheirstatusorlocation.Thisconnectivityisthebackboneformanyothertechnologicaladvances.Itencompasses:

o AugmentedReality,VirtualReality&MixReality

o Autonomouscars

o Biometrics

o Blockchain

o Cloudtechnology

o Internetofthings

o Mobilesand5Gnetworks

o Robotics

o 3Dprinting

Technologywillplayacriticalroleintheevolutionofsocietyandwillcreatedmassiveupheavals inconsumerexpectations. Forexample,artificial intelligencewill improvecustomerserviceandpersonalisingcommunicationswithconsumers.AugmentedandVirtualRealitywillimprovethecustomerjourneyandtheInternetofThingswillbecomethe Internet of Everything. Blockchain will reinforce transparency and 3D print willdisruptproductionprocesses.Finally,itwilllowerthebarriersofentryforfast-movingcompanies,andinspirednewbusinessmodels.

Hyper-connectivitywillbecomethenewnormalanditwillredefinewhatitmeanstolive,work,shopandplayoverthenextdecadeandbeyond.Itwillhaveapivotalroleforbusinessestomeettheneedsoftomorrow’sconsumer.

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• ChangingValuesDue to the four previous drivers, there has been a huge transformation in what isimportant to consumers. With two thirds of the world’s households owning asmartphone,hyper-connectivity isgiving individualsaccess tomore informationthaneverbefore,educatingconsumersonevolvingsocial,culturalandpoliticallandscapes.This is developing greater self-awareness and is helping consumers to make moreinformed decisions. Conscious consumption is being replaced by conspicuousconsumptionandisattheheartofchangingvaluesandpriorities.Inthecomingyear’sownershipasastatussymbolwillbereplacedbyaccess.DevelopedeconomieswilladdUS$3,839billiontotheirspendingonservicesbetween2018and2030,incomparisonthefigurefordurablegoodswillbeUS$503million.Consumerstendnolongertohavedeeprelationshipswiththethingstheyown,butinsteadfindemotionalattachmentinexperiencesandachievements.

MEGATREND2030:URBANHYPERCOENCTIVITYWith the gradual shift of population from rural to urban areas, an increasedconcentrationofwealthandresourceswillbeobservedincities.Whilethiswillpermitcitiestobecomeimportanthubsforsocialdevelopment,commerceandscience,itwillalsogiverisetosocial,economicandstandardoflivingchallenges.

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Themostimportantsocialchallengeswillbe1)Accesstobasicresourcesandservicesi.e.power,water,sewerage;2)Healthcareandeducationcoverage;3)Unemploymentandsocialsecurity;4)Accesstohousing;5)Interactionwithcitygovernment.

Themostimportanteconomicchallengeswillbe1)Jobgeneration;2)Investmentinthecity’supkeepinfrastructure;3)Sustainableuseofnaturalresourcesi.e.energy,water,rawmaterials;4)Equallydistributivewealthgeneration;5)Budgetandtaxpolicies

Themostimportantstandardoflivingchallengeswillbe1)Mobilityandtransportation;2) Pollutionof air,water and soil; 3) Income inequality andpoverty; 4) Crimeandinsecurity;5)Leisureandentertainmentactivities.

Thesolutiontotheseurbanchallengesliesonthecontinuingaccelerationofinformationand communications technology (ITC) that will drive the rise to connectivity andtechnologicalaccessibilityinlargemetropolitanareas.TherisingonICTinfrastructurewill allow increased levelsof connectivity todigital devices and services. Thishyper-connectivenetworksystemwill changethewayresidences live,work, shopandplaythroughsupplyingthemwiththebenefitsofknowledge,simplicityandconvenience.

AsummaryofcriticalICTfeaturesandhowtheycanaffectalocalurbansocietyarelistedbelow:

i. Wirelessinfrastructureandservice-orientedinformationsystems

ii. Networktechnologiesabletoprovidereal-time informationandadvancedanalytics

iii. Urban mobility, to enhance availability and access for modern andsustainabletransportsystems

iv. Reducedpollutions,forbetterenvironmentandambientconditions

v. Enhanced living, including all aspects of human life such as culture andeducation,safety,health,etc.

vi. Citizen integration, within the local community, for quality of socialinteractionsandopenness

vii. Innovation, entrepreneurship and productivity of local economy forcompetitivenesswithininternationalmarkets

viii. Governance,withpoliticalparticipationforcitizensformoretransparentandefficientlocaladministration

Therefore,theapplicationsoftheseICTfeaturescandevelopwirelessconnectivecities,of smart homes, smart public services and transportation, smartmedical treatment,smarturbanandsocialmanagement,sustainablecities,etc.

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AsagrowingnumberofcitiesembraceICTtoseekintelligent/smartsolutionsforthisnewurbanreality,theconceptof“SmartCity”hasemergedwithinthedigitaleconomy.

AlthoughthereisnostandardiseddefinitionforaSmartCity,therearesomeelementsthatstandoutinthevarieddefinitionsofSmartCity.Thesearetechnology,urbanaspectssuchassocial,economic,infrastructureandgovernmentservices,sustainabilityandqualityoflife.ThesecommonelementsimplythatwhiletheconceptofSmartCitiesincludestheuseofICTforsolvingacity’schallenges,technologyisnotanendperse,butameanstoachieve improvements of urban aspects, sustainability and quality of life. Withoutdoubt,advancedtechnologiesisafundamentalparttowardsthecreationofsmartcities.However, the idea of smartness goes beyond the concept of application of newtechnologies,withanaimforcontinuousinnovationprocessforabetterurbansociety.

Hence,SmartCitiescanberegardedastheeffectiveintegrationofphysical,digitalandhumansystemsinabuiltenvironmenttodeliversustainableeconomicdevelopment,and high quality of life for its citizen. The idea of the Smart City is to give urbanpolicymakersandbusinessesreal-timeinterconnectedinformationonawholevarietyof indicators in order to better understand and control its operation, to improvedecision-makingandoptimiseservicedeliveryfromtheuseoflimitedresources.

Within this context, retail can play a fundamental roll in a Smart Citymodel in thefollowingways:

• FacilitateaCo-creationKnowledgeEconomy

Withtheadoptionofbigdata,socialmediaanddigitalplatforms,retailerswillbeabletoco-createasystemofconsumptionandproductionbasedonknowledgecapital

• SmartManufacturing

Withtheuseofartificial intelligence, internetof things,bigdata,robotics,3Dprinting retailers can fully integrate collaborativemanufacturing systems thatrespond in real time tomeetchangingdemandsandconditions in the supplychain

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• Smartlogistics

With the use of Internet of things, big data, automotive vehicles and dronesretailers can simplify and rationalise retail processes such as point-of-salemanagementandjust-in-timedelivery.

• SmartOfferings

With the use of artificial intelligence, internet of things, big data andmobiletechnologyretailerswillbeabletoperformrealtimeanalysisofdatacollectedfrom consumers and allow manufacturers, retailers and other ecosystempartners to understand consumers better. This will help retailers offercustomisedondemandproductsandservices.

• HighlySkilledworkforce

Foralltheabove,workforcewithspecialisedknow-how,trainingandexperiencetocarryoutcomplextaskswillberequiredinthefuture.Theretailindustrycancontinuetohaveamajorroleincreationofnewjobs.

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CATALUNYASMARTRETAIL2030

Inthisscenario,smartretailingemergesasanintegratedpartofabroaderconceptofsmart cities. The ideaof smart retailing reflects a contemporarywayofdefining theindustry,where retailers, firmsandpublic administrationuse technology to reinventtheir role in the new digital economy, reinforce the quality of living by improvingconsumersshoppingexperiences.Consequently,smartretailingrequiresanewvisionofretailingwithanewapproachtoretailmanagement,whichconsiderstechnologiesandsmartcitiesasenablersofinnovation.

TheCatalanretailindustryisnotexcludedfromthisdynamicoperatingenvironment.ArecentstudyelaboratedbyACCIÓ(2016)givesforthefirsttimeanin-depthlookattheeconomicactivitygeneratedbysmartcitiesinCatalonia.ThesectorinCataloniaismadeup of 270 companies, with a workforce of 116,163 people (2015). Their collectiveturnover,solelylinkedtothesmartcitysectorin2015,cameto6,968.33M€.Thisfigurerepresents3%oftheCatalanGDP,proofofhowimportantthissectorisforCatalonia’sbusinessenvironment.Astheadoptionofsmartcitymodels inCataloniaaccelerates,thiswillinevitablyinfluenceconsumerbehaviour.

ToavoidfutureuncertaintytheRETAILCATthinktankconsiderstwomainareaswhereCatalanretailersneedtoconsiderchanges.Theseareorganizational levelandsellingactivities.

CompanyLevel

Retailersneedtounderstandtheenvironmentalchangesandbehaveconsequently,inorder to respond to technologies and smart city ecosystem. From an organizationallevel,retailerswillneedto:

• Developnew capabilities and competencies to understand thenew competitivescenarioenabling innovationandrelateactionstrategiesby integratingresourcesandreconfiguringinternalandexternalorganizationalskills.

• Improveknowledgemanagement,becausedata collectionandanalysiswillbeacritical factor for retailer success in a smart city context. Search for valuableinformation based on clients’ interconnected real time transaction can identifychangesinconsumers’behaviour.Thisisacriticalissueforretailerssinceconsumers’needsandpreferencesareverychangeableovertime.Selectionandvisualizationofcustomized information based on big data will provide retailers enrichedinformationaboutproductsandtransferproductknowledgeintotheserviceinordertoreinforceanemotionalengagementbetweenshopperandretailer.

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• Enhancing the way to create, acquire, manage and transfer knowledge fromconsumerstofirmsandviceversa,willrequirenewpartnershipbetweenretailersanddifferentstakeholders.Therefore,newcollaborativeandinteractivescenariosneed to emerge, where retailers, consumers, firms and public administrationparticipate in theco-creationof final services,which respond tohigh-customizedinformationwithinanewsmartshoppingspace.Hence,“intelligentcollaboration”need to formulate with the common goal of achieving satisfying services forimprovementsinconsumers’qualityoflife.

StoreLevel

Smart cities and technologieswill also change the retail selling activities in termsofconsumers’ access to product/service, salespeople-consumer relationship, andproduct/serviceconsumption.

• Smart technologies will allow consumers to have direct access of product andservicesfromhome,mobiledevices,storefrontwindows,etc.Thiswillovercomethetraditional limitations of physical points of sale. In addition, the direct access toproduct/servicewillnotberelatedtoaphysicalsalespersonanymore,duetotheuseof technologyasa supporting tool substituting thephysical assistant.Hence,consumers can interact with the product and achieve the service only throughtechnologythatinteractivelyrespondstoconsumers’changeablerequests.

1. Intraditionalretailsettings,consumershandledpurchasesandmanagephysicallycollection of products/services. In existing environments, the purchase andconsumption can be done both physical and online. In future, technologies willpersonalise production, offer price dynamics and provide delivery flexibility. Thebenefitsofsuchsmartenvironmentswillchangeproduct/serviceconsumptionbylarger product customization offering, and reduce transaction costs and changethroughadjustedservices.Itwillchangetheoverallshoppingbehaviour.

2. Ifproduct/serviceaccessandconsumptionarelessrelevanttophysicalpointofsales

andsalespersonanymore,duetouseoftechnology,consumerscan interactwiththe service through technology that interactively responds to consumers’changeablerequests.Asaccessissupportedbyalargetypologyofdevices,suchastouchscreendisplays,mobiledevices,etctheroleofphysicalshoppingassistantwill change the way of building trust, maintaining strong relationships withcustomersandunderstandingcriticalissuesforvaluecreation.

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Therefore,themainfactorscharacterizingsmartretailingemergeasfollows:developingcapabilities,changesinknowledgemanagementandinsalesperson’sjobs,creationofsmartpartnership,changesinserviceaccessandinconsumption(Fig.1).

RETAILcat & EADA Centre for retail leadership · 2019 (Adapted from Pantano, E. andTimmermans,H.,2014.Whatissmartforretailing?ProcediaEnvironmentalSciences,22,pp.101-107

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CHALLENGESFORSMARTRETAIL

Eachfeaturegenerateschallengesforretailerstoaddresstheconceptofsmartretailing:(i) challenges resulting from the need of capabilities, (ii) challenges resulting fromchangesinknowledgemanagement,(iii),challengesresultingfromthecreationofsmartpartnerships, (iv) challenges resulting from changes in service access, (v) challengesresulting from the changes in salesperson’s jobs, and (vi) challenges resulting fromchangesinconsumption.

• Challengesresultingfromthedevelopmentofcapabilities

Retailerswillneedthedevelopad-hoccapabilitiesthatareconstantlyadaptingtothechangingenvironmental.Thiswillrequireneworganizationalculturetoevaluateandpredictchanges,aswellasquickandprecisepracticestorespondaccording to the changing context. Since these capabilities would requireeconomicinvestmentsinhumancapital,supportingtechnologicalsystemsandtimefortransformingthepredictionineffectivesuccessfulactions,thechallengeishowtomanagethembymaintainingfinancialsustainability.

• Challengesresultingfromchangesinknowledgemanagement

Knowledge management strategies will focus on achieving “valuableknowledge” on consumers, and the speed to transfer product/service/firmknowledge to consumers. Thus, retailers will need to increase the level ofautomation intheprocess,anddevelopadaptiveandsensitivefiltersfocusing“only”ontheimportantinformation.Hence,thesefilteringsystemswillrequirecritical competences, such as expertise in business intelligence, artificialintelligenceandBigDatacomplexity.

• Challengesresultingfromthecreationofsmartpartnerships

Due to hyper-connectivity, the whole information/knowledge ecosystem willchangeinthecomingyears.Informationwillbeeitherfragmentedbymanyfirmsata local scaleor/andcontrolledby fewdigital companiedonaglobal scale.Smart cities can arbitrate retailer-consumer interactions by creating smartpartnershipsamongtheactorsinvolvedintheprocess.Thechallengesforsuchpartnershipsarewinningtrustfromallpartnersinordertobuildandmaintainstrong relationships with consumers. For this, retailers need tomake all theinvolved actors-consumer, firms, administration- conscious of the benefits

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resulting from the partnership, while considering the role of each partnerequallyimportantforpartnershipsuccess.

• Challengesresultingfromchangesinserviceaccess

Smarttechnologieswillovercomethetraditionallimitsofphysicalpointsofsalebyallowingconsumersdirectaccessofproducts/serviceswithoutphysicalsellerassistance. On the one hand, this technology-mediated access requires newdevices and effective usage, and on the other hand, it modifies consumers’traditionalbehaviourbyaddingcriticalfactorsthatmightinfluencetheshoppingexperience, such as the control of the system and trust in the brand.Consequently, the challenge is how to educate consumers from traditionalaccesstoproductsandserviceforpreferringthenewonesprovidedbythesmarttechnology.

• Challengesresultingfromchangesinsalespersons’jobs

Smarttechnologieswillchangetheroutinesofsalespersonbymovingtasksfromemployees to technology. They will increase the shift of tasks executed byhumanstoautomatedmachines,withanegativeconsequenceonthenumberofemployees.Asaresult,thechallengeishowtomotivateemployeestoadoptatechnologythatmaysubstitutetheirrole.

• Challengesresultingfromchangesinconsumption

Increasedproductcustomizationandserviceflexibility,willdramaticallymodifyconsumption.Thesechangeswill generatenewchallengesonproductionanddelivery costs, but also on the shopping experience. Current experience ischaracterized by synchronizing each step in consumer decision-making(searching,comparing,choosingandpurchasing)withprice,placeandproximity.The new smart city scenario involves four themes: experiential, frictionless,curationandsocial.Forthisreason,thechallengewillbehowtoblendallfourthemesintooneshoppingexperience.

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RETAILcatPROPOSALSFORTHE

SMARTRETAIL2030CHALLENGES:

Proposalstostimulateinnovation

1.Promoteprojectswith subsidies andpublic funding that are developedwithalliancesbetweenretailcompaniesandothersectors.Itisessentialtosharetalentandinvestments.–

• Objective: new subsidies and public funding for 2020 that encouragecooperation.

Proposalsforthenewroleofsalespersons

2. Define a strategy to modernize the salesperson’s competencies. Retail willbecomelesslabour-intensiveintheyearstocomeandtoworkinstoreswillrequireadifferentsetofskills,knowledgeandcompetencies;lessmanual/labourskillsandmore social and technological competencies. It is necessary to define a strategywhereontheone-handhelpsalespeoplegainnewcompetencies toadapt to thenewretail requirements. Ontheotherhand,peoplethatcannotcontinue in theretailindustryhelpthemacquirecompetenciesandskillsinordertobereallocatedintootherindustries.–

• Objective: develop a Salespeople transformation strategy with theadministration,unionsandretailcompanies.Project2.020to2.022.

3.ANewprofileofsalespersonwillberequiredintheyearstocome:Anexpert,anactor,apsychologist,abrandambassador.Existingeducationalprogrammeswillnotworkinthefuturehencethereisaneedformorespecificandtailormadetrainingprogramsofshortdurationwithhighimpact.–

• Objective:developtheRETAILcattrainingprogramduring2.019-2.020.

4.Anewworkday category in retailwill be needed thatmust contemplate theincreasinglyimportantvirtualaspectofsalespeople.Inthenearfuturesalespeoplecontactclientsdirectlyandwithouttheneedtobephysicallypresentatthepointofsale.

Thereisanewworkdaycategory inthesectorthatwillrequireanewagreementbetweenstakeholders.

• Objective: Toanalysewithall related stakeholders the challengesof thenewworkdayinretail.Project2.020to2.022.

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Proposalsforthenewspace-store

Inthefuture,thephysicalstorewillcontinuetosellproductsandserviceshowever,it will also play a new role of a meeting point where it will foment a space ofrelationshipsandexperiences.

Forthis,itmustbefullyconnectedwiththesmartcity,contributingtoassistpeople'slivesthroughtheinterconnectionwithotherindustries,sectorsandservicesofthecity.

The storewill be a very dynamic and its spacewill changewith high frequency.Consequently, therewill be aneed to foreseeandhelp the sector to implementthesespatialprojectschangeinaneasiermanner.ForthisRETAILcatproposes:

5.Newsectoralclassificationofretailcompanies(theexistingIAE–TaxonEconomicActivities-doesnotwork).Retailasanindustryincorporatesmoreandmoresectorswithmorediverseactivitieswithinthesameestablishment.Inthissense,youcannotpayanIAEforeachactivity

• Objective: To make a proposal to the Administration to review the IAEclassificationandwillbepresentedduring2019.

6.Rentalcontractsmustbecomemoreflexibleinordertoallowdifferentoptions:multi-spaces within the same premises and popup stores that change veryfrequently

• Objective: To make a proposal to the Administration to review the rentalcontractforcommercialpremisesandwillbepresentedduringin2019.

7.Municipalregulationsmustbeadaptedtoallowtemporarystreetretailspaces

• ObjectivetomakeaproposaltotheAdministrationthatwillbepresentedduring2019.

BIBLIOGRAPHY

Pantano, E. and Timmermans, H., 2014. What is smart for retailing?. ProcediaEnvironmentalSciences,22,pp.101-107

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CATALUNYA SMART RETAIL 2030 Supportedby: