Retail stores and fast food chains like McDonald’s and Macy’s announced their complete redesign plans which include self-ordering kiosks, e-displays streaming video and photo ads, and mobile QR coded inventory tags for customers to scan. The overhauls by McDonald’s and Macy’s is a full recognition of Millennials and Gen Xers; the population for our next generation of retail shoppers.
iHumanMobile.com reports about 35% of men and women prefer to shop online exclusively versus 70% using a combination of in-store shopping experience plus mobile apps on network devices like smart phones, wearable smart watches and tablets.
The retail store ‘shopping experience’ is not going away anytime soon reports iHumanMobile.com. But we’re seeing better educated consumers hip to aggressive pricing, product quality and value features such as customer service.
Mostly, its men age 35 – 65 years that have less interest in the brick and mortar retail shopping experience. For most men, it’s a quick stop at Macy’s, Wal-Mart and McDonald’s … in and out. For women, the time is a more social experience that involves browsing the store with random smart phone social networking with friends on Facebook, Twitter and Pinterest. Women often take pics to post to Facebook or text to friends while shopping.
Since 2011, retail stores have seen a 50% drop in foot traffic. With the popularity of mobile eCommerce, retailers like McDonald’s and Macy’s plan to improve the customer experience making it more ubiquitous.
Other retailers making the transition to smarter shopping experiences using mobile apps include J.C. Penney, Sears, Target, Home Depot and Best Buy.
The retail industry is discovering the face of its shoppers getting younger, more tech-savvy and draw by a ‘shopa-tainment’ like experience where value added features are available beyond the traditional inventory reports iHumanMedia.com. The consumer research going into shopping, itself has become a form of entertainment.
We recommend retailers to create better joint marketing opportunities in order to enhance the retail shopping experience and increase the time spent in the store by each customer. For example, the Starbucks inside a Barnes and Noble bookstore create a social network gathering hub for people to meetup and spend more time.
McDonald’s Case Study
For a McDonald’s location open 24 hours: The cost of human cashiers, not counting benefits, $15/hour * 24 hours * 365 days/year = $131,400
For a location open 6AM to Midnight: $15/hour * 18 hours * 365 = $98,550
The automated kiosks and preparation robots offer better (ROI) return-on-investment below $95,000 cost basis annually reports iHumanMobile.com. Additionally, the customer experience is better with mobile app bot delivering precise quality orders at a faster pace.
Restaurant automation technology like Momentum Machines, San Francisco CA supplies customer service kiosks and preparation robots to cook, assemble and deliver of custom orders. READ MORE ABOUT ROBOTS