Two Ongoing Retail Trends
Since 2009, Peter Fahrenkopf has been an executive in the area of household sales at ShurTech Brands, LLC, a global purveyor of consumer packaged goods. As part of his duties, Peter Fahrenkopf follows changing trends in the retail industry.
Industry analysts have taken notice of two particular trends that are emerging in the marketplace.
Retailers are feeling the push to broaden their accepted payment methods. ApplePay, PayPal, Android Pay, and Samsung Pay are the major players in the NFC mobile payment space (in which consumers use their smartphones to pay for goods and services), and an increasing number of retailers are beginning to accept them as legitimate options. The mandate for EMV (or chip) technology is also a big motivator, as retailers are very quickly finding themselves in the situation where they need to update their point-of-sale mechanisms to accept more secure chipped cards as well as those with the traditional magnetic stripes.
From the period between 2009–20013, foot traffic in retail stores dropped by more than 50 percent, from 35 billion to 17 billion. The numbers are continuing to trend downward, which means that retailers are forced to re-examine their brick-and-mortar operations, favoring productivity over sheer size, with the key metric being profit per square foot. This trend will continue as digital marketplaces offer consumers more options for purchasing outside traditional stores.