What a Popular Game of Thrones Theory Reveals about the Future of Commerce

14 Futuristic Predictions I will Investigate at Shoptalk

Credit: Vox

This time next week, I will be in Las Vegas for the second straight year. I won’t be there because I have a growing gambling problem, but I will be there to get a glimpse of the future of retail. As an avid follower and investor in supply chain and logistics technology companies, many colleagues have been surprised that l attend the emerging best retail conference in the world. But as I’ve begun learning more about the inefficiencies and opportunities that technology can solve with logistics startups, it is clear that the equation “R + L” is not only specific to the world created by George R. R. Martin but also equal to the future of commerce.

Retail (and e-commerce) should really be seen as the front-end software to Logistics’s (supply chain) back-end technology. Retail, more specifically e-commerce, have introduced new industry standards that have drastically shifted consumer preferences (i.e. remember when 3–5 days shipping was just fine?…me neither). These changes in consumer expectations have made every supply chain more complex and more essential to the growth of a retail business. Therefore supply chain professionals are not simply a back-office function, the heads of supply chain operations (fulfillment, automation, and transportation) are asked many times to find cost-effective and innovative solutions that can cash the checks that the front-end signs.

After Shoptalk 2018, I was convinced that where technology and consumer preferences were taking retail (i.e. last mile delivery and SKU visibility), logistics would have to be a bigger focus at the conference this year. This is evident with there being approximately 9 of panels on supply chain topics such as delivery, warehousing, and fulfillment. However, I don’t think “R + L” (this is for all the nerds) is pronounced enough in the content but it is what I will be listening for during keynote speeches, panel discussions and my conversations with retail and startup executives.

The organizers of the conference shared an original article titled “75 Ways Retail Will Change In the Next Decade.” Below were the 14 assertions that stood out to me that really capture how an aligned intersection of retail and logistics trends will shift the future of commerce from a supply chain to a dynamic demand chain.

Credit: Shoptalk

• The retail real estate market will continue to evolve to feature small footprints, pre-built-out stores, and shorter-term leases
• Pickup options will become more diverse and widespread, and there will be a greater focus on drive-through offerings
• The returns process will be simplified, making it far less painful for retailers and consumers alike
• Automated warehouses — combined with new pickup and delivery options — will reduce fulfillment times, changing consumers’ definition of immediacy
• Shoppers will be less impacted by out-of-stocks as endless aisle capabilities and delivery options improve
• Artificial intelligence and machine learning will be deployed across the supply chain, optimizing the most inefficient parts of retail
• Demand forecasting improvements will make distribution centers more efficient and reduce out-of-stocks at physical stores
• Stores will double as fulfillment centers, as sections are blocked off to shoppers and designated for filling online orders
• Shorted supply chains will mean faster access to cutting-edge products and design
• Self-driving cars and other autonomous vehicles will speed up customer deliveries
• Retailers will find ways to limit waste throughout the supply chain as consumers grow more concerned about sustainability
• The supply chain will become increasingly transparent as consumers demand more information on where their products come from and how they’re produced
• Shuttered stores will be re-purposed as warehouses and fulfill other parts of the supply chain as retailers push inventory closer to consumers
• Brands and retailers (and logistics providers*) will strike unlikely partnerships with competitors to capture new consumers

Note: * = An addition I made.

Question to you all: What do you think will happen over the next ten years in the future of commerce? Which assertions do you believe will be proven to be more fiction vs fact in 2029?