Retail in 2023 – what can we expect?
With 2022 coming to an end, we wanted to have a look at what to expect from 2023 in retail. After the upheaval caused by Covid-19, retail has started to recover in 2022, but a lot of the trends that started during the pandemic have continued to develop this year and are expected to continue in the next year. Let’s have a look at some of the most relevant ones:
Ecommerce is here to stay
Ecommerce growth increased dramatically during the pandemic, and there is no going back to how things were before. While its growth has slowed a bit, it has not stopped, and research shows that customers in the retail industry are leading in digital adoption. What’s more, nearly 60% of internet users purchase something online every week. Retailers will need to keep investing in existing and new eCommerce options such as social shopping and even the Metaverse.
Changes to In-Store shopping
While the high street has been recovering over the last year, a lot of bricks-and-mortar retailers will need to consider a shift in their offering to continue to entice customers into their shops, rather than just buying online.
There is a big opportunity here to change things up: consider in-store shopping more of an experience and a service. Convert stores into showcase places where customers can try out products and get personalized advice that will make them more likely to buy, come back and recommend. Keep an eye out for our next blog, where we will dive a bit deeper into this.
Omnichannel: Seamless experience between online, mobile, in-store
The first two trends are tightly connected to this next one: customers are more and more expecting a seamless shopping experience between all channels they use. Whether it is online, mobile or in-shop, customers want to easily navigate the shopping process, be offered the same options, and be able to switch between their chosen channel easily. For retailers, this could mean investing in different shopping delivery methods, such as contactless payment, online or mobile checkout solutions, self-service or even apps for in-store use.
Social commerce is another channel that retail will expand in strongly over the next year: it is expected to make up 20% of global retail eCommerce sales in 2023. Especially GenZ customers, who are making up more and more of the consumer market, take most of their shopping inspiration from social media, and being able to offer them buying options right on their chosen channel that match online or in-store shopping is a huge opportunity.
The importance of brand values (and their implementation)
Global challenges over the last few years, including climate change, the Covid-19 pandemic, and the energy and cost of living crisis have increased the wish of customers for brands that are fair, empathic and socially and environmentally conscious. According to research by Capgemini, 79% of shoppers are changing their buying preferences based on sustainability, with a third of shoppers willing to pay more for sustainable products and services. But brands will have to prove they actually want to do things better, and not just doing it to increase revenue. Transparency here will be key to show customers that their brands are trustworthy.
Done right, becoming a more socially and environmentally involved brand will not only be one of the strongest tools to build trust and loyalty with customers, ensuring retention and recommendations; it will also often benefit the business on operational aspects in the long run.
Personalization and localisation
Studies show that up to 80% of buyers are more likely to buy something if offered in a personalized way. But with more and more customers buying online as well as offline, it is something that customers not only want, but expect. So, whether it is locally branding your stores, offering customizable products, or tailored online, and in-store, offers: retailers should look into different options on how they can make the full customer journey feel more personal.
This can also be tied in with the previous point: rather than just investing in big-scale sustainability projects, it has also proven very successful for brands to support their local communities, showing that they really care about needs in their local area.
Marketing trends to consider
Marketing trends are difficult to predict, but here are a few topics that we think will be relevant in 2023:
- User-generated content, with it being perceived more trustworthy than brand content, will continue to play an important role, though we might see a change from the well-known macro-influencers to smaller, and more diverse influencers that can target new audiences, as for example older customers that are now also using social media.
- Representation and inclusivity are two topics that will certainly continue to be hot in the next year: consumers want to be able to identify with the brands they buy through similarities and feeling understood, rather than aspiring to a perfect, standardized persona.
- Collaborations between brands have proven highly successful in the past, so we are expecting to see more of this, especially between brands that normally would not be associated together, such as food-based collaborations.
- Rather than big sales events, small, limited-time pop-up events that target a specific audience and/or location could be a useful tool to entice customers to visit a brick-and-mortar-shop rather than shopping online. Online events that became popular during the pandemic can still be a good way to reach audiences that might not be able to come to any in-person events.
- Scent-based marketing is an exciting development we can look out for in 2023: from displays in store to packaging or other marketing materials, brands that can develop an association with a specific smell or perfume might differentiate and attract new sales.
- And of course, new technologies such as artificial intelligence, virtual reality and augmented reality will continue to strongly influence marketing campaigns in the coming year.
If you are looking for a full-service partner for your next campaign in 2023, why not contact us to see how we can help?
Adapting your brand and marketing messages to your local audience can have significant impact on how they are perceived and acted on, yet it can seem a daunting task. Find out how a campaign style guide can simplify this complex process:
What to read next
International Day of Forests
As today is International Day of Forests, which is celebrated on the 21st of March every year, we wanted to take the opportunity to reflect on the significance of forests to our planet’s health, our own well-being and indeed our business.
Women in print and design through history – part 2
This year for International Women’s Day, we want to continue celebrating some amazing women in print and design throughout history whose significant contributions and achievements are not as widely known as they deserve to be!
Retail as an experience
In-store shopping is changing to a more experience-based model, with customers expecting a more interactive and personalized service. We had a look at some of the ways you could enhance the shopping experience in stores:
How to make the most of your Amazon product listing
Amazon’s A+ and Premium A+ Content are powerful tools to strengthen and manage your brand presence on Amazon marketplace – and they may boost your conversion rates up to 15%! Discover how this type of content might benefit you
Going electric...what is it really like for the driver?
Have you wondered what it is like to drive an electric car? As part of our effort towards lowering CO2 emissions, we have started switching our sales team’s work vehicles to electric cars and have asked them about some of the biggest changes and differences they experienced
Need to stand out online? Our Online Marketplace Experts can help
E-commerce has become one of the most important retail channels for global business, with online marketplaces playing a dominant role in catching customers’ attention. Learn how we can support you so your products stand out online on marketplaces such as Amazon, MediaMarkt and others
ShipSafer: 3rd Party Logistics by ARIAN
For over 45 years we have been storing, fulfiling and shipping our customers’ products around the world. Find out how we can leverage this unique set of skills and understanding of global fulfilment and logistics to give you an outstanding 3rd party logistics solution
World Water Day 2022
To mark the annual UN World Water Day to highlight the importance of fresh water, we wanted to show some of the water projects ARIAN is investing in