Member Article

Retailers to spend more on technology in 2015

More than half of retailers plan to spend more on technology in 2015 than last year. Investing in technology is seen as a key driver for growth and sales (57%) by 100 of the top UK retailers surveyed for TLT’s Retail Growth Strategies Report 2015.

Websites and mobile apps (69%) and improving IT systems (61%) are the two most popular areas of investment. Other top areas for investment include replacing old systems (51%) and ensuing that different systems talk to each other (44%).

Creating a better website presence is also a priority, reflecting that retailers are trying to satisfy customer demands in an increasingly global marketplace. When looking at how technology can improve a customer’s retail experience, ‘personalising’ interactions with customers will dominate investment in 2015 for more than half.

Click and collect will also be important for retailers. A third of retailers currently offer click and collect for products purchased from their own website with almost a quarter planning to in 2015. Perran Jervis, partner and head of Retail & Consumer Goods said: “Retailers are continuing to look to technology as the main driver of growth of the sector.

Choosing the right technology partner and managing the relationships that deliver these technologies will need to be constantly reviewed. “Our survey revealed that almost half of retailers rarely or never negotiating contracts for new technology. This may in part explain the high level of serious disputes with technology providers, more than two on average for each retailer last year. So while retailers understand that investment in technology is a priority to deliver sales as well as reducing costs, it also may be their biggest challenge over the next 12 months.”

This was posted in Bdaily's Members' News section by Perran Jervis, TLT .