Page 40 - The 10 Most Pominent Retail startups in 2019

The modern face of retail
The retail road has taken a sudden turn, points out Daniel S Williams.
There is that legendary advice
from Steve Jobs often cited as an
example of ingenuity in retailing.
The best firms, he suggested,
are those that can create demand
before you even know you want the
product.
Consider the stark reality of this
idea - the typical three-staged
retail buying process for shoppers
has been all but broken, creating
the need that consumers wish to
fill rather than a customer simply
acting on the experience of a need.
In other words, I recognise that
the rainy season is coming soon,
so I need an umbrella. I make the
purchase, and I use the umbrella
during the next shower.
The Internet-of-Things (IoT)
explosion over the past few years
has presented a unique opportunity
for retailers, many of whom
are struggling to stay afloat as
consumer preferences turn online.
So, what will the stores of our
future look like?
In times past, retailers could
influence consumers within the
store. Interactive demonstrations
and product displays gave an added
edge for shoppers unfamiliar with
products, while brands vied for top
product locations and positional
presence. Today, the game has
shifted along the continuum,
forcing retailers to accommodate
younger shoppers and the tendency
to transact in a more expedited
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process.
The future of retail:
(1) Is about quick decisions.
No longer does a consumer have
to extensively plan the next trip
around buying many products, as
the instant recognition of a need is
accompanied by the ability to order
in a moment’s notice through means
like Amazon Prime.
Companies like Nordstrom
have begun to jump on to the
“instantaneous” bandwagon, using
the concept of social selling to
allow buyers to click on items
via social feeds and complete the
purchase in a few clicks.
(2)Is going digital.
Evidence of what the retail
market has in store, is all around.
A rampant rise in the number
of subscription-based services
suggests that the physical act of
making “shopping trips” to stores
may be meeting its match with
monthly replenishment options.
An example of this is the firm
Birchbox, whose customers receive
a monthly “surprise” curated box of
trial cosmetics and samples. Dollar
Shave Club has utterly transformed
how consumers opt to purchase
shaving items with the option of
mailed kits for convenience and
anticipated delivery.
Many startups are taking the plunge
into subscription-based models.
To the chagrin of many brick-and-
mortar retailers, the rise of such an
automated means of purchasing has
left store locations and traditional
retailing taking a subordinate role
to the primacy of online-enabled
businesses.
The bottom line for future
retail lies in questioning the
traditional buying process, and
the questioning of the typical
value-added functions offered by
physical stores -merchandise mix,
in-person product information and
relationships with salespeople.
About the author:
Daniel S. Williams is an Advanced-
Standing senior at Boston College,
majoring in management with a
concentration in finance in the
Carroll School of Management. He
is actively involved with Boston
SaaS startup Xperii as the head
of business development, having
previously fostered client initiatives
as a financial advisory intern
with Edward Jones and handled
personal and small business tax and
accounting matters for a CPA firm
with Texas and Washington offices.
Enjoying writing on business and
startups, Daniel has been featured
by award-winning YFS Magazine
and other publications. He is
HubSpot Inbound certified, as well
as both Google AdWords and
Analytics certified.
December 2019