What does the future of retail look like?
Asked what a truly 'smart' retailer would offer them in the future, shoppers across different age groups have subtly different opinions.
Being smart isn’t about knowing everything; it’s about knowing the right things. For shoppers, though, the definition of 'right' can change considerably depending on which point they’re at in life.
Our study closed by posing a broad question to respondents: when shopping in the future, what do you hope that a 'smart' retailer would understand about you?
UK shoppers
For 55+ shoppers in the UK, smart means recognition. From a selection of options, shoppers in this age group are most likely to expect retailers to know what they frequently buy (57%), and understand which are their favourite brands and products (51%). Drop down an age bracket, and financial alignment becomes the priority: 57% of 35-54s want retailers to understand their shopping budget – the most common response.
18-34 year-olds broaden the definition further still. Budgetary issues and purchasing history remain important, but younger shoppers also put greater emphasis on retailers understanding their lifestyle (38%), dietary needs (28%), and sustainability concerns (27%).
US shoppers
In the US, this hierarchy remains broadly the same – albeit with far less variation between age groups. Budget is a unanimous concern, while 18-34s and 55+ shoppers are united in their belief that retailers should understand their purchasing habits.
Younger US shoppers continue to highlight lifestyle and sustainability as key issues, too.
Specific definitions may differ but the overall understanding is generally the same: smart retailers will know what shoppers buy, know how much they can spend, and know which products they love.
Key insight:
There appear to be two tiers of insight at play. The primary is ‘functional’; shoppers want you to know what they buy, and how much they can spend. The secondary tier is more identity-led, encompassing lifestyle, diet, and personal values. This is where competitive differentiation begins: aligning insight to your value proposition and the specific needs of your shoppers.