Cisco will be featured in two Big Idea sessions at this year’s NRF conference starting tomorrow, and I’m happy to introduce guest blogger Lisa Fretwell, who will be leading one of these two seminars. Lisa is the Managing Director of Retail at Cisco Consulting Services, specializing in the Internet of Everything and analytics, and how these new capabilities can transform and differentiate retail and consumer product businesses:
In today’s digital era, stores are clearly challenged in terms of sales and profitable growth. Every retailer is faced with needing to change and innovate their store to deliver results.
Overall, the majority of stores across all categories are demonstrating flat or declining like for like, exacerbated by price deflation. Cisco’s recently concluded annual survey on shopper behavior of 10,000 shoppers highlights the ongoing shift away from the store to online. Twenty percent of consumers now make more than 50% of their purchases online, and this number is expected to continue to grow.
However, when you dig down into the data, you may be surprised by some of the changes. As just one example, we asked shoppers which categories they had significantly moved from store to online. We learned that 41% of the consumers surveyed have somewhat or significantly increased their online purchases of apparel in the last two years – clothing, shoes, and accessories. Traditionally, these products are the life blood of why shoppers go to a store – to touch, feel, try on.
So is it all doom and gloom for shops? No, not if you’re up for innovation and change. There are still significant reasons for shoppers to visit stores. Our research highlights some key insights that retailers must leverage to drive healthy results and make the store experience hyper-relevant.
Our experience from retail engagements suggests the answer lies in two areas: being able to deliver dynamic experiences, and to improve ways of working. From instant response to customer needs to improved process digitization, we are seeing that retailers are increasingly relying on a combination of sensors, analytics, automation, cloud, and edge computing.
If we apply this model to a $20 billion turnover retailer with 900 stores, Cisco estimates that there is $312 million of incremental benefit to be had: $170 million from digitizing ways of working: staffing optimization, store routine digitization, and colleague collaboration; plus $142 million from improved customer conversion through insight, digital offers and loyalty, service, and cross-channel selling. We believe this approach offers the next much-needed step change in store economics.
To learn more, please join us at NRF on Sunday for Cisco’s Big Idea sessions:
- The first, at 10:15 am in Room 4 of the Expo Hall, covers more on our annual survey results. It is led by Cisco Vice President Joe Bradley (replacing Anabelle Pinto due to a family emergency).
- Then, at 2:00 pm in Room 4, Cisco’s Shaun Kirby and I will discuss how retailers are taking advantage of the “Internet of Everything: New Horizons in Retail.”
We look forward to seeing you there!
Tags: #nrf15, analytics, automation, Big Idea, Cisco, cloud, customer experience, Dianne Lamendola, digitization, edge computing, NRF, retail, sensors, shopper, shops, survey
Responses in a recent Cisco-sponsored Cloud Security Alliance survey (hyperlink) illustrate that many data privacy challenges previously cast in the “too hard” basket can be more readily navigated though focusing on universal principles across Cloud, IoT and Big Data. Survey responses showed a surprisingly strong level of interest in a global consumer bill of rights and responses were overwhelming in favor of the OECD data privacy principles facilitating the trends of Cloud, IoT and Big Data.
Following are the most significant findings:
Data Residency and Sovereignty
Data residency and sovereignty challenges continue to emerge. However, there was a common theme of respondents identifying “personal data” and Personally Identifiable Information (PII) as the data that is required to remain resident in most countries.
73 percent of respondents indicated that there should be a call for a global consumer bill of rights and saw the United Nations as fostering that. This is of great significance with the harmonization efforts taking place in Europe with a single EU data Privacy Directive to represent 28 European member states. As well as with the renewed calls for a U.S. Consumer Bill of Privacy Rights in the United States and cross-border privacy arrangements in Australia and Asia.
Finally we explored whether OECD privacy principles that have been very influential in the development of many data privacy regulations also facilitate popular trends in cloud, IoT and big data initiatives or cause room for tension. The responses were very much in favor of facilitating the various trends.
The survey report includes an executive summary from Dr. Ann Cavoukian, Former Information and Privacy Commissioner of Ontario, Canada and commentary from other industry experts on the positive role that privacy can play in developing new and innovative cloud, IoT and Big Data Solutions. Read the Data Protection Heat Index survey report:
Tags: Big Data, cloud, IoE, privacy, report, security, survey
With increasing demands and decreasing budgets, these are challenging times for many IT professionals. Some savvy IT people, however, are growing their budgets and improving their careers by forging partnerships with business groups who can benefit most from IT’s expertise, and are willing to help pay for it.
Which business groups are most likely to team with IT? Actually, we asked the same question in our recent Business and IT Priority Survey, which queried 1800 business leaders across many VP and CXO roles, including finance, marketing, sales, strategy, human resources, diversity, operations, manufacturing, business development, and more.
Based on this global data, Chief Marketing Officers (CMO) are great potential partners, because while their priorities often align with IT, their budgets may not:
Read More »
Tags: chief marketing officer, Cisco Business and IT Priority Survey, CMO, connected mobile experience, enterprise networks, IT budget, MGM Resorts, operations manager, Sheryl Pattek, survey
New devices, changes in customer behaviors, and technological advances are rapidly changing the mobile market and consumers’ expectations of mobility. A recent Cisco study of mobile consumers reveals how much, and how quickly the world of mobility is changing. The survey uncovers some startling revelations about what consumers are doing on their mobile devices, how and where they are using them, and how they are connecting them to the Internet. Highlights of the research are revealed in my recent blog Discover What Consumers Want from Wi-Fi and Mobile.
The majority of devices are now Wi-Fi-enabled, and the fastest-growing category is “nomadic” devices like tablets and eReaders. We now need to speak of the “mobile home,” as the home is by far the most popular location for consumers to use their mobile devices. Surprisingly, Wi-Fi is the network connection of choice for most consumers for all of their devices. Public Wi-Fi is now a big part of mobile life.
Consumers are generally satisfied with their public Wi-Fi experience, but they want it to be faster, more secure, better quality, and most of all, available in more places. Consumers are anxious for enhanced personal mobile experiences that can be delivered by unlocking the inherent business value hidden in the Wi-Fi infrastructure.
While it is never easy to foresee the future, we are making five predictions for key changes in the mobile industry over the next two years based on insights from the Cisco mobile consumer research: Read More »
Tags: Cisco, devices, future predictions, mobile, public wi-fi, research, Service Provider, survey, wi-fi
As business groups increase their technology investments and gain more access to new technologies and consumption models, IT’s balance between operational excellence and innovation is shifting. Technical innovation can now happen anywhere. This change presents a huge opportunity for IT to drive innovation in new ways. So which organizations are seizing this opportunity?
To find out, we recently conducted the Cisco Business and IT Priority Survey to determine how these groups manage innovation, and how their business and IT priorities are linked. See the info graphic and previous blog for global results and observations, and see how your priorities compare to your peers by taking the survey here.
As today’s innovation and technology investments can dramatically impact tomorrow’s business results, the investment levels by region are particularly interesting.
For example, 50% of business leaders in China see technology innovation as a critical differentiator to their business, whereas in the US, only 21% rank innovation as critical. Multiple times in the survey, the responses from China indicated a collective interest in innovation as a top business priority. In Germany, 23%, and the UK 25% of business leaders also see innovation as a business priority as critical.
Companies in India and China also indicate that their investments are growing faster than other regions’. About 81% of Indian business leaders surveyed, and 75% of Chinese ones expect their technology budgets to increase next year – many by more than 25%. By contrast, 54% of UK businesspeople, 48% in Canada and Germany, and only 41% in the US expect their technology budgets to grow.
Indian and Chinese business leaders also indicate that they’re spending a bigger proportion of their own growing budgets on technology. In China 82% of those surveyed plan to spend at least 25% of their business budgets on technology, and in India 71% are doing the same. By contrast, only 41% of US and 45% of Canadian business leaders are spending more than 25% of their budgets on technology. Read More »
Tags: business priorities, China, Cisco Business and IT Priority Survey, enterprise networks, Germany, india, innovation, Intelligent WAN, survey, UK, unified access, us