Preparing for Change: How Retailers Can Adapt to Technological Advances and Protect the High Street Experience
Technology is transforming how we work, live, and shop, making everything more convenient—from automated processes to personalized experiences and predictive recommendations. While all these innovations enhance our lives, they also bring challenges to industries like retail, particularly for those working directly with customers.
Despite the surge of online shopping and the closures of well-known retail brands, the role of frontline retail staff remains crucial in maintaining customer satisfaction. In 2018, 21,000 retail jobs were lost, highlighting the impact of technological changes. So, how can retailers adapt and ensure they continue delivering top-tier customer experiences?
Kareena Uttamchandani, Senior Solutions Consulting Manager at Medallia, explains how retailers can leverage technology without losing sight of the human connection and the high street experience that many consumers still value.
Understanding the Role of Technology in Retail
In today’s world, technology plays an essential role in improving operational efficiency and personalizing customer interactions. Yet, despite the increasing reliance on automation, human connections remain at the core of what makes the high street experience unique.
Through research with 1,000 customer-facing employees, it was found that 51% of frontline staff have suggestions to improve customer satisfaction on a quarterly basis, while 22% have feedback to offer weekly or even daily. However, nearly 60% of these employees believe their ideas often go unheard.
This gap between frontline staff insights and decision-making processes is concerning, especially when considering recent findings from Ipsos MORI, which highlighted that 83% of consumers in the UK, France, and Germany feel that customer service improvements have stagnated over the past year.
The Balance Between Automation and Human Interaction
While self-service tills and online shopping have reduced face-to-face interaction, it’s crucial for brands to maintain high-quality customer service despite these technological shifts. So, how can retailers adapt to the growing trend of automation without letting the customer experience suffer?
The answer lies in understanding changing customer needs and empowering frontline staff with the right tools to meet these expectations. Staff, especially those in customer-facing roles, need to be equipped with the right training and resources to interact meaningfully with customers.
Creating Experiences That Engage and Resonate
Even with the rise of online shopping, there’s still a strong demand for retail experiences that engage and excite. Retail stores are increasingly transforming into browsing experiences, with the Apple Store being a prime example. Here, well-informed consumers come for advice they can’t find online, as well as for inspiration.
Could we rethink the roles of checkout assistants and store managers and redefine them as customer experience advisors? These advisors would help create a premium in-store experience by offering tailored advice and fostering stronger customer loyalty.
For example, John Lewis has already embraced this change, planning to increase the number of in-store customer specialists as part of a broader strategy to blend technology with personalized service. This approach creates a differentiated brand identity while keeping the human touch at the heart of the customer journey.
Harnessing Technology to Foster a Customer-Centric Culture
It’s not enough to simply change job titles—what’s essential is creating a culture of customer experience. Empowering employees with real-time customer feedback can enable them to adapt quickly and effectively. Integrating feedback into daily operations, like one-on-one coaching and team huddles, helps staff address customer concerns promptly and collaboratively solve problems.
Moreover, staff should be given structured communication channels to raise issues or suggest improvements, whether related to product limitations, delivery problems, or cross-channel inconsistencies. Addressing these challenges at scale ensures the customer experience remains consistent and of high quality.
Happy Employees Create Happy Customers
A focus on customer feedback and employee engagement leads to stronger retention, increased productivity, and a better customer experience. When employees feel valued and empowered, they are more likely to stay with the company longer, provide outstanding service, and contribute to a positive work environment.
In turn, retailers benefit from improved customer satisfaction, more loyalty, and a more productive workforce. Investing in staff training, development, and fostering a positive company culture can help retailers adapt to technological change and stay competitive.
Adapting to the “New Normal” of Retail
The retail landscape is changing rapidly, but the human element cannot be overlooked. Technology may automate many processes, but it cannot replace the personal connections that employees form with customers. As consumer expectations evolve, retailers must balance the power of digital solutions with the importance of personalized service.
In fact, over a third of UK consumers now expect a personalized service when shopping. In response, businesses should invest in both technology and people—empowering staff with the tools and training they need to succeed in an increasingly digital world.
FAQs: Navigating the Future of Retail
Q1: How can technology improve the retail experience without compromising personal service?
By leveraging technologies like real-time feedback systems, interactive assistants, and customer data analytics, retailers can ensure staff are equipped with the information and tools needed to provide personalized service, while automation handles routine tasks.
Q2: Why is employee engagement important in the digital age?
Engaged employees are more productive, motivated, and capable of delivering a high-quality customer experience. When employees feel empowered to solve problems and contribute ideas, they are more likely to stay with the company and drive customer loyalty.
Q3: How can retailers adapt to the rise of online shopping?
Retailers can adapt by focusing on creating unique in-store experiences, embracing technology to improve service, and offering personalized interactions that can’t be replicated online. It’s about blending the best of both worlds—digital and physical.
Q4: What role does customer feedback play in improving service?
Customer feedback is a powerful tool for continuous improvement. When retailers integrate feedback into daily operations, they can make real-time adjustments, address concerns, and better meet customer expectations.
Q5: What’s the future of retail employment?
The future of retail employment involves evolving traditional roles into customer experience-focused positions. Staff will need to adapt to new technology while maintaining strong interpersonal connections with customers.
Conclusion: Embracing Change for a Stronger Future
The retail industry is in the midst of significant transformation, driven by technological advancements. However, people still play a vital role in delivering exceptional customer experiences. By empowering employees, leveraging technology, and fostering a customer-centric culture, retailers can thrive in the new normal. The future of retail is about finding the right balance between automation and human interaction to create memorable and impactful experiences that keep customers coming back.