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Published
Aug 5, 2010
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Reinventing Retail: A Multi-channel Transformation

Published
Aug 5, 2010

Deloitte Consulting produces new report : Reinventing Retail, A Multi-channel Transformation.
Everyone’s talking about multi-channel retailing. Is it really happening or is it hype? To answer this question, Deloitte Consulting LLP spent six months interviewing dozens of retail executives.




Through our research, Deloitte Consulting found that these executives almost universally agreed that multi-channel retail is a major trend that will fundamentally transform the way retailers think and operate. In addition, we heard diverse opinions about how far and how fast individual retailers are willing to go to respond. We also gained deeper insights into how a retailer’s unique product assortment, target customer segment and culture seem to influence the degree to which multi-channel is embedded in their corporate strategy.

Market data show remarkable growth in cross-channel shopping. Consumers are increasingly using two or more points of contact with the retailer to discover, research, evaluate, purchase, service, and perhaps return a product. A recent report from Forrester Research estimates that cross-channel shopping in the US will grow from 20 percent of sales in 2007 to 38 percent in 2012.1 If accurate, that would be $1.1 trillion in retail sales on a base of $3.0 trillion in 2012.

Multi-channel retail growth is imminent

“There is no question where our growth will come from.”

During the same time, online-only sales are expected to increase more than 13 percent annually, while cross-channel sales should enjoy a stronger 17 percent annual growth rate, according to Forrester. That means by 2012 nearly 50 percent
of transactions are expected to be executed with the consumer crossing channels. (This trend will likely be particularly perplexing to retailers that lack an integrated view of cross-channel activity and the increasing connection between channels.)

Click here for Deloitte's full report


Source : Deloitte

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