Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
4 Executive Summary
7 Retail Industry Vision 2026
8 Trends Driving the Future of Retail
8 The empowered consumer
10 Disruptive technologies
14 Transformative business
models
19 Future Capabilities Required
19 The partnership mindset
19 Last-mile delivery
21 Advanced data sciences
22 Societal Implications
22 Impact of physical retail
evolution on communities
24 Impact of new technologies on
the workforce
26 Impact of last-mile delivery on
sustainability
27 Conclusion
28 Acknowledgments
30 Appendix
31 Endnotes
The next decade is expected to be the golden age of the entrants, all experimenting with new business models and
consumer, with shoppers having more choices and control methods of customer engagement. As choice increases,
than ever before. They will be presented with a growing loyalty becomes more fragile, and the consumer becomes
array of products and services, often personalized to more empowered. Businesses will have no choice but
their specific needs and wants. Consumers will continue to remain agile, and constantly innovate and disrupt
to demand price and quality transparency along with a themselves by embracing new technologies to meet the
wide range of convenient fulfilment options. Overall, the high standards and expectations of consumers.
retail experience is poised to become more inspirational,
exciting, simple and convenient, depending on the
consumers ever-changing needs. 2. Rapidly adopt game-changing technologies
Technology will be the key driver of this industry
The evolution in consumer demand, combined with transformation. Industry participants will only succeed
transformative technological innovations, will continue to if they have a relentless focus on using technology to
drive fundamental changes. The boundaries of retailer increase the value added to consumers. They must,
and manufacturer will continue to blur, as companies however, do so with a realistic assessment of their costs
evolve to meet their customers needs. These forces will and benefits. The following eight disruptive technologies
cause the retail and consumer packaged goods (CPG) are critical for transformation: the Internet of Things (IoT),
landscape to change more in the next 10 years than it has autonomous vehicles (AV)/drones, robotics, artificial
in the past 40 years. intelligence (AI)/machine learning, augmented reality
(AR)/virtual reality (VR), digital traceability, 3D printing
The key drivers of success over the next decade will and blockchain. Over the next 10 years, all of these
be centred on building a deep understanding of and technologies will come of age in the retail and CPG
connection to the empowered consumer, promptly industries, creating an unprecedented level of disruption. In
incorporating disruptive technologies, embracing particular, IoT, AVs, drones, robotics and AI are predicted
transformative business models in both the offline and to be most transformational for retail and CPG industries
online space, and establishing key capabilities. With this due to their widespread applications, ability to drive
transformation, there will also be challenges to solve efficiencies and impact on labour.
by pro-actively readying organizations for change and
implementing the required technologies to address issues
related to store closures, employment (job loss/reskilling) 3. Unlock the power of transformative business
and potential adverse environmental impacts. models in physical and digital spaces
Over the next decade, the line between online and offline
This insight report focuses on digitally developed markets will continue to blur. Emerging business models will
and represents a call to action to stakeholders across the continue to proliferate, gaining scale and momentum.
private and public sectors. Retail and CPG incumbents With slow-growing incomes in most digitally developed
need to address the accelerating opportunities and countries and a shift in consumer spending from products
challenges to their current business strategies and to services, the retail industry is likely to see greater value
operating models. Moreover, in collaboration with policy- migration (from one company or business model to
makers, regulators, and in some cases, educators, it is another) than value addition. In the future, e-commerce
critical to take clear positions on the societal implications of penetration is projected to grow from approximately 10%
the industrys transformation to ensure positive outcomes. today to greater than 40% in 2026. Averages, however, can
be deceiving, and some product categories are likely to
register penetration rates of 50% or more, while others may
Drivers of success not grow beyond 20%.
To succeed over the next decade and beyond, both Despite growth in e-commerce, the physical store will
retailers and CPG organizations will need to: continue to be the channel that contributes the most
revenue for the majority of large multichannel retailers until
1. Build a greater understanding of and a stronger at least 2026. However, its value proposition will evolve
connection to increasingly empowered consumers from being a distribution channel to that of a platform for
Empowered by technology, the hyperconnected consumer discovery, engagement, experience and interaction. This
is redefining value. The traditional measures of cost, choice will be done through leveraging technology for differentiated
and convenience are still relevant, but now control and customer experiences, developing new technology-enabled
experience are also important. Globally, consumers have frontline engagement with shoppers and new collaborations
access to more than 1 billion different products offered by to repurpose the stores and hubs for social interaction.
a wide range of traditional competitors and dynamic new
The partnership mindset. To keep up with the rapid 2. Slow pace of cultural change
pace of technological change, all participants will have Unprecedented and simultaneous advances in
to develop a culture of collaboration and pursue intra- technologies are redefining the world of retail. The rate of
Shaping the Future of Retail for Consumer Industries 5
change is outpacing the ability of businesses to keep up. change the nature of the industrys workforce. As the
Adopting a new or evolved business model requires, retail workforce evolves, industry leaders and policy-
in most cases, a new level of operational agility, which makers have to focus on reskilling the workforce,
impacts, at a minimum, an organizations structure, developing partnerships with educational institutions
capabilities, culture and decision-making. and developing new social contracts or benefits for the
workforce of the future.
3. Limited public-private partnerships to address Impact of last-mile delivery on sustainability:
social implications directly Meeting the consumer demand for what I want, when
Although critical to success in a rapidly changing business and where I want it, will need to be done with minimal
and regulatory environment, public-private partnerships environmental costs especially those related to CO2
to mitigate societal impacts are very rare in the retail and emissions and cardboard and packaging. Business,
CPG landscape. As a by-product of this transformation, regulators and policy-makers will have to stay focused
there will be significant disruptions, and potentially and drive innovation in packaging, as well as establish
negative implications for society that must be addressed the infrastructure and governance framework around
proactively and mitigated. systemic recycling initiatives.
There are three societal impacts which will be critical to The next great transformation in retail has already started.
solve for as their ramifications are significant: By 2026, how people buy products and engage with
sellers will have changed dramatically. Consumers will
Impact of physical retail evolution on communities: have access to a seemingly unlimited choice of products,
With an increasing number of retail stores downsizing price transparency, bespoke experiences and convenient
or closing each year driven primarily by the increasing fulfilment options. New technology-driven business
penetration of e-commerce, it will be important to solve models will rapidly evolve, but will have wider implications,
for the challenge of mitigating impact on communities. such as the impact of a reduction in the size and number
There are opportunities for businesses and local of stores on the industrys workforce. Technology will drive
governments to establish economic development transformation and develop new capabilities whether
strategies and partner with communities to repurpose it is new approaches to employment or the creation of
these physical spaces as hubs for experiences, leisure effective and efficient delivery systems which is likely to
and lifestyle activities so as to continue to provide the underpin the development of a new logistics ecosystem.
foundations for vibrant communities. While there will be impacts on society, both positive and
Impact of new technologies on the workforce: negative, as a result of these transformations, they can
Emerging technologies will drive efficiencies in store be managed through focused cross-sectoral and public-
labour and long-haul trucking, among others. This private partnerships to shape positive outcomes.
increased productivity will likely lead to job losses and
It is 2026 and consumers are truly the epicentre of the retail have also addressed the capabilities needed not only
and consumer packaged goods (CPG) industries. Their to go digital in terms of how they communicate with
lives are simplified and their lifestyles have improved due consumers or customers, but have become truly
to technological advancements. Technology is embedded digital enterprises, end to end, hence, operationally,
into their daily lives, which means hyperconnectedness is effective and efficient. They have successfully solved the
the status quo. Sensors and digital devices are everywhere challenges which were identified a decade ago as a result
throughout homes, in clothing, in appliances and of digital disruption.
the data that is collected drives a highly personalized
consumer experience in the journey to purchase a product. Workforces are prepared more than ever to operate
Consumer preferences are immediately understood, which in end-to-end digital environments. Employees have
means companies provide hyperpersonalized product and benefited from new methods of education and/or
service offerings. In fact, a consumers current emotional have been retrained. The establishment of a new and
state is identified and factored into an interaction. In sustainable last-mile delivery ecosystem has been
addition, consumers have an exponential amount of control addressed. The industry and local governments have
and choice in every step of their journey and influence partnered with one another to repurpose physical retail
everything, from personalizing products to instantaneous real estate of the years past, creating dynamic new
delivery. environments for their respective communities. Data
privacy and security are the issues of the past. The
By 2026, the high street has been transformed shopping industry has determined how to leverage data as an asset
in-store is no longer a chore and about merely a product without breaching trust.
purchase, but is a rich, engaging and specialized
experience driven by innovative business models. Retail is Also by 2026, business leaders, policy-makers, educators
reimagined and shopping is an experience full of discovery and other relevant actors have addressed these issues
and excitement. Stores are destinations to interact with head on through cross-industry and public-private
the product, talk to product experts and provide an partnerships. In doing so, they have pioneered new
ambiance which encourages consumers to stay and frameworks in terms of how future transformations can
keep coming back. They are technology enabled, which be managed effectively to ensure sustainable economic
means a consumers digital device is integral to providing benefits for business and equally important, contribute to
an engaging experience. In addition, activities that do the betterment of society.
not drive value to the consumer experience, for example
stocking shelves, checking out, etc. are automated. Robots
work alongside a highly skilled human frontline workforce
to drive this highly personalized and interactive shopping
experience. The frontline workforce in retail has been
transformed, for the better of consumers, the business and
the workforce.
(1) The empowered consumer Evolved dimension: cost. This will continue to be a broad
spectrum at one end, premium pricing, typically for
A new breed of consumers is shaping the industrys future, high-quality products, at the other, economy pricing
where incumbents must adopt disruptive technologies and to attract the most price-conscious consumers. What
business models to cater to them. Increasingly empowered will be new is the unprecedented level of data that
consumers will have ready access to information, which connected consumers will use to compare prices across
means they will make decisions differently. They will use products and retailers.
technology, especially mobile devices, in day-to-day decisions Evolved dimension: choice. The choices consumers
and tasks. They will also be hands-on, creating and controlling expect to make are changing dramatically. These
unique, personalized experiences. To better understand how choices can include the product assortment and
this premium on experience is going to reshape retail and the selection, personalization and related services.
CPG industries, three areas need to be considered: Technology will be the catalyst in companies ability to
tailor these factors to individual consumers, reflecting
(i) The expanded consumer equation individual tastes and occasions and spanning not just
(ii) Low- versus high-engagement experiences the product, but the entire consumer journey.
(iii) Consumer influence on the value chain
Evolved dimension: convenience. Consumers now want
Studying these three areas reveals what the consumer will what they want, when and where they want it. Instant
want, how their journey will rapidly change in terms of gratification has now become the expectation, rather
channels, players and touchpoints and how product type will than the exception. Retailers are increasingly required to
impact expectations along the way. provide it in the learning, consideration, purchasing and
The expanded consumer equation receiving stages (e.g. compressed delivery times) of the
consumer journey. That journey will only become more
Historically, the consumer equation has had three dimensions convenient, with artificial intelligence-enabled digital
cost, choice and convenience and each has comprised assistants able to seamlessly and automatically find,
a small spectrum with a limited number of options. New order and deliver the ideal option to the consumer.
technology is expanding this equation and making it more New dimension: control. Consumers want to control,
complex. Control and experience will be critical additional influence and shape their entire purchasing journey.
dimensions, and the cost, choice and convenience Digital channels will offer a two-way channel for their
continuums will be greatly expanded. This will translate into an voice to be heard, whether through sharing opinions
unparalleled proliferation of permutations for consumer value. via social media or making last-minute updates to an
order or delivery preference via an app. Through these
conduits, consumers will be empowered to provide the
(i) The consumer equation exact experience they want.
New dimension: experience. This is the aggregation of all
Historical equation:
interaction points with the consumer. It will become the
Consumer Value = Cost + Choice + Convenience
most critical dimension, especially in physical stores
everything from the layout, ambiance, staff and product
Future equation:
selection will affect a consumers experience. The
Consumer Value = Evolved Cost + Evolved Choice + Evolved
more companies can deliver differentiated and positive
Convenience + Control + Experience
consumer experiences in store and online, the greater
their advantage.
Consumer value: This is defined as the sum of tangible and
intangible (e.g. emotional) benefits the consumer receives
from making a purchase, relative to what is given up to make
the purchase. Consumer value differs among consumers, Spotlight: The evolved dimension of choice1
and the numerous technologies, channels and business
models developing across the industry will make it even The proliferation of choice is startling. Across every retail
harder to identify a specific consumers value equation. To department measured, there were over 114,000 new
meet expectations and delight the consumers of the future, products introduced to the market through the first three
retailers and CPG companies must keep up with and shape quarters of 2016. There are 11% more items available
all the different dimensions that contribute to consumer value in the average grocery department today than in 2012.
appropriately. Many departments are growing their depth of assortment
As e-commerce penetration increases, and the delineation Across the value chain, the consumer has traditionally
between high and low engagement becomes more been involved in purchasing the product and follow-up
pronounced, the key for retailers will be to tailor the servicing. That is now changing as the consumer takes on
appropriate business model to the desired consumer new roles, actively participating in every step of the journey.
engagement level, so as to optimize costs and profitability. Consumers will soon be involved in:
High-engagement products will revolve around positive
personalized experiences, which mean using relevant The creation process for companies (R&D, financing), as
technologies and best-in-class employees. For low- well as marketing content and product sales (marketing
engagement products, speed, efficiency and price will and sales) and products (sales)
be critical, so there will be a skew to more commoditized
Personalizing their own products (innovation,
management through automated channels.
manufacturing)
Working as contractors for companies (distribution, store
Case study: Bonobos Boosting engagement for execution)
mens apparel purchases2 As a result, companies will need to open up their value
chains (see Figure 1) and find ways to partner that further
Founded in 2007, New York-headquartered Bonobos enhance the dimensions of the consumer value equation.
positions itself as the largest clothing brand ever built
on the web, designing and selling a new type of smarter
MARKETING
R&D FINANCING
INNOVATION
MARKETING
MANUFACTURING
DISTRIBUTION
STORE EXECUTION
AND SALES
Company Description
Scottish craft beer Online retailer of Online DIY An app controlled Online Logistics An app to help retailers
company! vintage inspired marketplace robotic bartending marketplace company that monitor their store
womens clothing! with appliance used in for operates a operations!
innovative homes! handmade network of
ideas and and vintage couriers who
projects that items! deliver locally!
customers
can browse,
share, shop!
Value Chain Integration
The worlds rst Identies community Community Somabar enables a Enables online Its network of App users (real customers
ever crowdfunded feedback (blog connects cocktail to be mixed users to buys couriers are who get paid) can assist
brewery
comments, product novice crafters; in seconds from a and sell independent with store audits (e.g.
reviews, social very active home kitchen
products
contractors, planogram compliance)
media) as source online who could also
data for rening its community
be customers
collection.
Figure 2: Eight disruptive technologies: Value chain applications and key benefits
Source: Accenture/World Economic Forum analysis Shaping the Future of Retail for Consumer Industries 11
Readiness level organization using Radio Frequency Identification (RFID)
tags, but converting a trucking fleet to autonomous
These eight technologies stand at different levels of vehicles is at least five years away due to the technological
readiness today. Over the next decade, each will take advances and regulatory changes that are needed. As
a different trajectory in terms of advancing to maturity organizations assess the benefits of these technologies to
at different rates (see Figure 3). For example, digital their business, the pace of adoption should be a critical
traceability could be implemented today within an consideration.
Figure 3. Current readiness levels of disruptive technologies and key enablers to reach full readiness
NOTE: White portion of Harvey ball indicates readiness
Considerations for business, regulators and From stores to stories: The evolution of physical
policy-makers retail spaces
As organizations weigh investments in some of these new Retailers will place a premium on personalized services
technologies, they should consider the following: and experiences that requires high levels of interaction
with products and staff. Stores of the future will be smaller,
Strategic fit of technology. Organizations should carrying streamlined inventories that mix in-stock product
understand how each of the eight technologies fits into and the ability to manufacture customized products on site.
their overall business strategy, if at all. A technology This transformation has three key enablers:
may help generate efficiencies or value by itself or in
combination with one or more other technologies. 1. Differentiated customer experiences.
Furthermore, leaders will have to determine the level of Tomorrows physical stores will offer rich, dynamic
investment and the trade-offs in other investments they interactions and virtual experiences. They will become
will need to make over both the two-to-five-year and more like media platforms or flagship showrooms where
six-to-ten-year timelines. consumers go to interact with products and expect
Regulatory considerations. As technology hyperpersonalized services. For example, by combining
advances, it must adhere to existing regulations IoT and data analytics with AR/VR, smart fitting rooms
and, where applicable regulations do not exist, can predict consumer preferences using knowledge of
regulatory bodies must modify or add criteria to the customer gathered through previous interactions. This
help bring these disruptive technologies into the innovation helps customers envision (digitally) how items of
mainstream. Considerations here include insurance, clothing will look on them via interactive screens.
safety standards and testing, consumer privacy,
and workforce redeployment. There will need to be
Case study: The Mall of the Emirates in Dubai Case study: REMA 1000 VIGO initiative7
An experiential lifestyle hub6
REMA 1000 is a multinational supermarket chain operating
Majid Al-Futtaims Mall of the Emirates in Dubai is one of in Norway and Denmark. In September 2016, it launched
the first next-generation malls. It is a multi-level, luxury their VIGO initiative (VI meaning community and trust
shopping mall that goes beyond shopping to provide and GO meaning on the go. VIGO leverages digitization
stimulating, one-of-a-kind customer experiences. Beyond and the services economy to create better, faster and
its 630 retail outlets, more than 100 restaurants and cheaper access to daily shopping and revive the sense
cafes, 80 luxury stores and 250 flagship stores, there are of local community. VIGO is a mobile sharing economy
Product rental for a fraction of Expertly curated products, Automatic reorder (e.g. via Instead of a basket of
the retail price, in lieu of based on an individuals sensors, replenishment products, customers buy a
HOW IT WORKS
ownership; in addition, preferences, are automatic program) of a product when service that meets their basic
includes resale of used ordering and delivery are on the level is low.
or aspirational needs.
goods.
on a consistent schedule.
Rent the Runway, an online StitchFix, an online Amazon Dash Replenishment Glamsquad, an on-demand,
WHO IS DOING
service providing designer subscription and personal- allows connected devices in-home beauty service that
IT ALREADY
dress and accessory rentals.
shopping service that sends (e.g. washing machines) to provides hair, makeup and
individually selected clothing reorder products nail services.
and accessories
automatically.
Consumers, especially Customization and Consumers value seamless Consumers are spending
millennials, are moving away personalization drive the transactions, especially for more on services and
WHY
from product ownership success of this model. low-engagement products. experiences, and less on
CONSUMERS
towards product access and Typically, it is better with high- Auto reordering will trigger an goods. Instead of do it
LOVE IT
utility. This model typically engagement goods in which order based on pre-dened yourself, emerging
works for high-value and/or customers appreciate the criteria.
businesses are providing do
low-utilization products.
surprise and delight element.
it for you services.
Online platforms that AI / machine learning and IoT- AI / machine learning and IoT IoT enabled data science will
TECHNOLOGY emphasize trust and enabled data sciences will connects data to drive indicate when a consumer
ENABLERS
authentication of products; lower the cost to serve and purchases.
needs a specic service.
services enabling convenient drive accuracy in
rentals.
personalization.
Potential for decrease in Potential for increase in Potential to disintermediate Potential for increase in
revenues if consumers utilize revenues due to retailer due to the automated revenues due to higher prices
rental and secondary markets commissions and margins as nature of direct order from a services command. Could
in lieu of purchasing new a result of the personalized CPG company. Removes drive additional value to
IMPACT ON products. Retailers should service element. Smaller ongoing consumer decision- industry that typically resides
BUSINESS
consider how the sharing brands can also leverage making, thus making initial in entertainment or other
economy can be model to gain consumer consumer acquisition critical.
value pools. Retailers and
incorporated into existing exposure.
CPG companies should
business models.
consider how to boost value-
added services to existing
products.
POTENTIAL Apparel, accessories, Food and beverage
Personal and home care
Food and beverage
HIGH IMPACT lifestyle products
Apparel and accessories
Food and beverage
Personal and home care,
SUB Hard goods
Personal and home care, beauty
INDUSTRIES
Consumer electronics
beauty
Total consumer
impact
Consumer impact! Consumer impact! Consumer impact!
$2,009 billion
$338 billion
$1,653 billion
$18 billion
Considerations for business, regulators and Determine who absorbs the cost of last-mile
policy-makers delivery: consumers, retailers or both. An
industry-led effort will be needed to reset consumer
The following initiatives will help organizations work expectations about delivery charges. As technologies
together to solve the challenges that last-mile delivery such as autonomous vehicles, robotics and drones
presents: become more capable, delivery costs will fall.
Establish macro-aggregators. A macro-aggregator, The path forward will likely include a series of partnerships
similar to the United States Postal Service, can sort or ecosystems that combine multiple players, because
and batch individual deliveries into reusable containers the challenges of last-mile delivery will not be solved by a
for delivery. It will play a critical role in the distribution single player acting alone. A collective effort will be needed.
network. When economies of scale occur, the macro-
The future of retail will be built on insights derived from Data-driven supply chains. Real-time data will
proprietary data in particular, consumer data. Businesses underpin just-in-time (JIT) models in supply chains,
must act now to reap the rewards of the consumer data which can potentially lead to major efficiencies in
gold rush by moving from simply collecting consumer the availability of materials, delivery schedules,
data to using it to support, scale and systematize better manufacturing capacity and staffing considerations.
decision-making. As changing external factors (e.g. trending fashions)
shape internal decisions, it will be imperative to stay
Recent years have highlighted the importance of ahead by making smarter decisions. This will require
leveraging data science as a core capability throughout critical data to be shared easily among manufacturing
the organization to drive decision-making, yet it has not teams, from the factory floor to the executive suite.
been adopted at the rapid rate that the industry requires.
Analytics is becoming ever more sophisticated and its If companies build up their capabilities specifically by
use within organizations is proliferating, which makes developing competitive ecosystems through partnerships,
the speed of capability development crucial for retailers. last-mile delivery and data science they will be better
Advanced analytics drives profits because it provides placed to succeed in the dynamic environment of the
real-time responses to market shifts and can better inform future.
innovation initiatives.
A companys primary focus is likely to be its business (1) Impact of physical retail evolution on
goals, but it should also be aware of the potential impact
of digitalization on society. In a retail context, this impact is
communities
likely to manifest itself through changes to physical stores
Malls and high streets have traditionally been seen as
affecting communities, the impact of new technologies on
community hubs fusing social, lifestyle and entertainment
the industrys workforce and last-mile delivery challenging
elements. But an increasing number of retail stores are
sustainability. The societal impact of digital transformation
downsizing or closing each year, as e-commerce captures
may seem negative at the outset, but these risks for
a higher percentage of sales. This decrease in retail square
society can be mitigated and transformed into more
footage is expected to continue over the next decade and
positive outcomes. To achieve this, business leaders and
dramatically change those malls and high streets.
policy-makers should collaborate to address and manage
potential risks to society.
Trend to smaller format stores Store closures over the next 10 years
In both the grocery and mass merchandiser channels, Store closures represent an opportunity for businesses
traditional large format stores are flat or declining, but there and local governments to repurpose these physical spaces
is growth in smaller format stores. In grocery, even within as hubs for experiences, and lifestyle and leisure activities,
the traditional grocery supermarket sub-channel, the new providing the foundations for vibrant urban communities.
supermarket stores that opened were smaller than existing
ones featuring an average selling square footage of With approximately 1,050 shopping malls around the
22,700 square feet, 5,000 square feet or 18% smaller than country, the United States is particularly over-indexed with
the average for all stores in the sub-channel.8 In terms of retail square footage among digitally advanced nations.9 In
the mass merchandise channel, recently opened stores fact, it has five times more square feet of retail space per
were typically less than 40,000 square feet. (The average person than any other country.10 It is projected that 15% of
size of a conventional mass merchandiser is 83,600 these malls will close over the next decade11 with the lower-
square feet of selling space, the average size of general grade malls (those with sales per square foot of less than
merchandise stores is 21,000 square feet, and dollar stores $325) being worst affected. This means that the malls most
are 7,700 square feet.) Two implications of these trends at risk of closing will be in secondary or tertiary markets,
for retailers include: additional pressure to tailor local and these properties are likely to remain abandoned, face
assortment to get the right products on the shelf for the demolition or be reconstructed for uses other than retail.
most valuable shoppers; and increasing pressure on price
and promotion strategies to ensure customers see real All of these three options abandonment, demolition or
value when they shop in a given store. reconstruction have profound cultural and economic
Source: Nielsen data and analysis repercussions for the community:
Brand ambassador. Associates must be enthusiastic Employment partnerships. This model involves
and passionate about the brand. They must embody developing a collaborative employee exchange with a
the brand in their customer interactions to capture partner organization to provide a view of the external
hearts and minds. landscape and/or focus on a specific function. The
partner is viewed as a counterpart in technology
A greater emphasis on service will also be an important development and investments.
trend outside of stores over the next decade, leading to a Freelance. Freelancers or independent contractors
positive impact on employment in retail-related services. perform tasks that require specific globally distinctive
skill sets for a specified period. They bring external
expertise to the task.
Consumers/customers. They provide experience-led
sales or marketing support as an extension of everyday
activities.
These four emerging workforce models will change the
future retail workforce and redefine employment as we
know it.
Steven Skinner, Senior Vice-President, Business Consulting Innovation, Science and Economic Development Canada
Products and Resources, Global Lead, Cognizant Technology
Solutions, USA Instagram
Paul Todd, Senior Vice-President Europe, Middle East and International Flavors & Fragrances Inc. (IFF)
Africa, eBay Inc., Switzerland
Lawson Inc.
Jamie Murray Wells, Industry Head, Retail, Google Inc., USA
London College of Fashion, Fashion Business School
Abdulrahman Addas, Chief Corporate Development Officer,
Majid Al Futtaim Holding LLC, United Arab Emirates LVMH Moet Hennessy - Louis Vuitton
Henrik Burkal, Chief Executive Officer, REMA 1000, Denmark Monsanto Company
Sean Flaherty, Vice-President, Global B2C Strategy, UPS, USA New York City Economic Development Corporation
Ramon Martin, Global Head (2014-2016), Merchant Sales and New York University
Solutions, Visa USA Inc., USA
Orkla ASA
Lori Flees, Senior Vice-President, Corporate Strategy, Wal-
Mart Stores Inc., USA PeerSpace
Positive Luxury
Project Workshop Participants, Contributors and
Postmates
Additional Interviews
Refinery29
Blockchain
Stitch Fix
Carnegie Mellon University
STORY
CJSC Ulmart
Truestart
Darby Smart
University of Chicago
Dazed Media
Unmade Studios
Deutsche Post DHL Group
Accenture
Accenture 2016 Global Consumer Pulse Research 54%of young consumers feel more loyal when they can
Survey personalize the products; 70% for high income young
consumers
Key concepts and statistics from primary research
Three in fourmid-high income young consumers feel
conducted in support of the World Economic Forum Insight
more loyal when they are provided with optimally-
Report:
designed and personally-desired channels to interact
Over 25% of respondents would currently use new 25% of consumers are more interested in subscribing to
business models a service if it uses analytics or virtual personal assistants
1
Nielsen Analysis for the World Economic Forum, December
2016.
2
Thau, Barbara, Why A Store Youve Likely Never
Heard Of Hints At Retails Future, Forbes, 8 July 2015,
http://www.forbes.com/sites/barbarathau/2015/07/08/
bonobos/#6056f4687977.
3
Samuely, Alex, Carrefour undertakes first large-
scale beacon deployment in Romanian hypermarkets,
Mobile Commerce Daily, 23 July 2015, http://www.
mobilecommercedaily.com/carrefour-undertakes-first-large-
scale-beacon-deployment-in-romanian-hypermarkets.
4
Milnes, Hilary, How tech in Rebecca Minkoffs fitting rooms
tripled expected clothing sales, Digiday, 23 September 2015,
http://digiday.com/brands/rebecca-minkoff-digital-store.
5
Amazon Go, https://www.amazon.com/
b?ie=UTF8&node=16008589011#.
6
Mall of the Emirates, http://www.malloftheemirates.com.
7
Information provided by Henrik Burkal, Chief Executive
Officer of REMA 1000.
8
Nielsen Analysis for the World Economic Forum. Nielsen
TDLinx data. December 2016.
9
Banjo, Shelly and Rani Molla, These Malls Didnt Get the
Memo Theyre Dying, Bloomberg, 23 December 2015,
https://www.bloomberg.com/gadfly/articles/2015-12-23/high-
end-malls-defy-death.