In partnership with

Analogue to
Automated:
Retail in the
Connected Age
May 2018
About Displaydata
Displaydata is the leader in the design and supply
of fully graphic electronic shelf labels (ESLs). We
were first to market with three-color ESLs and
continue to lead this category, having shipped
millions of labels. We work in close partnership
with many of the world’s largest retail brands
and have operations in the US, Europe, LATAM,
and Asia. We help retailers optimise revenues and
margins by improving the customer experience at
the shelf edge, where most purchasing decisions
are made.
Displaydata’s ESLs, with the option of integrated
Bluetooth Low Energy beacons and NFC, enable
retailers to control and drive in-store pricing and
promotions with speed, agility, and consistency.
Fully graphic and available in three colours, the
ESLs can display product, price, promotion, stock
levels, social reviews, currency details, and much
more. Displaydata’s ESLs are part of an architecture
designed in partnership with retailers to be
enterprise ready. The trusted platform is simple
to install and needs the least amount of in-store
hardware of any vendor. The wireless network
is secure, and the robust software enables the
centralised management of any number of ESLs,
across any number of stores.
For more information, please visit:
www.displaydata.com
About PlanetRetail RNG
PlanetRetail RNG is a global
intelligence and advisory
business exclusively focused
on retail. For 13 years we have
been tracking over 2,000 leading
retailers and built a proprietary
and globally comparable
macro-economic data model
with over 4.5 million data points.
We do this to give our clients
true competitive advantage in
understanding where to play and
how to win.
planetretailrng.com
Planet Retail and Retail Net
Group are part of Ascential plc,
which transforms knowledge
businesses to deliver exceptional
performance.
ascential.com
All images © PlanetRetailRNG.
net unless otherwise stated.
 

Contents

Foreword 2

Executive Summary 3

Maintaining store leadership 5

Channels merge 7
Dynamic pricing 9
The connected store 11
Conclusion 13

 1
Foreword

Foreword
Despite the seismic changes in retail, 90% of sales still take place in
a store. Over the next five to ten years, that figure is likely to remain
as high as 75%.

That’s not to deny the challenges: legislation, rising costs, and fierce
competition create, if not a perfect storm, major headwinds. For stores
to retain their relevance, retailers need to continually enhance the
store shopping experience.
Andrew Dark
We therefore commissioned PlanetRetail RNG to research the issue CEO, Displaydata
among thousands of retailers and consumers across ten countries.
The research looked at both shoppers’ and retailers’ attitudes towards
new services and technologies in-store.

The analysis reveals that the right price, accurately displayed, is still
the single most influential buying factor for most shoppers. And if
a price at the checkout doesn’t match the shelf or prices are different
online to in-store, trust is undermined. It’s interesting too that the
majority of shoppers see no issue with dynamic pricing, especially “Over two
where changes are made to match competitors, mark down perishable
goods, or move surplus stock.
thirds of
shoppers
Over two thirds of shoppers want digital technologies to enhance
their experiences in-store. They also want greater consistency across want digital
their store, online, and mobile interactions with retailers. They would
like to see more of the product information that they’re able to view
technologies
online at the shelf edge, while significant numbers are interested in to enhance
being identified in-store to receive personalised offers to their mobile
devices.
their
experience in-
These findings run contrary to the way customer interactions are
currently managed in-store – especially at the shelf edge – where store”
paper-based labels are still used to communicate with shoppers.
It’s an approach that hasn’t changed in decades.

The research clearly shows that now is the time for stores to become
more digital. Retailers must embrace technologies that enable them
to deploy pricing and promotional strategies with new levels of
speed, accuracy, and agility, and to compete more effectively with
online. There’s also appetite for technologies, such as Bluetooth,
Augmented Reality, and location-based services, which can offer
consumers shopping experiences that are more engaging, personal,
and rewarding.

As our research with PlanetRetail RNG demonstrates, now is the

time to move into the digital era of in-store retail. I trust you find
the research useful. To speak with us about it, please contact:
contact@displaydata.com.

Andrew Dark,
CEO, Displaydata

2 
 Executive Summary

Executive Summary
A number of trends are putting pressures on stores. From innovations
such as Amazon Go, to the fact that shoppers’ expectations are
heightened by online experiences, to Social, Technological, Economic,
10
Industry, and Policy (STEIP) changes. With this issues and trends in Countries
mind, physical retailers must embrace spaces that are more agile,

1,000
dynamic, and connected.

PlanetRetail RNG predicts ecommerce will account for 25% of global

retailers
chain retail sales by 2022.1 Yet 90% of sales are still completed in
a store, highlighting the threat but also the continued opportunities
for physical retail. To better understand the current and future climate,
Displaydata commissioned PlanetRetail RNG to carry out global
76% of
research to understand what consumers wanted from physical stores, respondents
and how retailers were responding. These are the main findings: operated both
Store relevance stores and online

As ecommerce growth continues apace, shoppers increasingly want a

more digital, connected physical shopping experience:

4,811
• P
 rice has the greatest influence on buying decisions at the
shelf edge, for 80% of consumers polled.

consumers
• Moreover, accurate pricing is the main type of informa-
tion shoppers wish to see displayed (82%), with less than half
(43%) always trusting that the prices on display will be the same
paid at the till.
All of whom
had completed a
Channels merge purchase in a store
The push towards omnichannel retailing has been a key focus for
within the
the industry, but the survey suggests more work needs to be done to previous week
maintain consistency of physical and online offers. Retailers’ top
strategic priorities demonstrate the need to balance improved store and
digital customer engagement, with evolving shopper demands:

• One in ten consumers were unable to purchase a desired product

in-store, with a similar proportion finding different prices in-store
and offline.

• The ability to return products in-store that were purchased online,

and the desire to order all products available online at the retailer’s
store, were the second and third-placed reasons for visiting
physical stores.

• And, to further emphasise the need to create consistent online

and offline experiences, almost a third of consumers said that
online research was a key motivator for subsequently visiting a
physical store.

1 Estimate, based on PlanetRetail RNG sales data and forecast.

 3
Executive Summary
Pricing accuracy
 etailers are looking for ways to build trust with
R Shoppers are increasingly tech-savvy. Previous
consumers. Pricing and promotions accuracy are
the most influential tools at their disposal in-store:
• Yet 65% of retailers are not able to implement all
the price changes and promotions they want.
• Retailers confirmed that “improving pricing
and promotional strategy” is their top strategic
priority in 2018, as cited by nearly half (48%);
second is “improving customer experiences
in-store” (45%); and digital (including mobile)
customer engagement (42%) follows in third.
Dynamic pricing
It is an unchallenged assumption that consumers
would reject the concept of dynamic pricing. But the
research suggests retailers should think again and
prioritise agility as part of their pricing strategy:
• Nearly two thirds (65%) of consumers would
welcome price changes throughout the day if
a product is reaching sell-by date, for example,
or to price match (52%).
• Yet, a quarter of retail respondents are not
convinced of customer acceptance if they were
to change prices more frequently; while 84%
of the same retailers agree the ability to price
dynamically can help improve margins and store
efficiencies.
2 PlanetRetail RNG Shopology research, YTD April 2016. N=63,000; 4,500 consumers per market.
Most (91%) of retailer respondents globally track the
cost of making manual labelling or signage changes
related to pricing and promotions. This cost amounts
to 1-4.99% of average monthly store turnover for 67%
respondents, representing some $104 billion in sales
during 2017
4 
Digital engagement
PlanetRetail RNG research found that over a third
(36%) of consumers globally compared prices
when out shopping2 and this study reveals that
one in every nine shoppers had actually found a
cheaper price with a competitor while shopping, it is
essential retailers respond to this trend in-store:
• Over two thirds (67%) of consumers think the
technology deployed in-store improves their
shopping experience and has some or a lot of
influence over their choice of retailer. A further
27% want to be identified as a loyal shopper.
• The top three types of digital service that
shoppers want in-store are free, secure public
Wi-Fi (38%); promotions delivered direct to their
mobile (33%); and electronic shelf labels (ESLs) to
show accurate, real-time prices, promotions, and
detailed product information (31%).
• Consider also that 42% of shoppers claim they
recently had a poor experience in-store due to a
lack of Wi-Fi, a lack of information at the shelf
edge, and differences in product availability
in-store and online. And it is clear retailers need
to focus more effort on turning the physical
store into a digital environment for tech-savvy
shoppers, to meet consumer expectations raised
by online around transparent pricing, promotions,
and availability, starting at the shelf edge.
 Maintaining store leadership

Maintaining store
leadership
For all the discussion on the profound impact digital
is having on the shopping journey, 90% of sales
are still completed in a physical store. The good
news is the store is not going anywhere soon. But it
needs a radical revamp to keep pace with online.

PlanetRetail RNG estimates that ecommerce will
account for 25% of all global modern chain retail
sales by 2022ef, up from 8% in 2012. Yet store-
based sales will continue to generate incremental
growth, especially in emerging markets where
new store opening opportunities still exist,
alongside favourable global STEIP drivers, such as
expanding middle classes fuelling urban growth
and tech adoption.
Retailers need to ensure their stores remain
relevant: to capitalise on ecommerce growth and
the influence online is already having on store-
based sales. Bringing the best of online into
physical retailing is the only way to ensure store
relevance as part of the digital shopping journey.
Consumers confirm choice, competitive pricing and
promotions, and availability are the main drivers
of shopping decisions, especially when the likes
of Amazon can change millions of prices a day
and is pioneering its Just Walk Out checkout-free
technology. These are therefore key capabilities
that physical stores must embody to build customer
trust and brand integrity.
Trusting that prices displayed in-store and having
confidence that the price of products on promotion
is accurate have the greatest influence on what
encourages customers to visit a retailer’s physical
store. Accurate promotional pricing is also the top
reason why consumers say they would return to a
physical store.
At the shelf edge, price clearly also had the greatest
influence on buying decisions, cited among 80%
of consumers polled. Moreover, accurate pricing
is the main type of information shoppers wish
to see displayed at the shelf edge, at 82%. Price
on promotion alongside the regular price is a
distant second, chosen by 48% of respondents.

Inaccurate price and promotions in-store and an

inability to price match in real time were cited
by retailers as the biggest contributors to losing
customers in-store
 5
Maintaining store leadership

Figure 1.1 – The experiences most likely to motivate customers to return to a physical store

Buying the item on promotion as advertised 48%

Receving promotions relevant to me, based on my shopping behaviour and history 26%

A great deal on a product close to its expiration date 25%

Calling for help from a store assistant directly at the shelf edge 25%

Information about product options (e.g. size, colour, etc.) and availability at the shelf
19%
edge
Accessing product information and product reviews relevant to me (e.g. local, organic,
17%
vegan or free from…etc.) at the shelf edge

Browsing for products not in stock and order them for home delivery or store pick-up 15%

None of the above 13%

A shopping app that allowed me to search for an item, access product info and ratings
9%
and competitor prices

Navigating the store easily using a mobile app 7%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

Price accuracy priorities A further 78% would like to be able to implement

more price changes and promotions to offer
The consumer survey confirmed shoppers are as customers better prices and deals in-store.
price and promotion-sensitive as ever. However,
inaccurate price and promotions in-store and/or Providing staff and customers with accurate and
across sales channels and an inability to price match up-to-date availability, location, pricing, and other
in real time were cited by retailers as the biggest product information were among the areas that
contributors to losing customers in-store. It follows emerged as the joint top business challenges. Retail
that retailers’ top strategic priorities (in order of respondents also say that ensuring clear and accurate
popularity) are: pricing across online and in-store and working to
respond more quickly to competitors’ offers rank
1. Improving pricing and promotional second.
strategy (48%)
2. Improving customer experiences in-store (45%) These challenges are particularly important
3. Digital (including mobile) customer considering just over three quarters (76%) worked for
engagement (42%) organisations operating both retail stores and online.
They also underline the store’s relevance to customer
Most retail respondents (82%) also agree that retention and repeat custom: over half (55%) of store
ensuring pricing accuracy and promotional agility purchases (completed within a week of taking part in
would help increase consumer trust and loyalty. the survey) resulted from previous store visits.

Figure 1.2 – Strategic retailer pricing priorities

Providing customers with more info at the shelf edge, such as competitor prices and
47% 29%
customers reviews, could positively influence purchasing decision and conversion rates

We have no plans or desire to deploy agile pricing strategies (i.e. real-time, centralised,
37% 28%
optimised and dynamic pricing control), our customers would not like it

Ensuring our prices and promotions are accurate and up-to-date would help us increase
46% 36%
consumer trust and loyalty

Being able to price dynamically (deploy agile pricing strategies) would help us improve
48% 30%
margins and instore efficiencies

We would like to implement more price changes and promotions to offer customers
45% 33%
better prices and deals instore

We struggle to keep up with price changes and promotions made by our online
43% 27%
competitors

We are unable to implement all the price changes and promotions we want 36% 28%

We can implement all the price change and promotions we want 43% 30%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Agree Completely agree

6 
 Channels merge

Channels merge
Although most purchases complete in-store,
industry consensus estimates the influence
of digital on all sales could be as high as 80%.

Almost a third of shoppers surveyed cited
that research through the web or via an
app was a key motivator. Online and mobile
now provide consumers with instant
access to information, including pricing,
as well as products and services to order,
reserve, or buy.
In this respect, the physical store is at a
disadvantage in comparison to ecommerce
and other digital channels. It has already
emerged that retailers cannot match
customer expectations around pricing,
promotions, and availability in-store.
As revealed in the consumer survey,
shoppers are increasingly price sensitive.
Retailers are conscious of this too, citing
the inability to price match in real time and
– inaccurate price and promotions in-store
and/or across sales channels – as two of
the biggest contributing factors to losing
customers in-store (see figure 2.1).
This is reinforced by the fact that one
in ten consumers (12%) were not able to
purchase the desired product in-store at
the advertised promotional price. A similar
percentage found a better price online with
a competitor when browsing the store.
Nearly as many respondents complained
that the price online was not the same as
in-store, that they could not find or order
an unavailable product they saw on the
retailer’s website or app, or they could not
find adequate information at the shelf edge.
Furthermore, most shoppers believe that
in-store prices are occasionally inaccurate
(53%). This is versus the 43% who always
trust that the price advertised at the shelf
edge will be the same as charged at the till.
And, when mistakenly charged a higher
price than the one displayed at the shelf
edge, only a minority of 18% would accept
this as an error and shop again at the store
with confidence.

Figure 2.1 – The reasons retailers are most likely to lose customers in-store

Inaccurate price and promotions instore and/or across sales channels 39% 29%

Inability to personalise the customer experience 43% 26%

Unappealing store look, feel and/or layout 37% 27%

Lack of staff availability 38% 29%

Lack of pricing, promotional or product information at the shelf edge 39% 27%

Inability to price match in real time 36% 29%

Lack of product availability 41% 24%

Unappealing or limited product range 45% 16%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Second-biggest contributor Biggest contributor

 7
Channels merge

Blurring channel boundaries
Customers’ intolerance of inaccuracies in-store are
as high as their expectations of a consistent offering
across store and online. As referenced earlier in
terms of price, retail respondents say ensuring
clear and accurate prices in-store and online and
being able to respond more quickly to competitors’
offers are the joint second most important business
challenges they face in 2018 (Figure 2.2).
As already referenced, while previous visits were the top
reason consumers return to a retailers’ store, the next
most popular reason – researching a retailer’s website or
app – was cited by almost a third (27%) of respondents,
reinforcing the fact that the store no longer operates
in isolation. This proportion is notably higher among
consumers in the US (41%) and Poland (35%).

It is easy to see why, when the ability to return

unwanted products bought online to a store (43%)
or to order all products available online at the
53%
retailer’s store (33%) ranked as the second and
third most important customer expectations when Most shoppers believe
shopping at a physical retailer they also visit online. that in-store prices are
occasionally inaccurate

Figure 2.2 – Business challenges ranked by retail respondents

Providing staff and customers with accurate and up-to-date availability, location, pricing and
other product information (e.g. place of manufacture, ingredients, etc.) is important for a 43% 38%
good shopping experience

Managing labour costs associated with price and promotional changes instore is adding
44% 31%
pressure to operating overheads

Having a real-time view of and control over inventory throughout the supply chain is
44% 37%
essential

Maintaining optimal on-shelf product availability instore is challenging 44% 32%

Working to respond more quickly to competitors’ offers is a high priority 44% 35%

Ensuring clear and accurate pricing online and instore is a key priority for the business 42% 38%

Investing in an effective digital / mobile strategy to improve the customer experience is

43% 35%
essential

Engaging consumers in the various ways in which they want to shop, (ecommerce, bricks and
41% 35%
mortar, order / reserve / click and collect) is challenging

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Agree Completely agree

Customers’ intolerance of inaccuracies in-store are

as high as their expectations of a consistent offering
across store and online

8 
 Dynamic pricing

Dynamic pricing
Both shoppers and retailers agree digital technologies
enhance the customer experience in-store.

Here, the disparity between expectations and reality is, again,

65%
exemplified by attitudes towards pricing where means of access
to information is limited in-store compared to online.

Shoppers still love a bargain, despite their sensitivity to accurate,

competitive, and consistent, channel-agnostic pricing. Just as with
personalised offers that save them money, only 10% of consumers said
of retailers
they would not welcome prices being lowered throughout the day for feel unable to
any reason. implement
In fact, shoppers are surprisingly tolerant of price changes, if it saves
all the price
them money and/or reduces waste: nearly two thirds (65%) would changes and
welcome price changes throughout the day if the product is reaching promotions
sell-by date. Over half would agree with the reduction if the retailer has
surplus stock (54%) or matches a competitive offering or promotion they want
(52%) (Figure 3.1).

Price is also the underlying incentive behind the top three reasons why
shoppers would be motivated to return to a physical store:
1. Buying the item on promotion as advertised (48%)
2. R
 eceiving promotions relevant to me, based on my shopping
behaviour and history (26%)
3. G
 etting a great deal on a product close to its expiration date (25%) Nearly two
It follows then, when it comes to tech adoption in-store, that electronic thirds of
shelf labels (ESLs) showing accurate real-time prices, promotions shoppers
and detailed product information also rounded out the top three
technologies among all consumers polled that they would like to see
would welcome
widely adopted in-store soon (Figure 3.2). price changes
throughout the
The positive consumer sentiment expressed towards the reduction
of prices throughout the day and ESLs will hopefully go some way
day if a product
to addressing retailer barriers to adopting agile pricing strategies. was reaching its
However, one of the main challenges uncovered by the research is the sell-by date
lack of agility that retailers have to make the number of price changes
that they would like.

Retailers confirmed they recognise pricing and promotions accuracy

has the greatest ability to enhance consumer trust and loyalty.
Competitive agility is the next most important strategic pricing driver.
But 65% feel unable to implement all the price changes and promotions
they want.

 9
Dynamic pricing

Figure 3.1 – Consumer respondents’ reasons to welcome prices being lowered throughout the day

The product is reaching its best-by/sell-by date 65%

Retailer has a surplus of stock 54%

The price is being adjusted to match a competitive offering or promotion 52%

The price is being adjusted to match a change online 42%

The price is lowered due to a local event or change in weather 30%

I would not welcome any price changes throughout the day 10%

0% 10% 20% 30% 40% 50% 60% 70%

Notably, 90% of US respondents agree that accurate Retailers acknowledge the importance of technology:
and up-to-date pricing increases consumer trust 42% see improving digital customer engagement
and loyalty; and 84% from the UK believe the ability in-store and 37% increasing and/or improving the
to price dynamically can help improve margins and alignment of physical and online customer-facing
in-store efficiencies. channels as strategic priorities for 2018. Over half
(54%) want to identify and incentivise loyal shoppers
Over three quarters (78%) across all country markets and 50% want to be able to send offers in-store based
say they would like to implement more price on previous shopping behaviour.
changes and promotions to offer customers better
prices and deals in-store. And when asked about A significant proportion of shoppers also base their
delivering more information to a digital shelf edge, decision to shop in a specific store on the availability
three quarters (76%) either agree or strongly agree of digital technologies. Free in-store public Wi-Fi
such efforts could positively influence purchasing access is the top technology 38% of shoppers want to
decision and conversion rates. see widely adopted in retail stores. Some 14% would
avoid a store that does not offer it, and 8% could not
Digital engagement access it on their last store visit if offered.

Three out of four consumers surveyed want to see From a proactive standpoint, digital loyalty,
common digital technologies adopted in-store to rewards, and coupon programmes made up the top
improve the shopping experience. They also want technology-based initiatives retail respondents
integrated online and offline interactions with use or plan to use in response, to drive customer
retailers. For instance, 27% want to be identified as marketing and engagement in-store (42%).
a loyal customer and 23% want personalised offers
sent direct to their mobile. But shoppers still value Ecommerce kiosk browse, order & in-store pickup
associates: 25% want to be able to call for assistance solutions (including collection lockers) and mobile/
directly from the shelf edge. digital customer engagement solutions (including
Wi-Fi and Bluetooth Low Energy Beacons) were
second and third, with 37% and 36%, respectively.

Figure 3.2 – Technologies shoppers wish to see widely adopted by retailers that operate physical stores soon

Free public Wi-Fi access 38%

Coupons and promotions on my mobile based on location 33%

Electronic displays at the shelf edge that show accurate real-time prices, promotions, detailed
31%
product information and customer reviews

Tech enabled/equipped store associates, who can access product information and availability 26%

None of the above 24%

Self-scanning via mobile 20%

Payment via mobile or wearable device 20%

Instore navigation via mobile app 14%

0% 5% 10% 15% 20% 25% 30% 35% 40%

10  
 The connected store

The connected store

The digital capabilities of ESLs can enhance pricing
and promotional efficiency at the shelf edge while
creating digital environments that allow retailers
to also meet their efficiency and productivity goals.

Manual labelling or signage changes related to Spending billions and only being able to manually
pricing and promotions are made at least once execute pricing changes in-store from once to a
a day across the entire physical store for most few times per week, makes the case for greater
respondents. However, across specific departments automation, to embody the concept of a ‘Connected
or ranges retailers indicate that changes are made Store’ that optimises store efficiencies.
more frequently than once a week. This is clearly
why retailers are so focused on the impact such
changes can have on the bottom line.
“Deploying ESLs would help
Looking at these costs by sector, Clothing
& Footwear and Electricals & Office stores us to improve margins and
particularly have a greater reliance on more
frequent-than-average manual labelling or signage in-store efficiences as cited by
changes related to pricing and promotions across
specific departments or ranges. 77% of retail respondents.”
Most (91%) of retailer respondents globally track
the cost of making manual labelling or signage
changes related to pricing and promotions. This
cost amounts to 1-4.99% of average monthly store
turnover for 67% of respondents, representing some This presents the opportunity to deploy digital
$104 billion3 in sales during 2017 across the ten technologies to automate such a key store
country markets surveyed. operation, just as consumers have throughout their
shopping journey.

Figure 4.1 – How frequently manual labelling or signage changes related to pricing and promotions are made in each physical store

Once a month or less 5%

7%

More than once a month 16%

19%

Once a week 22%

21%

More than once a week 27%

19%

Once a day 22%

20%

More than once a day 7%

14%

0% 5% 10% 15% 20% 25% 30%

Specific departments/ranges Entire store

3
Over two thirds of retailers surveyed confirmed that they spent between 1-4.99% of annual turnover on manually changing labels. PlanetRetail RNG calculated the

median percentage of sales in each country to work out the comparative cost in sales of these manual changes based on its database of total banner sales.

 11
The connected store

Figure 4.2 - The cost (i.e. labour, assets, accuracy, etc.) of updating pricing
and promotions in-store as a proportion of average monthly store turnover

The research strongly suggests a misalignment of retailer

strategy, with the digital in-store customer engagement
opportunity. This could in part be addressed by the use of
electronic shelf labels (ESLs), with well over a third (40%) of
retailers saying they currently use or plan to use ESLs at the
shelf edge. The ESLs are used to show accurate, real-time prices,
promotions, and detailed product information, which in turn will
also deliver additional benefits for customers.

However, well over a third (40%) said they currently use or

plan to use ESLs at the shelf edge that show accurate, real-time
prices, promotions, and detailed product information for effi-
ciency improvements, which in turn will also deliver additonal
benefits for customers.

Figure 4.3 – The technologies retailers currently use or plan to use during the next year to drive customer marketing and engagement

Image recognition 20%

Virtual Reality (VR) 24%

Augmented Reality (AR) supported way-finding 29%

Near-Field Communications (NFC) 31%

Customer tracking solutions (including, infrared heat-map, Radio Frequency antenna, video,
33%
CCTV, mobile / Wi-Fi tracking, Bluetooth Low Energy Beacons)
Electronic shelf-labels (ESLs) at the shelf edge that show accurate, real-time prices, promotions
33%
and detailed product information
Location-based mobile marketing and couponing 33%

Assisted Selling / tech-enabled store associates 33%

Mobile apps and/or scanning devices for customer self-service 35%

Mobile / Digital customer engagement solutions (including Wi-Fi and Bluetooth Low Energy
36%
Beacons)
Ecommerce kiosk browse, order & instore pickup solutions (including lockers) 37%

Digital loyalty, rewards and coupon programmes 42%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

Figure 4.4 – Technologies retailer respondents currently use or plan to use in the next year to improve store operational efficiency

Infrared sensors and communication solutions 33%

Bluetooth beacon-based solutions for improved customer engagement 35%

Near-Field Communications (NFC) solutions 36%

Radio Frequency Identification (RFID) solutions 37%

Video (including CCTV) solutions 39%

Assisted Selling/tech-enabled store associates 40%

Mobile customer-facing engagement solutions 40%

Electronic shelf-labels (ESLs) at the shelf edge that show accurate, real-time prices, promotions
40%
and detailed product information

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

12  

Conclusion
Despite the huge changes that retail has undergone
in recent years, a fair and accurate price – consistent
across channels – remains the key purchasing factor
for the vast majority of shoppers.
The focus on price throws into sharp relief the
comparative agility of offline versus online retail.
Virtual stores can change prices and promos in
seconds, while physical stores have to assign staff
to manage the task. This means that most have to
prioritise changes to key lines only, with 78% wanting
to be able to make more changes to offer customers
better prices and deals.
The manual nature of in-store pricing is not only
time-consuming, it is open to errors. This may
account for the relatively high number (43%) of
shoppers who believe prices are not always accurate.
It’s an issue because discrepancies undermine trust –
with just 18% of shoppers saying they would accept an
error and shop in confidence at the store again, while
for 67% of consumers the foremost consideration for
shopping in-store is that prices are consistent
with online channels.
The approach to price changes at the shelf edge –
involving printed labels – has not changed markedly
in years. The research suggests that in today’s Internet
of Things, always-on age, it is time to consider moving
to digital shelf-edge labels – with the technology
number three on the list of advances that shoppers
would like to see.
Moving the store from an analogue to digital
environment will help retailers better blend their
virtual and physical experiences and find new ways
to ensure the store remains a fresh, engaging and
rewarding place to visit.
Conclusion
The labels allow retailers to better align prices across
channels, to ensure price accuracy, and they level the
competitive playing field by enabling stores to make
price and promo changes with the freedom enjoyed by
ecommerce sites. As well as freeing sales associates
from pricing tasks to focus on customers, they can
also display information that will help accelerate
operational tasks such as replenishment.
By creating a digitally connected environment,
the labels provide the platform to meet many of
the consumer expectations set out in the research.
For instance, much of the information to which
consumers are accustomed when shopping online can
be displayed in-store. This includes stock levels, social
reviews, origin and source and competitors’ prices
– the latter being especially helpful in persuading
customers to avoid the temptation to showroom.
Importantly, stores can further merge the off- and
online experience by using technologies such as
Bluetooth (integrated in electronic labels) to connect
to shoppers’ smartphones. This enables stores to
recognise shoppers and to use their big data insights
to send offers to them based on their past purchases,
online searches, activity on social channels, and more.
As ecommerce sales continue to grow, moving the
store from an analogue to digital environment will
help retailers better blend their virtual and physical
experiences and find new ways to ensure the store
remains a fresh, engaging and rewarding place
to visit.
 13
Conclusion

Retailer recommendations

Ensure the price is right – increase trust with shoppers

and improve trust by:

a. Ensuring price accuracy

b. Offering more promos

c. Changing prices that benefit shoppers, e.g. for perishable goods

Merge channels – create a consistent experience across channels by:

a. Recognising shoppers as they come in-store

b. Providing assisted sales technology for store staff

c. Ensuring prices align – in-store, online, and mobile

d. Enhancing click & collect services – i.e. buy online, pick up in-store, order in-store

Digitise the store – better engage and reward shoppers by:

a. Implementing an agile pricing strategy

b. Offering digital basics such as secure in-store Wi-Fi to shoppers

c. Offering personalised promotions based on previous purchases, search and online

interactions, and social media likes and conversations

d. Providing detailed information at the shelf edge such as stock availability, social
reviews, competitors’ prices, and more

Optimise efficiencies – ease operations and improve margins by:

a. Using electronic shelf labels for agile pricing and to help associates accelerate
processes such as inventory management and replenishment

b. Deploying agile pricing to better graduate pricing for perishable items, time-
sensitive or overhanging stock to minimise waste

14  
 Document Title

Displaydata commissioned PlanetRetail RNG to survey 1,000 retailers and 4,811 consumers, across 14 countries.
Every respondent had a senior management level of job designation or higher and worked for a retail organisation
that operated stores and online or stores only, generating more than USD100 million in annual revenue. Every consumer,
aged 18-65, had completed a purchase within a store within the week prior to taking the survey. The countries
included in the survey were: Austria, Belgium, Bulgaria, Germany, Hungary, Netherlands, Poland, Switzerland,
the UK and the US**.

* n=100 retailer and n=350 consumer respondents per market, except for the UK and the US, where n=1,000
consumers per market.

Please note numbers might not be exact due to rounding.

All currency-related data is in USD $.

ef
Planet Retail e=estimate, f=forecast

 15
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