Technology is developing at a rapid pace, and this allows us to constantly find new ways to benefit from it. Businesses, in particular those dealing in retail, have much to gain from technology. As a matter of fact, according to McKinsey, the use of in-store technology can increase and even double the profitability (or EBIT – earnings before interest & taxes) of brick and mortar retail stores. Here is how:
- Increase labor wages but decrease total wages. Experienced workers expect their wages to grow. However, with the use of technology, the amount of manual labor decreases, resulting in a decrease in total wages paid.
- Automation and optimization. In-store technology can automate and optimize inventory management, supply chains, and other processes within the business. As a result, managing the business becomes a lot easier and less costly.
- Customer experience. There are many ways technology can improve customer experience. Things like electronic shelf tags and instructive selling tools help your customers have a smooth shopping experience. And nothing drives sales better than satisfied customers.
These are just a few benefits that in-store technology can bring to your business. When it comes to technology, the sky is the limit, as they say. Contact Forbytes if you are in the need of technological advise – our experts are always happy to help!