Retail chiefs invest in instore UX to woo back shoppers

Bricks and mortar retail marketing bosses have come out fighting following the near annihilation of the high street during the pandemic, insisting consumers will make a complete return to physical stores.

But they are not taking any chances, with more than two-thirds (67%) investing in more engaging in-store experiences to lure customers instore.

That is according to new data from retail digital specialist M-Cube, which surveyed 250 leaders in the UK and shows the majority believe consumers will return to the high street fully. Interestingly, many even think shoppers will shop in physical stores more than in the pre-pandemic era, arguing the high street will be busier than before.

The research also found tow-thirds (67%) of respondents are equally prioritising in-store and online investment, with 13% investing significantly more in in-store experiences. However, over half (53%) will not be reducing their ecommerce investment as consumers return to physical stores.

As leaders see value in both digital and physical offerings, over half of respondents have increased spend on omnichannel by over 20% this year. Despite this, nearly three-quarters (73%) say the cost-of-living crisis will affect both in-store and online in 2022, with 16% saying it will impact physical stores more.

When asked what digital services are being prioritised in 2022, nearly two-fifths (39%) of leaders see personalisation services as a top focus, followed by fulfilment and inventory technology (26%), apps (24% ) and digital payments (11%).

When it comes to the much-hyped Metaverse, just 15% of respondents believe this will be a future channel for retailers, while over half (53%) are hedging their bets, and are exploring consumer behaviours in this area more before making any commitment.

M-Cube UK business director Alexios Blanos said: “Despite a rocky period during the pandemic, the future of the high street looks bright. This research reveals that brands are shifting away from the online focus that has polarised retail in recent years, and investing more than ever in engaging in-store experiences.

“While we all need to be wary of the cost-of-living crisis, with the technologies available, it’s an exciting time and a chance for rebirth for the retail industry.”