July 23, 2024
Retail Digital Transformation Market

Retail Digital Transformation Market Is Expected To Be Flourished By Omnichannel Shopping Experience

The retail digital transformation market involves integration of digital technologies in physical retail stores and e-commerce platforms to enhance customer shopping experience. Digital technologies such as cloud computing, big data analytics, artificial intelligence, and IoT are leveraged by retailers to unify operations across multiple sales channels including online stores, mobile apps, social media, and physical stores. This allows seamless movement of customers between different channels while providing consistent brand experience. Customers can search products online, check availability and pricing, read reviews, and make purchases across various channels. The global retail digital transformation market is estimated to be valued at US$ 7230.57 Mn in 2023 and is expected to exhibit a CAGR of 6.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics:

Adoption of omnichannel shopping experiences is expected to drive growth of the global retail digital transformation market over the forecast period. Retailers are offering personalized recommendations, targeted promotions, and consistent product information across all channels to retain existing customers and attract new demographics. This boosts customer satisfaction, loyalty, and spending. Furthermore, growing penetration of smartphones and mobile apps are enabling expansion of digital retail experiences on-the-go. Consumers can now view catalogs, check-in-store availability, pay bills, and receive order updates directly from their phones. Retailers are leveraging mobility to engage customers anywhere and anytime. Rising digitization of retail operations has increased productivity, reduced operational costs, and enhanced profitability of retailers. This is encouraging more retailers to adopt digital technologies and platforms to remain competitive in the dynamic retail market.

Segment Analysis

The global retail digital transformation market is dominated by the solution segment which accounts for more than 55% share. Solution segment includes e-commerce platforms, supply chain management, customer relationship management, business analytics, and others. Growing adoption of advanced technologies like AI, big data, cloud computing by retailers to enhance customer experience and optimize operations is driving the demand for digital solutions.

PEST Analysis

Political: Governments across countries are supporting digitalization of retail sector through initiatives and funding to modernize the industry. Favorable regulations regarding e-commerce and data privacy are encouraging investments.
Economic: Rising internet penetration, growing consumer preference for online shopping especially after pandemic, and increasing disposable incomes are fueling the digital transformation spend by retailers.
Social: Younger demographic is more comfortable with digital and social media. Retailers are leveraging digital channels to strengthen customer engagement and build brand awareness.
Technological: Adoption of technologies like AI, IoT, AR/VR, analytics is enabling personalized customer experience and automating retail processes. Transition to cloud-based systems is supporting scalability and flexibility.

Key Takeaways

The global Retail Digital Transformation Market Share is expected to witness high growth supported by increasing digitization across retail operations.

Regional Analysis:

The Asia Pacific region is expected to dominate market owing to large retail industry, rapid technology adoption and increasing spending on digital solutions by retailers in countries like China and India.

Key players operating in the retail digital transformation market are Bio Bidet, Kohler Co., Inc., HomeTECH, Toshiba, LIXIL Corporation, Coway Co., Ltd, Roca Sanitario SA, Panasonic Corporation of America, RinseWorks, Inc, Brondell Inc., and TOTO USA, Inc. Key players are focusing on developing advanced smart bathroom solutions integrated with IoT, voice assistants and mobile applications to provide personalized experience.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it