RETAIL
BEACON 2021
30% $1B-$4.99B
41% $5B-$9.99B
17% $10B-$14.99B
5% $15B-$19.99B
7% $20B+
2020 was a whirlwind like no other. It scattered retail preconceptions every which way, halting some agendas and speeding others up. So in the aftermath, what’s next?
By speaking to over 100 cross-functional leaders—with billions in combined revenue—we’ve created a Beacon Report fit for extraordinary times.
2019 Revenue:
49% C-suite
20% Executive
26% Director
6% Sr. Manager
LeVELS:
49% C-suite
33% IT
11% HR, Ops,
and Strategy
FUNCTIONS:
Last year, efficient operations were relegated to more urgent matters, such as supply chains, safety, and delivering to remote customers around the world. Today however, the focus has firmly returned to operational efficiency. The outlook is good – although costs have risen, our leaders are experimenting with in-store labor, POS technology, and tracking on-hand inventories. New supply and operating models are back in the spotlight.
Here, you’ll discover what will really influence 2021. And what to do about it.
The move to a safer, more seamless CX
Every organization thinks better CX is more attainable now
Attainability
Customer wellness & safety
Preparation
There’s an increase of 41% for leaders’ faith in HR helping improve EX
HR & EX
Two-thirds of organizations are certain EX is the key
Competitive advantage
Reimagining the employee experience (EX)
Read the 2021 E-book
Read the 2021 E-book
What you need to know for the year ahead.
We’ve found the top strategic priorities for 2021.
Many brands are going back to basics. With priorities such as operational efficiency, the customer experience, and maximizing value or innovation for their stores, retail leaders are cautiously excited. The pandemic has pushed new thinking forward. Yet the winds are still changing. You’ll have to meet demands—both inside and outside your organization—to improve intelligently, without overspending.
Every single one of our leaders believe it lies in operational efficiency
Efficiency falls down to store ops and the supply chain
Find your shared definition of value, linking employees, customers and business needs together. Then manage changes carefully, with as little friction as possible. How? With flexible governance structures like the Transformation Value Office. They connect top-down vision with the work that gets done.
Expand your digital capabilities
Taking action today
The customer experience touches everything—
an even more critical consideration as the pandemic continues to reshape buying preferences. On the whole, retail leaders have spent the past 12 months refining their CX.
This will leave them in a confident position for years to come. But you must also recognize that products and price take a back seat to customer preferences. There’s more space for how, why, and to what extent they interact with you.
85% of businesses list this as a priority
Leaders are 32% more likely to feel prepared, compared to CX sentiment in 2020
<50%
Fresh planning and work models can fuel technological change.
Remote work was tougher for retail than many other industries. Retailers quickly devised health and safety strategies, but EX remained a question. Now, as the world economy tries to recover, work culture and wellness must be built up again. There’s little surprise that HR has emerged as one of the three functional areas of transformation for 2021.
41%
A top target for transformation
Fresh planning and work models can fuel technological change.
53% of retailers plan to transform EX in the year ahead
Where do you start? Here are our main takeaways for people-first improvement:
Last year, efficient operations were relegated to more urgent matters, such as supply chains, safety, and delivering to remote customers around the world. Today however, the focus has firmly returned to operational efficiency. The outlook is good – although costs have risen, our leaders are experimenting with in-store labor, POS technology, and tracking on-hand inventories. New supply and operating models are back in the spotlight.
53% of retailers plan to transform EX in the year ahead
A top target for transformation
Two-thirds of organizations are certain EX is the key
There’s an increase of 41% for leaders’ faith in HR helping improve EX
Expand your digital capabilities
TAKING ACTION TODAY
12% more organizations worry about expense, compared to the start of 2020
There’s been a 12% rise in feeling ‘less prepared’ for these changes vs. last year
85%
PreparatioN
Leaders are 32% more likely to feel prepared, compared to CX sentiment in 2020
<50%
32%
53%
Expand your digital capabilities
Lean into D&A
Future-proof supply chain strategies
There’s massive pressure to adapt. Evolving customer demands and increasingly dominant multinationals can’t be ignored. How do you make your operations more efficient in this scenario? Start with technical change. Leverage digital capabilities for supply chains and store management. A digitized supply network gets rid of silos between legacy systems. While there are no 100% digital silos, many retailers are yet to make their first steps on this journey – they’re vulnerable to disruption and limited, unclear data. For store operations, digital helps you do more and support innovation. As an example, you might want to arm staff with handhelds that have quick access to product details, exceeding expectations for your brand.
Data and analytics can help you extract meaningful patterns and make sense of a chaotic market. These insights have the power to define your path forward, keeping costs in check by showing new efficiencies, improving CX, and shaping EX. There are advantages for the supply chain too. D&A yields crucial insights to make sure products get to those who need them, when they need them—all while you stay profitable. When we look at CX more deeply, you’ll turn insights into action by drawing in-store and online experiences together. In-store products, of course, are limited by shelf space, but they can adapt based on insight into localized behavior and user data.
Lean into D&A
The pandemic has reminded us how delicate the supply chain is. Continuity risks stem from materials availability and stable manufacturing partners. Plus, e-commerce has only grown exponentially. Supply chain orders have had to shift, in large part, due to digital. You have to respond to this new state of play. Reimagine your supply chain to be more efficient, cost-savvy, competitive, sustainable, and aware of availability for customer orders at any given time.
Future-proof supply chain strategies
LeVELS
FUNCTIONS
2019 Revenue
30% $1B-$4.99B
25% $5B-$9.99B
16% $10B-$14.99B
12% $15B-$19.99B
18% $20B+
49% C-suite
33% IT
11% HR, Ops, and Strategy
49% C-suite
20% Executive
26% Director
6% Sr. Manager
Every single one of our leaders believe it lies in operational efficiency
Expand your digital capabilities
Lean into D&A
Future-proof supply chain strategies
Lean into D&A
There’s massive pressure to adapt. Evolving customer demands and increasingly dominant multinationals can’t be ignored. How do you make your operations more efficient in this scenario? Start with technical change. Leverage digital capabilities for supply chains and store management. A digitized supply network gets rid of silos between legacy systems. While there are no 100% digital silos, many retailers are yet to make their first steps on this journey – they’re vulnerable to disruption and limited, unclear data. For store operations, digital helps you do more and support innovation. As an example, you might want to arm staff with handhelds that have quick access to product details, exceeding expectations for your brand.
Future-proof supply chain strategies
Data and analytics can help you extract meaningful patterns and make sense of a chaotic market. These insights have the power to define your path forward, keeping costs in check by showing new efficiencies, improving CX, and shaping EX. There are advantages for the supply chain too. D&A yields crucial insights to make sure products get to those who need them, when they need them – all while you stay profitable. When we look at CX more deeply, you’ll turn insights into action by drawing in-store and online experiences together. In-store products, of course, are limited by shelf space, but they can adapt based on insight into localized behavior and user data.
Who we talked to
TOP PRIORITES FOR THE YEAR AHEAD
Read the 2021 E-book
Read the 2021 E-book
We’ve found the top strategic priorities for 2021.
Efficiency and Experience Shape Strategic Course
Read the 2021 E-book
An Eye Toward Data and Technology
to Drive Growth in the New Year
Read the 2021 E-book