As traditional retailers struggle, brands are using new technologies to reach shoppers at work, at the gym, and in their Uber rides, while gathering data on consumers' offline habits.
It’s no surprise that the old model of brick-and-mortar retail is changing.
Despite the rise of e-commerce and mobile, the physical channel is still hugely important, but retailers today are considering new models such as pop-ups, smaller format stores, tech-infused stores, and more.
With fewer people today willing to make the trek to traditional brick-and-mortar stores, brands need to find new ways to reach shoppers, rather than waiting for shoppers to come to them.
A new crop of startups aim to help brands do just that by establishing small-scale, automated points of sale.
Startups are combining IoT systems, mobile payments, and other technologies to support offline grab-and-go retail. These new channels are helping CPG brands reach out to shoppers where they are, rather than waiting for shoppers to walk into traditional retail stores.
They’re also helping brands compete against Amazon.
Over the past few years, many brands have taken advantage of Amazon’s logistical infrastructure to offer convenience to shoppers — they’ve sold their products on Amazon’s site and used Amazon’s Dash buttons, two-day fulfillment options, and other features.
But, as Amazon increasingly invests in its own private label products, CPG brands should consider alternative strategies for selling to shoppers on the go.
These strategies also tend to focus on collecting shopper data — giving brands another weapon to fight back against Amazon and other rivals.
Below, we dive into the strategies CPG brands and tech startups are using to turn convenient, offline spaces into new points of sale in the US.