Retail industry leaders envision a future where smaller, more efficient stores dominate the landscape, strategically positioned based on customer demand.
Fran Horowitz, CEO of Abercrombie & Fitch, highlights the shift from large, unproductive stores to intimate, experiential spaces driven by consumer preferences.
Michelle Gass, CEO of Levi Strauss, emphasizes the need for stores to offer more than just transactions, becoming experiential hubs and mini distribution centers. Jens Grede of Skims stresses the importance of prime locations, foreseeing a decline in less desirable areas.
Geoffroy van Raemdonck, CEO of Neiman Marcus Group, predicts a rise in immersive, multisensory retail experiences.
Trina Spear, CEO of Figs, emphasizes the shift towards stores as community gathering places rather than mere transactional spaces.
Chris Nicholas, CEO of Sam’s Club, underscores the importance of stores as last-mile fulfillment centers, providing convenience and speed to customers. Kara Trent of Under Armour predicts a blend of experiential and transactional retail, tailored to different consumer needs and locations.
The rise of technology, data, and AI is identified as a major disruptive force in retail. Leaders anticipate using predictive analytics and machine learning to enhance operational efficiency and personalize customer experiences.
Marc Lore, former CEO of Walmart U.S. e-commerce, highlights conversational commerce as a transformative trend enabled by AI and natural language processing.
In the next five years, retailers expect a seamless integration of digital and physical channels, with AI playing a crucial role in personalization and product discovery. Yael Cosset, CIO of Kroger, envisions AI augmenting the capabilities of store associates to provide enhanced customer service.
Dave Kimbell, CEO of Ulta, sees AI driving personalized customer communication and experiences.
As for the future of retail, leaders predict a continued preference for in-store shopping, complemented by digital channels. They emphasize the importance of understanding and meeting evolving consumer expectations.
Retailers that embrace new technologies, offer personalized experiences, and adapt to changing consumer behaviors are expected to thrive. Inclusive sizing, customization, and sustainability are identified as emerging retail standards.
Jens Grede emphasizes the dominance of brands with strong business models, while Trina Spear highlights the importance of community and connection in retail experiences. That includes inclusive sizing, customization, and sustainable practices.
