When it comes to digitisation, the Chinese are well ahead of the West. The Chinese are also one step ahead when it comes to containing the coronavirus. It is no surprise then that Chinese e-commerce giant Alibaba has a few tips ready for 2021.
David Lloyd, general manager for the United Kingdom, Scandinavia and the Netherlands at Alibaba Group, outlines three important trends that will shape the retail industry in 2021. He mentioned these topics to RetailTimes.
More exciting shopping platforms
Amazon and AliExpress are widely known and praised for their endless choice and low prices, but they are not particularly enjoyable spaces to navigate. That will change next year, at least if it depends on the Chinese. People have been spending even more time online since the pandemic, and online competition is also increasing, so platforms are looking at how to make time spent online more fun and valuable for consumers.
Because of the current social restrictions, online shopping is also becoming a source of entertainment and even a social event, David Lloyd notices. In 2021, the lines between shopping and entertainment will blur even further, thanks to technologies such as AR and live streaming.
Digital physical retail
Nevertheless, physical stores will still play a crucial role in the shopping experience, even after corona has passed. While the online world of physical retailers is learning to be more human and engaged, offline can also learn a lot from online. Offline retail will digitise to combine the best of both worlds.
In physical stores, for example, customers will soon be able to receive product information by scanning QR codes, or shopping can become more relaxing by delivering the goods to the customers’ doorstep after instore buying. Any tips? Let customers cook on-site to try out new products or recipes, says Lloyd, or let customers “fit” clothing and make-up, safely thanks to interactive augmented reality apps.
Live streaming takes off quickly
Live streaming was already very popular among Chinese consumers, but in 2020 it became increasingly ‘mainstream’. Lloyd calls it a powerful marketing tool to inspire and connect with people. As physical store visits and events are likely to be under pressure in 2021, the Alibaba chief executive expects the trend to accelerate in the upcoming year.
Alibaba notices an increased potential for collaborations with influencers and celebrities, but also new potential for shopkeepers to train their team to broadcast from stores or even from their own homes. Not only in retail, but also tourist destinations and places of interest will be visited more and more “livestreamed”.
