What are the top retail trends in 2023?
As the world continues to grapple with how to define a post-pandemic life, the retail industry has been dealing with one of the most uncertain and evolving moments in recent history. Retail’s identity in 2023 will be shaped by the economy and consumer choices.
In 2023, a year with the fewest restrictions since 2020, consumers will expect choices in how, when and where they shop. Retailers who’ve been able to anticipate consumer needs before they are broadly in market and pivot to meet and exceed those needs, will see the strongest results.
Here are the top global retail trends to watch in 2023:
Spending on travel and experiences trade places with spending on durable goods
Spending on travel and experiences is expected to continue rising as a share of total consumer spending, while the share of big-ticket durable goods is expected to decline, according to the Mastercard Economics Institute. The result of this shift would be a reversion to the pre-pandemic mean. How will the economy affect consumer choice?
Uncertain times calls for very certain data and analytics
As consumers manage a steady stream of messages vying for their attention, the art of communication is more complex than ever. Data and analytics are critical for helping retailers understand purchase decisions and the types of experiences they should deliver, while becoming more agile in the process. How will the role of data and analytics in shaping the customer experience evolve?
Reaching consumers becomes a game of diversification balanced with privacy
To expand their reach virtually and in person, retailers are doubling down on retail media networks and social commerce. What are the emerging and innovative ways retailers will reach consumers as they traverse online and offline channels?
Loyalty goes beyond points and rewards to be viewed as more than just a program
When customer experience encourages ongoing engagement and builds a deeper relationship, loyalty is the direct result. Savvy retailers recognize that loyalty goes beyond what the customer is buying – and beyond points. How will retailers evolve their loyalty strategies?
Paying for purchases is about as many choices as possible
Cash, check or card? There was a time when consumers had three choices when making a purchase. The different ways to pay – whether in-person or online - have expanded to include everything from QR codes to small loans at the point of sale. The ability to offer different payment choices is key for driving stickiness for retailers in 2023. How will payment options expand?
In-store and virtual carve out their distinct roles but work more cohesively
The distinct lines between in-store and online purchasing will become more blurred as in-store adopts many digital features. But in-store and digital will also each have their unique distinctions to satisfy the need for a shopping experience, whether that be a touch, feel, taste experience or a safety, convenience and choice experience. How will in-store and virtual shopping adapt?
Download “Top retail trends to watch in 2023” to learn what retailers should be watching in the coming year and why.