1、CHAIRMANS REVIEWWORLD RETAIL CONGRESS 2024A WORLD RETAIL CONGRESS PUBLICATIONINTRODUCTIONThis years World Retail Congress met in Paris,one of the great retail capitals of the world and soon to be the host city for the 2024 Olympic Games.The appeal of Paris meant we attracted one of our biggest atten

2、dances and more importantly,retail leaders from many of the key retailers operating in the world today.It meant the level of discussion and debate was of the very highest quality and rich in actionable ideas and takeaways.Our theme was high-performance retail,which encapsulated the reality of retail

3、 that businesses cannot expect to see any let-up in the uncertainties and unpredictability of todays macroeconomic and geopolitical climate.As we heard from many speakers,what this means is that retail leaders are looking within their businesses to deliver sustainable growth and profitability throug

4、h re-examining everything they do and to engage teams and technology to exceed established performances.The parallels with the performances that we will see at the Olympics and how athletes push themselves was very clear as we heard from some top sports coaches and mentors.The congress programme had

5、 been built around the key pillars of high performance and across the three days of content that was delivered by over 140 speakers,these were reinforced time and again.It really is about winning customers,winning teams,winning business models,winning innovation and winning with purpose.My biggest t

6、akeaway was that we are at a critical but exciting point in the development of retailing.Retailers around the world have had to face,and continue to face,some extraordinary challenges not least of which being that the world is changing driven by technological change.And what we heard in Paris was th

7、at retailers have come to recognise that they must grasp this change,be more agile,more innovative and willing to take more risks to try new ideas.As Guillaume Motte,the CEO of Sephora,said:“Boring retail is dead but exciting retail is thriving.”This special report aims to bring together the very be

8、st of this years World Retail Congress and to capture all the ideas,themes,soundbites and insights that made the event so important.We have also invited our Knowledge Partners and a range of retailers and experts to provide their own reflections on the Congress.I would like to thank all our speakers

9、 for their contribution to the success of the congress and all our knowledge partners and sponsors.We hope you find this report useful and that it helps you deliver high performance retail in your businesses.IAN MCGARRIGLE CHAIRMAN WORLD RETAIL CONGRESS2|Chairmans Review3|Chairmans ReviewCONTENTSREF

10、LECTIONS ON WORLD RETAIL CONGRESS 04RETAIL MEDIA TAKING BACK CONTROL THROUGH AI 44THE KEY CONGRESS TAKEAWAYS 08FROM PERFORMERS TO CHAMPIONS 34THE BRAINS TRUST 51UNVEILING THE TOP 100 MOST INNOVATIVE TECH START-UPS 53CONGRESS RESEARCH 52SOLVING THE GREAT DIGITAL DILEMMA HOW STRONG RETAIL BRANDS CAN D

11、RIVE EQUITY AND BOOST ONLINE PERFORMANCE 54UNVEILING THE WORLDS COOLEST RETAILERS 57FUTURE RETAIL CHALLENGE 58BEYOND THE CONTENT 62LESSON 3:WINNING INNOVATION 21LESSON 2:WINNING TEAMS 17HIGH-PERFORMANCE RETAIL 09LESSON 4:WINNING BUSINESS MODELS 25LESSON 1:WINNING WITH CUSTOMERS 13LESSON 5:WINNING WI

12、TH PURPOSE 28UNCOVERING FIVE CHARACTERISTICS OF HIGH-PERFORMING RETAIL CEOs 45RETAILS FUTURE:THE GROWTH IMPERATIVE 47KNOWLEDGE PARTNERS 35WINNING BUSINESS MODELS 36WINNING WITH INNOVATION 39WINNING WITH CUSTOMERS 424|Chairmans ReviewREFLECTIONS ONWORLD RETAIL CONGRESS 2024 5|Chairmans ReviewREFLECTI

13、ONS ON WORLD RETAIL CONGRESSEVA PLATINI-HERNANDEZ VICE PRESIDENT,BUSINESS DEVELOPMENT WHP GLOBALMUWAFFAQ JAMAL MANAGING DIRECTOR SUDASIA CONSULTINGFORMER BOARD OF DIRECTORS MEMBER AND CEO ABDULLAH AL-OTHAIM MARKETS COMPANY AND PANDA RETAIL COMPANYWe asked a selection of attendees from this years con

14、gress to summarise their key takeaways.The 2024 World Retail Congress in Paris illuminated the path forward for the industry.Reflecting on the symphony of insights and innovation,three resounding themes emerged:the primacy of purpose;the power of resilience;and the imperative of inclusivity.Guillaum

15、e Motte,CEO of Sephora,championed purpose-driven leadership,while Judith McKenna,former Walmart International CEO,emphasised adaptability amid disruption.Vasiliki Petrous recognition as Woman of the Year epitomized excellence in Unilever Prestige.As the curtains fell on this tableau of inspiration,i

16、ts evident that in a world of flux,these pillars stand as beacons,guiding the retail industry toward a future fueled by passion,adaptability and unwavering customer focus.This years congress was rich and insightful,as always.Among the many inspirational sessions was the How to Deliver High Performan

17、ce session by sports coach,Sir Clive Woodward.He reinforced the point that you need constant feedback and follow-up on details to achieve high standards of performance in retail.Paying attention to the smallest details and the continuous focus on performing at high standards was a major takeaway for

18、 all retailers attending the session.Transforming and adopting change gives retailers a chance to stay ahead of the curve.We heard customers shopping habits are changing rapidly,which reinforced that it is vital for retailers to stay very close to their customers.This was an overarching message in s

19、everal sessions throughout the congress.Despite online retail picking up pace and growing its share of the total retail market size,bricks-and-mortar will continue to be the means to deliver the shopping experience.Customers will continue to look for the touch and feel experience delivered by stores

20、 because it is at the heart of human nature.This years World Retail Congress gave the entire global retail industry fresh thinking about the future.Speakers and participants are paying so much more attention to Gen Z,technology and sustainability.We retailers are striving to catch up with the change

21、s of the world and aiming at delivering high performance.World Retail Congress brought good industry practices to the platform,sharing observations and thoughts from different parts of the world.I found the three-day event inspiring and helping lead retail leaders to a higher level of strategic thin

22、king for the future.YING XU PRESIDENT WUMART GROUP6|Chairmans ReviewREFLECTIONS ON WORLD RETAIL CONGRESSPENNY GRIVEA FORMER MANAGING DIRECTOR UK AND IRELAND RITUALS NATASHA TULICEOSOULFLOWER World Retail Congress represented diverse continents and it was a testament to the dynamic nature of our indu

23、stry.Distilling the vast array of captivating talks and thought-provoking themes into a few highlights is no easy feat.It was a vibrant tapestry woven from the progress were making,the waves were creating and the shared thread that connects us all the need for human connection.This fundamental need

24、fuelled discussions around fascinating themes like the rise of future-shaping AI technologies and the potential impact of the metaverse.We could also clearly see more and more retailers and brands alike growing their social and sustainable retail practices.ThredUp,for example,can balance purpose,pla

25、net and profit.What is stopping the rest of us?Giuseppe Stiglianos reference to his latest book Redefining Retail resonated deeply.In a world moving at algorithmic speed,we need to embrace humbition(a blend of humility and ambition)as we rewrite the rules of the game.As Judith McKenna pointed out:Th

26、e future of retail demands leaders equipped not only with IQ and EQ but also with the unwavering resilience(RQ)and boundless hope(HQ)needed to navigate this exciting new era together.It was my first time attending such a big event as the World Retail Congress.And I wont lie,there were butterflies in

27、 my stomach.But guess what?The amazing reception,love,and warmth I received from everyone completely melted those nerves away.It felt like I was born to be here.The platform gave me the opportunity to meet,interact and gain insights on building long-lasting customer relationships with experienced pe

28、ople,like Jean-Marc Bellaiche CEO Printemps,Michael Ward MD Harrods.And yes,it was as overwhelming as it sounds.What elevated my itinerary was the opportunity to rub shoulders with Vasiliki Petrou,CEO of Unilever Prestige,Jennifer Foyle,President of American Eagle Outfitters Inc.at the Women in Reta

29、il event held at the stunning Dior boutique in Paris.It was motivating to see these big retail brands resonate deeply with me and my mission of“making the customers fall in love with what we do,how we do and why we do.”Added bonus for me was to get the opportunity to admire the beauty of iconic Gale

30、ries Lafayette during the Congress store tours.This indeed made the visit more romantic and fulfilling.7|Chairmans ReviewREFLECTIONS ON WORLD RETAIL CONGRESSMARK BAUM CHIEF COLLABORATION AND COMMERCIAL OFFICER AND SVP INDUSTRY RELATIONS FMI-THE FOOD INDUSTRY ASSOCIATIONMark W.Baum Chief Collaboratio

31、n&Commercial Officer&SVP,Industry Relations FMI-The Food Industry Association Biographical Information Name:Mark W.Baum Spouse:Catherine Company:FMI-The Food Industry Association Location:Arlington,VA Title:CCO PROFESSIONAL HISTORY Mark Baum currently serves as Chief Collaboration&Commercial Officer

32、&Senior Vice President,Industry Relations for FMI-The Food Industry Association.In this role,Baum engages retailer,manufacturer,supplier,and service provider C-Suite executives to further trading partner collaboration,leading to operational improvements and growth opportunities across all segments o

33、f the food retail supply chain.Baum is known for his intricate knowledge of almost every aspect of the food,beverage,consumer packaged goods(CPG),and retail industry.He is also recognized as one of the foremost experts in the design,management,and execution of strategic and commercial sales,marketin

34、g,and merchandising models across consumer facing industries.Additionally,Baum is a Managing Partner of MARCAT Group,LLC,an advisory firm specializing in the active outdoors marketplace.Prior to that,he was a Partner and led the CPG/Retail Practice at Diamond Management&Technology Consultants(NASDAQ

35、:DTPI),now owned by Pricewaterhouse Coopers,LLP(PwC).Earlier,he was Executive Vice President of the Grocery Manufacturers Association(GMA).Formerly,Baum was the There was much to take in during World Retail Congress in Paris in April.With the preparation for the summer Olympics as a backdrop,a pleth

36、ora of insights and outlooks were shared by retail leaders from around the world.As a first-time attendee with a food retailing and US-centric background,it was exciting and enlightening to interact and share perspectives with executives from other channels and geographies.After all,at its essence r

37、etailing is a product based,consumer facing,experiential enterprise.Given the macro issues of global political uncertainty,stubborn inflation,supply chains disrupted by war and shifting trade alliances,along with the impact of climate change,there was a sense of urgency and palpable energy throughou

38、t the congress.Between hallway conversations,special events,plenary keynote and panel presentations several common themes regardless of retail channel emerged.Perhaps most important was a message reinforced several times,namely that successful retailing is a careful blend of art and science.Hearkeni

39、ng to a 19th century local merchant philosophy(know your customer)and harnessing 21st century technology(Gen-AI)is a powerful combination that can be employed to excite and delight consumers.I had the privilege of participating on a global panel of trade association executives representing the US,UK

40、,EU,India and Ukraine.Juxtaposed with previous presentations that can be characterised as calls for retail transformation and inspiration,our panel focused on the international world order and elections in India,the US and UK,along with the impact of the war in Ukraine.Our outlook:uncertain and caut

41、iously optimistic.The current wave of political populism sweeping the globe has“mainstreamed”with implications for retailers all over the world.Specifically in the US,November promises to be a 2020 presidential redux with an electorate split roughly in half.The down-ballot races,particularly at the

42、federal level,remain unclear.The overall business climate is not particularly favorable.That said,retailers(and their trading partners)have learned to lead in a period of ongoing uncertainty,volatility and ambiguity.As we learned during WRC,retail leaders in the US and around the world,are running t

43、heir businesses with energy,empathy and authenticity.They are taking care of their teammates,customers and communities.They are courageous and not afraid to take risks in their relentless pursuit of retail excellence.I left the congress feeling refreshed,revitalised and richer for having the experie

44、nce.8|Chairmans ReviewTHE KEY CONGRESS TAKEAWAYS9|Chairmans ReviewHIGH-PERFORMANCE RETAIL RETAILERS FACE AN INCREASINGLY COMPLEX WORLDIf the athletic maxim is that there is no gain without pain,then surely retailers must be in line for gold medals this year.While leveraging every element of the busi

45、ness and ensuring customer-centricity dictates everything that they do has long been an essential part of successful retailing,this years congress highlighted how a clear vision is needed more than ever.World Retail Congress revisited Paris in 2024,after a two-year tenure in the French capital aroun

46、d a decade earlier.So much has changed since that time,with global supply chains refocusing on resilience rather than speed and price,new technologies threatening to revolutionise the industry and growing complexities across almost every aspect of the sector.Complementing the citys upcoming hosting

47、of the Olympics,World Retail Congress chose to put high-performance retail at the heart of its programme,as global retailers look to maximise every element of their own operations and,as retail grandee Bernie Brooks described it,accept that retail is in a constant state of transformation.LESS GLOBAL

48、ISATION,MORE EMOTIONEERINGThe congress heard that globalisation has been hit by a series of shocks and disrupted supply chains,while the world is pivoting away from cost and speed towards an emphasis on resilience.This is resulting in less FDI in manufacturing giant China,with greater investment in

49、India,Southeast Asia and Mexico,according to Dr Ira Kalish,chief global economist at Deloitte.The global economy is not in bad shape,weve made a lot of progress and growth has continued,he said.In the US,growth is very strong while inflation has come down,but is being pushed by the labour market,whi

50、ch may mean that the Fed keeps rates higher for longer than we may have thought.10|Chairmans ReviewHowever,Europe has been much slower in terms of growth and because inflation has come down base rates are likely to drop earlier,while China faces many headwinds,including problems in the property mark

51、et,favouring of the public sector,exports having weakened and demographics that have led to a drop in working aged people.China will have relatively slow growth going forwards,Kalish predicted,as he pointed to the potential disruption should the situations in the Middle East,Taiwan and Ukraine deter

52、iorate.Andrea Drasites,senior managing director at Blackstone,added that the headline is that its going to be an interesting year to invest in real estate.She said:You have the geopolitical disruption,you have the new normal higher interest rate model,which changes the balance sheet.Also,you have th

53、e choppy consumer,who is still relatively wealthy around the world but has less disposable income.You have to have conviction in the theses and the data,you cant wait.These will create opportunities and thats something as a business were looking at,she added.There is a bifurcation of convenience and

54、 luxury,with the middle really suffering,which is a theme I think will continue in 2024.Scale will be a benefit,but its not for the faint of heart.Beth Ann Kaminkow,global chief commerce officer and CEO New York at VML,added that the store is the epicentre of where most of our purchases happen and t

55、hat younger generations typically want to go into physical spaces.You will grab them there,she said.There is a huge push towards personalisation.If youre not there from an AI standpoint then they will be.Its about emotioneering people really want retail to be inserted with emotion and engaging.There

56、 is a creative multiplier effect,that will grab the heart and wallet.HIGH-PERFORMANCE RETAIL 11|Chairmans ReviewDigital remains at heart of everything,says Carrefour CEOOpening World Retail Congress 2024,Carrefour boss Alexandre Bompard said digital remains“at the heart”of everything and is an essen

57、tial part of the model Carrefour is building for the future.“Digital remains at the heart of everything,including technology,data,ecommerce and retail media,”he said.“This was a key takeaway from our first plan and essential to the model we are building now.It has been a tough journey,a tough battle

58、,much like it is for each of you in your own companies.Transforming a 60-year-old company from the ground up,guiding it to embrace powerful new trends with uncertain outcomes such as digital and climate change,is no small feat.”Alongside digital transformation,Bompard highlighted rocketing inflation

59、 and climate change as the other key trends that stand out in the current market and said that dealing with one crisis after another has become“the new normal”for retailers.“Generative AI is set to deeply change how we behave and work,we must be prepared to adapt at full speed continuously because t

60、hat is what retail demands of us.The ride wont be smooth but its our role to navigate these challenges successfully,”he said.Bompard said his biggest challenge when stepping in to his role at Carrefour was that the business had lost momentum.“Our first obsession was to get Carrefour back on track.We

61、 had to take some tough measures,including restructuring and selling off our operations in loss operating countries such as China.One key challenge was to turn around our hypermarkets,which we thought were on the brink of extinction.“We tackled the hypermarkets in three ways,first by becoming custom

62、er centric;then by completely changing our organisation and process to boost productivity;and third,for the most troubled stores,we partnered with entrepreneurs for issues we couldnt resolve by ourselves.”“The plan was to pave the way for omnichannel and become a leader in all our geographies and in

63、tegrate our physical channels with our digital ones seamlessly.”HIGH-PERFORMANCE RETAIL 12|Chairmans ReviewRetail is alive and kicking,says Sephora bossSephora CEO and president Guillaume Motte called retail exciting and said it is“alive and kicking”while outlining the beauty giants pillars of succe

64、ss.Motte said Sephoras performance is attributable to product curation and differentiation,experience,the building of communities,as well as the team and talent within the business.“As a CEO,I truly believe that a strong sense of purpose,values and culture are key assets to performance,”he said.“We

65、have a very strong point of view on beauty and we express it;we make choices and we carry brands that we love.We partner with brands and the word partner to us is not a gimmick.”The retailer welcomes shoppers to store by clapping them as they walk in via a red-carpet.Speaking about the importance of

66、 this VIP experience,Motte said beauty is all about joy and celebration.“Im confident Sephora will be successful as long as our people want to dance.Its not by accident that we greet our customers by clapping.We do clap and we do dance,and thats not just our store teams,its our leadership team too.”

67、HIGH-PERFORMANCE RETAIL 13|Chairmans ReviewLESSON 1:WINNING WITH CUSTOMERSCUSTOMER-CENTRICITY TAKES CENTRE STAGECustomer-centricity was one of the terms most used throughout the three days in Paris,with retailers becoming increasingly expert in combining experience with data insight to personalise,o

68、ptimise and leverage their brands.Legacy retailers were keen to point out that data analysis was not only the preserve of new generation digital retailers.Creating the right formula to connect with customers has increasingly become about understanding how to collect and analyse data,then bring insig

69、hts that help to build the brand in the eyes of the consumer.While often thought of in the context of online and ecommerce,in fact stores have become important arenas to gather insight and with customer needs changing rapidly,it is not enough to assume that what has been working will continue to wor

70、k.14|Chairmans ReviewTRANSFORMATION,TRANSFORMATION,TRANSFORMATIONTransformation has become constant and retailers need to anticipate that there will be continual external changes which require them to flex or re-examine their business models,a senior retail panel told the congress on the second morn

71、ing.Bernie Brookes,chair of Direct Group,stressed that most companies are now going through transformation on a constant basis as he noted that technologies that have taken 30 years to implement are now taking 30 days.“We can expect things to be in a constant state of flux.We have to get our mind ro

72、und this being on an almost daily basis,”he said.“For a proper transformation,if you fiddle you fail;you have to rip the Band-Aid off.”He added:“If youre going to manage it,youve got to measure it,and now there are many ways to do that,which is very different from just saying you are consumer-centri

73、c.When I hear that phrase,I am almost waiting for the but.”He said that even retailers that have enjoyed strong success cannot rely on their business model continuing to be the best way to run their business in the future.“Im interested in Primark,because three years ago there was no Shein or Temu.H

74、ow are they going to respond?”he asked.“Private equity has challenged the sacred cows,like fast fashion not being sold online.You have to move with the customer.You have to question every aspect of your customer model.”WINNING WITH CUSTOMERS15|Chairmans ReviewLUXURY DEPARTMENT STORESLuxury departmen

75、t store groups Harrods and Galeries Lafayette said they remain committed to their flagship stores and to real estate expansion,but data has become a key battleground as they compete with the super brands.“We strongly believe that physical retail is still alive,it is still strong,although it is a lit

76、tle different and we have to adapt to the way people want to use stores.Data is the gold of the 21st century,”said Galeries Lafayette CEO Nicolas Houz.The iconic Paris-based department store has launched an initiative around sustainability and circularity,and it has also dedicated an entire floor to

77、 wellness,while the group has expanded its floorplate in international markets.“We decided 20 years ago to open in China and we now have four stores and want to open five more in the next five years.Also,we have opened direct stores in Germany and Luxembourg,are planning to franchise in India and op

78、erate with a partner in China,”he added.Harrods CEO Michael Ward added that his company has“embraced the super brands;we say we are a house of brands”in terms of its approach to luxury retail,while he also stressed the advantages of having an iconic location.“We have as good information as Amazon in

79、 terms of data,but we have one huge advantage because we have experience.We fight data with data and have sweet sauce on top,”he said.“Internationally,we believe we have to keep the DNA of the palace of Knightsbridge.We are looking at different ways to reach out to our customers,such as a members cl

80、ub in China and educational initiatives in Dubai.”WINNING WITH CUSTOMERS16|Chairmans ReviewSTORES REMAIN KEY TO THE CUSTOMER“When I first started 20 years ago,I was told that stores would disappear.But they are thriving,but in a different way from before,because of this mix of online and retailtainm

81、ent.Now,when we look at a new country,we dont think how many stores,we look at all channels,”said Jose Gomez,chief development officer of Etam,in a session on physical expansion moderated by Francesco Pupillo,division director at MAPIC Markets.Etam has five brands,close to 1bn in sales and operates

82、across 52 countries,with approximately 20%of revenue online.Gomez said the offer can be flexed depending on the market and location.“You need engagement in store and online.We spend a huge amount on clienteling,”he said.“You can maintain brand and adjust to local customs,including the shapes of the

83、store and you can adapt the store concept.”Juanjo Sotomayor,chief commercial officer of AWWG,oversees a platform of brands including Pepe,distributed across 60 countries and managing 500 stores.“There is not a magic formula,it depends on the brand and the market,plus the history.The main KPI for us

84、is still location,which includes the brands around you and the footfall.But not just the quantity of people going past but the quality.The premium brands used to invest in the stores just to showcase,now the P&L for each store is more important,”he said.In terms of making cultural adjustments depend

85、ent on the market,he added:“You cannot sacrifice your DNA or quality.”This was an issue brought up by Fahed Ghanim,CEO of MAF Lifestyle,which operates across the Gulf markets.He said that in partnering with international brands,MAF looks at customer relevance and how brands are delivering.“We look f

86、or iconic or disruptive brands.Balance is also required for experience between investment and returns.We work on local collaborations that are more relevant to the local community,”he added.WINNING WITH CUSTOMERS17|Chairmans ReviewLESSON 2:WINNING TEAMSRETAIL IS A TEAM SPORTFrom creating a dream tea

87、m to using AI to help the workforce,providing people with a sense of belonging to bringing on the next set of leaders,retail remains a people business despite the pivot towards data insights.Many of the sessions considered the role of the people within the business,whether at the customer face in st

88、ore,innovating and creating new models within the business,or developing as the next generation of leaders,skilled for the demands of modern retail.WALMART INTERNATIONAL BOSS JUDITH MCKENNA ON CREATING A DREAM TEAMFormer Walmart boss Judith McKenna said that there are four key components to leadersh

89、ip within business.“I have this formula for leadership,which is IQ,EQ,RQ and HQ.Some of those will be very familiar and one will be really surprising,”she said.“We all know what IQ is,but I no longer think it means book-smart,it is the ability to join dots.”McKenna went on to say that EQ was for emo

90、tional intelligence and being authentic to connect with people is critical in todays world.“RQ for me really came to the fore as I watched business models changing and the reaction of people,which is resilience quotient.Its about resilience and the dictionary definition of resilience is not just the

91、 ability to withstand shocks but the ability to adapt to change and bounce back.Its also about how to change yourself before you are changed,and I think RQ is critical.“HQ is probably the surprising one,which is hope quotient.We were all taught in business that hope is not a strategy;it is not,but i

92、t is a talent.Think about how powerful hope is in the rest of the world;it brings inspiration,it is active not passive,”she said.“I think that more and more as you navigate those contradictions and you navigate change,you need to be able to take people along with you and inspire them.”She highlighte

93、d that hope is different to optimism and rather it is a“talent”that retail leaders will need in the current world of contradictions and rapid changes in the market:“You have to have a purpose and what it stands for and you have to communicate that with everybody,”she said.“You have to hire and promo

94、te the right people and build a whole basis of trust and empowerment with those teams.For me,the building of teams is all about finding diverse talent that comes together with different thought processes.”18|Chairmans ReviewRETAIL IS ABOUT PEOPLE,STRESSES LANDMARK CEORetail is more about people than

95、 product and finding staff and leaders with the right culture and values is one of the biggest challenges facing the retail industry,according to Renuka Jagtiani,CEO of Dubai-based Landmark GroupShe started working in the business created by her husband Micky with one of Landmarks fashion brands,Spl

96、ash,before taking on a central leadership role when he became ill,establishing a group that now amounts to 2,200 stores and over 20 brands.She admitted that it was not easy to“come in as the wife”and said she had to prove that she was at the helm for what she could bring to the business rather than

97、just through her relationship.“Whats meaningful is developing people and leaders within the business.Micky had the ability to make people believe in the vision and themselves,”she recalled.“In that way,it is the culture and values that are the most important when you hire.If you just recruit for the

98、 experience and the skillsets,you get a very different team.Bringing people with the right culture and values is the hardest part.”She said that Landmark had to consciously work on the values and to make a difference and stressed that purpose is not just about the way a business looks at its goals b

99、ut in the way the company works.WINNING TEAMS19|Chairmans ReviewGIVING PEOPLE BELONGING IS OUR SUPERPOWER,SAYS INGKA CHIEF PEOPLE OFFICERIngkas chief people officer said giving people belonging,purpose and meaningfulness is the retail giants superpower when it comes to recruiting and retaining staff

100、.Ulrika Biesert said the group is giving workers more influence than ever to decide and power their own work.She said feedback recently has included that clothing and uniform is one example of something that doesnt fulfil the needs of individual identity,meaning it is something the group had to reth

101、ink to ensure employees felt comfortable.When it comes to retaining and recruiting staff,she added:“Leadership.We have heard it over and over again but still its coming up.We are more specific and action-oriented now but if you asked me 10 or 15 years ago,it was much more about the physical environm

102、ent,and today you see much more about stress,burnout and mental health.”“People are searching for purpose,meaningfulness and belonging,so building psychological safe organisations where people can be themselves,regardless of identity,is one of the superpowers that we have.Leadership is moving to bec

103、ome clarity and stability but also very much about the human skillset.”WINNING TEAMS20|Chairmans ReviewAI AND THE RETAIL WORKFORCEThe next generation retail workforce will need to work closely with AI to provide a better in-store experience,with the store back at the heart of retail according to one

104、 panel.“We are using AI to help technicians for repairs and in-store we are using it to help personalise our offers for customers,”said Mehdi Dahmani,retail director at Fnac Darty.“We have an academy and we are doing a deep training programme,with 40,000 e-learning.We cant approach AI without traini

105、ng.”Fnac Darty is using AI to help with stock replenishment,to support click and collect,and to identify the correct spare parts for a faulty product that has been returned.Mark Ibbotson,former EVP central operations at Walmart US and former chief operating officer of Asda,added that the commonality

106、 of the issues was“startling”as he reflected on the need to remove friction from the store environment.“I personally dont know a better way than AI to combine technology and people and take away the complexity that has been put into retail,”he said.“The next wave of technology sees us have the possi

107、bility to help the consumer,the associate and the shareholder.”WINNING TEAMS21|Chairmans ReviewRETAILS AGE OF TECHNOLOGYAI was,for the second year running,a major theme and retailers are looking at ways to implement the technology,from smarter bots to staff optimisation.But marrying technology with

108、creativity took centre stage.It would be fair to say that the opportunities around AI are yet to be fully realised and in Paris,the first early fruits of AI use were evident but there is clearly far further to grow.While the threats of AI have been well detailed in the media,at World Retail Congress

109、,retailers were busy looking at ways to integrate machine learning with retail best practice.TECHNOLOGY VS CREATIVITY ENEMIES OR ALLIES?Sergio Bucher,executive board member retail and brands at Otto Group,said he believes technology and creativity can work together to develop products faster,more ef

110、ficiently and with lower environmental impact.“We have data,robots,but also have this relationship with our customers.So can technology help us build a better world?”he asked in terms of how Otto,a 16bn-revenue business primarily now an online retailer with 80%of sales digitally.“Product design,for

111、example,was a very artisanal and manual process.During the pandemic,we developed 3D models and have sped up the process from 12 to two weeks.We have opened two design centres and we are aiming to become fully digital.We have started to test technology in the design process itself by using AI to deve

112、lop variants from bestsellers and also to develop the content to market the products.”Janet Hayes,CEO of Otto Group company Crate&Barrel,added:“We have a service called Design Desk that came about because customers were telling us that they need deign help.”She said the average basket value for thos

113、e who use the free service is$3,000,compared with$1,000 for those who do not,with designer and customer able to build 3D renders of the room they want to revamp.In the retailers newest New York flagship,the Design Desk has been moved to the front to help create theatre.“Technology-enabled,human-assi

114、sted;we have been able to change the game in our stores,”she added.LESSON 3:WINNING INNOVATION22|Chairmans ReviewFOCUS ON THE CUSTOMER THROUGH INNOVATION“Several initiatives started across technology last year,one of the key areas was to focus on product availability in-store,because there is nothin

115、g worse than having a customer who is ready to buy but cant.Thanks to machine learning,we are looking at our availability and customer trends,to have better forecasting,”said Nicola Cora,head of IT omnichannel at Bata Group.The company has also developed an in-store solution to order products that a

116、re not available in the store but are in its network and has developed an AI driven internet product to more easily collect feedback.“Start always from your customer needs,”he said.“You need to be agile and flexible to react,because technology is evolving very fast.AI is a reality so you should expe

117、riment,its a must,but understand where AI can help in your company,it may not be needed everywhere.Think big but act small and scale fast.”Nicola Johnson,US Alphabet Google Alliance chief commercial officer and principal at Deloitte,added:“We are seeing a massive advance in this analytical ability.A

118、I is becoming deeper and more contextual,so the ability to connect the dots is changing dramatically.Its not just a fad,its here to stay.”She said the technology was increasingly being used to converge consumer and customer insights,build customer profiles,analyse share of wallet and work through th

119、at data to look at pricing optimisation,customer sentiment and other key metrics.WINNING INNOVATION23|Chairmans ReviewDATA NEEDS TO BE NURTURED,SAYS KRAFT HEINZ EXECKraft Heinz head of analytics products Pat Nestor said data is something that should be nurtured when speaking on a panel led by Snowfl

120、ake.Snowflake head of industry GTM,retail and CPG Paul Winsor introduced his session by saying that for industry leaders,data is the“life blood”that drives high performance and competitive advantage.He added:“Quite simply,without the right data and the right strategy in place,you risk getting left b

121、ehind.”Nestor said data is paramount to the success of the retail giants strategy and will be over the next 10years:“We are really trying to build that unicorn sense of truth,which is easier said than done.Its about investing in data because data really is a product and asset that needs to be nurtur

122、ed and managed.:Etam group data and client director Sophie Gallay echoed its importance and said it took the lingerie giant a while to become efficient with its data and establish a real strategy,but now it has narrowed its focus.“Data is at the core of Etams business,it is an essential asset for ou

123、r operations and strategy,and we use it on a daily basis to monitor performance.”WINNING INNOVATION24|Chairmans ReviewZALANDO:DISRUPT OR BE DISRUPTED Zalando vice president of fashion Andreas Roedl said the fashion giants belief is to disrupt or be disrupted.Roedl said as an early adopter of the mar

124、ketplace model,Zalando figured out very early that being first is the only way to gain a competitive edge:“At Zalando,we really believe in disrupt or be disrupted.We are almost paranoid in that regard.”Alongside Roedl on the panel,Kingfisher digital director Marc Vicente said:“Patience is important

125、when you go through changes.For us,in terms of the journey,it is about contextualising conversations about innovation and translating them into customer value.”7-Eleven CEO Danni Peirce,who is responsible for the convenience store retailers Singapore,Hong Kong,South China and Macau markets,said the

126、speed of change in China is unmatched compared to other geographies.“I would say the rate of innovation and the pace of change in China is outstanding and incredibly fast.The speed of change is just so fast,”she said,as she echoed that being ahead of the competition is the key to success in the inno

127、vation department.WINNING INNOVATION25|Chairmans ReviewTHE KEY TO DISRUPTING RETAILWith rapid change now a constant,there was a realisation from across the congress that the old,established retail business models are no longer fit for purpose.The consumer is adopting many different channels and is e

128、xpecting a different kind of relationship with a retailer or brand.Embedding agility and change is now imperative.Professor of marketing and entrepreneur Giuseppe Stigliano mapped out a clear vision for why retailers need to embrace change and completely refocus their business models.He said in a wo

129、rld of fast-moving change,“adopting an obsolete perspective is very dangerous and the costs can be very high”.In this way,he said the word“phygital”,which describe the blending of the on-and offline worlds,is already obsolete as is“omnichannel”.He said retailers need to look across physical,digital

130、and virtual channels but also to optimise where they can employ resources most effectively because you cant do it all.The watchwords are agility and flexibility.“Todays companies need to adapt”,he said.LESSON 4:WINNING BUSINESS MODELS26|Chairmans ReviewFashion giants Shein and Fabletics outlined the

131、ir journeys as disruptors in the retail sphere,as Alix Partners managing director Matt Clark also highlighted the six key trends reshaping the industry.Clark said,according to its latest research,50%of retail executives expect“significant changes”to their businesses and business model in the next 12

132、 months.With this in mind,he outlined the key trends“reshaping”the industry in 2024.These included discount disruptors,real-time retail,brand consolidation,circular retail,from retailer to media owner and social shopping and D2C innovation.Fabletics brand president Ashley Kechter said the sportswear

133、 retailer has disrupted the market with regards to consumer engagement and plans to evolve the business model further moving forward.Having started out as a disruptor and pushed the boundaries on the traditional retail model with the launch of its subscription service,Kechter said it is now importan

134、t to think differently yet again for the decade ahead.“We really want to focus on the concept of hyper-localisation and thinking differently about each market,”she added.Sheins global head of strategy and communications Peter Pernot-Day named affordability,accessibility and responsibility as some of

135、 the key pillars to its success to date.Discussing the fast-fashion giants ability to disrupt the market,he said while Shein is first and foremost a fashion company,it is“very driven”by technology.He added:“What set us apart and made us more akin to a technology company in some ways is that we have

136、embraced some of the concepts that have emerged in the last few years from the tech sector and embraced the change.As a company,we never see ourselves as finished,there is always something else thats coming.”WINNING BUSINESS MODELS27|Chairmans ReviewRETAIL MEDIA OPPORTUNITIES“We need to talk about s

137、ecurity and trust,the safeguards,”said Nozha Boujemaa,global VP,AI Innovation and Trust,at Decathlon.“We can see how AI is a game-changer,meaning we can connect product and customer and provide a completely different customer journey.We learn from the past and we project for the future.”As an exampl

138、e,Gen-AI can examine what sports a customer plays and then promote cross sell and other products the person may require.These types of tools are useful for both online and in-store,she said.“We need to talk about the sports,not the catalogue.”This also requires a multi-skilled team,not just those wi

139、th technical skills,she stressed.The balance is building trust so there is hyper-personalisation but also reassurance,she added.“We started to introduce AI within our business in 2015.Gen-AI will bring incredible opportunities to retailers.Content management will be one example,its about conversion.

140、If AI can improve this you will have better conversions,”said Eric Chemouny,managing director for retail and CPG industries EMEA at Google Cloud.WINNING BUSINESS MODELS28|Chairmans ReviewIn an age of transparency and of high consumer expectations,retailers and brands need to identify and pursue purp

141、ose to connect with their customers.That engagement will be key to attaining and retaining younger consumers especially.Customer expectations have increased dramatically when it comes to what they want from retailers and brands and in a complex world,perhaps the most consistent way to steer a clear

142、path is to have a purpose that entwines with the business.Purpose comes in many shades and at World Retail Congress,it covered everything from connecting with consumer expectations through to the rise of circularity and sustainability.MEET YOUR CUSTOMER EXPECTATIONS,SAYS DAIRY FARMCustomers assume t

143、hat the retailers they use are taking the appropriate actions to meet their environmental responsibilities but the cost of greener products and constant supply chain disruptions have impacted retailers,according to Dairy Farms CEO.“Retail is the most complicated simple business in the world.Global s

144、upply chains have gone through enormous disruption,including climate impact,”said Scott Price.“Technology is helping quite a lot but the key is to keep a very close eye and strong partnership with all of our vendors.”He argued that the West has built much of its consumerism from developing markets a

145、nd said innovation was now required to help Eastern markets achieve environmental equality.The business community needs to come together to help address some of these issues,he reflected.“I think consumers do recognise when retailers do make the commitment but I think there will be a period where so

146、me of the companies who havent signed up to some of the regulations may be charged with greenwashing,”he warned,in terms of how accountability may be measured.LESSON 5:WINNING WITH PURPOSEPURPOSE CAN KEEP RETAILER ON TRACK29|Chairmans ReviewENGAGING WITH NEXT GENERATION CRITICAL FOR LUXURY EY UK and

147、 Ireland retail lead Silvia Rindone said engaging with the younger generation is“critical”for luxury brands.“The younger generation have different skills and different attitudes but they are extremely driven by values,”she said.“If certain brands trip up and do something that goes against the core v

148、alues of that generation,they wont buy that brand or engage with it.We have seen some backlash in sportswear and luxury with this,they are a generation driven by principles.”Rindone added that while the younger generation are also advocates for sustainability and building a better future,there is al

149、so a conflict of interest when it comes to price points.“They have also been really interested in the circular economy and choosing to buy something second-hand to save the planet,which is really good.On the other end of the spectrum,you can see the explosion of certain fast-fashion brands.This is t

150、he throwaway society of the younger generation;you look at the two ends of the spectrum and they want both.”“They want values and they also want to buy cheap when it comes to something they will wear a few times and either throw away or sell on Depop for even less.”Mulberry CEO Thierry Andretta echo

151、ed this and said staying conversational with the younger generation and tapping into their way of thinking is vital for the future of the sector.With an eye to sustainability,Burberry senior independent director Orna Ni-Chionna admitted that while the luxury giant is making waves in this space,there

152、 is a long way to go.“Burberry is taking sustainability very seriously,as is every retailer Im sure,”she said.“The challenge is how to move the dial and in the case of fashion youre talking about wool,cashmere and silk,as well as nylons,polyester and leather,and how to get the content down.”WINNING

153、WITH PURPOSE30|Chairmans ReviewSECOND-HAND IS THE COOLEST WAY TO SHOP,SAYS THREDUP ThredUp co-founder and CEO James Reinhart said Gen Z and Gen Alpha consumers think second-hand is now the coolest way to shop,marking a shift in how second-hand fashion was viewed 10 years ago.“We take a bit of credit

154、 when it comes to circularity because prior to ThredUps existence,brands and retailers had really not though about it at all,”he said.“The analogy I often give is that there was a time in our lives where we didnt have recycling bins,and now the idea of not recycling is crazy.I think there are all th

155、ese changes in consumer behaviour and ThredUp is really trying to usher people towards those changes in apparel so that its obvious that you should recycle and its obvious that there should be circulatory built into it and thats where we are trying to head.”“Now it is cool,if you ask Gen Z and Gen A

156、lpha,they will tell you that second-hand is the coolest way to shop.”Speaking about how retailers can lean into the second-hand movement,Reinhart said he is a realist and doesnt think that retailers will have a 50/50 split between new and used clothing.“What I think is happening with traditional ret

157、ail and resale working together is really around this notion of customer engagement and giving people something fun to engage with and I think thats where circularity is headed,”he said.“Despite what you might think of fast fashion,one of the things that these businesses have nailed is freshness,but

158、 I think an area where resale has won hands down is around uniqueness every day.”WINNING WITH PURPOSE31|Chairmans ReviewCREATING A CIRCULAR ECONOMY DOWN TO MIND-SETPrimark Cares director Lynne Walker said the shift towards creating a more circular economy comes down to a mindset change from both bus

159、inesses and consumers.“Its about a mindset change,Im really passionate about the industry that we work in but it is old fashioned and can we very wasteful,”she said.“Its about not leaning on the historical methods of the past and leaning into the great talent in this industry can help us do that.”“T

160、rying to get people to understand what we actually mean by circular has been a struggle and an opportunity.Really busting the myth on what circular means is the first point within our own organisation.Its about re-educating from within and we had to start that first with our product teams.”Walker ad

161、ded that educating consumers on the fundamentals such as repairs as well as the need for regulation and durability standards in the industry more broadly could be game changers for the future of circularity in retail.Depop sustainability director Justine Porterie added that the future of circularity

162、 lies in its desirability to consumers.“The consumer appetite can come from making those circular options more desirable,cool and accessible.We want to make it second nature and we need that push and drive from companies to make those offerings available,”Porterie said,and added that consumers shoul

163、d not underestimate the role they can play in creating a more sustainable future.WINNING WITH PURPOSE32|Chairmans ReviewJLP,NESTLE AND CONSUMER GOODS FORUM ON SUPPORTING FARMERS John Lewis Partnership sustainability and ethics director Marija Rompani said working with farmers is essential to work to

164、wards a more sustainable future for the food sector.“Everything we sell in our business depends on and comes from nature,so we need to protect it and restore it.This is our legacy and what we continue to do,”she said.“It is important for us to work with our farmers towards a more sustainable way of

165、producing food.We know we cannot achieve net zero in our plans without changing the way we farm.”“It is simple to say that,but not simple to do.Our ambition is to work with our farmers to come up with good ways of farming more sustainably.It is important to not just put requests out to our farmers b

166、ut to share the risk and reward.”This was echoed by Nestl environmental impact manager Franck Saint-Martin who said collaboration is the only way to reach sustainability targets.“We need to collaborate and amplify to make sure that together,we achieve the targets,”he said.“We want the consumer to ha

167、ve access to the whole story and to see that by having a cup of coffee,they can make a difference.We need to make sure retailers show support to manufacturers,because the more supportive retailers are,the more ambitious we can be with sustainability.”WINNING WITH PURPOSE33|Chairmans ReviewJames Bidw

168、ell,CEO of Springwise,moderated a panel looking at the importance of purpose for a retail business.Here he summarises the key messages that came out of the discussion.Paris is preparing for this summers Olympic and Paralympic Games and as such was the perfect venue for this years World Retail Congre

169、ss.The energy and transformation in the lead-up to the games were palpable and a good reminder to the global retail community that innovation is at the very heart of successful retail.My panel was called“Embedding purpose in all aspects of the business”and I was joined by Hilde van Criekinge,Ikeas c

170、ountry communications manager,France;Geoff van Sonsbeeck,co-founder and CEO,House of Baukjen;and Natasha Tuli,CEO of Indian brand Soulflower.We had the pleasure of David Boynton,former CEO of The Body Shop,in the audience.The discussion was wide-ranging,informative and passionate.Great real-life exa

171、mples of the advantages of building purposeful businesses and how to really ensure that everyone gets it,and how motivating this is.OUR TOP TAKEAWAYS WERE:Privately controlled businesses are often better placed to drive the purpose agenda as they have a longer-term,strategic view.Private equity-back

172、ed and listed businesses remain more focused on the near-term financials,which makes this agenda more difficult to justify.Although,this is changing with the growth of the B Corp movement.Generational shift among customers and leaders is positive for the purpose agenda as there is greater awareness

173、of the existential threats from climate change and biodiversity loss and the role of retail in this.Storytelling is critical in embedding purpose.Education as to the macro issues and a clear set of principles for all stakeholders.Ikea do this very well and have been consistent since the beginning.In

174、novation is a critical component as the retail landscape changes.Examples of purpose led solutions for positive change abound and the smart retailers are adopting them to stay ahead.LESSON 5:WINNING WITH PURPOSEHOW AND WHY TO EMBED PURPOSE Springwise has just published a special retail edition of it

175、s Future Now report highlighting some of the very best innovations helping to shape retailing.Download the report here.34|Chairmans ReviewCUSTOMER FOCUSED RETAILFROM PERFORMERS TO CHAMPIONSOne of the most popular speakers at this years World Retail Congress was Olympic gold medal winner and business

176、 performance coach Alain Goudsmet,the founder and partner at Mentally Fit.Addressing our theme of high-performance retail,he gave a highly inspirational and thought-provoking presentation that took the principles of high performing athletes and medal-winning teams and showed how they can be applied

177、to businesses.Here are just some of the standout messages from his session.Performance is being in the top 10 but winning is about being on the podium it is a process to build a champion mindset.Reaching the top is one thing but staying at the top is another.If you want a successful organisation you

178、 need to motivate people.This is no time for silos.It is about successful teams.The champion mindset is obsessed by progress.They are not addicted to results.They are continuously learning and growing even when they are already champions.Training is only 10%,sharing experiences 20%but feedback gives

179、 you 70%of your growth.Busy is the new stupid.It is not by being busy that you help your people.We must measure everything.It is key.You cannot change what you cant monitor.35|Chairmans ReviewKNOWLEDGE PARTNERSReports on Winning With Customers,Winning With Innovation and Winning Business Models36|Ch

180、airmans ReviewFIVE STEPS TO HIGH-PERFORMANCE RETAIL INSIGHTS FROM WORLD RETAIL CONGRESS 2024Matt Clark,EMEA Retail Lead,Partner And Managing Director,AlixPartnersParis was at the centre of the retail world in April,as over 800 retail leaders from 60 countries descended on the Hyatt Regency for the a

181、nnual World Retail Congress.The 2024 Congress theme,high-performance retail,was fitting for a city gearing up to host the worlds top athletes at the Olympics in just a few months time.As Congress speakers examined the traits needed to be truly world class in todays dynamic retail landscape,the overa

182、ll mood was cautiously optimistic.The pace of change is unrelenting,marked by geopolitical turmoil,digital disruption and a year of elections across the world but consumer confidence is gradually returning,as is the industrys faith in its own resilience following the disruption of recent years.Refle

183、cting on three days of thought-provoking sessions,engaging panel discussions,exploratory retail store tours and industry networking opportunities,five actionable insights stood out.WINNING BUSINESS MODELS37|Chairmans Review1.AGILITY=ENDURANCE:BUILD RETAIL BUSINESSES TO ADAPT,NOT JUST TO LASTCosts fo

184、r retailers are much higher in 2023 than they were pre-pandemic and todays dynamic retail landscape demands that retailers not just survive but thrive through adaptability.Kingfisher CEO Thierry Garnier emphasised the importance of adopting agile mindsets in navigating constant disruption;success li

185、es in building businesses ready to evolve,not merely withstand the test of time.As a knowledge partner,AlixPartners launched a new report at the Congress:Disrupt or be disrupted:Six trends reshaping retail.I was joined on stage by Fabletics Ashley Kechter and Sheins Peter Pernot-Day,to discuss how r

186、etailers can drive and respond to the featured trends:discount disruptors;real-time retail;brand consolidation;circular retail;retail media;social shopping;and direct-to-consumer innovation.Among the insights we discussed was a finding from AlixPartners 2024 Disruption Index that 50%of retail execut

187、ives expect significant change to their business model in the next 12 months,the highest of all 10 industries surveyed.As British Retail Consortium CEO Helen Dickinson reflected at the Congress,retailers should flip their business model thinking to“think from the customers perspective”and consider t

188、he 80/20 principle five things might impact 80%of profitability.Focus and flexibility are key.2.BUILD YOUR PEOPLES RESILIENCE AND HOPEThe congress emphasised resilience and hope as foundational pillars for future-proofing retail businesses.Former Walmart International CEO Judith McKenna emphasised t

189、he importance of building not only employees EQ and IQ,but also their“resilience quotient”(RQ),ie:their ability to anticipate change and bounce back from setbacks,as well as their“hope quotient”(HQ),which is not just an attitude of“itll be OK”but an ability to actively chart a course through adversi

190、ty.As McKenna commented:“People dont need a map,they need a compass.”Leaders have a vital role in creating the right environment to foster that resilience and hope.Invest in your peoples growth and skills:employees and customers seek purposeful corporate behaviour,and engaged people and teams delive

191、r more.Perhaps the most powerful example of this was at a dinner AlixPartners hosted for retail leaders at La Tour dArgent a historic venue with a spectacular view of the Notre-Dame cathedral.Guest speaker Philippe Josts inspiring story of leading the restoration of the cathedral,following the devas

192、tating fire in 2019,resonated deeply with executives.The near-complete restoration is a testament to the power of collective effort,resilience,and constant innovation and adaptability in the face of adversity.3.UNLOCK GROWTH THROUGH TECHNOLOGY AND DATAIntegrating technology into retail operations is

193、 not new but the scale,speed and sophistication with which it can now be leveraged are unprecedented.Real-time retail,social shopping and retail media all stood out as golden growth opportunities for retailers.Sales through retail media are forecast to be bigger than through TV advertising by 2028,w

194、hile social shopping is anticipated to become a$8.5trn channel by 2030.With the latter,retailers must keep pace with changing consumer purchase behaviour,be active on the platforms where their customers are,and engage and inspire them in relevant ways.Shein has become the worlds largest fashion reta

195、iler thanks to its ability to harness technologies like AI and advanced analytics to unlock on-demand retail.Together with Ian McGarrigle,chair of World Retail Congress,I met with Shein global head of strategic communication Peter Pernot-Day to discuss how the retailer has achieved such explosive gr

196、owth.Listen to the conversation in this episode of Disrupt or be Disrupted,our World Retail Podcast series.WINNING BUSINESS MODELS38|Chairmans Review4.FOR CONSUMERS,VALUE TRUMPS VALUES SO COLLECTIVE ACTION ON INDUSTRY ESG CHALLENGES IS KEYDespite a growing societal emphasis on sustainability and eth

197、ical consumption,and 74%of Millennials and Gen Z stating they prefer“conscious brands”,the reality remains that price is the primary motivator for most consumers.Retail leaders face a conundrum:how to spearhead sustainability initiatives without passing on the cost to consumers.The accountability fo

198、r tackling climate and social challenges must be taken up by industry leaders.Several speakers called for greater collaboration across the value chain to find solutions at a system level.Leaders cannot rely on consumers or regulators to drive this critical change;collective action is key.5.BUSY IS T

199、HE NEW STUPID:FOCUS ON THE FUNDAMENTALSExecutive coach Alain Goudsmet,who advises business leaders and Olympic athletes on mental fitness,captured delegates attention with his assertion that busy is the new stupid.Retail leaders were cautioned against overextending themselves,particularly in the rea

200、lm of technology investments.While emerging technologies like generative AI offer exciting possibilities,several speakers myself included advocated for a pragmatic approach.The value of analytical AI,for example,still significantly outweighs the benefits of Gen-AI for most retailers,though the balan

201、ce will shift as value-adding use cases continue to emerge.The message is clear:in the pursuit of technological innovation and the hype around Gen-AI,do not lose sight of retail basics.That means great products,at great prices,with great people to serve your customers.NAVIGATING THE ROAD AHEADWorld

202、Retail Congress provided a powerful opportunity for global retail leaders to gather,take stock of a fast-moving landscape and brace for ongoing change.The success of retailers will hinge on their ability to continually interpret,prioritise and drive disruptive trends,translate them into actionable s

203、trategies,and take a balanced approach to innovation.Leaders will need to steer their businesses with agility,grounding their strategies in consumer insights and technological innovation,all while remaining faithful to the fundamentals of retail excellence.Access AlixPartners World Retail Congress 2

204、024 report and podcast series,Disrupt or be disrupted,featuring special guests from Shein,Zalando,WHP Global and more,to explore six trends reshaping the industry,and what retailers can learn from the disruptors leading the wayDOWNLOAD THE REPORTLISTEN TO THE PODCASTWINNING BUSINESS MODELS39|Chairma

205、ns ReviewWINNING WITH INNOVATIONINVESTING IN THE FUTURE HOW RETAILERS USE INNOVATION TO GAIN AN EDGESocial channels where a shopper can buy something with a single click.Gen-AI-assisted shopping.Virtual stores in the metaverse.Hyper-personalized,gamified experiences embedded in shopping journeys.Nea

206、r-instant delivery.Retailers are innovating more and faster to keep pace with changing consumer behaviours and preferences.According to new research presented by Boston Consulting Group at World Retail Congress,retailers with industry-leading innovation practices perform markedly better than their p

207、eers.The report,in which more than 400 executives from a cross-section of retail sectors worldwide were surveyed,found that innovation leaders invest significantly more in innovation and achieve a higher ROI(see Exhibit 1).13%10%3%LeadersFollowersLaggardsAVERAGE PERCENTAGE OF REVENUE INVESTEDAverage

208、 innovation ROICompanies increasinginnovation spending by 20%ormore by 2027Companies that increasedinnovation spending by 20%ormore from 2021 to 20249 9%8 8%5 5%S So ou ur rc ce e:2024 BCG Retail Survey(n=436).2 21 1%3 38 8%2 25 5%1 14 4%3 30 0%1 10 0%EXHIBIT 1-LEADERS INVEST MORE IN INNOVATION AND

209、ACHIEVE A HIGHER ROI Nate Shenck,Managing Director And Senior Partner,Global Head Of Retail,Boston Consulting GroupKhaled Tawfik,Managing Director And Partner,Head Of Retail Europe,Boston Consulting Group40|Chairmans ReviewINVESTING IN INNOVATIONAccording to our research,both retail innovation leade

210、rs and laggards expect to increase how much they invest in innovation in the next three years;leaders anticipate spending 38%more,while laggards will spend only 8%.Leaders prioritize innovation investments in three areas:operational improvements;big data,AI and analytics;and ecommerce(see Exhibit 2)

211、.OPERATIONAL IMPROVEMENTSRetail executives are addressing cost pressures across their value chains by investing in process innovation and automation to improve and streamline operations.They often pass part of the resulting savings to increasingly value-driven consumers.BIG DATA,AI AND ANALYTICSLead

212、ers are developing roadmaps for targeted big data and AI use cases to drive significant changes in top-and bottom-line growth.Many are experimenting with Gen-AI to prove its value for creative content,customer support,and administrative and operational tasks,among other areas.ECOMMERCERetailers are

213、embracing new forms of ecommerce to meet consumers increasingly sophisticated needs,grow gross merchandising value(GMV)and improve profitability.Innovation leaders are investing in the following areas in particular:Retail media.Inventive retailers set up retail media networks so brands and other thi

214、rd parties can buy advertising space on the retailers owned properties,including stores,websites and apps.Retailers use the data they gain from their close proximity to customers to offer targeted,high-conversion advertising opportunities to suppliers and other companies.In return,they earn margins

215、of up to 60%or 70%of collected advertising revenue,which are significantly higher than traditional retail margins.Marketplaces.More than four in 10 innovation leaders surveyed have invested in marketplaces,the online platforms that let them collect commissions on goods listed and sold by third parti

216、es.Marketplaces help retailers quickly scale their range of products while simplifying internal operations;generating rich,insightful data;and driving superior profitability and ROI.This advantage helps explain why marketplaces have become the prevalent business model in retail ecommerce,generating

217、more than two-thirds of all ecommerce sales.Social commerce.The convergence of social media and ecommerce enables brands,influencers and other sellers to pitch products directly on social platforms in an engaging way,creating stronger shopper interest and higher conversion rates.Social commerce is m

218、ore prevalent in Asia and covers a variety of emerging formats,including livestreaming and group purchasing opportunities.Its also picking up steam in North America and Europe.RETAIL INNOVATION SUCCESS FACTORSInnovation leaders adopt a bold approach.They use innovation to shift customer expectations

219、 rather than launching initiatives solely according to what customer say they want.They identify areas where they can accelerate innovation by augmenting internal operations with external capabilities and collaborating with third parties.The leaders of tomorrow will be those who make substantial inv

220、estments in cutting-edge technologies today.By prioritizing strategic investment in technology and sustainability,retailers can continue delivering value to both customers and shareholders,safeguard their future and remain competitive in a rapidly changing world.WINNING WITH INNOVATION41|Chairmans R

221、eviewDOWNLOAD THE REPORTWINNING WITH INNOVATIONRetail mediaMarketplaceSocial commerceCustomer service chatbotsFulfilment excellenceAugmented reality shoppingPersonalisationLoyaltyVoice commerce capabilities4 44 4%4 42 2%3 39 9%3 38 8%3 37 7%3 35 5%2 26 6%2 24 4%1 14 4%INNOVATION LEADERS TOP THREE PR

222、IORITIES FOR E-COMMERCE SPENDING(%)S So ou ur rc ce e:2024 BCG Retail Survey(n=237;excludes respondents with less than$1 billion in revenue and countries with fewer than 20 respondent:Germany,South Africa,Argentina,India,and South Korea).EXHIBIT 2 RETAIL MEDIA,MARKETPLACES,AND SOCIAL COMMERCE TOP LE

223、ADERS E-COMMERCE ACTIVITIES42|Chairmans ReviewWINNING WITH CUSTOMERSRETAIL REIMAGINED CREATING LUXURY CUSTOMER EXPERIENCES THROUGH DATA-DRIVEN INSIGHTSThis year,Deloitte was World Retail Congress Knowledge Partner for the“winning with customers”pillar.Their knowledge report,Creating luxury customer

224、experiences using data-driven insights,launched the week of the congress with content that focused on how organizations can adapt to shifting consumer expectations and align their strategy,platform,people and partners to data-driven experiences that help win attention and loyalty.How can organizatio

225、ns better deliver special,white-glove experiences that make everyone feel like a gold-medal winner?How can they apply generative AI(Gen-AI)tech to traditional brand,marketing and customer functions to target,excite and inspire the new luxury customer?Choosing the right partner and case study to star

226、t is key.Many businesses are making investments in Gen-AI with the ambition to be first to market,and the unification of data platforms is an essential component for a competitive edge.Ida Palombella,partner,IP and IT fashion luxury leader at Deloitte Italy,said:“In the past year,digitalization has

227、surged within the luxury retail sector.Meanwhile,brand loyalty has taken a dive.With so much choice at consumers fingertips,its all about cutting through the noise.For those seeking to stay ahead of the curve,hyper-personalization will be key.“Consumers expect brands to understand their individual p

228、references and provide tailored interactions across all touches.These discerning shoppers seek seamless experiences that imbue a sense of exclusivity and importance across physical and digital realms.From personal styling to AI-augmented chatbots and beyond,the possibilities that Gen-AI poses are de

229、cidedly futuristic.”The paper was subsequently brought to life on the main stage with a panel discussion,featuring several key retail industry players and moderated by Evan Sheehan,retail sector leader of Deloitte Global.On stage with the panelists,their impactful discussion showcased the breadth of

230、 Deloittes partnerships and ecosystem of players leveraging data-driven insights to win with customers.Evan Sheehan|Retail Sector Leader|Deloitte GlobalNicola Cor|Head Of It Omnichannel|Bata Group Nicola Johnson|US Google Alliance Chief Commercial Officer|Deloitte Consulting LLPEd Green|Head Of Comm

231、ercial Technology|McLaren43|Chairmans ReviewOpening the session,and playing off of this years congress theme of high performance and being in Paris,the city of the 2024 Olympics and Paralympics,Deloitte showcased its partnership with the International Olympic Committee(IOC)through a video that captu

232、red the essence of Deloittes sponsorship and their application of deep industry knowledge in management and business consulting to help enhance the IOCs digital ecosystem supporting the Olympic movement.Learn more about Deloittes collaboration with the Olympics here:Worldwide Olympic&Paralympic Digi

233、tal Transformation.Following the video,the panel discussed how organizations can adapt to shifting expectations and align their strategy,platform,people and partners to data-driven experiences.Ed Green from McLaren provided an overview on the McLaren/Deloitte relationship and how the organizations h

234、ave been working together to redefine high performance for several years now,capturing and analyzing data to drive real-time decision-making for its people and organization.Ed shared an overview of what McLaren is focused on right now in terms of leveraging data to make organizational decisions that

235、 help both operationally and from a customer/fan-base perspective,as well as the importance of partnering with organizations like Deloitte to help make sense of their data.Nicola Cor of Bata Group shared the companys long-standing tradition of innovation,which began with manufacturing processes and

236、has since evolved into investing in new technologies and using data and Gen-AI for things like forecasting product demand and improving the customer experience.Nicola further elaborated on how digital innovation has been driving change within Bata,and the positive responses it has seen from their cu

237、stomers and employees alike.Nicola Johnson,Deloitte US Google Alliance chief commercial officer,tied it all together from a high-performance data and high-performance retail perspective,sharing her experience on the work Deloitte US has been doing with its Google Alliance partners and offerings.She

238、shared her insights on the correlation between Eds story at McLaren and Nicolas story at Bata across their two different business areas,and how its impactful from a retail perspective.The stories explored throughout Deloitte Globals report and on the main stage offer an optimistic view of whats poss

239、ible now that the industry has better access to tech-enabled tools,solutions,and capabilities that can help drive change in shaping the customer experience.By embracing transparency and managing risks,retailers can use Gen-AI and data analytics to deliver better customer experiences,elevating their

240、brand and customers to new heights of sophistication.DOWNLOAD THE REPORTWINNING WITH CUSTOMERS44|Chairmans ReviewRETAIL MEDIA TAKING BACK CONTROL THROUGH AIRETAIL MEDIA TAKING BACK CONTROL THROUGH AIAt World Retail Congress,where retail media was high on every retailers agenda on the main stage,Dian

241、a Abebrese,global retail media lead at EPAM Continuum,explained why it was perceived as such a strategic priority.Retail media,which witnessed a 20%growth to$119bn in 2023 based on GroupMs data,is not just a lucrative revenue stream,but the financial opportunity is driving retailers to increasingly

242、view themselves as media owners,resulting in a paradigm shift in current business models.While the opportunities are enormous,building and scaling a retail media network has several complex hurdles and challenges.Securing investment into retail media networks(RMNs)over other initiatives requires a s

243、ignificant business case to be presented.However,the challenges of embracing retail media extend far beyond financial considerations.Retailers are frequently overwhelmed with the need for rapid change across their technology,data and operational organizations to grow revenues at pace.In a world wher

244、e data is power,navigating the complex and fragmented data sources generated from retail media poses significant challenges.Cutting through these complexities,the role of artificial intelligence emerges as a potential game-changer.Applying AI within retail strategies,such as automated data aggregati

245、on,can be immensely beneficial.In retail media,it can manage,analyze and support data insights.It has the capability to build predictive audience segments,forecast campaign performance,optimize campaigns in real-time and generate media plans and strategies with the correct data prompts.AI is already

246、 deeply embedded within many retail platforms and tools,such as forecasting,supply chain inventory management and product recommendations.As AI capabilities continue to expand rapidly,retailers should not be intimidated but embrace the opportunities offered by AI to overcome many retail media challe

247、nges.In conclusion,integrating retail media into business strategy is now perceived as necessary for most retailers strategies.As the capabilities of AI continue to mature,it will significantly enhance retail media tactics.As a result,the retail media strategy appears to be forming the critical path

248、 to continued success in the industry,with AI emerging as a key driver of this change.As industry players,the pertinent question is whether retailers are ready to ride this wave of change.Diana Abebrese,global retail media lead,EPAM ContinuumApplying AI within retail strategies,such as automated dat

249、a aggregation,can be immensely beneficial45|Chairmans ReviewUNCOVERING FIVE CHARACTERISTICS OF HIGH-PERFORMING RETAIL CEOS Retail CEOs have experienced quite the rollercoaster in recent years.The continued growth of technology and ecommerce is expanding competition across industry lines in areas suc

250、h as innovation and customer experience.To succeed in this landscape,retail CEOs must champion new ideas and approach challenges with determination and optimism.But how can they do so successfully?To answer this question,we spoke with 10 current and former retail CEOs globally,most of which are Worl

251、d Retail Congress advisory board members.From those discussions,five insights emerged that highlight what it means to be a high-performing CEO.As leadership partner to World Retail Congress,Spencer Stuart helped bring together the advisory board of the worlds leading retail CEOs to shape the congres

252、s programme.Here,Spencer Stuarts global retail team highlights characteristics of high-performing retail CEOs.Sally Elliott,Co-Leader,Global Retail Practice,Spencer StuartSusan Hart,Co-Leader,Global Retail Practice,Spencer Stuart46|Chairmans Review1.PRIORITIZE SUPPORT AND ACCOUNTABILITYInfluential l

253、eaders publicly support their teams and understand when and how to generate accountability.“The CEO must know how to modulate the pressure on the team,”said Jaume Miquel Naudi,chair and CEO of Tendam.“Pressure and continued change have to be part of the culture,and part of the teamwork shared by all

254、 the organization;they cannot be only one-way.”2.PRACTICE EFFECTIVE AND FREQUENT COMMUNICATION High-performing retail CEOs are excellent communicators and they do so consistently through email,in person and other channels.Leaders who model good communication set the expectations for those who follow

255、 them.“Be as transparent and frank as you can,”said Judith McKenna,former CEO and president of Walmart International.“People should understand why resources are pointing in one area.”3.SEE THE BIGGER PICTURE“Future CEOs should understand broader systemic dynamics and be alert to technological trends

256、,”said Frederico Trajano,CEO of Magalu.The most effective retail CEOs are systems thinkers who can strategize,decipher key trends and understand how different ideas and decisions are interconnected.System thinkers are good at problem solving,adaptable and can extract critical insights from volumes o

257、f information.4.BE OPENMINDED AND CURIOUS CEOs should be hungry for different perspectives.The leader must question everything and every day,”said Julian Diaz,chair of Telepizza.High-performing retail leaders seek perspectives from people across business functions.While open-mindedness is an underde

258、veloped skill in most leaders,CEOs can challenge themselves to ask more questions and ask questions that encourage healthy debate.5.STRENGTHEN CULTURE THROUGH SHARED VALUESEffective retail leaders create a culture grounded in shared values which helps their organizations quickly adapt and respond to

259、 change.Pandora CEO and president Alexander Lacik said the retailers leadership team gathered input from employees across functions then synthesized those insights into company values.Having a common value system also helps leadership teams approach strategic decisions quickly without too much back

260、and forth.Its a lot to ask of one person to have all these traits and skills;but high-performing CEOs do not operate in isolation.Leaders can leverage their internal and external resources stakeholders,customers,workforce and communities to achieve high performance and successfully lead their retail

261、 organizations.Read more:A new playbook for high-performing retail CEOsSally Elliott and Susan Hart co-lead Spencer Stuarts global retail practice.Spencer Stuart is a global leader in executive search,board and leadership consulting,advising organisations around the world for more than 60 years.47|C

262、hairmans ReviewRETAILS FUTURE THE GROWTH IMPERATIVE Over the last three years,the retail sector has grown 8.5 percent annually,buoyed by strong consumer demand and high-performing regions such as Central and Eastern Europe,Latin America,and North America.But the adage“past performance does not predi

263、ct future success”could not ring truer now:Between now and 2028,global annual retail sales growth will decrease to 4 percent,or more than half of what it is today.A handful of forces will stifle consumer demand in the coming years.Income polarization continues to squeeze middle-income consumers,resu

264、lting in negative net spending intentions,a drop in consumption,and a staggering trade-down effect seen in most markets(to be sure,a boon for discounters)Franck Laizet,Senior Partner and EMEA Retail Practice Leader,McKinsey&CompanyDaniel Lubli,Senior Partner and Global Grocery Leader,McKinsey&Compan

265、yWORLD RETAIL CONGRESS PRESIDENTS FORUM48|Chairmans ReviewTo combat these headwinds,retailers need to adopt a triple-growth mindset.Doing so makes companies 97 percent more likely to outperform their peers.Retailers should:1.STIMULATE CORE BUSINESS GROWTH.Most retailers growth will come from core bu

266、siness wins.These wins will manifest in key categories and markets,through a revitalization of the omnichannel experience and by strengthening customer activation and loyalty.Food retailers,for example,could realize up to 80 percent of growth from levers such as category mix,personalization and loya

267、lty programs,e-commerce and convenience.In subsectors such as apparel,fashion,and luxury,prioritizing employee-driven ideas about the customer,agile testing and learning,and high-quality locations will be fundamental.2.INNOVATE IN ADJACENCIES.Adjacencies may include new categories and geographies,bu

268、t they will also include the development of B2C services and B2B opportunities.For non-food categories,focus on adjacencies that truly improve the value proposition,such as moving into services,simplifying customer touchpoints,and enriching customer experiences.3.INVEST IN NEW ACTIVITIES.Mobilize th

269、e resourcesincluding both financial and human capitalneeded to implement these new business models.Retail media formats will continue to deliver returns,as will monetizing the supply chain.Retailers may consider creating a circular business model or building an ecosystem or platform as well.There ar

270、e four opportunities to move these imperatives from theory to practice:Invest in talent and skills.Half of the retail workforce will require upskilling or reskilling.Reallocate resources.About$290 billion of additional investment will be required by 2030.Transform your core business.There is a 60 pe

271、rcent greater chance of achieving better results through the effective use of artificial intelligence and advanced analytics throughout the organization.Rethink partnership models.Partnerships that allow retailers to increase their distribution and improve their technological capabilities will be pa

272、ramount.Retailers of the future are more than just sellers;they are service providers,platforms,producers,B2B players,and media agencies.To realize this multifaceted future,theres one overarching mindset retail leaders should keep in mind:Growth is a choice,not something that happens because of mark

273、et conditions.WORLD RETAIL CONGRESS PRESIDENTS FORUM49|Chairmans ReviewTHE BRAINS TRUSTThe Congress includes special workshop sessions designed to go deep into specialist subjects,facilitated by experts.We have asked those experts to provide an overview of their sessions and the key lessons and take

274、aways.50|Chairmans ReviewHOW TO CREATE A MORE HUMAN-CENTRIC APPROACH TO RETAILHOW TO CREATE A MORE HUMAN-CENTRIC APPROACH TO RETAILThe Think Collective group,dedicated to reshaping the future of retail,conducted its second annual Humanizing Retail workshop at World Retail Congress 2024 in Paris.The

275、workshop aimed to balance the prevailing focus on data and AI with the need for a more human-centric approach to retail.The turnout exceeded expectations,reflecting the strong interest in this critical topic.The workshops objective was to empower participants to foster human-centric thinking and act

276、ions within their organizations.At the end of the session,attendees left with a prioritized list of steps to encourage humanism in their businesses.THE WORKSHOP WAS STRUCTURED INTO TWO SECTIONS:1.Inspiration-Highlighting why human-centricity matters,focusing on themes like climate change,supply chai

277、n disruptions,political instability and the great resignation.Despite the abundance of data,the workshop emphasized that its the human element that truly drives meaningful customer experiences.2.Enable action-Addressing the current state of retail and identifying barriers to human-centricity,partici

278、pants brainstormed solutions to overcome these obstacles.KEY POINTS FROM THE INSPIRATION SEGMENT INCLUDED THE FOLLOWING:-Retail operates in uncertain times,with technology enabling fast responses while mental health issues rise.-The focus should be on the human behind each interaction customers,empl

279、oyees and business partners.-Data doesnt always mean better insights emotions and customer satisfaction should not be overlooked.-AI has the potential to revolutionize business but should be used to support human-centric goals.BARRIERS TO HUMAN-CENTRICITY WERE ALSO DISCUSSED.KEY TAKEAWAYS CENTERED A

280、ROUND:-Company culture:Data-driven decision-making should start with a hypothesis,encouraging a balance between human-based and data-driven insights.Taking care of employees should be prioritized to build a positive organizational culture.-Leadership mindset:Companies need to create space for reflec

281、tion,allow time for mistakes and link rewards to customer satisfaction.-Data,AI and tech:While AI can be powerful,its not a perfect solution,and data privacy issues pose challenges.The workshop emphasized the importance of proportionate investment in AI to match profit expectations.Martin Urrutia Is

282、las,global head of innovation and experience,LegoAlex Genov,head of marketing cnsights and Customer research,ZapposElsa Pedro do Souto,global Senior manager analytics and BI,MARS AiCi Li,centre of expertise for shopper insights and in-store,MARSOverall,the workshops energy and engagement demonstrate

283、d the importance of humanizing retail in a technology-driven world.The enthusiasm surrounding the workshop underscored the relevance and urgency of these discussions in todays retail landscape.51|Chairmans ReviewHOW TO DECODE GEN ZHOW TO DECODE GEN ZThe Future-Proofing Retail workshop was an interac

284、tive space for retail professionals to understand and design for the new expectations of Gen Z consumers.The session offered a rich agenda,starting with an engaging keynote on Decoding Gen Z-The New Retail Revolution,which outlined Gen Zs purchasing behaviors,values and their impact on the retail la

285、ndscape.Attendees gained valuable strategies,examples and models for creating authentic,technologically integrated retail experiences.A highlight of the session was the rapid prototyping activity titled Designing the Next-Gen Retail Experience.Participants were divided into two competing teams to br

286、ainstorm and develop retail concepts,focusing on Gen Zs core values of discovery,connectivity,versatility,authenticity and consciousness.Teams crafted innovative prototypes evaluated by a panel of Gen Z students based on criteria including value alignment,creative concept and sales opportunity.The G

287、en Z panel provided insightful,instructive and constructive feedback,enhancing the retail concepts presented.This interaction not only allowed participants to understand Gen Zs preferences firsthand but also highlighted the importance of authenticity and innovation in creating engaging retail experi

288、ences.In summary,the workshop was a success,filled with learning,creativity and direct engagement with the target audience.Participants left with a deeper understanding of Gen Z,equipped with actionable insights and validated concepts,ready to be integrated into their future retail strategies.The ev

289、ent not only fostered a spirit of innovation and collaboration but also set the stage for developing retail models that are as dynamic and forward-thinking as the Gen Z consumers themselves.Bobby Jones,founding partner,Conspiracy of Love52|Chairmans ReviewCONGRESS RESEARCH53|Chairmans ReviewMOST INN

290、OVATIVE TECH START-UPS UNVEILING THE TOP 100 MOST INNOVATIVE TECH START-UPS World Retail Congress media partner,The Lead,has just announced The Leading 100 2024.The highly anticipated annual research list recognizes innovative tech start-ups redefining the relationship between brands and consumers.S

291、elected from a broad spectrum of companies from across the value chain,including marketing,ecommerce,customer experience,data and AI,last-mile logistics,payments,sustainability,merchandising,AR/VR and Web3,the list showcases those at the cutting edge of direct-to-consumer innovation.The Leading 100

292、2024 celebrates high-impact technology startups that are reshaping the direct-to-consumer business landscape.These start-ups are bolstered by venture capital investment,mainly in their seed or Series A stages.These start-ups are tackling significant business challenges,propelling growth and enhancin

293、g how brands meet evolving customer expectations with groundbreaking,accessible and influential technology solutions.Learn more and view The Leading 100 list here.CELEBRATE THE LEADING 100 LIST AT THE LEAD SUMMIT 2024As a media partner with World Retail Congress,The Lead is pleased to extend this in

294、vitation to the congress network to join us for The Lead Summit,10-11 July,in New York City.Brand and retail leaders come to The Lead Summit to identify key trends,reduce decision guesswork and simplify discovery.Over 2,500+attendees from scaled brands and retailers,rising mid-market brands,challeng

295、er direct-to-consumer brands,and the innovative technologies will hear from 180+speakers,across 45+content sessions,to unpack leading innovations and todays opportunities in marketing,ecommerce,stores,operations,and leadership.Brands and retailers attend free.Register here:https:/summit.the-lead.co/

296、54|Chairmans ReviewWPP BAV,in collaboration with World Retail Congress,unveiled a special paper in Paris that examined how brands can build equity online.Here,we set out more about the findings.In digital marketing,theres often a tussle between the people who want to invest in building a brand that

297、can stand the test of time.and those who want their investment to perform right now,with instant sales.Now,were delighted to say,the dilemma is dead.In an industry first,weve fused two best-in-class data sets,from WPP BAV and SimilarWeb,linking brand equity,digital performance metrics and share pric

298、e.We can now prove what weve always instinctively known:there is a symbiotic and beneficial link between powerful brands that are influencing culture and the performance of those brands online.HOW DID WE DO IT?We focused on WPP BAV measures of brand influence and creativity,and we looked at retail b

299、rands,though theres evidence that the findings could be applied more widely.Influence reflects the size or power of a brand in culture,while creativity reflects the way businesses turn their brand promises into interesting,exciting or satisfying experiences.These are distinct attributes that work to

300、gether to create expectations of the customer experience,which in turn inform perceptions of the brand.Both influence and creativity correlate with improved brand sentiment,readiness to pay a premium,brand advocacy and loyalty.And,vitally,they are linked to better business performance,reflected in s

301、hare price rises over time.We analyzed brands influence and creativity levels with SimilarWeb data tracking four key web metrics for these brands:Unique visitor numbers a measure of a websites appealEngagement rate the proportion of visitors staying on a site for at least a few secondsAverage visit

302、duration dwell timeRepeat visitor ratio a proxy for loyalty SOLVING THE GREAT DIGITAL DILEMMASOLVING THE GREAT DIGITAL DILEMMA HOW STRONG RETAIL BRANDS CAN DRIVE EQUITY AND BOOST ONLINE PERFORMANCE55|Chairmans ReviewTOPLINE FINDINGSThere is a strong correlation between brand influence,creativity and

303、 key metrics linked to online success.The strongest brands are those that drive the most visitors to their site,they keep them there the longest,and they encourage people to come back.Brand drives performance.When brands earn their influence through trust,this supercharges their visitor numbers rela

304、tive to the rest of their category.Brand performance is another powerful factor in the influence driving site traffic.Brands that have earned their influence by being innovative tend to reap their rewards by outperforming their rivals on customer loyalty.Innovative brands attract repeat site visits

305、at a much higher rate than the rest of their category.Creativity,meanwhile,drives higher-than-average repeat visit rates,as well as longer site dwell times.HORSES FOR COURSESWhile all brands benefit from having greater influence and creativity than their rivals,the role of each is quite different in

306、 different areas of retail.The creative appeal of a brand plays a particularly strong role in driving web traffic for jewelry and home furnishing retailers,for example.Creativity also plays a big role in encouraging shoppers to stay longer on a site in most categories,but this applies less to brands

307、 in the fast food,household goods,beauty and pharmacy categories.In fast food,meanwhile,the brands that derive their influence through convenience and trust are the top online performers and,in sportswear,its brands that are influential through pairing performance with a bigger brand purpose that ge

308、t the best online results.SOLVING THE GREAT DIGITAL DILEMMABeauty&PharmacyHome&FurnitureClothing&AccessoriesJewelryDepartment StoresMass MerchandisersFast FoodSports EquipmentLeaving so soon?How Creativity affects dwell time in different retail categories100100200200000000005050505050505050100100100

309、100100100100100300300400400500500VISIT DURATION(SECONDS)VISIT DURATION(SECONDS)BRAND CREATIVITYBRAND CREATIVITYCREATIVITYDressed for success Creativity and Influence are a perfect matchBRAND INFLUENCE1002010203040605070809010040608056|Chairmans ReviewTHE BOTTOM LINEEven at a time when consumers are

310、intensely focused on value for money,having a robust,widely recognized and respected brand can be a game-changer online.Investment in brand,once thought of as an asset that pays dividends only in the long term,can drive web traffic and online engagement right now.Brands no longer need to choose betw

311、een brand building and performance marketing.All that struggling to strike“the right balance”between brand and sales is over.Brand building is performance marketing that drives sales.To download the full paper,click here.SOLVING THE GREAT DIGITAL DILEMMA57|Chairmans ReviewRetail is all about newness

312、.It is all about innovation and creativity.And it is all about finding new ways of connecting with consumers by enticing them,exciting them and surprising them.The last few years in retail have been tough and we have been going through a period that seems to involve endless store closures and busine

313、sses having to take tough decisions around investment.But there is now a real sense that retailers have come to realise that this cannot go on forever,if for no other reason than this becomes an ever-decreasing circle which impacts on consumers.There is a sense that out in the wider retail world,new

314、 concepts,new ideas and radical reinventions of existing formats are starting to emerge.This is why World Retail Congress was delighted to work with The General Store to create this special report to highlight The Coolest Retailers in the World.This collection of 50 of the most outstanding concepts

315、and ideas was presented and released at the congress and is truly inspirational and points the way forward on several fronts in terms of where growth is coming from and where it is directed.THE WORLDS COOLEST RETAILERSUNVEILING THE WORLDS COOLEST RETAILERSTo download the report,click here58|Chairman

316、s Review59|Chairmans ReviewEach year,the Congress brings together student teams from retail,fashion and business colleges from around the world to compete in the Future Retail Challenge,which is sponsored and generously supported by Tendam.Retailers and advisors help create a topical and relevant br

317、ief which the students work on over the weeks leading up to the event.They produce a detailed paper for the judges to review and then on site,each team gives a presentation and answers questions from the panel of judges.This year,the focus of the brief was on the challenges of sustainability for the

318、 retail industry,but more specifically on Scope 3 emissions which all retailers are now having to tackle.It was developed by the judges and with vital guidance from the sustainability and innovation team at True Global.The students were asked to select either a food retailer or a fashion retailer an

319、d to then develop an innovative solution in either“upstream”emissions(for the food retailer)or“downstream”for the fashion retailer.TACKLINGSCOPE 3 EMISSIONSFUTURE RETAIL CHALLENGE60|Chairmans ReviewUNIVERSITY OF AMSTERDAMFabio Nottet,Janou Janssen,Quirine van Beukering and Amal Salman The team selec

320、ted Albert Heijn and developed a solution using insects to develop an alternative animal feed that reduces emissions.FASHION INSTITUTE OF TECHNOLOGY,NEW YORKJesse Cabble,Kaitlyn Hassan,Prashita Bassi and Megan AntkoviakThe team selected Levis and proposed to expand the reach of Levis sustainability

321、efforts with a marketing campaign entitled,Hang Up,focusing further on extending the lifespan of denim and minimizing energy consumption by consumers.EDHEC BUSINESS SCHOOL,FRANCEAndreea Dache,Antonios Paparis and Yogesh SejwalChoosing Lacoste,the team developed initiatives to help educate consumers

322、around the sustainability features of garments but also recommended launching a Lacoste Vintage service to encourage circularity of products.LONDON COLLEGE OF FASHIONRenu Sigar,Aditi Kanthaliya,Ruchita Kar and Aanshi ShahThe proposed initiative for Lululemon,Care Washing,aims to revolutionize the cu

323、stomer experience while championing sustainability by educating consumers about microfiber wastes environmental impact and reducing carbon emissions through advanced wastewater treatment in Lululemons operations.THE COLLEGES,THE TEAMS,THE SOLUTIONS61|Chairmans ReviewFUTURE RETAIL CHALLENGE WINNERSWI

324、NNERS LONDON COLLEGE OF FASHION The winners of the 2024 Future Retail Challenge were the team from the London College of Fashion with a highly commended citation for the University of Amsterdam.Bernie Brookes,Chair of the judging,commented that all four teams did an exceptional job in tackling a com

325、plex topic and had shown great innovation and creativity in developing highly practical solutions.This years Future Retail Challenge was a fantastic opportunity to see and hear from the freshest minds of the best retail students from all over the world.The challenge this year addressed what is proba

326、bly one of the main issues facing retailing namely how to tackle the decarbonization roadmap.In a very tight competition between New York,London,Lille and Amsterdam where the teams looked at food versus nonfood,London won out with Amsterdam highly commended.The students demonstrated how much hope we

327、 can have in the next generation in being able to look at todays challenges,think out of the box and develop innovation solutions and paths for our businesses to follow.There are not many events that provide such an insight into the future as the World Retail Congresss Future Retail Challenge.It mak

328、es Tendam more proud every year to be part of this important event!Ignacio Sierra,Corporate General Manager,Tendam 62|Chairmans ReviewBEYOND THE CONTENTThe Future Retail Challenge student competition won by the London College of FashionWorld Retail Hall of Fame honouring Jay Schottenstein,Jean Paul

329、Agon,Supaluck Umpujh and Retail Entrepreneur of the Year,Marcia Kilgore63|Chairmans ReviewInternational Women in Retail at Dior,Avenue MontaigneThe retail store tours including JD Sports and Sephora on the Champs-lysesBEYOND THE CONTENTREGISTERYOUR INTERESTFOR 2025Stay up to date with World Retail Congress insights and events by following us on social.