The Future of B2B Retail: Embracing Digital, AI, and Personalisation
The business-to-business (B2B) retail landscape is constantly evolving and with the increasing pace of technological advancements, it is becoming increasingly difficult to predict what the future holds. However, based on current trends, research, and insights, it is possible to make some informed projections on what B2B retail will look like by 2030.
The Shift to Digital
One of the most significant trends shaping the future of B2B retail is the shift to digital. While B2B eCommerce has been around for some time, it is still in its infancy compared to B2C eCommerce.
However, this is rapidly changing.
According to a study by Frost & Sullivan, the B2B eCommerce market in Australia and New Zealand is expected to reach $17.05 billion by 2025, growing at a compound annual growth rate (CAGR) of 10.4%.
The COVID-19 pandemic has accelerated this shift to digital, with many B2B companies having to quickly adapt to new ways of doing business. This has led to an increased reliance on eCommerce platforms, online marketplaces, and digital marketing channels. In a survey of Australian and New Zealand businesses conducted by Salesforce, 79% of respondents said that they had increased their investment in digital technologies due to the pandemic.
As the use of digital technologies becomes increasingly prevalent, B2B retailers will need to ensure that their online presence is up to scratch. This includes having a user-friendly website, providing detailed product information, and offering a seamless buying experience. B2B companies that fail to embrace digital will risk falling behind their competitors and losing market share.
The Rise of AI and Automation
Another trend that is set to shape the future of B2B retail is the increasing use of artificial intelligence (AI) and automation. AI has already had a significant impact on B2C eCommerce, with the use of chatbots, recommendation engines, and personalisation technologies. However, there is still a lot of untapped potential for AI in B2B retail.
According to a report by McKinsey, the use of AI in B2B sales could lead to a 20-30% increase in sales productivity. This could be achieved through the use of predictive analytics, which can help sales teams identify new opportunities and prioritise their efforts. AI can also be used to automate routine tasks, freeing up sales teams to focus on higher-value activities.
In addition to sales, AI and automation can also be used to streamline supply chain processes. For example, the use of predictive analytics can help companies optimise inventory levels and reduce waste. Autonomous vehicles and drones could also be used for last-mile delivery, reducing the need for human labour.
Changing Customer Expectations
As the B2B retail landscape evolves, so too do customer expectations. B2B customers are no longer satisfied with a simple transactional relationship. They want to work with companies that offer a seamless, personalised experience and that are willing to go the extra mile to meet their needs.
This shift is being driven in part by the rise of the millennial workforce, who have grown up with B2C eCommerce and expect the same level of convenience and personalisation from B2B retailers. According to a report by Accenture, millennials will make up 50% of the global workforce by 2025, meaning that B2B retailers will need to adapt to their changing expectations.
To meet these expectations, B2B retailers will need to focus on creating a customer-centric culture and investing in customer experience. This includes offering personalised pricing and promotions, providing self-service options, and leveraging data to deliver a more personalised experience. It also means providing exceptional customer service and being responsive to customer needs.
As the B2B retail landscape continues to evolve, businesses must adapt to the changing trends and customer expectations to remain competitive. This is where a digital agency like Pocket Square can provide invaluable support.
How Pocket Square Can Help
Pocket Square specialises in helping businesses build their online presence, optimise their eCommerce platforms, and leverage digital technologies to drive growth. With a deep understanding of the latest trends and best practices in B2B retail, Pocket Square can help businesses navigate the complex and ever-changing landscape.
By partnering with a digital agency like Pocket Square, businesses can benefit from a range of services, including website design and development, eCommerce optimization, digital marketing, and data analytics. These services can help businesses improve their online presence, streamline their sales and supply chain processes, and deliver a more personalised customer experience.
Pocket Square can also provide businesses with the latest insights and recommendations on emerging trends in B2B retail. By staying up to date with the latest research and industry developments, Pocket Square can help businesses make informed decisions about their digital strategy and stay ahead of the competition.
The future of B2B retail is set to be shaped by the shift to digital, the rise of AI and automation, and changing customer expectations. To stay competitive in this evolving landscape, businesses must embrace these trends and invest in their digital presence. By partnering with a digital agency like Pocket Square, businesses can gain the support and expertise they need to navigate this complex landscape and thrive in the years to come. So, reach out to Pocket Square and let's chat about how we can help your business grow.
Here are the links to the supporting research mentioned in the article: