Framingham, Mass. -- Expect renewed investment in the transformative capabilities of PLM and sourcing, marketing and advertising, and big data and analytics according to IDC Retail Insights, which on Tuesday released its Top 10 Predictions for 2014.
Here are the IT consulting company’s top 10 predictions for 2014:
1. In 2014, fast-followers will chase the 50 global retailers already transforming store, mobile, and e-commerce channels, supply chains, merchandising, and marketing for the omni-channel customer experience
2. Business transformation will drive enterprise resource planning, core merchandising, and planning investment to a 9% compound annual growth rate through 2015.
3. By 2016, leading retailers will improve same-shopper sales with immersive commerce driving additional revenue growth of 1.5% and margin growth of an additional 3%.
4. By 2017, marketing and advertising technology investment will increase by 50%.
5. Retailers will narrow and enable big data and analytics projects in 2014 as 20%-30% of projects fell short in 2013.
6. Emerging consumer privacy concerns will force 50% of early adopters to revisit hyper-personalized promotions by 2015
7. E-commerce and store platform replacements that enable mobile, integrated and interactive experiences will support a 10% compound annual growth rate in commerce investment through 2017.
8. As product assortment refresh cycles quicken, 25% of mid-sized retailers will initiate new PLM or sourcing projects in 2014.
9. Retailers will double the rate of industry supply chain investments in 2014, as compared to 2013.
10. By 2016, 50% of national retailers, will invest in distributed order management, enterprise inventory visibility, and workforce management to enable same day fulfillment.
“In the next three years, retail will reinvent itself as omni-channel leaders reach for customer relationship, relevancy, and reciprocity. A new replacement cycle of enterprise, planning, and commerce systems will anchor complex company-wide business transformation for immersive experience and commerce. Quick-to-market leaders will improve same-shopper sales--fast becoming the most significant leading indicator of future performance," said Robert Parker, IDC Retail, energy and manufacturing VP and general manager. We expect renewed investment in the narrower but transformative capabilities of PLM and sourcing, marketing and advertising, and big data and analytics."