65% of retailers sell through multiple channels to meet shopper needs

As e-commerce continues to grow, many retailers have been adapting their supply chain strategies to meet sales demands in a variety of environments. Since impulse purchases made directly on social media may generate higher returns on products than those made in-store, this adds to the complexity as retailers monitor and prioritize new channels to maintain hard-earned profits.

The report shows that as online markets and multi-channel services such as click and collect continue to grow, 65% of retailers are selling through more channels and improving their supply chain management. An optimized supply chain can fully mitigate potential errors by rebalancing the dynamic relationship between management and technology to cope with unpredictable situations. The survey research has the following findings:

53% of retailers say selling through more channels creates inventory management challenges .

35% experienced oversold and out-of-stock situations .

26% reported that inventory issues negatively impacted customer service and satisfaction .

50% plan to invest in addressing sales issues across more channels .

Industry insiders say that growth in retail sales often means adding more products, locations, processes and people to the supply chain. Without the right strategies and systems, this can compromise the integrity and efficiency of the supply chain because greater scale increases the potential for error.

Retailers need to manage an ever-growing supply chain, ensuring the right data is moved to the right part of the supply chain at the right time in the right format to effectively control inventory flows and forecasts. It also allows for a level of human intelligence, a practical approach to supply chain management that can respond quickly to changes, which will occur later this year as restrictions are lifted.

While retailers plan to serve more sales channels, it remains to be seen how customers will behave after a longer period of lockdown. Customers who shop online for the first time and digital native communities are starting to make regular purchases on platforms such as Facebook and Instagram. Retailers are perfecting their supply chains to meet shoppers’ needs and provide customers with a seamless customer experience while minimizing the growth pressures brought on by changing consumer habits.

Retailers

Multi-channel sales

consumer