Role of Technology in Retail Essay

Decent Essays
o How has technology changed the role of retail managers? o How has the technology improved retail management, not just how technology has improved? Provide specific examples. o What, if any, are the downsides to the technology that may present challenges to the retail manager?

Effectiveness of Technology

Consumers have many choices when deciding where to purchase their goods. While retailer managers are deciding how to win the consumer’s business and increase revenue, they are also constantly trying to figure out ways to reduce costs. Technology helps retail managers improve areas of inventory and supply chain management as well as customer satisfaction and loss prevention (Green, 2002). This paper explains how technology
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Because managers are more informed, they can respond faster to changes in demand, lowering costs related to inventory levels.
In addition to improving retail management, technology has helped retail businesses through better marketing strategies and consumer experiences. According to Berman& Evans (2007), Staples uses multi-variable testing (MVT) to test and measure multiple changes in operations, services, and procedures simultaneously that pinpoints which creative styles and promotions provide the best returns. Intense marking research means each consumer receives a more personalized shopping experience both in stores and online. Additionally electronic data interchange (EDI) provides a platform for information to flow regularly between retailers and suppliers, improving communication and planning between managers and vendors, allowing each to react faster to demand (Berman & Evans, 2007). Retailers receive timely and accurate information from suppliers such as new product announcements, training materials, and price changes.
Technology provides many benefits to the retail industry and its managers; it also has drawbacks. Implementing new technologies presents learning curves for managers, staff, and team members and introduces new areas of risk (Davis, 2007). Some team members can be resistant to changes causing retailers to lose time
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