Evolution of Retail DB Responses| Must Have Database access

RESPONSE 1: EMILY

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Evolution of Retail

It is no secret that the aspects of retail have significantly changed over the last five decades. The evolution of retail has taken many turns and presented new opportunities. In the 70 to ’80s, you could find little mom-and-pop shops where anything from groceries to clothing. The rise of department stores begun in the middle of the ’80s and blossomed throughout the ’90s. When hearing of department stores the first that normally comes to mind is Macy’s. Since its doors opened in 1858, Macy’s has been a staple for retail and even through difficulties continues to be an inspiration. Macy’s clearly understood the role that needed to be filled and took on that challenge. Today is one of the business cities in the United State, Macy’s in Herald Square still attracts thousands of people even with the diverse shopping options. Even in other countries such as England, department stores serve as some of the most iconic sight-seeing places to tourists. The Macy’s in New York City is just one example but Harrod’s in London draws arguably equal amounts of attention to England tourists. Department stores were revolutionary and seemed to shed hope and light to all who entered its doors. In the 1950s shopping malls started to rise in popularity even though the first large-scale open-aired mall opened in Arlington Virginia in 1944. In the 1990s e-commerce started to make a small appearance and has continued to flourish. Since the beginning of retail, the design of retail has changed but the nature never has.

Online retail and e-commerce have excelled and continues to do so however, with great success also comes challenges. Some challenges of online retail can be tedious. Online retail bloomed with the convenience of not having to leave home and receiving the package on your doorstep. Online retail offered more options with better deals and less hassle. Many people were attracted to the idea of being able to avoid long lines near Christmas time and avoid having to go out of their way to pick up a birthday present. However, with the benefits also come many negatives. Our textbook addresses this issue by stating that, “The lack of consumer confidence in online privacy is a major problem hampering the growth of e-commerce. A recent report showed that practically all Americans…are concerned about the privacy of their personal information when or if they buy online” (Malhorta, 2020, p. 267). Privacy and security become a large concern when hacking and scamming is such a large part of all internet activity. Another role of concern is you won’t receive what you paid for. Showrooming has become a large role in the shopper experience where the shoppers scout out the product in the brick and mortar store and then proceed to purchase it online (Balakrishnan, 2013, para 1). Fast forwards to 2020 and the unprecedented worldwide shutdown, e-commerce has been the only option for some people for nearly a year. Over the last years, we have seen an unfortunate amount of brick-and-mortar stores, which was already a dying art, close, and other bigger stores become online only. Retail shopping has become a new monster just in the last years and with some speculations, retail will never return to how it was before the chaos of 2020.

Data use in retail has become essential for all businesses to understand the financials as well as the shopper trends. Retail data analytics is also an important part of understanding customer loyalty, pricing, and supply chain. It is vital to understand the vast use of data in the world of retail for both retailers and shoppers. 

It is easy to get carried away in the problems of the world but it is important to remember what Colossians 3:2 says, “Set your minds on things that are above, not on things that are on earth” (NIV).

 

References

Balakrishnan, A., Sundaresan, S., & Zhang, B. (2013). Browse-and-Switch: Retail-Online Competition under Value Uncertainty. Production and Operations Management, 23(7), 1129–1145.  https://doi.org/10.1111/poms.12165

Malhotra, N. (2019). Marketing Research: An Applied Orientation (7th Ed.). Pearson.

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