Computer Science Assignment - Personal Journal

Reading 4:

Malls of the future: touch screen store

Windows made from 'connected glass'

Source /Web Link:- http://edition.cnn.com/2013/12/11/tech/innovation/ebay-digital-storefronts-connected-glass/index.html

Summary of the article:-This article discusses about digital storefronts which uses “Connected Glass “Technology. Customers can browse through all the items available for sale on the connected glass storefront .When a customer is ready to purchase an available product, the touch screen will send all the required information to their mobile phones and they can complete the transaction via PayPal or with a credit or debit card. Customers can also enjoy giving their preference of time and delivery location

Companies using this technology:- Retailers Sony, TOMS and Rebecca Minkoff have all set up 'Connected Glass' points in the mall, which provide customers with a virtual shop within a real mall. Of the three, only Sony has a physical outlet there.

Connected Glass Technology brings the advantages of online (virtual) and new technologies to the physical (real) world. It is really an innovative hybrid shopping concept. More advantages are discussed below as:-

· Tracking shopper Behavior: - It tracks shopper behavior in physical stores. It will help companies in offering products in a more personalized way. Shopping analytics can be of great help in this regard and can generate more profits. Retailers will pay the company a cut of sales Also they get paid on per click, or per engagement. So it brings the online payment model in the physical retail world.

· Saves Lease Cost and generate more revenues:-This technology requires very less space as compared to a real store .So it can be easily installed in malls or other areas with where number of footfalls is very large. Also it is more affordable as it saves huge lease costs. This technology helps the company to generate more revenue and profit from the much larger physical commerce sector, not just online transactions.

· Security:-As all the transaction details are send on customer’s mobile number entered on big touch screen, confidentiality and security of payment details can be assured. It makes customers feel better because they're not punching in their credit card numbers into a giant public touch screen.

· Integration:- This technology can be considered as future for airports, train stations, and retail stores looking to integrate their e-commerce operations in brick and mortar experiences.

· Engagement and Commerce:- Using the Connected Glass Technology any glass surface can be turned into an engagement service with an emphasis on commerce We can take this technology and put it into glass in many forms. It can be adapted to interior glass, walls, tables, moveable kiosks, and outdoor surfaces.”

· Scalability: - eBay has filed several patents on the connected glass technology. And the company is sure regarding the scalability of this technology in coming future. This technology helps them to bring its retail technology to the offline experience. Company now wants to make more money in the physical retail world, not just from online transactions

· Future Plans: - Companies are planning to put the windows inside existing physical stores also. In coming years, technology can be installed into car windows. Drivers could drive up to hotel/restaurant and order their food on a touchable user interface and pay with their online banking account.

Clearly “Connected Glass” Technology has lot of benefits. But still there are some drawbacks/loopholes which are discussed below:-

· Absence of physical touch:- Many customers would purchase particular items only after getting experience of touching particular item. They would not even like to experience for checking out items on virtual touch screens.

· Product Returns:- Product returns can be higher for the items ordered using this technology as compared to products purchased from physical retail store. Simple reason for this can be “physical inspection is lower leading to increased likelihood of returns”

· Filling wrong Information:-By mistake, customers can fill wrong address during customer checkout or they can choose wrong product. So there can be more no of cancellations of orders even after the product has started for destination.

· Hacker’s action as middleman:-When transaction information is transmitted hackers can intercept the transmissions to obtain customers' sensitive information - like credit card numbers.

Effects of this technology:-- It is really an evolving technology.

As more retailers will enter markets in coming decades and expand operations, consumers’ buying patterns and shopping habits will also evolve.

This technology will give help retailers understand market dynamics, develop robust supply chains, choose the right product assortment and make their product available on touch screen (for easy navigation) to meet the needs of their diverse consumers and ultimately creating appositive brand image.