Retailers ‘must get around space constraints’

New-era retailers must break new ground on physical space constraints with the idea of meeting consumers’ demands with a platform that enables them to purchase all kinds of products whenever, wherever and however they want. Sarinporn Jivanun, managing director of Envirosell Thailand Co, a subsidiary of Index Creative Village, said consumer behaviour had altered considerably, especially as the “millennial” generation grows in influence. 
She said these behavioural trends had three main characteristics. 
Demand without limitations. Buyers do not only want the products they see on a shop shelf, but also those that do not exist in their countries. For example, they may want milk produced in Australia, but if stores do not stock it, they do not serve the needs of their customers.
Advances in technology. For example, instead of buying clothes hanging the racks in physical stores, consumers choose to click online and be able to match their clothes, bags, and shoes perfectly from different sources at the same time.
Shopping times. Consumers are no longer limited to shopping |after their own working hours or while the department stores are open. According to one study, 43 per cent of Americans shop from their beds, and 23 per cent from their desks at work. So it can be said that location is no longer the strength for retail stores, and instead price becomes the essential part.
These changes have pushed many retailers into using omni-
 channel platforms. This concept is not about how or where they sell their products, but about recognising when consumers want to buy, where they buy with whichever method, just to make sure that the purchase happens. 
However, even with these platforms, customers cannot order the product format or buy from anywhere in the world just yet. Nevertheless, using some kind of omni-channel approach is definitely better than not using one at all. 
Some 59 per cent of retail shops in the United States say that the omni-channel approach generates better revenue for their business. On top of that, it helps engage up to 90 per cent of the customer base, whereas a shop without the omni-channel platform can only create customer engagement of up to 33 per cent. 
The closer a retail shop gets to transforming from a seller to a middleman in order to fulfil consumer needs in every form without the limitations of physical product placement and access, the more it will be assured of long-term survival.
Amazon is a successful model of this concept because there are no limitations to its ability to provide any customer’s requirements. Prime Air, Amazon’s latest service, delivers products by drones within a few hours, and includes self-service lockers from which customers can pick up their parcels at important spots around town any time they want. 
Thus an important competitor for a retail shop is not physical place but a flexible high-tech service.