The retail industry is undergoing dynamic transformations. The modern generation comprises a majority of online shoppers who have grown up interacting with bots like Amazon’s Alexa. The rising ubiquity of technology will sustain impacting customers’ choices and definitions of shopping behaviors. Though many retail companies successfully handled the remarkable shift towards remote working, very few have invested their time and resources in developing new skills, engaging the right talent, and unleashing innovative working methods.
The conventional retail business model has moved ahead of its predictable nature, requiring retailers to put extra effort into delivering the right value, the right product, and exceptional service. In this blog, we will highlight the top challenges that the retail industry will face in 2024. We have also added some of the strategic insights on leveraging AI-enabled Learning Experience Platforms (LXPs) to address those challenges for an improved retail experience. Let’s explore the significant retail workforce challenges and strategic tips to address them:
- Adapting to Changing Consumer Needs
Consumers often change their buying preferences, so retail companies must adapt to those changing habits to stay ahead of the curve. With shifting customer behavior, retailers’ role in the customers’ buying journey is also evolving. As per a report by Deloitte, two-thirds of retail executives expect price to be a more critical concern for customers than brand or retailer loyalty.
Strategic insight: AI-powered LXPs provide real-time updates on industry trends, consumer preferences, and buying habits. This enables the retail workforce to make informed decisions on the latest innovations and adjust their approach to stay aligned with the customers’ needs.
- Engaging and Retaining Talent
The 2023 State of the Global Workplace report shows that 85% of employees are disengaged. The retail sector is grappling with a workforce engagement crisis, which results in high staff turnover rates. Engaging and retaining the right talent has become even more critical with the changing retail landscape.
Strategic Insight: Utilize the gamification feature of modern LXPs to optimize workforce engagement and retention. The interactive elements, such as scores, badges, challenges, and leaderboards, transform the learning experience. Gamification in learning motivates employees to share knowledge with peers and embrace a competitive spirit at the workplace. This approach inspires employees to grow in their careers as their achievements are recognized, resulting in higher job satisfaction and a more future-ready and productive workforce.
- Workforce Upskilling and Reskilling
Modern shopping experiences consist of advanced chatbots, AI-enabled recommendations, and more. Retail staff need to gain the advanced skills required to drive innovations. As per a 2023 Global Human Capital Trends report, organizations adopting a skills-based approach are 57% more likely to be agile and adaptable.
Strategic Insight: Modern LXPs utilize AI-enabled content recommendations based on individual learning needs, behaviors, and preferences. The platform creates personalized learning paths tailored to individual requirements based on the analysis. For instance, a retail sales executive might need training to enhance his soft skills, while a retail manager might need to hone his product knowledge and customer management skills. In a nutshell, personalized learning paths through AI-powered LXPs support the delivery of highly effective training that further helps to upskill and reskill the workforce.
The Final Word
To unlock the full potential of retail employees, you may need to implement a powerful Learning Experience Platform powered by AI recommendations, skill gap analysis, custom learning paths, and gamification features to surmount the foremost challenges of the retail industry. The strategic tips above highlight the pivotal role of LXPs in developing a more engaged, upskilled, and agile workforce. Do you want to learn how Bytecasting LXP can help address the challenges specific to your industry? Book a demo now to explore more!
