We are on the cusp of a new year and companies will be putting their R&D departments to the test to bring out the most cutting-edge tech for 2024. It has been a difficult year for most industries, and many will be looking to new technologies to pull them out of the slump. Mobile pickup and the deployment of AI will usher in a new age of stores, and we will see these adopted by most major retailers by the end of next year. Will it be enough to woo shoppers back into stores and convince them to sign up for loyalty apps?

It is no secret that when a consumer feels at ease and they have convenient options, they are more likely to shop longer and spend more money. It has become clear over the last few years that these same consumers are not pleased with standard shopping practices and companies have taken notice. This dissatisfaction is a combination of higher prices and lack of convenience. Retailers have been combatting these problems by turning to loyalty apps that increase customer engagement and offer targeted discounts that don’t cost stores nearly as much as general promotions. It also adds an extra layer of convenience for shoppers where they can peruse deals and make purchases from anywhere. Loyalty apps have been a great success so far and we can expect more companies to develop their own as well as improve and add new features to those already available.

A key component to mobile shopping apps is usually the option for curbside pickup. This option caught on during the pandemic when shoppers were concerned about going into businesses for health reasons. For restaurants it became a necessity as many businesses closed their dining rooms. It turned out that this form of purchase was a major revenue driver and consumers have continued to use the service due to convenience. Most major restaurants are now developing new locations with curbside pickup as a main feature. There are drive-thru lanes and entire kitchen areas dedicated to creating and delivering orders. The same is also true of retailers and grocery stores that are increasing their output. Big box stores like Target and Walmart have either converted part of existing parking lots or built new additions onto storefronts to fulfil these orders. We can expect to see more stores move in this direction in 2024.

Artificial Intelligence has become a hot topic with the public fascination of ChatGPT and the emergence of AI voice and video even disrupting the film industry. AI is also playing a larger part in how we order from our favorite stores. Restaurants are increasingly relying on AI to power drive-thru lanes and while there were issues initially, companies like McDonald’s and Checkers have seen their order accuracy go up with continued use. Retailers are using the technology to optimize pricing which could come as a relief to shoppers who have been holding out due to inflation. AI is developing at a rapid pace and the high expense of their use has caused adoption to be slow in 2023, yet we should see an uptick next year as initial costs become more manageable. Early adopters have ironed out some operational issues and companies will be looking to build on what has worked.

With most companies facing such a difficult year, we can expect that changes are on the horizon. AI will be a tempting option for those looking to break into the new era of retail. It will be an expensive venture, yet it could give a company an edge over competitors and transform how consumers view their business. We will also see less drastic changes as companies opt for more convenient avenues for consumers to shop. This focus on convenience through mobile pickup and personalized apps should help lower prices, which will be a major focus for companies after the impact that inflation had. The new technologies on display in 2024 could alleviate some of the problems faced this year and bring financial relief to companies and consumers alike.

Chain Store Guide will be following all the new advancements in retail & foodservice technology at the upcoming NRF Retail’s Big Show in 2024. Stay tuned for updates as we learn more about the hot new trends and be sure to visit us at the show if you are going. We’ll be at booth #200 where you can learn more about our B2B lead generation, location data, and analytics.