Retail in Ireland / Retail trends - (eCommerce & Retail Mrkt)

Retail in Ireland - (eCommerce & Retail Mrkt)

Why is the retail industry important to Ireland? (5)

• Its central to Ireland’s economic & social fabric

• Provides employment to over 300,000 people (abt 6% of the population)

• Contributes 23% of the state’s tax revenue

• It’s spread across every city, town, & village

• In every region, retail is either the largest or 2nd largest employer, with employment typically between 12-15%

What is the multiplier effect in retail?

It describes how money spent locally circulates through the economy, increasing its total impact.

According to the multiplier effect, how much can €100 spent locally be worth to the economy?

Up to €500 — the money can multiply by five times.

Is online retail positive or negative for Ireland’s economy? (or other)

• It’s mixed

• But often ‘negative’ economically

Explain why online retail is often negative to Ireland’s economy?

Because most online spending leaves the country

What percentage of Irish online shoppers buy from abroad?

Close to 90%.

What percentage of Irish online shoppers buy from the

• UK retailers

• EU retailers

• Chinese retailers

• 80% buy from UK retailers

• 43% buy from EU retailers

• 38% buy from China

How much did Irish consumers spend online in 2020 with

• Overseas retailers vs

• Irish websites

• €385 on overseas retailers

• €357 on Irish-based websites
  

What were the main drivers for choosing Irish online retailers? (2)

• Faster delivery

• Supporting Irish businesses

How does retail contribute to quality of life in Ireland? (3)

Retail influences quality of life by providing:

• Access to goods and services

• Places to meet and socialise

• Leisure activities (e.g., retail therapy)

What might Ireland look like if all retail moved online? (3)

• Loss of local jobs

• Decline of town centres

• Reduced social spaces

• Economic leakage abroad

List at least 10 current retail trends mentioned in the lecture.

• AI

• AI advertising

• Influencers

• Live commerce

• Inclusivity

• Subscription services

• Environmentally sustainable retail

• Smart personalisation

• Instantaneous delivery

• Digital in-store

Others include

• Payment alternatives

• Automation

• Experiential retail

• Biometrics

• Metaverse

• Retail media

• Digital @ home

• Re-commerce

• Discount shopping

• Multi-channel

• Social selling

• Ethical retail

What is the trend in retail payments?

They’re becoming increasingly automatic, with more contactless and device‑based options.

Why is automated payment growing? (5)

• Avoid queues

• Reduce staff

• Reduce paper receipts

• Convenience

• Time saving

Give examples of automated payment systems. (2)

• Self‑service tills

• Walk‑in / walk‑out stores (AmazonGo)

What is automation in retail?

Increasing use of automated systems such as:

• Walk‑in/walk‑out stores

• Self‑service tills

• Automatic stock‑taking

• Automatic stock replacement

• Fully automated shops

Why is automation happening? (3)

• Increases efficiency

• Saves time

• Reduces costs for both businesses & customers

What is omnichannel retail?

The integration of digital and in‑person shopping experiences.

What is the trend in social media advertising? (5)

Retailers are increasingly focusing on digital channels, including:

• Social media ads

• Influencer partnerships

• Social selling

• Live commerce

• Selling in the metaverse

Why is social media advertising growing? (2)

• Customers spend more time online

• Consumers trust influencers and online communities

What is experiential retail? (4)

Are ‘brick‑and‑mortar’ stores that are becoming experiences through:

• Events

• Exciting layouts

• Information sessions

• Product trials

Why is experiential retail growing? (4)

• Gives customers a reason to visit stores

• Creates brand experiences

• Supports loyalty

• Drives word‑of‑mouth

What is personalisation in retail? (3)

Uses technology to create unique experiences and products for individuals, including:

• Personalised product design

• Loyalty programmes via apps/fobs

• Facial recognition

Why is personalisation happening? (4)

• Customers want unique experiences

• Builds brand loyalty

• Adds premium value

• Enhances the shopping experience

What is inclusivity in retail?

Brands are moving away from traditional consumer images and trying to include all demographics.

Why is inclusivity happening? (3)

• Consumers no longer identify with “perfect” models

• Consumers no longer identify with traditional roles

• Brands must reflect real consumers

Explain digital in‑store retail? (4)

Involves integrating digital tools into physical stores, such as:

• Smart mirrors

• In‑store apps

• AI assistants

• Augmented reality

Why is digital in‑store growing? (6)

• Better customer service

• Product recommendations

• Easier sourcing and payment

• More cross‑selling and up‑selling

• Channel integration

• Differentiated experience

Explain ‘digital @ home’ ?

Involves bringing the shop experience into the home using:

• Augmented reality

• Virtual reality

Why is digital @ home happening? (5)

Same reasons as digital in‑store:

• Better service

• Recommendations

• Easier purchasing

• Cross‑selling

• Channel integration

What is re‑commerce? (example 2)

The reselling of previously owned goods.
Examples:

• Siopa Ella

• Baby Markets

• Reconditioned electronics

• DoneDeal

• Swappie

Why is re‑commerce growing?

• Consumers are becoming more ethical

• Environmental concerns

• Desire to reduce waste

What is discount shopping? (3)

Increased consumption of discounted or low‑price products.

Examples:

• Lidl and Aldi

• IKEA

• Own‑brand products

• Black Friday, Cyber Monday, Singles Day

Why is discount shopping increasing? (3)

• Consumers are more price‑sensitive

• Consumers are more savvy

• Many wait for big sales

What is the instantaneous trend?

Customers expect immediate or extremely fast fulfilment of online and in‑store orders.

Why is instantaneous retail growing? (4)

• Customers expect fast delivery

• “Insta” culture

• Many are willing to pay extra

• Retailers must adapt to same‑day/next‑day delivery