Retailers to increase multi-channel IT investment

Retailers as increasing investment on online selling amid high street gloom

As high street sales continue to under-perform, retailers will increase investment in multi-channel selling and IT decision-makers expect the trend to continue during 2008, according to research.

The study, carried out by retail business process specialist Martec, polled 100 UK retailers and found that 68 per cent of businesses from the sector now have a transactional website compared with 58 per cent last year.

Core areas for retail investment in IT include store systems such as point-of-sale platforms. Financial backing for merchandising and buying systems also rose, with 12 per cent of respondents citing these as their top investment priority for 2008, compared with seven per cent last year.

Mobile technology is another focus area for retailers, with 50 per cent of those surveyed currently using mobile applications and hardware in areas such as stock taking, price checking, markdown pricing and delivery scanning.

To help keep costs down, systems will be increasingly purchased off the shelf instead of developed in-house, says the report.

"Budgets are tightening and IT directors are being expected to do more for the same money. We expect to see a major rise in take-up of enterprise solutions which help retailers to improve efficiency across the enterprise and enhance the customer experience, enabling them to gain a competitive edge – particularly as we move further into a challenging economic climate,” it says.

“The move towards off-the-shelf POS shows that there are now solutions available that help match retailers’ tough demands for delivering high-quality customer service.

"For vendors, there’s also a massive opportunity in the months ahead to enable companies to fulfil on their ambitious multi-channel plans and ensure the complete customer experience is as good as can be.”