Review 2008: Top 10 retail IT stories

Prolific use of the web for shopping is putting pressure on retailers to improve their online presence

It has been an eventful year for retailers. IT leaders from the sector have had to deliver savings from mergers and technology-led transformations, tackle security and privacy challenges and ensure their businesses are ready to meet customer demands for a multichannel experience. We review the retail highlights of 2008.

Royal Mail delivers changes

Royal Mail reskilled half its IT department and retooled its 10-year outsourcing deal with supplier CSC to get a stronger focus on software development.

Thomson merger saves £150m

Travel group Tui aimed to save £150m following last year’s merger of Thomson Holidays with rival First Choice, with a significant proportion coming from streamlining IT operations.

Sainsbury’s checks out secure payments system

Sainsbury’s started a contactless payments trial as part of a multimillion-pound revenue protection programme.

M &S appeal dropped as it encrypts laptops

Marks and Spencer (M&S) dropped its appeal against a decision by the Information Commissioner's Office (ICO) ordering the retail giant to encrypt all its laptops.

Tesco speeds up with its next-generation network

Tesco planned to use its £100m IP network infrastructure rollout as the platform for a datacentre consolidation programme, a company-wide HR system and plans to trial in-store kiosks offering live interaction with consumer experts.

Payment data rules criticised

Department store John Lewis wass unhappy about the inconsistency of requirements for systems geared at compliance with the Payment Card Industry Data Security Standard (PCI DSS) and claimed that “moving goalposts” translate to a waste of money.

Retail survival lies in good IT service

Retail IT leaders were advised to resist short-term cost-cutting pressure and focus on back-end system integration to deliver consistent online and in-store customer experiences.

Co-op's takeover of Somerfield may present serious IT challenges

News of the £1.57bn purchase of supermarket chain Somerfield by rival The Co-operative Group was predicted to result in a string of challenges related to integration and outsourcing management.

Retailer loses thousands of card details in online hack

Credit card details of up to 38,000 customers were stolen in a hacking attack of clothing firm Cotton Traders. One arrest has been made in connection to the case.

Retailers’ fingerprint plans prompt privacy concerns

A small group of Budgens and Costcutter shops introduced a system to monitor the hours worked by staff and to prevent staff clocking each other in, prompting privacy concerns.