Dan O'Connor from RetailNet Group Gives a Retail Industry Overview at the MassTLC Mobile: Transforming Life & Business Summit 11/17/17

1. www.retailnetgroup.comKnow Tomorrow Today
Summary Points
1. 2025 retail will be very different… Mobile is just part of the explanation
2. 2025 value chain be re-structured
– Stores will remain about 75% of retail by 2030.. A few wild cards..
– Digital retailers and marketplaces are share takers and generally do not drive increased
consumption (in the aggregate)
– Digital Retail Growth Leaders are the 1P/3P Marketplaces... Amazon, Ali, JD.com etc.
– Only a few SBR.com will compete at scale (WMT.com)
3. Digital intermediaries (non-retailers) may drive/control “click2buy”
4. Now - Economics - Digital Retail not profitable for broad-line retailers with fast
turning, intensely distributed goods – esp. those selling temperature controlled
product
5. Now - Brick & mortar challenge is realigning asset base.. Very inflexible, long term