Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
Retail & Transaction Automation Equipment -
Market Update and 2010 Outlook


  Chris Rezendes
  Executive Vice President
Recording Available


     These slides are from a webcast presented on 01/19/10.
                                     p

...
VDC Research




   Complimentary insights & marketing data on the retail and transaction
              automation technol...
Today’s Speakers


• Chris Rezendes, Executive Vice President
                ,
      Chris has 19 years experience in em...
Some retailers finally starting to see the light at the
end of the tunnel … some …

• 2009 was a historically difficult y
...
Much of the growth will be in a ‘new’ retail


• Retail as we knew it no longer exists. Consumers are more powerful than e...
De-leveraged point of decision, purchase, service




                              Point of          Point of       Point...
Fragmented points of decision, purchase, service



                                                                    3r...
What are the tactical implications for retailers?


• In a word, it means the aggressive pursuit of balance in those
     ...
What are the tactical implications for retailers?


• In a word, it means the aggressive pursuit of balance in those
     ...
It is not just about data at the point of decision


• It is about the TARGETED data points ...
                          ...
Traditional retail becomes new retail


• The economic pressures felt in 2008 and 2009 have set in motion a shift from
   ...
The ‘bright lights’ in new retail solution demand


•    Retailer’s across the globe continue to report that there are sev...
This will translate into slower growth for traditional
solutions


                                    Estimated Global Sh...
More rapid growth for other solutions …


                                    Total Self-Service Kiosk Spend of North Amer...
And the BHG (big hairy goal)?


• Individual relationships anywhere… remember the concept
   of one-to-one enterprise that...
Retail/ Transaction Automation Equipment Planning Service


• Three Tracks
   Track 1: Technology Market Analysis Volumes
...
Primary research and market model highlights


                                                                           ...
Founding Sponsor Benefits and Schedule


• Service Schedule:
        Founding Sponsor enrollment:                        ...
Q&A Session


                         Thank You for Attending this VDC Webinar

   For more information about VDC Researc...
Upcoming SlideShare
Loading in …5
×

Retail & Transaction Automation Equipment - Market Update and 2010 Outlook

2,236 views

Published on

These slides were originally presented in a VDC Research Group Webcast on 1/19/2010. In this webcast, Chris Rezendes, EVP of VDC Research Group discusses the opportunities – and challenges – facing retail & transaction automation equipment providers in 2010.

Published in: Business, Technology
  • Be the first to comment

  • Be the first to like this

Retail & Transaction Automation Equipment - Market Update and 2010 Outlook

  1. 1. Retail & Transaction Automation Equipment - Market Update and 2010 Outlook Chris Rezendes Executive Vice President
  2. 2. Recording Available These slides are from a webcast presented on 01/19/10. p A full audio recording is available for download at: http://www.vdcresearch.com/market_research/ autoid/freeresearch.aspx#
  3. 3. VDC Research Complimentary insights & marketing data on the retail and transaction automation technology markets is available at: www.vdcresearch.com 2 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  4. 4. Today’s Speakers • Chris Rezendes, Executive Vice President ,  Chris has 19 years experience in embedded, industrial, defense and other mission critical and high available technology industries  He has more than 14 years experience in senior management and leadership positions at a number of IT systems and professional services organizations  During that time Chris has initiated or expanded coverage of a number of markets that VDC covers today  Ch i h advised many of the llargest and most respected technology companies Chris has d i d f h d d h l i in a number of technology segments worldwide  Chris is a graduate of Harvard University 3 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  5. 5. Some retailers finally starting to see the light at the end of the tunnel … some … • 2009 was a historically difficult y y year for the b-to-c business operators p  The consumer collapsed from exhaustion: lack of employment, cash and credit  Numerous closures, large scale layoffs and bankruptcy fillings  IT budgets seized, were slashed and/or became highly scrutinized seized • Technology suppliers to these businesses experienced a serious contractions in Q1/ Q2, flat Q2, positive Q4 – with very cautious/ neutral outlook for Q1 2010 • However budgets associated with retail automation technologies do exist for However, solutions that exhibit:  Proven technical performance  Demonstrated operational impact  Rapid ROI • Specialty and SMB retail appears to be a bit healthier, if still challenged 4 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  6. 6. Much of the growth will be in a ‘new’ retail • Retail as we knew it no longer exists. Consumers are more powerful than ever g p before, forcing retailers to realign with a consistently changing customer base and ever expanding retail landscape • The ‘Henry Ford Century’ – when modern consumer economies were defined – is over … the recession and a few other demographic trends saw to that recession, • The New Consumers require more accurate information, in real time. They want to know what their options were. They have questions about how much customization was available to them. They demand alternative payment terms and delivery options. Consumers have learned a lot on the web. And they come into stores armed, and for the wrong retailer, dangerous. For retailers prepared for this, these informed consumers have become better customers. • We need strategies, tactics and technologies to meet consumers where they are strategies are, and where they are going, in the post-Ford century/ post-recession economy 5 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  7. 7. De-leveraged point of decision, purchase, service Point of Point of Point of Point of Service: Decision Service: Sale Delivery Selection Decision/ Service and Sale Merging Functionally g g y Fragmenting Physically 6 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  8. 8. Fragmented points of decision, purchase, service 3rd Site Point of Service: Selection S l ti And it is fragmenting further … outside the facility: Mobile Marketing and Mobile Commerce g Home Auto Street Point of Point of Sale Service: Delivery Point of Decision 7 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  9. 9. What are the tactical implications for retailers? • In a word, it means the aggressive pursuit of balance in those word strategies and tactics that influence the point of decision experience  Inventory management/ cost reduction OR out of stock mitigation?  Enhanced digital OR in-store experiences?  Bolder promotions OR more authentic customer experiences?  Value-based position OR p p premium branding? g  Enhanced training in customer management OR merchandising? 8 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  10. 10. What are the tactical implications for retailers? • In a word, it means the aggressive pursuit of balance in those word strategies and tactics that influence the point of decision experience  Inventory management/ cost reduction AND out of stock mitigation?  Enhanced digital AND in-store experiences?  Bolder promotions AND more authentic customer experiences?  Value based position AND premium offering? Value-based  Enhanced training in customer management AND merchandising? 9 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  11. 11. It is not just about data at the point of decision • It is about the TARGETED data points ... p • Tied to the RIGHT analytics … • Distributed at the PRECISE time … • To a SPECIFIC resource … • Supporting KEY customer moments … 10 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  12. 12. Traditional retail becomes new retail • The economic pressures felt in 2008 and 2009 have set in motion a shift from p “traditional retail” to “new retail”  Investments that occur will be focused on replacement or upgrading legacy solutions in order to streamline infrastructure with lower-cost, more flexible solutions  Purchasing preferences will continue to migrate toward a ‘managed service’ or extended warranty approach – safeguarding installations and bottom lines  Solutions will be required to manage a diversity of interactions (i.e., application sets) with multiple stakeholders communities (i.e., consumers, employees, partners) • Financially stable retailers are being given a unique opportunity to leverage the current economic climate to catch-up with or establish ‘new’ industry standards for sourcing and installation of automation technology 11 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  13. 13. The ‘bright lights’ in new retail solution demand • Retailer’s across the globe continue to report that there are several ‘bright lights’ within retail’s gloomy landscape:  Self-Service • Self-Service Kiosks • Self-Checkout Solutions  Multi-Channel Marketing • Mobility • IDDS • E-Commerce  Operations Enhancement • Analytics • Inventory Management  Tier II & III • As the market continues to stabilize, conservative frameworks regarding investment decisions will resonate and be implemented by leading retailers 12 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  14. 14. This will translate into slower growth for traditional solutions Estimated Global Shipments of POS Receipt Printers 950 850 Millions of Dollars D 750 650 550 2006 2007 2008 2009 2010 2011 2012 13 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  15. 15. More rapid growth for other solutions … Total Self-Service Kiosk Spend of North American Based Retail Organizations 600 500 Millions of Dollars D 400 300 200 2008 2009 2010 2011 2012 2013 14 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  16. 16. And the BHG (big hairy goal)? • Individual relationships anywhere… remember the concept of one-to-one enterprise that was such a critical component of our web strategies? Take that, expand it, apply it to the physical world. Automate it.  Appropriate integration of existing databases … POS, CRM, inventory control, promotions, customer service … you have some data, what can you do with it?  Mobilization … not just on your devices, but, your suppliers … and your customers. devices but customers  Unit serialization for inventory (check) … customer serialization for loyalty programs … how about transaction serialization for key interactions, not just pu c ases purchases … 15 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  17. 17. Retail/ Transaction Automation Equipment Planning Service • Three Tracks Track 1: Technology Market Analysis Volumes  Volume 1: POS Terminals/Workstations  Volume 2: POS Receipt Printers  Volume 3: Payment/Transaction Terminals  Volume 4: Imaging Solutions  Volume 5: Self-Checkout Solutions  Volume 6: Kiosks  Volume 7: Personal Shopping Systems  Volume 8: Electronic Shelf Labels (ESL)  Volume 9: Interactive Displays and Digital Signage Track 2: Vertical Market Analysis Volumes  Volume 10: Retail  Volume 11: Hospitality Track 3: Distribution Channel Analysis Volume  Volume 12: Distribution Analysis • Service Architecture  Technology Supply-Side Reports (Track 1) or Vertical Market Reports (Track 2)  Quarterly B ll ti (i l d d ith Q t l Bulletin (included with purchase of at l h f t least one f ll T k) t full Track)  Customized Executive Summary (included with purchase of entire Service)  Real-time Analyst Access 16 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  18. 18. Primary research and market model highlights Approximate Sample pp p Target Communities Size Phone Interviews Retail automation equipment suppliers N = 100 Web-based End users, retailers, VARs/integrators, N > 500 Interviews distributors Actual Market Size/Supplier Forecast Market Size Study Publication Date Share Service Year 2010 2009 2010-2014 17 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  19. 19. Founding Sponsor Benefits and Schedule • Service Schedule:  Founding Sponsor enrollment: through January 29, 2010  Deliverables begin with Q1 Bulletin, with major reports: April thru September 2010  Planning discussions with early subscribers: through February 2010  Monthly status reports: begin January 2010  Interim findings by volume one month prior to publication of each final report volume • Founding sponsors receive the following benefits:  Opportunity to provide input on the study architecture, scope, direction  Monthly updates and real-time qualitative findings of interest at each major milestone throughout the execution phase of the study  Discounts from standard post publication prices post-publication  Executive presentation that walks your team through the research sponsored 18 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice
  20. 20. Q&A Session Thank You for Attending this VDC Webinar For more information about VDC Research coverage of the global markets for retail and transaction automation technologies – including the 2010 Retail Automation Market Intelligence Service – please contact: Tom Wimmer Director, Auto ID and Transaction Automation Technologies Practice twimmer@vdcresearch.com | 630-279-7959 t i @ d h 630 279 7959 Peter Doran Account Executive pdoran@vdcresearch.com | 508-653-9000 ext.139 d @ d h 508 653 9000 t 139 Chris Rezendes Executive Vice President cjr@vdcresearch.com | 508-653-9000 ext.120 j@ d h 508 653 9000 t 120 19 –  2009 VDC Research Group, Inc. Auto ID & Transaction Automation Practice

×