Need For Enhanced Customer Experience To Boost The Demand Of Internet Of Things In Retail Market

Internet Of Things In Retail Industry Overview

The global internet of things in retail market size was valued at USD 31.99 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 26.0% from 2021 to 2028. The growth can be attributed to the inclusion of digital and in-store operations in the retail sector. IoT is expected to revamp the retail industry, transforming traditional brick and mortar shops into advanced digital stores. The technology provides a competitive edge to the retailers with the help of smart shelves and RFID tags, which detect low inventory and track the movement of the respective goods. The adoption of IoT technology helps retailers to effectively manage in-store operations and provide an improved shopping experience to their customers.

Factors such as effective store premise monitoring, inventory management, supply chain management, and customer behavior observation are driving the demand for internet of things (IoT)  in retail market. Optimizing and automating the supply chain is one of the prime factors for the adoption of IoT among retailers. Connecting technologies, including digital signage, on-shelf displays, beacons, and price tickers, provide opportunities for a brand to gain access to a high amount of data on customer activity during in-store shopping.

Gather more insights about the market drivers, restraints and growth of the Global Internet Of Things In Retail market

The retail landscape has experienced a seismic shift with the evolution of Artificial Intelligence (AI) and Augmented Reality (AR) in retail stores. Retailers use AI to understand the buying patterns of old customers, identify the target audience, and offer customized product ads to their customers. Moreover, AI has offered its conventional capability for conversational commerce, as retailers are incorporating chatbots with messaging applications, allowing users to interact with their brands.

IoT in retail has enabled retailers to set up an automated checkout system using IoT devices. The automated checkout systems contribute to high customer satisfaction, resulting in higher footfalls, especially during a time crunch. For instance, Nayasale Retail Pvt Ltd., an Indian start-up, is a fully AI-powered autonomous retail store in Kerala (India), which features an automated checkout system, eliminating the need for any cashiers or salespersons. The retail store concept is in line with Amazon Go, which facilitates customers to pick their choice of items and use the automated checkout system. The Amazon Go store relies on weight sensors to understand the items picked by the shoppers.

Browse through Grand View Research's Technology Industry Related Reports

Industrial Internet of Things Market - The global industrial internet of things market size was USD 263.52 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 23.1% from 2022 to 2030. The advancements in technology and the increasing availability of affordable sensors and processors that can provide real-time access to information are expected to drive the growth.

Cellular IoT Market - The global cellular IoT market size was valued at USD 1,788.5 million in 2016 and is expected to gain traction over the forecast period. Factors such as resilient networks, ubiquitous mobility, and robust security are the key functionalities driving growth in the market.

Internet Of Things In Retail Industry Segmentation

Grand View Research has segmented the global internet of things in retail market based on solution, service, technology, and region:

Internet Of Things (IoT) In Retail Solution Outlook (Revenue, USD Million, 2017 - 2028)

• Hardware
• Software

Internet Of Things (IoT) In Retail Service Outlook (Revenue, USD Million, 2017 - 2028)

• Professional Services
• Managed Services

Internet Of Things (IoT) In Retail Technology Outlook (Revenue, USD Million, 2017 - 2028)

• Bluetooth Low Energy
• Near Field Communication
• ZigBee
• Others

Internet Of Things (IoT) In Retail Regional Outlook (Revenue, USD Million, 2017 - 2028)

• North America
• U.S.
• Canada
• Europe
• U.K.
• Germany
• Asia Pacific
• China
• India
• Japan
• Latin America
• Brazil
• Mexico
• Middle East & Africa

Market Share Insights

October 2020: Losant IoT partnered with Vanteon Wireless Solutions to develop an edge-to-cloud solution for multiple connected devices.

Key Companies profiled:

Some prominent players in the global Internet of Things in Retail Industry include

• Arm Limited
• Cisco Systems Inc.
• Google LLC
• IBM Corporation
• Impinj, Inc.
• Intel Corporation
• Losant IoT
• Microsoft Corporation
• NXP Semiconductors
• PTC Inc.
• RetailNext, Inc.
• SAP SE
• Softweb Solutions Inc.
• Verizon Communications Inc.
• Zebra Technologies Corporation

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