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White Paper

The Challenges of Cross-Channel Fulfillment to the Retail Supply Chain- Part I

 

Globally, retail sales volumes and margins have been under tremendous pressure given the decline in consumer spending following the economic crisis. Consumer confidence is ebbing and there is pessimism in the economy.

These tough economic times have brought into sharp focus the reality of changing consumer behaviors, fuelled by the rapid adoption of technology. The pervasive use of technology has direct implications on the retail industry. As the multiple channels of engagement with the customer have matured, customers have begun to expect a seamless shopping experience across all the channels; that is, they want the same brand experience irrespective of the channel of interaction.

Retailers have to make a number of radical changes in order to satisfy this modern customer. The strongest impact will be felt by the retail supply chain, which will need to adopt a number of technology enabled best practices to remain relevant in the modern environment.

In this white paper, we examine the customer drivers pushing retailers towards cross-channel adoption, and focus on aspects of the supply chain that need to be transformed.

In Part II of this two-part series on cross-channel fulfillment in retail, we consider recommendations that retailers can adopt in order to successfully make the transition to the cross-channel environment.