In the promising landscape of the retail sector in Mexico, with a projected compound annual growth rate of 5.48% and an expected reach of USD 97.29 billion by the end of 2026 (Ingenico, 2023), it is imperative to stay at the forefront. It is essential to be aware of the technologies that will shape the future of retail, not only to optimize the operational efficiency of establishments but also to generate personalized and immersive shopping experiences that set a new standard in the industry. Under this premise, we present the most notable innovations envisioned for the year 2024, aiming to provide the necessary tools to make the most of each of these trends, which will play a crucial role in the success of businesses in the industry moving forward.
Technologies Defining the Future of Retail in Mexico for 2024:
1.- E-commerce persists and will continue to stand out as one of the main annual trends due to constant innovation in this field, supported by the growing expansion of internet connectivity and the penetration of smart devices. The year 2024 is projected as a stage of noticeable development, with an estimated growth rate of 18.6%, according to Statista data. Sectors such as food, beverages, clothing, and footwear particularly experience significant benefits, reaching a 30% growth, as reported by Ingenico (June 20, 2023). In this scenario, it is imperative for retailers in these segments to wholeheartedly adapt to this trend in their operations if they wish to avoid falling behind.
The urgent need and prominent relevance of e-commerce are particularly evident in the context of small and medium-sized enterprises, where 68% (The Food Tech, n.d.) report having experienced notable benefits due to its implementation. Since this strategy not only enables the attraction of a broader and qualified clientele but also provides an expedited way for businesses aspiring to enter the market swiftly. Projecting towards the year 2024, a significant percentage of companies that have not yet established their online presence are expected to do so; despite the persistence of some reluctances, it is undeniable that the adoption of these digital practices is not just an option but an imperative to stay relevant in the competitive retail landscape.
2.- Digital marketing. In 2024, a significant transformation is observed in this field with the emergence of “Interactive Content Marketing” and the growing impact of “Predictive Artificial Intelligence.” Brands are moving away from conventional advertising strategies to focus on creating engaging and interactive content, such as videos, surveys, and virtual reality experiences. At the same time, artificial intelligence is used to anticipate consumer preferences by analyzing extensive datasets and identifying behavioral patterns; this combination aims to engage users more meaningfully, fostering higher brand retention and conversion rates in a constantly evolving digital environment.
3.- The incorporation of robotics emerges as a notable trend in the retail sector, given its ability to generate significant benefits. Automation, in particular, stands out as a key tool to optimize operations in various departments, effectively replacing manual and repetitive tasks; companies adopt this technology to mitigate operational risks while seeking to improve the quality of life for their professionals by freeing them from monotonous tasks.
According to América Retail, its implementation is projected to contribute to a 30% reduction in operating costs by 2024; however, the adoption of robotics will not be limited exclusively to internal operations. It will also be used to enhance the customer experience by providing easy access to available options and optimizing in-store interaction.
4.- Omnichannel strategy, recognized for its focus on providing consistency in the customer experience in both online and physical environments, has been widely implemented by various companies during 2023. It is projected that in 2024, this trend will not only endure but also intensify. Retailers that manage to stand out and achieve success will be those who effectively adopt these practices, leveraging available technology to enhance the quality of the customer experience and stay at the forefront in a market undergoing constant evolution.
5.- Digital labeling is one of the prominent trends in the Mexican retail market, marking a progressive shift from conventional labels to digital ones. This change is based on the ability to update prices efficiently almost instantly, contributing to an improved overall shopping experience. Similarly, this type of labeling can also take the form of QR codes, allowing customers to access a wide range of products, as well as check prices and detailed specifications. These elements can flexibly adapt to various promotions, provide interactive content, and enhance the overall aesthetics of the store.
6.- Augmented Reality (AR) and Virtual Reality (VR) are destined to play a fundamental role in enhancing the online shopping experience in the retail sector. Consumers will have the ability to visualize products in 3D, perform virtual trials, and access more detailed representations of the appearance or functionality of products before making purchasing decisions. Projections indicate that, by the year 2024, the retail sector will lead commercial investments in AR/VR technologies, estimated at 7.3 billion dollars (Teamwork Commerce, 2022).
7.- Alternative payments. According to statistics published by Revista NEO, 2023, it is anticipated that mobile transactions made through smart devices in Latin America will experience a significant increase, doubling in the next two years and registering a growth that will surpass 400%. This forecast underscores the critical relevance for the retail sector to implement innovative payment methods.
The consideration of these trends becomes particularly relevant given the significant portion of the Mexican population without access to banking services and the growing preference of many consumers to avoid the use of credit cards. This shift in attitude has sparked interest in emerging alternatives such as digital wallets, instant electronic payments (IEP), transactions through links, QR codes, cashback (virtual money rewards for future purchases), and biometric payment methods. In this scenario, the year 2024 is projected to be of crucial importance for major companies in Mexico, stimulating the implementation of new payment methodologies that align with the changing expectations of their customers in the retail sector.
If you want to learn more about the new payment alternatives in retail, we invite you to read: https://expoantad.com.mx/la-evolucion-de-los-metodos-de-pago-en-el-retail/
8.- Artificial Intelligence emerges as the preeminent trend not only in Mexico but globally in the retail industry. The year 2024 is envisioned as a period of continuous advances in AI, anticipating significant progress that will continue to redefine the shopping experience. It stands out as a prominent differentiator, empowering companies to anticipate consumer needs before their manifestation, personalize their offerings to create unique shopping experiences, and adjust environments and product recommendations in real-time based on individual tastes and preferences.
However, its impact goes beyond that, transforming operations by turning data into strategic decisions; from inventory management to customer service, where AI-driven virtual assistants play a crucial role. Similarly, in the design of physical stores, the integration of data science through the analysis of consumer behavior allows retailers to maximize interaction with products and, consequently, the potential for sales.
In addition, AI sets the tone in the field of dynamic pricing, where systems can adjust prices in response to various market signals, ensuring that retailers not only stay competitive but also profitable.
9.- In the coming year, it is anticipated that players in the retail sector will incorporate Internet of Things (IoT) technology to establish supply chains that are both transparent and secure. This implementation is particularly beneficial in contexts involving the safety of food products, luxury items, and sustainability-oriented products.
10.- The ongoing advancement of augmented reality in the retail sector gains significant traction, and the year 2024 emerges as a crucial period for this technology. Augmented reality enhances the shopping experience by integrating the physical and digital realms, giving consumers the ability to virtually try on clothing, visualize furniture layouts in their homes, or preview products before making a purchase. This development translates into increased customer engagement, reduced returns, and more immersive and interactive shopping experiences.
In the review of these ten points, significant transformations in the retail sector in Mexico are foreseen, driven by disruptive technologies such as artificial intelligence and e-commerce. These innovations, far from being mere novelties, will emerge as a tangible reality that will manifest itself palpably from the year 2024 and in the subsequent years. Therefore, it is imperative that participants in the national retail sector are properly informed and updated on these technologies, not only to maintain their relevance in the market but also to forge a strong competitive advantage on the horizon of a promising future.
We remind you that if you wish to delve deeper and experience in person the mentioned technological trends, Expo ANTAD provides an ideal space for observation and detailed understanding.
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