• Business Growth & Optimisation

5 Trends Shaping Business In 2021-22

10 min. read30.06.2021
By Team Zeller

COVID-19 has drastically changed consumer behaviour. Here's what you need to know.

Australian business owners have shown incredible resilience throughout 2020, and the first half of 2021. Faced with lockdowns, capacity restrictions, and a constant sense of uncertainty, many have had their hands full simply trying to keep out of the red. Yet while it’s clear the 2021-22 financial year will be another year of transition, there is light at the end of the tunnel.

A number of business trends have emerged over the past few months, shaped by fast real-time consumer preferences and behaviour. While we cannot know with total certainty what the next financial year holds, you can be prepared to embrace the changes. Understanding how the economic environment has shifted is key to navigating your business through the pandemic, and beyond.

In this article, we deep dive into five of the emerging business trends identified by the world’s biggest consulting firms. Each of these trends will have a ripple effect across the small to medium business sector. Keep reading to discover how you can capitalise on these trends and implement practices that will benefit your bottom line.

1. Revenge spending

As consumer confidence returns, so too will spending.

“Revenge spending” has emerged as a new term for a post-lockdown cash splash. The term, first used to describe the increase in retail spending in China last April, is defined by the Collins Dictionary as: “Spending excessively after a period when one has had limited opportunities to spend.”

It makes sense; consumers have spent the last eighteen months saving a disproportionate amount of their income. Now, after more than a year of lockdowns, quarantines, business closures, and restrictions, those same consumers have a pent-up desire to spend.

41% of Australians saved more than usual in 2020.

This trend isn’t new — economists have reported an increase in spending after every financial crisis. The difference, however, is that this particular economic downturn particularly affected the services industries.

Unlike other periods of financial crisis in history, those involved in the running of a services-based business have been restricted from carrying out their jobs. A service cannot be purchased online, ordered through click-and-collect, or delivered via UberEats. Government restrictions have prevented plumbers, electricians and other trades from entering people’s homes, effectively putting a stop to business.

For this reason, it’s likely we’ll see revenge spending across all industries for the first time — as consumers spend big on dining, retail, entertainment, home improvements and more.

Tim Finocchiaro, Managing Director of Pavers Plus — one of Victoria’s largest independent paving and landscape suppliers — has already noticed a shift in where Australians are spending their money, and it’s close to home.

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After more than a year of border restrictions, Australians are choosing to spend big on home improvements.

“Last Spring was pretty tough, with Victoria's lockdowns, and Spring is usually our busiest period. But the Australian life is an outdoor life, and now with programs like The Block people are being exposed to all sorts of new designs. We’re seeing a lot of demand for pool tiles at the moment – people are thinking, ‘If I can’t spend money on an overseas holiday, I’ll spend it on a pool’,” Tim says.

"We're expecting to see the economic benefits this financial year, as Australians reinvest in their homes.”

How businesses can benefit

To cash in on consumers’ willingness to spend big, consider which elements of life your customers have missed most throughout lockdown and how your business can adapt to provide those things.

The most obvious example is communal experiences. To meet this need, book stores could invite an author to read in-store. A games retailer could put on a magic show, or host an in-person chess competition. Restaurants and cafes could offer group packages such as high tea, or themed dinners with entertainment.

Of course, with group bookings comes the headache of bill-splitting. This is where having the right tools for the job can save a lot of time, and help to provide an exceptional customer experience that leaves a great taste in diners’ mouths.

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2. Conscious consumerism

Conscious consumerism — sometimes referred to as ethical consumerism, green consumerism, or sustainable consumerism — is a commitment to making purchasing decisions that have positive social, economic, and environmental impact. These terms are no longer buzzwords; conscious consumerism is an effective (and arguably necessary) business strategy.

We know with certainty that younger generations are actively spending at businesses that share their own values. The public shunning of fast fashion producers and the growth in demand for farm-to-table hospitality are examples of this shift, albeit from opposite ends of the spectrum. In fact, a recent survey found that nine in ten Australian consumers are more likely to purchase products that are ethically or sustainably produced. And they’re not just settling for “eco-friendly” labels — 87% want to see greater transparency around what makes a business’s products sustainable.

But it’s not just a trend we’re seeing on our own home soil — sustainable business is an international phenomenon. A global study by Oxford Economics reported that 82% of SMEs who introduced ethical and sustainable practices saw a 15% increase in financial performance the following year. People spend more with conscious businesses.

How businesses can benefit

Consumers are more environmentally and socially conscious than ever before, and expect the brands they buy from or use to take responsibility for their impact. It’s no longer enough to not know where your products come from, or the conditions under which they’re made. Consumers are looking for greener alternatives and transparent supply chains.

Now is the time for every business to rethink its operations and environmental impact. First,  read our blog to discover five ways to make your business more sustainable, work out where you can make changes and — if it makes good business sense — implement them publicly. With the significant supply chain disruptions brought about by COVID-19, it’s an ideal time to hit the reset button and make changes to run your business more sustainably.

3. Local love

The silver lining of physically restricting consumers to within a few kilometers of their homes is that local businesses have been put in the spotlight.

In 2020, consumers saw the effect of the pandemic on their local barbershop, fruit market, gift shop, and more. The shift to remote work kept (and continues to keep) many workers in suburbs and regional areas, providing more opportunity to discover local shops, cafes, restaurants and other businesses. Now, with many shuttered still, consumers say they will be taking action to support homegrown businesses.

shop-local-business-trend

More consumers are turning away from department stores and chains in favour of local businesses.

A recent survey by CouriersPlease found that 4 out of 5 Australian shoppers — an overwhelmingly large proportion — say they would be proactively supporting small and local businesses over big, global brands throughout 2021. It’s clear the “shop local” trend is likely to continue in 2021-22 and beyond.

How businesses can benefit

This shift presents challenges for larger brands, such as department stores. However, small businesses can capitalise on this by reminding consumers that spending locally doesn’t have to mean more money, or less convenience. It could be something as simple as showing support for other local businesses, or sympathy for those doing it tough. If you’re in a position to, it could be an extended returns policy or offering a payment plan.

Depending on the type of business you run, joining forces with other local business owners might be beneficial. For example:

  • A cafe shop could invite the local florist to place a few arrangements for sale by the register, and in exchange the florist might keep some of the cafe’s business cards at the front counter.

  • A local grocer and gift store could team up to create and sell hampers, with an emphasis on local produce and products.

  • A homewares store could invite the local coffee cart to sell coffees at its EOFY sale event.

Read our blog, Shop Local: How You Can Benefit From This Growing Trend, for five easy-to-implement tips to attract more local customers to your business.

4. Authenticity on social media

These days, it’s not just e-commerce businesses that need to be active online; bricks and mortar businesses need to have a social media presence. However, consumers’ increasing reliance on social media does not necessarily mean that it’s any easier for businesses to connect in a meaningful way.

For the last 18 months, social media has been a lifeline for many — providing people with the means to connect with one another, and businesses with a platform to reach their target audience. Yet countless studies show that a growing reliance on technology rather than face to face interaction is causing an overwhelmingly large proportion of people to feel isolated, disconnected and lonely. In fact, the problem is so pervasive that at least one scientist is working on a pill to try and alleviate it. As a result, businesses need to think outside the curated box and utilise social media in a way that makes their audiences feel connected.

In 2020-21, a number of brands saw the opportunity to strengthen community ties through an authentic social media presence, purposefully designed to connect with and engage their audience. There were giveaways, collaborations, behind-the-scenes content, live videos and more. This authentic content helps forge a deeper connection with customers, which in turn encourages brand loyalty.

As communities continue to be affected by lockdowns, this type of marketing should be an important part of any businesses social media strategy in 2021-22.

How businesses can benefit

Being authentic means being real and genuine. An authentic brand is one that understands its audience and their values, and aligns itself accordingly. This is especially important for businesses operating in a saturated marketplace; consumers will often choose to spend money with the brand they feel most connected to.

One of the most important steps to creating an authentic brand is deciding its values. Decide what your business stands for, then audit your website, social media presence and in-store experience for any discrepancies.

When it comes to social media, imperfect content, live content, and user-generated content should be prioritised over overly photoshopped or curated content. One of the most authentic pieces of content you can create is a peek behind the scenes, introducing the people that make your business what it is— whether that’s the chef, the jeweler, the barista, the locals, or even their dogs. Whatever you choose to post, it must reflect the ethos of your business’s brand in an authentic way.

5. Business model innovation

Crisis typically spark a wave of innovation, and the COVID-19 pandemic has proved no different. 2020 was a year of business model innovation. This financial year, the focus will be on refinement.

In the face of lockdowns and restrictions, many businesses were forced to adapt their strategy in order to stay afloat. Hospitality and events-based businesses were especially affected. The businesses that thrived were those that were able to react quickly to the changed environment. For example, restaurants that pivoted to enable finish-at-home experiences through the likes of Providoor, or in-person events that shifted to online.

Bill Spathis, co-owner of Melbourne-based Decoy Cafe Coffee Roasters, was quick to adapt when the city came out of lockdown. With fewer office workers dropping by for their morning brew, Decoy Cafe's menu shifted to align with its new clientele.

“We usually operate à la carte, but we’ve had to change our business model because our customer base is different now. People aren’t coming back to the city for work just yet —  but they’re building a hotel across the road, so there are lots of tradies,” Bill said.

“We’ve installed a bain marie for dim sims, fries and the like — and that’s what’s saved us. Without the tradies, we’d be closed.”

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Decoy Cafe will keep its bain marie until office workers return to Melbourne's city centre.

Although businesses have always had to think about how the market is changing and what that means for their product or service, business model innovation will be more important in 2021-22 than ever before. The key to success this financial year will be refining the strategies that allow your business to continue generating revenue even when consumers cannot physically visit your business, or engage your services.

How businesses can benefit

Every business should have a crisis plan by now. In fact, it should be a part of every business plan; no one can say, with complete certainty, what this financial year or the next holds. Businesses need to plan in advance how they will adapt in the face of a lockdown.

Retailers should know how a lockdown will affect their returns policy, and trades businesses ought to have a communications strategy in place to reschedule appointments, for example. Every business should invest in an EFTPOS terminal that allows them to accept payment, even when customers cannot come to the store. This will help ensure business can continue as normal, as much as possible. However, the businesses that continue to grow in these times are those that innovate their business model.

Gift cards, online tutorials and take-home packs are all examples of monitisable, COVID-safe strategies. If these changed business models make sense – customers enjoy the changed offering, and it’s a profitable direction for the business – there’s no reason to go back to the way things were. Business owners should always look for opportunities to drive revenue and generate new opportunities as the economy recovers.

Embrace the opportunity

The COVID-19 pandemic has changed the business landscape, however life beyond the pandemic holds promise. Overall, the 2021-22 financial year looks like it will be a year of optimism, recovery and opportunity for business owners.

As the months roll on, additional trends will emerge that further shape the business landscape. It’s up to business owners to decide how to adjust their tactics in response.

To stay up-to-date with the latest small business marketing trends, learn about new payment methods and more, sign up to our Business Blog.

Shop Local: How You Can Benefit From This Growing Trend

Australians are showing their values with their wallets, and ramping up local spending. From buying produce at the farmer’s market to splurging on the local high street, consumers are becoming increasingly community-conscious when it comes to their spending. In fact, 73% of Australians say they are making a conscious effort to spend with local brands and businesses to help them recover from the financial blow dealt by the pandemic, according to a Mastercard survey. This is great news for business owners: a local customer is more likely to become a regular, and refer other locals your way. But how can you attract more conscious consumers? Keep reading to discover more about this trend, as well as five tips to attract more local customers. Shop Local is here to stay While the impact of the various lockdowns cannot be understated, one unexpected silver lining has emerged: a resurgence of local shopping areas.  With fewer consumers traveling to large shopping centres, whether due to restrictions or an unwillingness to visit potential exposure sites, many smaller shopping hubs have seen an uptick in sales. Even as restrictions on movement are lifted, it’s unlikely we’ll see a shift back to the way things were. The Shop Local trend is part of a drastic evolution of consumer spending habits, and clear proof of a shift towards more conscious consumerism. Ben Lazzaro, Chief Executive of the not-for-profit Australian Made Campaign Ltd (AMCL), believes the COVID-19 pandemic has changed consumer perspectives. “The pandemic very quickly highlighted our over-reliance on imported product and provided an impetus to address that imbalance,” he says. “I think it brought it home to a lot of us that the way we choose to spend our money can have an impact on Australia’s self-sufficiency as well as our economic future.” How to cash in on the trend People want to spend locally, whether that means purchasing craft beer at the local brewery or a birthday present at a neighbourhood retailer. However, in order to spend money at your business, consumers need to discover it. Here are five tips to attract more local customers to your business. 1. Make your business more discoverable on Google A recent study by Facebook found that the majority of today’s shoppers are searching the internet to plan their store visits in advance, which means it’s crucial that potential customers are able to find your business online. Understand the tools, websites and channels your target customers are using, and ensure your business has a strong presence in those areas. You’re probably already using Facebook or Instagram to promote your business, but what about Google? Add or claim your Google My Business listing, then populate your profile with your business’s contact details, store hours and other important information. Add photos of your store and products, and encourage customers to rate and review your business. 2. Accept more payment methods Offering more ways to pay isn’t just a convenience win for customers — it can also help you increase profits. According to the latest Mastercard New Payments Index , offering more payment customers can also help increase consumer spending. 74% of consumers would spend at small businesses more often if additional payment options were offered. Since the outbreak of the pandemic, contactless payment methods have been put front and centre as the ideal, hygienic way to pay. For those operating on a cash-only basis, it’s critical to understand the impact this operational decision is having on your bottom line. Not only is the cost of running a cash-only business higher than most people think, it also costs businesses customers. Getting more local customers in-store is only half the battle. Enable your staff to accept every payment from every customer by looking for a provider that supports payment via digital wallets, such as ApplePay and GooglePay, and QR codes such as Alipay. 3. Run a localised advertising campaign Geo-targeting allows you to run online campaigns targeted to potential customers in a specific area. Targeting your local area can help find the right customers for your business. Both the Google Display Network and Facebook allow you to target your ads to a particular country, state, city as well as postcode, however we recommend using the specific radius address. You tell the platform where your business is located, and it will target ads to people within a specific radius of that location. To help your ads stand out, localise your messaging. Do your research — if you’re the only local retailer that stocks a particular brand, or you have the lowest prices in your area, make it a focus of your ad text. 4. Offer curbside pickup To meet social distancing protocols and provide consumers peace of mind, consider setting up curbside pickup. It’s a convenience measure your customers will appreciate, allowing them to get items on the same day without stepping into the store or paying for rush shipping costs. For an even smoother customer experience, take your EFTPOS terminal to the curb so you can exchange goods for payment as seamlessly as possible. 5. Set up an online destination If there are other businesses within walking distance, consider setting up an online community. Show consumers that they can come to your business for a birthday card, then get a bottle of wine next door, and flowers from across the road. The impact is twofold: you’re helping to keep dollars in your hometown, and showing your community that you care for it and are willing to invest in it. “If communities do well, your business does well. That’s just how it works,” says Sandy Chong , CEO of the Australian Hairdressing Council. Many local shopping areas have recently undertaken such a community initiative, tapping into the power of the internet to connect with more locals. For example, the Chapel Street precinct has its own website (and independent destination marketing association), informing readers where to eat, drink and shop in an effort to drive more foot traffic into the area. Many shopping centres have an Instagram account that highlights sales and special events — send the account holiday a direct message to discover who’s running it, and provide them with content. Or, reach out to other business owners in your area and create your own online community. Attitudes towards supporting local economies have strengthened since the outbreak of the pandemic, creating a huge opportunity for small businesses to grow their customer base and increase profits. For more tips on growing your business, sign up to our Business Blog .

Payments Trends: How Will Your Business Be Impacted?

Use of alternative payment methods is skyrocketing. In the digital world, change is rapid. Payment options and alternatives are frequently evolving — as are your customers’ expectations. People expect to be able to transact with the businesses they buy from, quickly and conveniently, no matter which payment method they choose. Some may even go as far as to only transact with those businesses that accept a particular method of payment. As consumer preferences continue to evolve, it’s going to become increasingly difficult and time-consuming for businesses to play catch-up. Those that keep themselves informed of these shifts in expectations stand the best chance of winning and retaining customers in the competitive small business world. Welcome to Payments 4. X A new age is dawning within the payments industry. This era, dubbed “Payments 4. X”, will see a focus on personalised customer experience, industry consolidation and new tech industry players — offering business owners and their paying customers alike “ smarter experiences and smarter interactions ”. But what sparked the change? Payments 4. X has been ushered in by an unprecedented push for contactless payment options, faster transaction settlements, and foolproof security. The most straightforward explanation of the shift comes from Capgemini's 2021 Global Payments Report , which provides an in-depth look at how payments have changed over the last year, as well as the various ways in which the COVID-19 pandemic has shaken the industry up and created new opportunities for merchants to improve the way they run their business. Access the entire global report online , or keep reading for the short version: a distillation of 5 payment trends that will likely impact small business owners in Australia as we enter the age of Payments 4. X. 1. Connected systems The success of any business hinges on its people, processes, and systems. As new tools and apps continue to be developed, the success of a business will increasingly depend on its tech stack. The ecosystem of tools you piece together will impact everything from how you communicate with your customers, to the ease of running promotions, to the time it takes to report on business performance. Integrating your EFTPOS terminal with your point-of-sale system, for example, will enable you to select a customer’s item on-screen and have the transaction amount immediately appear on your terminal — ready for the customer to tap, dip, or swipe to pay. An interconnected system will also make real-time data accessible, enabling you to make quick decisions for the betterment of your business. For your customers, connected systems mean a better experience; more personalised, more efficient, more fulfilling. As tech companies continue to develop products built on the software-as-a-service model, businesses of all shapes and sizes will be able to create their own modular value chain of tools. This plug-and-play tech will enable those merchants who spend time comparing and selecting tools that work well together to save time, build better customer relationships, and grow profits. Perhaps most importantly, spending the time to find the right systems will enable you to run your business in your own unique way. 2. A new type of consumer credit Buy Now, Pay Later schemes (BNPL, for short) are exactly what they sound like. A customer can buy a product now, for a small amount of money, and pay the balance later — no need to wait for payday. In removing these hurdles for customers, they’re more likely to spend. An American study found that businesses that offered their customers to option to buy now, pay later experienced a 20 to 30% uplift in conversion rates. 80% of those that began offering BNPL saw an increase in the amount customers spend in-store. Unsurprisingly, BNPL has exploded in popularity — especially amongst younger generations, where trends come and go quickly. The way they’re using the platforms demonstrates a clear preference to debit over credit; according to Afterpay, 94% of its Gen Z users are opting to buy now, pay later using their own money rather than link their account to a credit card. This is the same generation that commonly reaches for their phone or extends their wrist when it comes time to pay. Anyone with a bank account that meets a set of standard eligibility criteria can sign up for a BNPL scheme to buy whatever they want at stores that accept the payment method. Essentially, that means anyone over the age of 18, with a bank account, who passes a credit risk check can use BNPL. If your business doesn’t already accept BNPL as a method of payment, consider whether 2022 is the year to start. It could be a way to reach a new subset of customers whose spending power is increasing with time, and grow your profits. 3. No more cash The pandemic has hastened the pace of cash’s decline even faster than predicted. In 2020, cash was used for just 20.5% of transactions at a point of sale across the globe. That’s a 32.1% reduction in cash use since 2019. Companies like FIS, for example, previously speculated we would reach these levels in 2023; the pace of decline is three years ahead of schedule. In Australia, we are even further ahead of the pack; cash has been approaching legacy status as a payment method for years. Cash is used for less than 20% of point-of-sale transactions in the Asia-Pacific region, and it’s expected that by 2024 it will account for less than 10% of those transactions. So, how are consumers paying? With their new limb: the mobile phone. Nearly 45% of consumers say they frequently used their mobile wallet to pay for things in 2021 — meaning almost half of consumers reached for the mobile wallet upwards of 20 times. A year prior, just 23% of consumers did the same. This is good news for businesses; the less frequently your customers pay with cash, the less time you’ll spend counting your cash drawer, visiting the bank, and waiting to be able to put those funds to work. Instead, simply accept payment through Zeller Terminal and the funds will be available in your Zeller Transaction Account the very next day. Spend them using your Zeller Mastercard . 4. Innovative forms of payment There’s no question that COVID has accelerated the adoption of digital wallets while speeding up the decline of cash. However, consumer payment preferences are growing increasingly diverse. With Payments 4. X ushering in an accelerated transformation timeline, every business owner needs to take stock. How will your customers expect to be able to pay in 12 months’ time? Credit card use is expected to flatline. There’s an abundance of payment methods available, and more to come. What was once considered an ‘alternative payment method’ — such as a digital wallet attached to a mobile phone or smart ring — is now mainstream. Cash won’t simply be replaced by credit cards and mobile wallets. Remember, the technology powering NFC-reliant digital wallets is still in its infancy. As younger generations embrace these newer payment methods with gusto, the trend accelerates — indicating there’s more change to come. Is your business prepared? Convenience is key; when a new payment trend emerges, you’ll want to ensure your EFTPOS terminal can meet your customers’ needs by accepting whatever form of payment is most convenient. 5. An even faster pace The pace of innovation and competition within the industry has sparked a change in consumer expectations: everything must happen quickly. Near instantaneously. Consumers have gotten used to fast transactions, and are increasingly expecting the process to become faster and faster. In this instance, a ‘consumer’ in a digital transaction refers to both: the customer of the bank (i.e. the business carrying out the transaction and accepting funds) the customer of the business (i.e. the person who is making a purchase). Both expect the transaction to happen swiftly, meaning instant payments and quick transaction settlements are already table stakes. Businesses need the ability to quickly and seamlessly process transactions, so customers can pay and continue with their day without disruption. This includes the ability to quickly identify the reason for a declined transaction , and being enabled with the information to quickly correct the issue and progress the sale. However, increased transactions volumes and instant processing requirements are stretching the banks’ decades-old legacy payments infrastructure. Nimble payments providers will be able to adapt to change and offer their users the most forward-thinking solutions, so that you can offer your own customers a great payment experience. Preparing your business for Payments 4. x The picture the Global Payments Report paints is overwhelmingly positive, despite the obvious challenges. Innovation is opening significant opportunities for payment providers to step up and differentiate themselves as forward-thinking companies that can keep up with the pace of change, and build the functionality that enables businesses to take advantage of those changes. As a merchant, it’s up to you to ensure that every one of your customers has a positive payment experience. Whether you are able to accept a customer’s method of payment, troubleshoot a declined transaction, or even continue operating in a thunderstorm depends on your EFTPOS provider. It's an important choice that will have an impact on the way you run your business for years to come. By sharing your details with us, we may contact you from time to time. We promise we won’t bug you — and you can unsubscribe from communications at any time.

The Retail Transformation: What Do Shoppers Want?

Discover how to meet the ever-evolving needs of shoppers. Retailers are no strangers to disruption. Every 50 years or so, the industry goes through a significant period of change. 200 years ago, Mum-and-Pop shops lined the streets. They were community-anchoring, catch-all drug and general stores, selling anything and everything a person might need for daily life. 150 years ago, the growth of big cities and the rise of railroad networks led to the rise of the first modern-day department stores. Think David Jones, and Myer. 100 years ago, mass-produced automobiles made suburbia more accessible, and appealing. Soon after, shopping malls and high streets formed — posing a challenge to city-based department stores. 50 years ago, in the 1960s and 1970s, discount chains began spreading like wildfire across major cities, transforming the retail landscape once more. Each wave of disruption poses a challenge to retail store owners. While these shifts do not eliminate what came before, each reshapes the landscape through redefined consumer expectations and new entrants to the markets. History proves the retail merchants that thrive are those that are able to adapt to the times, and adopt the latest technology to gain a competitive edge. Adapting to the next normal in retail Every retailer has, to some degree, a sense of what the future of the retail industry could look like — stores morphing into showrooms, with products being shipped out by drones; shoppers making purchases from anywhere, at any time, via whichever device is most convenient for them; perhaps even robotic, roaming mannequins treating walkways as a cat walk. Some are more likely than others to eventuate. Yet what seems futuristic and fanciful in 2022 may one day become the norm. There’s no doubt financial services technology will continue to develop at a fast pace, and your customers will be paying with different devices in the future. Shoppers are already using mobile phones, smartwatches and smart rings to pay for their purchases with a single tap. As shoppers grow to expect more and more from the brands they choose to support, retailers are increasingly needing to consider the customer experience and how to turn shoppers into loyal customers. The 5 trends shaping the future of retail 1. Speed and convenience Speed and convenience will be defining qualities of a top shopping experience. Your customers are becoming less patient, and place increasing importance on the ability to make purchases quickly and easily. Patience for lagging systems and long queues is waning. Every customer must be able to pay for their purchase quickly, in the most convenient way for them. The ability to place orders over the phone, and collect items curbside, is key — as is having the items they expect in stock. Having the ability to take payment via a mobile EFTPOS terminal , from wherever your customer is in-store, will help to alleviate the inconvenience of queues and enable shoppers to ponder additional purchases for longer. Retailers that simplify the purchasing process, and deliver products into their customers’ hands faster, will generate customer loyalty and benefit from repeat purchases and positive word-of-mouth. Many of these efficiencies will be made possible through a powerful, integrated retail POS system . 2. A personalised shopping experience A personalised shopping experience will be a key competitive differentiator. Time-poor shoppers want to know when you start stocking a new product that meets their needs, and have the option to streamline repeat orders. Similarly, their loyalty should be tracked and rewarded. Forward-thinking retailers will use these customer insights to inform their stock purchases, and highly targeted marketing activities. An integrated payments system will enable you to do all of the above, and more. Those retailers that take the time to understand the customer journey, and leverage intelligent tech tools to personalise that journey wherever possible, will come out on top. 3. A shift in spending power Millennials may be the largest consumer group currently, but there’s another generation garnering increased spending power: Gen Z. Discovering what drives a young consumer to shop with one brand over another is key to the long-term success of your retail store. The youngest generations of shoppers tend to be loyal to brands that value honest communication, recognise the environmental impact of their business, and make moves to alleviate that impact in some way. It could be through sustainable packaging, donation drives, or something different entirely. Transparency in production lines will also help to generate brand loyalty; your shoppers want to know where their purchases come from. Every retailer should take the time to understand the mindset of the consumers who control the largest chunk of the purchasing dollar. Retailers need to evolve with that high-value consumer to hold onto their brand relevance in 2022 and beyond. 4. Support for smaller brands In recent years, there has been a clear shift away from department stores. Fewer consumers are shopping with big brands, and instead are choosing to spend with local stores, boutiques and smaller brand name shops. When it comes to agility, smaller brands have the upper hand. With no boards or shareholders to answer to, or long-engrained brand values and traditions to consider, small retailers can adapt to consumer trends more quickly — whether that is by introducing new, simpler ways to pay, new product lines, innovative advertising strategies, or something else entirely. While larger brands will struggle to stay relevant, independent retailers can (and should) take advantage of the fast pace of change to deliver exceptional, modern consumer experiences. 5. Frictionless payment experiences A frictionless payment experience will be a key component of a positive shopping experience. In simplest terms, that means every shopper should be able to pay: wherever they want — in-store, online, over the phone, or curbside using whichever method of payment, and device, they prefer with one tap. If shoppers are required to pay a surcharge, they shouldn’t be financially penalised for choosing one payment method over another. For retailers, that means it’s even more important to seek out one low transaction rate — like that offered by Zeller. In future, payments may be able to be made through iris scanning, fingerprint recognition or even facial identification technology. The opportunities are endless. For now, it’s imperative that your store’s EFTPOS machine is able to accept payments made through digital devices, such as mobile wallets. Increasingly, the ability to accept payment via QR codes will become critical as more consumers adopt the likes of AliPay and WeChat Pay — both of which are already popular among tourists. Change is inevitable, yet the aim of retailers remains the same: to make the shopping experience more convenient for the customer. New technology will continue to emerge to enhance the customer experience, streamline payment processes, and offer retailers new ways to win and retain customers. Retailers will have to work hard to meet the ever-evolving expectations of shoppers. However, those that do will solidify their brand position amongst the next generation of shoppers, and be rewarded with customer loyalty for years to come.

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