Dispatches from NRF 2024: 4 takeaways from Retail鈥檚 Big Show
Another NRF comes to a close. The never fails to showcase what鈥檚 new and noteworthy in retail鈥攁nd in the frontline world as a whole.
I鈥檝e attended NRF more than a few times (five years and counting!). And one thing that really struck me this year in particular was the pride that retailers are taking in how they support their frontlines. Time and time again, leaders took to the stage with a common mantra: memorable customer experience starts with a quality employee experience. It鈥檚 exciting to see such an industry-wide embrace of associate enablement and a recognition of the business success that comes from investing in your people on the floor.
Here are four more takeaways I鈥檝e been talking about since I got back from NRF24:
1. The need for 鈥渟ustainable change鈥
If there鈥檚 one pain retail knows well, it鈥檚 change management. Getting a thousand, tens of thousands or even hundreds of thousands of associates to shift a process or do something differently鈥 it鈥檚 not easy. But now more than ever, especially with emerging technologies and other changes, retail needs a successful playbook for adoption. And for grocery chain , it鈥檚 all about collaboration across stakeholder teams and leaders. 鈥淗ow do we partner?鈥 asked Janis Leigh, EVP and Chief People Officer in her Big Ideas session. 鈥淥perations can鈥檛 drop everything to roll out HR initiatives.鈥 So getting buy-in and fostering the collaboration needed to drive change is all about finding the value that matters to each stakeholder, building up that champion network and igniting true, sustainable change. Mic drop.
2. AI to reduce friction points
Retailers are hungry for AI鈥攖he understatement of the year, but I鈥檒l still say it. At NRF, , an assistant, a sidekick鈥he list goes on and on. But 2023 was all about blue-sky possibilities. As Chandhu Nair, SVP of Data, Analytics and Computational Intelligence and Marketing Technology at Lowe鈥檚, put it in one session, 鈥淕enerative AI is one of those things where it鈥檚 death by a thousand use cases.鈥
So 2024 is fast becoming the year where retailers (and solutions) fine-tune a more succinct list of core use cases for AI, with a strong focus on optimizing workflows, staying agile and, especially, .听
3. Harvesting All. The. Data. (without scaring customers away)
Is this a new topic? No. Still a big one for retail? Yes. Particularly with emerging technology like AI, capturing and processing data, and using it to make data-driven decisions, continues to be an elusive challenge. At many booths, the crowd-sourced answer to 鈥淲hat鈥檚 the biggest problem you face in retail?鈥 was all about data and staying agile with 鈥渁ctionable moments.鈥
Particularly as customers become more savvy and aware of the programs retailers are running, this requires an added layer of finesse. In a panel led by Forrester Research, Sneha Narahalli, Sephora鈥檚 Head of Product & UX, put it best: 鈥淚t鈥檚 important to build experiences that don鈥檛 scream, We want data from you!鈥欌
4. The human side of retail theft
We鈥檝e been talking about theft and organized retail crime for a while now, but an often-ignored piece of this near-impossible puzzle is the human element: how theft impacts the associates experiencing it. And how the sense of pride and loyalty that retailers work so hard to instill in their people gets contradicted by the theft policies designed to keep associates safe. Dick Johnson, former CEO of , explored the topic at an executive breakfast we held during NRF: 鈥淲e reinforce every day with our teams that no product in the store is worth a fight worth your life, worth the anguish that can come with it. But it becomes a really difficult thing because the people that work for you, they’re passionate about what they do, they love the business. It’s a personal affront to them when somebody comes in and steals something.鈥 As one attendee at the breakfast summed it up: 鈥淥ur store associates are super passionate. This is their story.鈥
So how do you re-instill that pride and empowerment after an incident? For Dick, it鈥檚 all about bringing the conversation back to the impact that associates have on the customer experience: 鈥淲hen you bring it back to the good work that they do every time they’re able to register, every time they’re able to satisfy a customer, every time they’re able to use our omnichannel efforts to find that product that isn’t in their store, that’s good. And yeah, people are going to do bad things. But the one bad thing should not outweigh all of the good that they do every day of the week.鈥 Not a bad approach for us all to consider.
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As we dive into the coming year, I鈥檓 excited to see how these trends鈥攁nd passion and pride in supporting our people鈥攚ill continue to inform the frontline experience.