As Cryptocurrency continues to make waves, it has slowly started making its way into the world of retail.

With inflation continuing to rise, more and more consumers are starting to see Crypto as a viable option for buying goods. Retailers such as Starbucks, Overstock, and the Dallas Mavericks have already started accepting Cryptocurrency as a form of payment.

Accepting a cryptocurrency that is hyper-deflationary by nature, incredibly safe, secure, and speedy, makes sense for retailers.

More retailers will be offering the option of cryptocurrency to their customers in the coming year due to better payment security, lower transaction fees, and faster transactions.

Click HERE to learn more about Cryptocurrency in retail.

Total retail sales reached $4.583 trillion in 2021. Out of the $4.583 trillion, 16.6%, or $761 billion in merchandise is expected to be returned.

In general, the total rate of return has increased since the 10.6% reported in 2020. A major reason for the increase in returns is due to the increase in e-commerce sales in 2021, which have a higher rate of return compared to in-store purchases.

For every $1 billion in sales, the average retailer incurs $166 million in merchandise returns.

The industries expected to see the most returns are Auto parts (19.4%);
Apparel (12.2%); and Home improvement and housewares (tied at 11.5%). Thankfully, retail analysts expect consumers to return to shopping in-store more than we saw in 2021.

Click HERE to learn more about what analysts expect to see in 2022.

After testing in 6 different markets, Ikea is seriously considering offering furniture for lease in all of their stores across the country.

Renting office furniture has a long history, but remaining residential furniture is a new trend we are beginning to see.

Ikea’s trial found that younger generations, who are more mobile and on the go, showed strong interest in leasing furniture as they have no idea when they will be moving next. Conversely, the trend also appealed to people who do not have the money to furnish their entire house but want nice pieces of furniture in their home. 

For retailers, furniture for rent extends the life of furniture and offers a way to continue making money off of the same piece of furniture without selling it.

As Ikea is on the path to becoming a circular business by 2030 by using recycled and reused materials, furniture for lease is a step in the right direction when keeping sustainability in mind.

Touch, feel, and smell are all senses that continue to bring shoppers alike back into physical stores.

As it turns out, 72% of retail shoppers use the store as all or part of their primary purchase method.

Compared to other age groups, Gen Z consumers (ages 10-25) surveyed are most likely to be a ‘hybrid shopper’. When it came to physical shopping, the top reasons people shop in-store included touching and feeling products before buying them (50%), picking and choosing their products (47%), and getting products right away (43%).

When it comes to online shopping, a majority of people find it easier to do their research from the comfort of their home before getting the instant satisfaction of buying in-store.

As hybrid retail continues to take form, we will continue to see retailers include e-commerce experiences in-store, such as a pickup lounge or digital catalogs.

In a recent survey by Morning Brew, retailers across the country explained what they believe were the most overlooked and overhyped trends of 2021.

Coming in at the most overhyped was NFT’s. Although the blockchain-backed tokens received much media coverage in 2021, a majority of respondents say they do not own any and have never considered buying.

When it comes to overlooked trends, a majority of Morning Brew readers say that Buy Now Pay Later was greatly overlooked. For readers of Retail Traffic Trends, you would probably say it is overhyped as we have talked about it many times throughout the year. 

Buy Now Pay Later shopping accounted for over $226 billion in 2021, with nearly 30% of college students already taking interest in the offering.

Click HERE to learn more about what other retailers thought were the most overhyped and overlooked trends of 2021.

As we just learned, online sales accounted for 20.9% of all retail sales in 2021 and saw a growth of over 44% in 2020. But with more online sales comes more returns.

Nearly 20 to 30% of online sales are returned. Although online sales are not as prominent for big-ticket retailers, making returns a seamless process can be profitable for both e-commerce and brick-and-mortar retailers.

A former head at a big box retailer said “Customers who had a great seamless return experience would drive more sales than a customer who never had to return a product.” Essentially, returns can increase sales.

Personally, if I ever have a good return experience it does make me feel more comfortable shopping at that place again without the fear of buying something I can’t return.

The article goes on to explain that to enable growth, returns processes need to meet three targets: enhanced cost optimization, customer experience, and revenue preservation.

Click HERE to read the full article.

As getting shoppers into your store has become increasingly difficult with online stores finding a way to compete in large-ticket industries such as furniture and mattress, stores are constantly searching for ways to personalize the shopping experience that consumers can’t find online.

As we touched on last week, scheduled shopping experiences are a new trend that many retailers are picking up on. By scheduling a shopping trip with a consumer, customers feel a level of personalization and are more likely to buy.

Some companies are taking personalization to the next level by opening smaller stores specifically to enhance the customer experience. Not only does a smaller store help retailers be able to compete with the prices of e-commerce with lower rents, but it allows you to find a location closer to customers.

Ikea recently announced they are opening “planning studios” as a way to have stores closer to consumers and give them the option to sit down with a designer and plan out their living space.

Going forward, personalization will be the name of the game to keep physical stores competitive.

As we are sure you have all noticed, shopping trends have continued to shift and turn in different directions throughout the last year.

In a recent report by WBR Insights, they surveyed 100 leaders from B2C retail brand manufacturers and multi-brand retailers to get insights on how consumers are shopping now, and how that will change in the future.

The report found that 46% of retailers believe consumers are doing research online before shopping, unlike in the past where consumers would browse different stores as their form of research. While consumers still want the instant satisfaction of shopping in person, it is essential to keep your website up-to-date for consumers to do adequate research.

As personalized shopping experiences continue to be expected by consumers, scheduled shopping arrangements have become a popular way to give customers a special experience. About half (48%) of people claim that customers will most likely shop in their physical stores this year via pre-arranged appointments, with 66% of retailers reporting that they plan to use appointment scheduling to manage their in-store customer experiences.