High-street retailers have been advised to adopt AI and IoT algorithms in an attempt to overcome declining sales.
According to data published by advisory firmBinder Dijker Otte (BDO), sales on UK high streets fell 1.7% annually in June 2018, marking the fifth consecutive month of falling sales in the country. However, payment solution company Wirecard and Deutsche Telekom's T-Systems have encouraged retailers to transform shopping into a seamless experience for customers by embracing innovation developments such as integrating AI and IoT algorithms into their mobile apps.
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T-System has been working in collaboration with Wirecard to help retailers and stores since April 2016 and have teamed up to develop an app for retailers and supermarkets. The app, which caters both customers and retailer, allows in-store shoppers to link their shopping cart to a digital shopping list, while also receiving personalized offers when shopping on the high street.
Dirk Rumler, VP of retail at T-Systems, said, "High-street retailers must make huge changes, because this is the only way they will be able to keep pace with the fast growth of online retail. Genuine innovative spirit is required. New digital approaches in combination with strong partners will strengthen retailers in the face of the competition over the long term."
According to Business Insider Intelligence's Mobile Payments Report, in the US alone, in-store mobile payments will increase at 40% CAGR to hit $128bn by 2021.
Alexander Hahn, VP of POS Retail Solutions at Wirecard, added, "We are assuming that in five years' time, the major proportion of retailers will be offering seamless checkouts and other services via apps."