Technology apocalypse or eden research papers

Conversely, the population share in the lowest and highest income brackets of the study grew by 4 and 5 percentage points over the same period, respectively. Dollar stores selling household essentials, food, and clothing capitalize on a growing population of low-income consumers that are under financial strain and often looking for a deal. Each store is operated by only a handful of employees. Given the low cost of opening a new store, Dollar General is planning to target rural and low-income areas that are underserved by other retailers, catering to a need for discounted goods when the nearest Walmart is tens of miles away.

The current success of dollar stores is evident in their stock prices. This pattern holds true despite a recent stock drop for both dollar stores in March The proliferation of Dollar General and other dollar stores poses a threat to Walmart. Both target rural low-income consumers, yet Dollar General is dotting the rural landscape at at a pace that Walmart cannot keep up with. Germany-based discount grocer Aldi is making waves in the US grocery market.

Technology apocalypse or eden research papers

All of the factors that distinguish Aldi from a typical American grocer are built into its business model to allow for lower prices on its goods. Smaller stores: Aldi stores are compact. While there may be less room for an abundance of product variety, Aldi chooses to showcase fewer types of each product in order to squeeze in all essential grocery options.

Subsequently, the company saves on rent and utilities, and these savings are then passed down to consumers. This largely eliminates the need for employees to restock store shelves. Private labels: One distinguishing characteristic of Aldi is its widespread use of private labels.

They also allow Aldi to cater its product offering to current consumers trends — such as organic and non-GMO foods — building stronger consumer loyalty and independence from third-party brands. By focusing on select top-selling items, Aldi can negotiate larger bulk discounts from suppliers. That efficiency translates to lower prices. Nevertheless, traditional grocers can emulate Aldi far more quickly in other ways — specifically, with private labels. Like Aldi, by cutting out third-party brands from the equation, retailers can get products to their shelves at a much lower cost.

This can attract more business and help retailers build consumer loyalty. E-commerce retailers have also jumped on the private-label train. Amazon has also quietly expanded its army of private labels, with 80 brands across grocery, home goods, apparel, and more, according to Gartner L2.

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Online retailers will undoubtedly provide another battleground of competition for traditional grocers as they both attempt to build consumer loyalty. The company has expanded to 33 locations across the US since Retailers are partnering with delivery startups to compete. Most notably, Kroger and Aldi have recently jumped on board with Instacart , which is now positioning itself as a savior for grocers with little to no e-commerce or delivery capabilities. Instacart also delivers groceries for some of the largest retailers in the US, including Albertsons and Costco.

Albertsons, Target, and H-E-B have all recently acquired food delivery startups to improve their delivery capabilities and digitize their operations. As Amazon recently unveiled its two-hour grocery delivery service from Whole Foods for Amazon Prime members, these acquisitions have not been made in vain — but they may not be enough. Case in point: Amazon is already thinking of new ways to streamline its e-commerce fulfillment supply chain. The fulfillment centers would be stationed in urban areas to shorten the distance needed to travel to most consumers.

As Amazon continues to push the boundaries of logistics, retailers will have to think beyond traditional forms of last-mile delivery. Micro-fulfillment centers , for example, focus on compact forms of warehousing in urban areas. Going forward, grocers may find acquisitions or partnerships in the micro-fulfillment space to be another weapon against Amazon.

5G Wireless: A Dangerous ‘Experiment on Humanity’

Retailers are seeing growth in obscure categories like RVs, arts and crafts, and even farming equipment — thus enabling brick-and-mortar shops to thrive across these spaces. Retailer Camping World , which went public in , wants to be the one-stop shop for everything RV. The company has gone on an acquisition spree of RV dealerships around the country.

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In addition, Camping World bought bankrupt outdoor equipment retailer Gander Mountain in Hobby Lobby defies traditional retail convention by closing at 8pm and never opening on Sundays. Additionally, all workers begin with a starting salary double the minimum wage. Another example is Tennessee-based rural lifestyle products retailer Tractor Supply. Tractor Supply has focused on integrating technology into its in-store operations, launching programs such as its Buy Online, Pick Up In Store service.

For particularly niche areas such as RVs or farming equipment, this rings especially true, as consumers are likely to find items that cannot easily be found online on a broader site like Amazon. The expertise provided in-store by employees is another factor that can incentivize consumers to shop brick-and-mortar. Once authority is established over a niche domain, it can act as a strong and wide competitive moat, even in the face of e-commerce.

At Build-A-Bear, children — or anyone, for that matter — are taken through the entire stuffed animal creation process. At each and every step, customers have the chance to personalize their stuffed animals. They can pick the type of animal, decide its body mass index, personalize its outfit, and even give it a heartbeat. These memories and greater emotional attachment are what drive customers into the physical store, keeping Build-A-Bear afloat despite a rise in e-commerce. This is something Amazon does not compete in. We created it, to some degree.

Apple has perfected its brick-and-mortar game. Apple has put a strong emphasis on turning their stores into community spaces , acting a gathering place for people to spend time, shop, and bring gadgets in for repair, without the hassle of long lines and cash registers. One of its locations in New York City features a basketball court and a treadmill where customer can test out Nike apparel as they play and exercise. Store employees use in-store cameras to analyze the action and recommend the best type of footwear and apparel to the customers.

Nordstrom and Sephora are also testing out new store formats. Both have opened small-format stores named Nordstrom Local and Sephora Studio. Sephora, in particular, is using its small-format stores to leverage technology. The beauty retailer partnered with AR startup ModiFace to create an augmented reality mirror for customers to test products in store. In a showroom-style store, retailers have a chance to educate consumers on the ethos of their brand, spreading the word in real life.

The use of pop-up stores, often used to test out brick-and-mortar viability in certain locales, has become commonplace among forward-thinking retailers. Nov - Vol 43 , Issue 5. Jun - Vol 31 , Issue 2.


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