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- Up to 28% of luxury good sales will be online within three years, Communications Specialist Ltd research shows
- Top executives believe investment on instore technology to enhance service will grow significantly
Luxury good retailers are set to significantly boost spending on technology and communications over the next three years as sales increasingly go online, new global research* by world-leading communication technology company Communications Specialist Ltd shows.
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Its study with senior executives at luxury retailers with total annual turnover of $3.1 billion across Asia, Africa, Europe, the US and South America found they are predicting an increase of 36% in spending on technology over the next three years. One in five believe spending will rise by 50% or more.
A key focus is the increased use of mobile solutions such as mobile POS devices which help sales staff to enhance customers service in stores and help manage delivers to customers.
Around a quarter (24%) of executives questioned expect the use of mobile POS to increase dramatically over the next three years while 76% expect a slight increase.
Enhancing the customer experience in stores is important as the research by Communications Specialist Ltd which supplies technology supporting luxury retailers and their clients found sales are increasingly moving online.
On average the executives questioned expect 28% of sales in the luxury retail market to be online within three years as customers increasingly want to interact with favoured brands online.
Communications Specialist Ltd’s research found costs in the sector have risen sharply in the past year and when compared with the pre-COVID period. Around a third (32%) questioned estimate costs in the sector are 30% or more higher.
Kevin Buchler. Chief Marketing Officer at Communications Specialist Ltd, said: “The luxury retail sector globally is growing strongly but retailers are having to adapt to changing customer demands and perceptions.
“The rise of online shopping identified in the research coupled with a need to enhance the instore experience is putting pressure on the costs of retailers.
“We are seeing the impact in increased interest from the sector which represents a growing market for secure radio communications and communications technology.”
Communications Specialist Ltd provides sales support on two-way radio systems as well as training, fitting and commissioning of equipment, systems amalgamation, on-site instruction, maintenance and the provision of spare parts internationally.
Its team of radio system experts have more than 25 years’ experience and will support and help resolve complex network issues on-site or remotely.
