In respect of Manufacturing and Retail Trends in 2012, they all indicate one major change factor: internet and mobile are fundamentally changing all aspects of the sector. Traditional manufacturing companies and retailers are being challenged by changing manufacturing and production methods, and by new and innovative shopping patterns. The forecast shows an increase in impulse purchases. Physical stores will become customer experience centres, and shoppers will have increased control via the use of mobile devices and social media.
Despite globalisation, the manufacturing and retail industry will face challenging years in 2012 and 2013. This is due to the increasing costs of raw materials and transport charges combined with salary stagnation, threat of rising inflation in Switzerland and Europe. An added factor includes the continued insecurity caused by the global financial turbulence which caused the export-oriented companies troubles, and which continues to plague them. But at the same time, thanks to the use of the above mentioned mobile technologies and social media, the opportunities to respond better and more rapidly to customer demands will be correspondingly greater than ever before. Clearly, innovation in increasing customer experience - led by the expanding use of mobile technology - will create many opportunities. This is the most significant trend of the current decade.
For manufacturers and retailers, the future is the empowerment of consumers and customers. They will increasingly demand the power to purchase goods whenever and wherever they want to, while having the same shopping experience, as going to a retail store, by using a multi-channel strategy. This includes traditional sales force or purchasing stores, e-commerce, mobile commerce, Facebook and other social commerce as well as multi-media enabled commerce (e.g. video). From the other perspective, optimisations in the internal processes in order to reduce overheads become more critical. Consumers are more likely to be price-sensitive in necessities, but willing to pay more for luxury products. The whole supply chain will have to be adjusted to be more responsive to the customer, and must also be able to support social media initiatives. When a customer sees a special promotion on Facebook or Twitter, the product must be available in online shopping channels, and in store. This challenges manufacturers and retailers in that the information demand of the inventory levels and production timeline has to be provided in real-time.
