The global retail market has witnessed a significant shift in recent years, with an increasing emphasis on enhancing customer experience. According to a report by MapsPeople, indoor navigation is a critical component for retailers looking to provide a seamless and personalized shopping experience. The growth of this sector is also confirmed by a report by MarketsandMarkets, which reports that the RTLS market in the retail industry is expected to grow at a compound annual growth rate (CAGR) of over 20% from 2021 to 2026.

Nextome is a leading company in the field, providing state-of-the-art RTLS technology that improves the retail experience. 

This article delves deeper into market trends, insights, and concrete evidence that showcase the value Nextome's indoor positioning solutions bring to the retail sector.

 

Better wayfinding and a more engaging experience

Indoor navigation is a pivotal tool for improving the overall customer experience in stores, especially shopping malls. In fact, an RTLS system improves access to stores and products thanks to turn-by-turn navigation and maps. For instance, customers can search by product name, brand, category, even at home, or provide their grocery list and receive a customized route. The technology not only facilitates more accessible wayfinding but also contributes to creating a more engaging and tailored shopping environment that can seamlessly blur with the online experience.

 

Improved Operational Efficiency and Targeted Promotions

Beyond navigation, indoor positioning solutions are acknowledged for enhancing operational efficiency. Research reports a better average accuracy in inventory management for retailers using RTLS compared to those without. As customers, employees can also access accurate data on the product location and stock in real-time, increasing their productivity and freeing their time from less valuable tasks. 

RTLS is an excellent tool for retailers who want to optimize store layouts to influence customer behavior and deliver targeted promotions and ads according to customers’ position. In fact, according to research, most retailers believe that location-based marketing significantly improves the overall customer experience by delivering relevant and timely information. 

 

Unprecedented Shopping Experience Data and KPIs

When shoppers use an in-store mapping digital platform for indoor store navigation, it collects detailed data about their actions. The data includes browsing product categories, looking for individual items, and building routes to certain sections and departments.

Compared to e-commerce, until now, it was impossible to track data on visits and know consumers buying habits. For example, it was nearly impossible to calculate KPIs such as conversion rate. Today, it is possible with Nextome RTLS: in fact, our system provides detailed data on customers, such as frequency of visits, usual paths, and average time spent inside the store. This capability allows retailers to set up more personalized offers, enable loyalty programs based on the frequency of visits, engage customers through gamification, and optimize the profitability of stores and the Return On Advertising Spend (ROAS).

Also, it is possible to improve the performance of store layouts, thanks to heat maps that show the most frequently visited spots in the store, understanding which promotions have better results and prevent product demand.

 

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