{"id":2891,"date":"2021-01-13T10:00:35","date_gmt":"2021-01-13T18:00:35","guid":{"rendered":"https:\/\/cm-edgetun.pages.dev\/en-us\/innovation\/blog\/ms-industry\/introducing-microsoft-cloud-for-retail\/"},"modified":"2021-01-13T10:00:35","modified_gmt":"2021-01-13T18:00:35","slug":"introducing-microsoft-cloud-for-retail","status":"publish","type":"ms-industry","link":"https:\/\/cm-edgetun.pages.dev\/en-us\/microsoft-cloud\/blog\/retail-and-consumer-goods\/2021\/01\/13\/introducing-microsoft-cloud-for-retail\/","title":{"rendered":"Introducing Microsoft Cloud for Retail"},"content":{"rendered":"

\"rolls<\/p>\n

If 2020 taught us anything<\/span>,<\/span>\u00a0it was that no business is resilient to everything.<\/span>\u00a0But those that\u00a0<\/span>had laid their<\/span>\u00a0digital\u00a0<\/span>tracks <\/span>early were better positioned to<\/span>\u00a0recover<\/span>, and in some cases, even\u00a0<\/span>speed ahead<\/span>.<\/span>\u00a0<\/span>In fact, one retail expert\u00a0<\/span>said that\u00a0<\/span>we<\/span>\u00a0<\/span>had\u00a0<\/span>\u201cwitnessed a 10-year evolutionary leap toward digital\u201d in retailing. That\u2019s quite a leap.\u00a0<\/span>And as a retail industry,<\/span>\u00a0<\/span>we need to\u00a0<\/span>approach\u00a0<\/span>the new world we are living in with\u00a0<\/span>a digital-first mindset<\/span>.<\/span>\u00a0At\u00a0<\/span>Microsoft we<\/span>\u00a0call this enabling intelligent\u00a0<\/span>retail\u2014<\/span>using\u00a0<\/span>digital solutions to help\u00a0<\/span>better\u00a0<\/span>know your custome<\/span>r<\/span>s,\u00a0<\/span>to empower your employees<\/span>\u00a0in new ways, deliver an agile\u00a0<\/span>and resilient\u00a0<\/span>supply chain to meet your customers where they are, and\u00a0<\/span>ultimately to help\u00a0<\/span>you\u00a0<\/span>reimagine\u00a0<\/span>the future of your\u00a0<\/span>retail\u00a0<\/span>business<\/span>. <\/span>Today at NRF 2021, we are introducing the private preview of Microsoft Cloud for Retail<\/a>.<\/p>\n

Aligned to these\u00a0<\/span>areas of focus, here are<\/span>\u00a0<\/span>four\u00a0<\/span>trends\u00a0<\/span>Covid-<\/span>19\u00a0<\/span>accelerated<\/span>\u00a0in 2020,\u00a0<\/span>that\u00a0<\/span>we expect to see stick in 202<\/span>1<\/span>.<\/span>\u00a0<\/span><\/p>\n

Trend #1: Data explosion and monetization<\/h3>\n

As I write this, 40 petabytes of retail data will be generated. For perspective, if you recorded a one-petabyte song, you\u2019d need 2,000 years to listen to it. That data has enormous value, but because it is 90 percent unstructured it\u2019s challenging to separate signal from noise. Today we\u2019re helping retailers unlock the power\u00a0<\/span><\/span>of<\/span><\/span>\u00a0that data<\/span><\/span>.<\/span><\/span>\u00a0<\/span><\/span>That can range from predictive analytics that makes intelligent recommendations to customers, to connecting with shoppers within a store or web site, to attacking fraud and shrinkage.<\/span><\/span>\u00a0<\/span><\/span>We believe your data is one o<\/span><\/span>f your most valuable assets\u2014like your inventory and your sto<\/span><\/span>res.\u00a0<\/span><\/span>And if under<\/span><\/span>stood and thought\u00a0<\/span><\/span>o<\/span><\/span>f<\/span><\/span>\u00a0strategically<\/span><\/span>\u00a0your data can<\/span><\/span> open entirely new businesses, revenue streams, and consumer differentiation.<\/span><\/span> For example, DICK\u2019S Sporting Goods recently partnered with Microsoft\u00a0<\/span><\/span>PromoteIQ<\/span><\/span>\u00a0so brands could increase visibility on DICK\u2019S website and engage with shoppers in a more meaningful and\u00a0<\/span><\/span>personalized\u00a0<\/span><\/span>way. In the first<\/span><\/span>\u00a0full<\/span><\/span>\u00a0<\/span><\/span>month<\/span><\/span>\u00a0live<\/span><\/span>,<\/span><\/span>\u00a0they exceeded\u00a0<\/span><\/span>their<\/span><\/span>\u00a0<\/span><\/span>previous ad\u00a0<\/span><\/span>provider<\/span><\/span>\u00a0<\/span><\/span>revenue by over 30 percent year-over-year.<\/span><\/span>\u00a0<\/span><\/p>\n

Trend #2: Partnerships and ecosystems will help us win together<\/h3>\n

Strong partnerships can put wind in the sails of any retailer. One study I\u2019ve seen showed that such partnerships can add 10 to 15 percent to topline revenue performance by helping retailers meet customers where they are, regardless of retail channel. Partnerships also help retailers add value to existing customer relationships and can give retailers access to new skillsets. It\u2019s been a true privilege for us to partner with many of you on your digital journeys, from FedEx<\/a> who we\u2019re partnering with to transform the end-to-end commerce experience, to retailers like Musgrave<\/a> and Woolworths Australia<\/a> who introduced a new scan-and-go concept to meet consumer demand for contactless experiences when stores reopened\u2014it\u2019s been an incredible journey.<\/p>\n

Take\u00a0<\/span><\/span>Columbia <\/span><\/span>Sport<\/span><\/span>s<\/span><\/span>wear<\/span><\/span><\/a> who has been able to quickly <\/span><\/span>pivot\u00a0<\/span><\/span>in-store purchasing experiences with Dynamics 365 <\/span><\/span>Commerce<\/span><\/span>\u00a0to deliver safe and secure buying experiences for both their customers and\u00a0<\/span><\/span>store agents<\/span><\/span><\/span><\/span>. Today<\/span><\/span>,<\/span><\/span>\u00a0we<\/span><\/span>\u2019re<\/span><\/span> announcing <\/span><\/span>B2B e-Commerce\u00a0<\/span><\/span>capabilities<\/span><\/span><\/a>\u00a0<\/span><\/span>for Dynamics<\/span><\/span>\u00a0365 Commerce<\/span><\/span>.\u00a0<\/span><\/span>Building on top of<\/span><\/span>\u00a0<\/span><\/span>our<\/span><\/span>\u00a0<\/span><\/span>rich<\/span><\/span>\u00a0and intelligent<\/span><\/span>\u00a0B2C\u00a0<\/span><\/span>capabilities<\/span><\/span>,\u00a0<\/span><\/span>retailers will be able to<\/span><\/span>\u00a0<\/span><\/span>deliver\u00a0<\/span><\/span>streamlined and\u00a0<\/span><\/span>intuitive<\/span><\/span>\u00a0<\/span><\/span>purchasing experiences\u00a0<\/span><\/span>for both consumer\u00a0<\/span><\/span>and\u00a0<\/span><\/span>business partners<\/span><\/span> on a single <\/span><\/span>connected\u00a0<\/span><\/span>platform<\/span><\/span>.<\/span><\/span>\u00a0<\/span><\/span>Look left to right in this industry and retailers of all shapes and sizes in so many countries across the globe are partnering with Microsoft<\/span><\/span>.\u00a0<\/span><\/span><\/span><\/span><\/p>\n

Trend #3: Sustainability and\u00a0<\/span><\/span>e<\/span><\/span>-c<\/span><\/span><\/span>ommerce<\/span><\/span>\u00a0is\u00a0<\/span><\/span>still top of mind for consumers and brands<\/span><\/span><\/h3>\n

Interest in shopping for brands that are committed to sustainability has moved from the fringe to a key customer motivator. Some 67 percent of customers, according to one survey, consider sustainability practices when making purchases. This was a growing trend pre-pandemic, and at last year\u2019s NRF I noted that 85 percent of textiles (t-shirts and the like) wind up in landfills. We\u2019re seeing major retailers step up to help solve that. Walmart has committed to achieving zero emissions by 2040. H&M aims to get materials that are sustainably sourced or recycled by 2030. Here at Microsoft, we\u2019re working to go carbon negative<\/em> by 2030<\/a> and replenish more water than we consume the same year.<\/p>\n

Trend #4. Loyalty, what\u2019s that?<\/h3>\n

The pandemic has rattled people to their cores. As a result, customers have changed their shopping patterns, with 75 percent of U.S. consumers reporting new shopping behaviors, such as changing brands or retailers. Globally, 50 percent of consumers have tried new brands. Consumers are also buying more online and gravitating toward contactless pickup of purchases. Retailers who invest in digital technology are showing themselves to be better equipped to deal with this shift and stay connected with existing customers while also attracting new ones.<\/p>\n

We\u2019re seeing the impact of\u00a0<\/span><\/span>these<\/span><\/span>\u00a0trends across retail. My kids and I are big fans of Chipotle<\/span><\/span>,\u00a0<\/span><\/span>b<\/span><\/span>ut we needed to find a way to order their\u00a0<\/span><\/span>burrito bowls<\/span><\/span>\u00a0<\/span><\/span>for contactless<\/span><\/span>\u00a0<\/span><\/span>delivery<\/span><\/span>.\u00a0<\/span><\/span>Using Microsoft Dynamics 365 Customer Insights, <\/span><\/span>Chipotle<\/span><\/span>\u00a0has been able to better understand customer preferences<\/span><\/span>,\u00a0<\/span><\/span>how they change over\u00a0<\/span><\/span>time, and<\/span><\/span>\u00a0<\/span><\/span>convert more guests into loyalty program members<\/span><\/span>.\u00a0<\/span><\/span>Every customer is\u00a0<\/span><\/span>different,<\/span><\/span>\u00a0and\u00a0<\/span><\/span>c<\/span><\/span>ustomer\u00a0<\/span><\/span>i<\/span><\/span>nsights allows <\/span><\/span>Chipotle<\/span><\/span>\u00a0to\u00a0<\/span><\/span>personalize<\/span><\/span> and market to them as a unique individual.\u00a0<\/span><\/span>With Customer Insights, we\u2019ve been able to grow our customer base by 30 percent and convert more guests into loyalty program members<\/span><\/span>.\u00a0<\/span><\/span><\/span><\/p>\n

And\u00a0<\/span><\/span>look at what\u2019s happening with curbside pickup. With a 218 percent increase to curbside, Microsoft Teams is t<\/span><\/span>here to empower retail\u2019s front line. <\/span><\/span><\/p>\n

From Office Depot to Mexican grocery store chain, Chedraui, retailers are adapting to the new normal by deploying Microsoft Teams across their entire employee base, from top-floor to shop-floor teams. For Office Depot<\/a>, Teams has become their go-to tool for everything from virtual store walks to enabling the company to go live with curbside pickup within 48 hours. Similarly, Chedraui, who sees its physical stores and associates as the face of its company, uses the new task publishing feature in Teams to drive consistent and quality customer touchpoints, for example via store displays in their over 300 stores. With the right tools in frontline workers\u2019 hands, they become part of the retailer\u2019s competitive advantage in reshaping the new normal<\/a>, whether enabling curbside pick-up or better transparency.<\/p>\n

Meanwhile,<\/span><\/span> customer loyalty is won or lost in the micro-moments<\/span><\/span>\u00a0of ensuring the retailer has that\u00a0<\/span><\/span>exact<\/span><\/span>\u00a0item when that empowered consumer is looking f<\/span><\/span>or it. <\/span><\/span>Microsoft\u00a0<\/span><\/span>Azure<\/span><\/span>\u00a0is delivering 200 million purchase forecasts a day to Walgreens<\/a>, ensuring the right items are in stock at the right time. It\u2019s\u00a0<\/span><\/span>a\u00a0<\/span><\/span>move that shifts what used to be a back-office operation<\/span><\/span>, inventory forecasting, and accuracy<\/span><\/span> to the forefront of modern retailing<\/span><\/span>.<\/span><\/span><\/p>\n

With\u00a0<\/span><\/span>all<\/span><\/span>\u00a0<\/span><\/span>of<\/span><\/span>\u00a0these advances,<\/span><\/span>\u00a0<\/span><\/span>I\u2019m\u00a0<\/span><\/span>optimistic<\/span><\/span>\u00a0about the future of retail in 2021 and beyond<\/span><\/span>. In fact, we are so deeply committed to the retail opportunity and the role technology can play that<\/span><\/span> we are introducing the<\/span><\/span> pri<\/span><\/span>vate preview <\/span><\/span>of\u00a0<\/span><\/span>Microsoft Cloud for Retail.\u00a0<\/span><\/span><\/p>\n

Microsoft Cloud for Retail\u00a0<\/span>aims to\u00a0<\/span>connect experiences across the end-to-end shopper journey with integrated and intelligent capabilities. By bringing together disparate data sources across the retail value chain,\u00a0<\/span>we\u00a0<\/span>will<\/span>\u00a0<\/span>enable retailers to realize the true value of their data by enriching core business processes and turning data into actionable insights. <\/span><\/p>\n

This retail-specific cloud service\u00a0<\/span>will\u00a0<\/span>center around\u00a0<\/span>driv<\/span>ing\u00a0<\/span>accelerated time to value by unlocking the power of Microsoft Azure,\u00a0<\/span>Microsoft\u00a0<\/span>Power Platform, Microsoft 365, Microsoft Dynamics 365, and Microsoft Advertising. All brought together by a common data model and built on a platform of security and compliance.\u00a0<\/span><\/p>\n

Our rich partner ecosystem\u00a0<\/span>will\u00a0<\/span>extend the value of the platform with retail-specific<\/span> solutions to address the industry\u2019s most urgent challenges, and future-proofing retail organizations to proactively be ready for what\u2019s next.<\/span>\u00a0<\/span><\/p>\n

We\u2019re designing Microsoft\u00a0<\/span>Cloud for\u00a0<\/span>R<\/span>etail<\/span>\u00a0<\/span>to give you the flexibility to adopt the capabilities you need to address your most pressing business needs be it better knowing your customers, empowering your employees, creat<\/span>ing<\/span>\u00a0an intelligent supply chain,\u00a0<\/span>or\u00a0<\/span>reimagining your business model.\u00a0<\/span><\/p>\n

To stay current on Microsoft Cloud for Retail news, visit our web site. Stay informed about Microsoft Cloud for Retail<\/a> to learn how you can connect with your customers, your people, and your data.<\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

If 2020 taught us anything,\u00a0it was that no business is resilient to everything.\u00a0But those that\u00a0had laid their\u00a0digital\u00a0tracks early were better positioned to\u00a0recover, and in some cases, even\u00a0speed ahead.\u00a0In fact, one retail expert\u00a0said that\u00a0we\u00a0had\u00a0\u201cwitnessed a 10-year evolutionary leap toward digital\u201d in retailing. 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