“POS is a starting point for informatization of the retail industry. In particular, small and medium-sized retail enterprises must first understand how to apply the pos machine as fully as possible. But at the same time, retail companies must also understand where their profit focus is and what to face. A competitive environment and challenges, is its own competitive advantage in the type of goods or the service to customers? Is it the price advantage or the efficiency of operation? In which aspects do you want to go beyond competitors? In terms of investment, the right one is the best.†Recently, Andyk, vice president of marketing department of ncr commercial retail, hotel catering and self-service system, said in an exclusive interview with this reporter. As a veteran system and IT service provider in the retail industry, ncr is expanding its information technology service level in the entire retail industry in addition to being a representative of international brands in the pos machine market in China.
The POS machine function should be "exhausted"
As competition in the retail industry intensifies, today's competitive environment is more challenging for small and medium-sized retailers. For small and medium-sized retailers that want to compete with large-scale chain stores, investing in appropriate store front-end systems can effectively help companies improve efficiency and profitability. , gain a greater competitive advantage." Andyk said.
According to statistics, in 2006, the sales volume of China's ecr (electronic cash register) exceeded 70,000 units, and the total sales volume of the diy-pos market exceeded 60,000 units. The annual sales volume of imported and domestic brands pos machines was around 65,000 units, and diy- The pos machine almost splits the big market in China. At present, the main imported pos are ibm, ncr, wincor, etc., with a sales volume of about 30,000 units. At present, in the retail industry, pos cash registers account for the majority; in small restaurants, specialty stores, ecr is the main cash register; in the pharmaceutical chain stores is the assembly of pos and pc coexist; Most of the cash registers used in toll stations, entertainment venues, hotels, hospitals, water and electricity departments, etc., are PCs.
"At present, in the Chinese retail market, the demand for pos is growing, and companies hope to continue to upgrade pos to increase the technology. Of course, there is also the problem that the POS function is not fully applied." Andyk said. In fact, although it is complained that China's retail industry information investment is much lower than that of the retail giant, the POS machine in front of the information system and the system platform in the enterprise backend, the phenomenon of high configuration and low use in the application of technology. It abounds and in turn affects the extent to which retailers reinvest in information technology.
In terms of the use of the POS machine, the POS machine, which is a point-of-sale management system for the point of sale, is used more as a cash register, and many management functions are shelved. It is understood that in the case of a single store, a single collection point, such as a small bookstore, pharmacy, clothing store, there is only one collection point, the number of commodity management is about 3,000 to 5,000, and the number of selected items is equivalent or slightly more. The cash register that can be connected with the serial port of the computer can realize the import, sale and storage management without the need for additional network cards and other network devices.
"In a limited space in a store, retailers must be aware of when the product is sold to avoid unnecessary inventory or out of stock. An effective pos system can provide these detailed sales reports, clearly at any time. Show which products have been sold, which have not yet been sold, and how much inventory. "Andyk believes that even if the pos system is configured, it is not a matter of once and for all. Many large retailers have recently updated or are preparing to update their pos systems with the goal of obtaining more customer information, further accelerating transaction speeds and better controlling labor costs. For small and medium-sized retailers who have already applied the pos system, they should consider the business needs of the enterprise before considering whether to upgrade the pos system.
Andyk believes that small and medium-sized retailers should also avoid unnecessary expenses in pursuit of "the latest technology." It is good to expect more features, but it is best to implement them in stages. Retailers need to analyze the real needs of the company in the short term and how it will be used to buy a system that can grow with the company, rather than a feature that will never be used.
Consumers decide on technology upgrades
Undoubtedly, the development of retail technology has become a weapon for retailers to break through. In fact, implementing technology in an innovative way can not only help retailers meet the changing needs of consumers, but also further improve customer relationships and create differentiation – a sustainable competitive advantage in today's market environment.
The rapid development of economic globalization has made the market competition more and more fierce and cruel, and the homogenization tendency of products has become more and more obvious. At the same time, the needs of customers are increasingly diversified and personalized. In such a market environment, the "customer-centric" management philosophy has been highly valued by many companies. The troubles faced by consumers are undoubtedly the challenges posed by retailers. At the same time, they also urge retailers to strive to meet the needs of consumers in a new way, thus effectively promoting the differentiation of the consumer market and accelerating the competition in the retail environment.
According to Andyk's analysis, current retailers often face consumers who don't have time to apply. Many times, this means customers want to be able to get in and out of the store quickly. Self-service, including self-service kiosks and self-checkout, creates retail efficiencies by giving consumers more autonomy because consumers can complete their own purchases and payments without waiting for the help of store employees.
Still, convenience doesn't just mean quick checkout. Consumers sometimes want to get products, prices, specials or other relevant information quickly. More and more retailers use kiosks and point-of-sale terminals to provide consumers with relevant product information, which not only gives consumers greater control, but also improves customer relationships and provides more convenience. At the same time, this has become the last weapon for retailers to influence consumer decision-making, because whether the information is published statically or electronically is the last chance for retailers to communicate with consumers before making a final purchase decision.
Andyk said that although self-service is not very successful in China, because China's labor is cheaper, the application of self-service can provide better customer service for the retail industry, resulting in differentiation and competitive advantage. In addition, when the Chinese retail market is further developed, the interest of retail enterprises in self-service will be greatly enhanced.
In addition, the modern retail market environment, price competition is increasingly fierce and product exclusivity is very small, which makes the consumer experience an important tool to create differences. Today's in-store technology is evolving naturally in the pursuit of a unique customer experience. More and more multimedia devices such as kiosks, pos and digital displays are not only used to entertain consumers, but even more powerfully mobilize customers' emotions. They can appeal to consumers with fresh and valuable information, giving retailers new opportunities to target customers.
Targeted adoption of new technologies
"The progress of Chinese retail enterprises in adapting to new technologies is very fast, because there is no old system in the Chinese market, so Chinese retail companies have once again caught up with the technology of multinational retail giants to apply updates, and their development speed is also Soon. "Andyk believes that compared to global multinational retailers, China's domestic small and medium-sized retail companies have an advantage because they have the ability to quickly adapt and adapt to the needs of customers.
Of course, when adopting new technologies, local retail companies should be more targeted. For example, the assessment of the current state of business operations in foreign countries can help retailers evaluate the front-end and back-end operations, telling retailers what methods and technologies can be used to change their operations, but currently Analysis of local enterprises is rarely implemented before the technical update, so the investment of technology will be more blind to a certain extent. For example, the application of POS machine, Andyk said that he found that domestic retail companies rarely use the POS machine to control the cash of the store, especially in shopping centers, individual tenants or specialty stores should be able to try more functional applications on pos. .
Today's consumer base is extremely diverse, and large-scale markets have given way to tens of thousands or even millions of discrete individual markets. Every consumer wants to be treated differently as a unique individual. Advanced retail analytics reflect customer similarities and provide in-depth customer details to personalize the shopping experience. The key to successful personalization is to understand the customer and provide value to the customer.
In terms of radio frequency identification (RFID) technology, Andyk said that the RFID industry in the retail industry is in its infancy, and more will be applied in the production field, bringing innovative changes to the efficiency of the supply chain system. Chains are easier and more automated to track product dynamics. In the retail industry, retailers who want to adopt rfid technology first will have to re-evaluate their technology architecture and find a precise balance of profit and loss to get a return on investment. But the penetration of rfid technology in the retail industry has just begun.
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