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3 Ways Retailers can Benefit from the Shift Toward Digitization

The “new normal” may be here to stay, with retailers and consumers alike embracing the new, online-driven landscape of the retailer sector. Yet we cannot attribute this development exclusively to the pandemic. Even before 2020, brick-and-mortar retailers had been fighting a fierce battle against leading ecommerce players. These challenges have now accelerated, but this does not mean that stores are unimportant.

Customers want the advantages of online shopping when making purchases in physical stores. The latest data from McKinsey suggests that retailers can’t afford to be in a wait-and-see mode. First, they need to reimagine their baseline requirements, and then turn their attention to taking their customer experience to the next level. The Point of Experience (POE) is to replace the Point of Sale (POS) in the future.

  1. Re-thinking the in-person experience

Previously, it was important to draw the consumer’s visual attention to the product using a strong design, and to combine storytelling with strong emotions to create a perfect brand world.

In the new world, a direct connection must also be established, which allows for the most personalized interaction possible. Consumers inform themselves about products on the internet before, during and after the purchase. 60% of people in Germany use their smartphone to get further information about products because the information at the POS or on the packaging is not enough. Similarly, 80% want a seamless connection between online and offline channels.

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  1. Linking stationary business with online business

The trends in the consumer world require an amplified networked approach, which is also necessary for brand design. That is why we break down the silos between packaging design, client engagement and digital content design.

We have recognized that the customer journey in the brand world must be simplified more than ever and that the possibility of interaction amplifies customer loyalty, which ultimately leads to brand success. The digital transformation needs meaningful concepts and reliable partners for its consistent realization. The aim should be to harmonize digital experiences with real experiences.

What works online will be adapted to physical retail in the future, and both the digital and physical market presence will be homogeneously linked to each other in such a way that the consumer is offered a simplified brand and shopping experience.

This omnichannel concept offers consumers the information and services they want at all touch points, and surprises them with relevant content and an individual approach at the right time.

  1. The revival of the QR Code

The proliferation of QR codes during the pandemic has largely been an unspoken success story for connected packaging. After years of uncapitalized potential, the code has now found a platform for track-and-trace systems and digital restaurant menus, facilitated by the ease of consumers using their smartphones.

With the usage of QR codes to link consumers to their regional web presence, retailers can meet their customer’s needs for information and entertainment around the clock and provide a seamless shopping experience. Codes can help link consumers to recipe ideas and interactive games, and provide greater traceability to where the product was made.

Customers can check stock levels before ordering products using track-and-trace technologies. These systems further track when the product either arrives at the customer’s home or when it can be picked up at the next branch.

The use of QR in-store further provides the opportunity for brands to identify and provide more detailed and rich data profiles of the product’s existing consumer market. This data can better inform brands of existing consumers’ geolocation and session duration, to allow both for better conversions and to broaden the scope of their consumer market.

Overall, the use of coding at home and in the shop can trigger a holistic, shared brand experience.

Digitization is Rewriting the Rules of Retail

Consumer expectations for a seamless shopping experience can be met by using different digital links between the online and offline presence. It is irrelevant whether we “only” provide additional information about the product or entertain the consumer with augmented reality applications.

As long as there is a consistent strategy behind it, connected packaging can build a bridge between the POS and the digital presence and offer the holistic appearance from which both stationary and online commerce benefit.


Sevil Hoppmann is Business Development Director, Europe for SGK, responsible for increasing sales in Continental Europe. For more than 20 years Hoppmann has been working for and with well-known brand owners and retailers in Europe, supporting them in staging their brands and achieving a homogenous market presence at all touch points of the customer journey. The expansion of SGK’s portfolio and the achievement of highest customer satisfaction are particularly important to her.

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