In mid-January, retail experts and thought leaders from around the globe gathered in New York City at the National Retail Federation (NRF) 2023 conference.
This annual event connects thousands of retail professionals from unique brands of all sizes, including Disney, McDonald’s, Hyatt, Kroger, and L’OREAL, to name a few.
Over three days, the conference’s keynote speakers discussed emerging technologies, industry challenges, and consumer trends. And if you didn’t attend NRF 2023, here are some of the conference’s key themes to learn from as you consider your own marketing strategy this year.
- Consumer savviness is at an all-time high.
NRF panelists agree consumer behavior will be difficult to predict this year. However, they do believe consumers will remain thrifty due to recessionary fears.
While consumers keep a close eye on their wallets, experts predict early holiday shopping — also seen in 2022 — as shoppers look for the best possible value.
- Personalization and loyalty programs are essential.
A personalized shopping experience is front and center for many major retailers this year. As consumers watch what they spend, connecting with customers is more important than ever.
Hollister’s senior director of brand marketing strategy, Jacee Scoular, explained, “Understand why consumers are voting with you, and innovate to keep up with what they expect from you.” For example, Scoular pointed to younger shoppers’ expectations of conscious consumerism.
- Young consumers remain top of mind.
“Gen Z” was one of the most discussed buzzwords at this year’s NRF conference, as young consumers were top of mind. The next generation “is always a little bit faster, a little bit more sophisticated, a little bit more mature,” said Leslie Ghize, EVP at agency Doneger Tobe.
And born after Gen Z are Gen Alphas, an entirely new class of their own. “Trends and nuances that you find in Gen Z — that’s triple fold when you go to the Alphas,” said Claire’s EVP and CMO Kristin Patrick.
- Brands are exploring the metaverse.
Renee Klein, vice president of global digital experiences and customer marketing at Coach, predicts the popularity of brands in gaming environments will only grow in the U.S. market.
Coach has recently created a virtual shopping experience on Alibaba’s T-Mall Luxury Pavilion and launched NFT collections. In addition to Coach, Tommy Hilfiger, Nars, and Claire’s are all exploring ways to reach consumers in the metaverse and other virtual realities.
According to Andy Szanger, director of strategic industries at CDW, “the retailers that are going to be the most successful this year are those that can provide digital innovation combined with a truly exceptional in-store experience to meet and exceed their customer’s needs and demands.”
Sources
- https://www.marketingdive.com/news/NRF-2023-consumer-inflation-big-show/640600/
- https://biztechmagazine.com/article/2023/01/takeaways-nrf-2023-retail-pushes-toward-digital-transformation
