Sponsored – Retail Gazette https://www.retailgazette.co.uk Fri, 13 Dec 2024 10:29:32 +0000 en-GB hourly 1 https://www.retailgazette.co.uk/wp-content/uploads/2024/02/cropped-rg-logo-32x32.png Sponsored – Retail Gazette https://www.retailgazette.co.uk 32 32 DP World starts first container port carbon inset programme https://www.retailgazette.co.uk/blog/2024/12/carbon-inset-programme/ https://www.retailgazette.co.uk/blog/2024/12/carbon-inset-programme/#respond Fri, 13 Dec 2024 06:40:08 +0000 https://www.retailgazette.co.uk/?p=178371 DP World is testing a new carbon reduction programme at its UK logistics hubs, London Gateway and Southampton, aiming to support cargo importers in cutting their emissions.

Starting on 1 January 2025, for an initial six-month trial, the Carbon Inset Programme will reward importers with 50kg CO₂e of carbon credits for every loaded import container they move through DP World’s UK terminals. These independently certified credits, issued quarterly, will showcase participating companies’ efforts to reduce the indirect (Scope 3) emissions in their supply chains.

“Unlike traditional carbon offset credits, which compensate for emissions through external projects like tree planting, inset credits reflect a tangible reduction in emissions achieved directly in a company’s own supply chain,” said DP World in a recent statement.

DP World’s inset credits are generated through its subsidiary, Unifeeder, which deploys lower-carbon fuels across its Northern European shipping network. These credits are verified and pooled, allowing registered importers to access independently certified carbon credits.

For businesses, this represents a transparent and measurable way to cut Scope-3 emissions – indirectly produced along the supply chain, according to the company’s announcement.

The inset initiative builds on DP World’s Modal Shift Programme, which reduced emissions for its partners by more than 17,000 tonnes in its first year.

“Insetting carbon emissions is a transparent, direct and pragmatic approach with immediate measurable impact for our customers,” said John Trenchard, vice president of commercial & supply chain at DP World in the UK.

“By providing easy access to an independently certified inset programme, we aim to create better awareness and encourage the adoption of more sustainable practices. By participating in the trial, a world first, import cargo owners can actively contribute to global decarbonisation efforts while aligning with their own sustainability goals.”

If 50% of import volume participates in the trial at DP World’s UK box terminals, this could replace over 11,000 tonnes of traditional fossil fuel with lower carbon marine fuels, equivalent to the reduction of 10,000 tonnes of carbon dioxide, according to the UAE-based operator.

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Data-driven retail: Why clean data is the key to informed decision-making https://www.retailgazette.co.uk/blog/2024/12/data-driven-retail/ https://www.retailgazette.co.uk/blog/2024/12/data-driven-retail/#respond Fri, 13 Dec 2024 06:08:53 +0000 https://www.retailgazette.co.uk/?p=178377 Retailers today operate in an era defined by data. From online customer behaviour to supply chain performance, the sheer volume of information available is unprecedented. Yet, for all its potential, this abundance of data often creates as many challenges as it does opportunities. Inconsistent, fragmented, or untrustworthy data can mislead decision-makers, undermining strategy and performance.

Fabio De Bernardi, VP of business development at Adverity, has spent his career helping businesses navigate the complexities of data. In our conversation, he shares his insights into why clean, actionable data is critical for modern retailers, the common pitfalls they face, and how organisations can transform their approach.

The state of retail data: drowning in information

“Retailers have been working with data for a long time,” Fabio begins, “but much of it has traditionally been focused on supply chain management, warehouse operations, or pricing. The use of marketing data – audience insights, customer behaviours, campaign analytics – is relatively new for many.”

Fabio believes this shift has left many retailers playing catch-up. “Retail media, for example, is an area of incredible potential. But it’s also a prime example of how messy data can create confusion. If retailers can’t structure and interpret the second-party data they’re generating, they’ll struggle to build the kind of media ecosystems that drive value.”

At the heart of the problem is a lack of the right skills and strategies. “Retailers are often overwhelmed by the volume of data they’re handling,” Fabio explains. “They don’t always have the expertise needed to identify what’s useful and how to leverage it effectively.”

Messy data, messy decisions

One of the biggest challenges retailers face is messy, unstructured data. Fabio paints a vivid picture of what this looks like in practice. “Imagine customer data coming in from multiple sources—online transactions, in-store purchases, loyalty programmes, returns, and even social media interactions. Each source might record information differently, creating silos that don’t talk to one another.”

The consequences of this chaos are far-reaching. “Inconsistent data can lead to disastrous decisions,” he says. “Take marketing campaigns, for example. If your data is out of sync – say, showing product availability in a region where stock is low—you’re not just wasting your ad spend; you’re damaging customer trust.”

This disconnect isn’t limited to retail. Fabio sees similar struggles across industries, but he believes the stakes are particularly high for retailers. “For many businesses, becoming data-driven isn’t just a competitive advantage; it’s a matter of survival. The high street is shrinking, e-commerce is booming, and customers are more demanding than ever. If you’re not making informed decisions in real-time, you risk becoming irrelevant.”

Why clean data matters more than ever

So, what does “clean data” mean, and why is it so important? Fabio breaks it down: “Clean data is accurate, consistent, and ready to be used. It’s about having a single version of the truth that everyone in the organisation can rely on.”

For retailers, clean data enables better decision-making across the board. “Whether it’s targeting the right customers, optimising inventory, or measuring campaign success, clean data ensures that decisions are based on reality, not guesswork,” Fabio explains.

But it’s not just about accuracy. Fabio emphasises the importance of timeliness. “In retail, speed is everything. Data has to be not only correct but also up-to-date. If your insights are even a day late, you could miss out on opportunities or make decisions that are no longer relevant.”

Building a data-driven culture

Becoming data-driven isn’t just about technology; it requires a fundamental cultural shift within organisations. Fabio believes this transformation needs to happen at all levels.

“Some of the biggest obstacles come from within,” he says. “You might have senior leaders who see data as a ‘nice-to-have’ rather than a necessity, or teams that are too siloed to share insights effectively. To change this, you need buy-in from the top but also grassroots efforts to push for better practices.”

Fabio encourages individuals to take the initiative. “If you’re someone who values data and sees its potential, don’t wait for leadership to mandate change. Be the person in your organisation who advocates for better data practices. The personal benefits are huge—you’ll perform better in your role, gain recognition, and help move the company forward.”

From chaos to clarity: the journey to clean data

For businesses looking to improve their data practices, Fabio suggests starting with a clear understanding of what data is needed and where it exists.

“Step one is mapping out the data landscape,” he advises. “Identify the sources you need – whether that’s marketing platforms, sales data, or customer feedback – and work out who owns this information within your organisation. Without this groundwork, you’ll struggle to achieve anything meaningful.”

Technology plays a crucial role in maintaining data quality, but Fabio stresses that it’s not a magic bullet. “You need the right systems in place, but technology is only as good as the rules you set. Companies need to define what good data looks like for them and implement tools that can monitor and flag issues automatically.”

The dangers of bad data

One of Fabio’s most striking insights is about the risks of relying on bad data. “It’s better to have no data at all than to have bad data,” he says. “When you’re working with incorrect or incomplete information, you’re not making informed decisions—you’re gambling. And the stakes are high.”

He recalls a recent presentation where he mapped out the relationship between data quality and business risk. “When you have clean data, you maximise the value it brings while minimising risk. But if your data is unreliable, you’re in the worst possible position—thinking you’re data-driven but actually making random, uninformed decisions.”

The future of data in retail

Looking ahead, Fabio sees clean data as the foundation for even more advanced capabilities. “AI and machine learning are becoming central to retail, but they’re only as good as the data they’re fed,” he explains. “The next challenge is scaling data operations while maintaining trust and accessibility.”

He also highlights the growing importance of data democratization—making data accessible to the right people at the right time. “It’s about giving every department, from marketing to supply chain, the insights they need to act quickly and effectively.”

For Fabio, the stakes couldn’t be higher. “Retailers who fail to invest in their data will find themselves outpaced by competitors who are faster, smarter, and more agile. The future belongs to businesses that treat data as their most valuable asset.”

Get in touch

Retail success in the data era requires more than just collecting information – it demands a commitment to quality, integration, and action. As Fabio puts it: “Clean data isn’t just a technical requirement; it’s the lifeblood of a modern retailer. Without it, you’re flying blind.”

For those looking to take the next step, Fabio offers simple yet powerful advice: start small, think strategically, and build a culture that values data at every level.

Want to clean up your data and unlock smarter, more impactful insights? Learn more about Adverity’s solutions and how they can help your business thrive by clicking here.

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Retail Sector Gears Up for Unprecedented Black Friday Surge in 2024 https://www.retailgazette.co.uk/blog/2024/11/retail-sector-gears-up-for-unprecedented-black-friday-surge-in-2024/ https://www.retailgazette.co.uk/blog/2024/11/retail-sector-gears-up-for-unprecedented-black-friday-surge-in-2024/#respond Wed, 20 Nov 2024 07:52:12 +0000 https://www.retailgazette.co.uk/?p=177214 Black Friday shopping is about to get a whole lot more interesting. With retailers rolling out their most ambitious plans yet, it’s time to look at what could be the biggest shopping event in history. Think of it as the retail world’s Super Bowl but instead of just one day, you’re seeing a whole season of deals that’ll change how people think about holiday shopping. It is time to dive into what’s making this year different and why it matters to you.

Whether you’re a dedicated bargain hunter or just curious about what’s coming, there’s something fascinating brewing in the retail world. Stores aren’t just opening their doors and hoping for the best anymore – they’re crafting experiences that blend the best of online and offline shopping. It’s like watching a retail revolution unfold in real time and everyone is invited to be part of it.

Market Predictions and Consumer Trends

Consumer spending is expected to reach record levels this Black Friday in the UK. With consumers actively searching for the best Black Friday deals, retailers are preparing for unprecedented sales. Shoppers are increasingly combining online and in-store experiences, seeking the convenience of digital shopping while still valuing the tactile experience of traditional retail. Smart retailers are adapting their strategies to accommodate both shopping preferences.

Industry analysts are forecasting a 15-20% increase in overall spending compared to previous years, with mobile shopping expected to account for over 60% of all online transactions. This shift is largely driven by younger consumers, particularly Gen Z and Millennials, who are more likely to make purchasing decisions based on social media influences and peer recommendations. Retailers are responding by heavily investing in social commerce capabilities and influencer partnerships, creating a more integrated shopping experience that seamlessly connects social browsing with actual purchasing.

Digital Transformation and Retail Strategy

Here’s where things get really interesting. Retailers aren’t just updating their websites – they’re completely reimagining how we shop. Think of it as your favorite store getting a high-tech makeover. Major retailers have significantly increased their technology investments compared to last year. They’re bringing in AI assistants that feel like having a personal shopper in your pocket and augmented reality features that let you virtually try before you buy. And as you plan your shopping strategy, don’t forget Cyber Monday for even more amazing online deals. It’s not just about keeping up with the times – it’s about creating something entirely new.

Supply Chain Innovations

Behind the scenes, there’s a retail revolution happening in warehouses and distribution centers. Imagine a system so smart it knows what you want before you do. Retailers have expanded their warehouse space and implemented new smart systems. These aren’t just boring logistics upgrades – they’re the reason you’ll be able to find what you want, when you want it, without the frustrating “out of stock” messages everyone has come to dread.

Customer Experience Enhancement

The real magic happens in how all this comes together for you, the shopper. Most consumers now research products online before heading to a store – it’s become standard shopping behavior. Retailers have substantially increased their investment in customer service technology. It’s like having a knowledgeable friend who’s always available to help you shop, whether that’s through AI chatbots or virtual assistants. The goal is simple: make your shopping experience so smooth and enjoyable that you’ll wonder how you ever managed before.

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Why customers are turning to parcel lockers as the preferred delivery option https://www.retailgazette.co.uk/blog/2024/11/parcel-lockers/ https://www.retailgazette.co.uk/blog/2024/11/parcel-lockers/#respond Tue, 19 Nov 2024 08:14:09 +0000 https://www.retailgazette.co.uk/?p=177002 There’s a universally familiar frustration in online shopping; the “missed package.”

Whether it’s left on a doorstep, returned to the sorting facility, or – worst of all – lost in transit, failed deliveries are a significant source of irritation. Imagine a customer who finally carved out time from a hectic schedule to shop online, only to miss the delivery and embark on an endless loop of tracking down the parcel. For modern consumers, that hassle simply doesn’t fit into their busy lives, and many are turning to parcel lockers as a solution. 

For retailers, this shift in consumer behaviour presents both a challenge and an opportunity. As customer expectations evolve, savvy retailers are looking to out-of-home (OOH) delivery options to capture this growing demand. And with 58% of B2C package deliveries (according to the Last Mile Experts’ Out of Home Delivery in Europe report) taking the form of out-of-home delivery options like parcel lockers, offering this convenience could make all the difference in closing sales and building loyalty. 

Convenience-driven demand: why the concept works

Today’s shoppers aren’t willing to compromise on convenience. With lives that are busier and more mobile than ever, they demand flexibility in how, when, and where their purchases arrive. According to YouGov research, 45% of consumers say they expect to use OOH delivery options always, often or sometimes, avoiding the wait and frustration that comes with a failed doorstep delivery.

Consider the challenges of a nurse working night shifts or a busy professional juggling their work and social life. They simply aren’t home to receive packages or access parcel shops during the day. Parcel lockers, that are accessible 24/7 (unlike parcel shops), allow these customers to pick up orders on their schedule, transforming delivery into a manageable, stress-free experience. 

With 71% of customers saying they’d opt for out-of-home delivery if it meant significantly lower costs than home delivery (according to Sendcloud data), the appeal of OOH goes beyond convenience alone. This dual benefit of affordability and flexibility is changing the way customers think about deliveries and influencing their purchase decisions. 

Retaining sales through preferred delivery options

For retailers, there’s huge benefits to be gained from expanding the options available to customers. In fact, diversifying delivery options has the potential to boost sales. Sendcloud reports that 44% of European customers abandon an online order if they don’t see their chosen shipping option. For brands, providing a range of delivery choices – including OOH – at checkout is an essential way to reduce cart abandonment and capture sales that might otherwise be lost.

Parcel lockers and service points are becoming established as credible, cost-effective alternatives to doorstep delivery. Retailers that make these options available to customers aren’t only streamlining logistics, but are also actively enhancing the customer experience, giving them control over their deliveries in a way that builds loyalty and encourages repeat purchases.

Driving sustainability and affordability

Beyond convenience, OOH delivery supports a broader sustainability agenda that appeals to the modern consumer. Parcel lockers and service points significantly reduce the number of repeat trips by delivery drivers, lowering the carbon footprint associated with multiple delivery attempts. InPost’s 2022 research found that 86% fewer couriers are required by parcel lockers per 1,000 lockers, compared to home delivery. Given that research from The Hellenic Institute of Transport found that 20-30% of a city’s carbon emissions come from the last mile, it’s clear to see why OOH can make a marked impact on sustainability goals. 

Building customer loyalty through a better delivery experience

For eCommerce retailers, low-cost shipping might drive conversions, but it’s the quality of the delivery experience that keeps customers coming back. In the age of personalisation, flexibility is essential.

This demand for adaptable delivery has spurred a surge in Automated Parcel Machines (APMs), with their numbers growing 29% across Europe in 2023 alone, according to a report from Paracel and Postal Technology International. APMs, along with OOH options more broadly, allow customers to exert control over the delivery process, enhancing their experience and reducing the chance of a failed delivery.

Meeting the future of delivery demand

Retailers striving to keep up with the pace of eCommerce innovation are finding that adapting to shifting consumer preferences – especially as they pertain to delivery – is a must. For example, 2024 research from InPost and Retail Economics found that 71% of Gen Z have used a parcel locker, and that 73% of under 35s prefer parcel lockers over parcel shops. 

As McKinsey notes, “the retail industry has seen as much disruption in the last five years as it did in the previous 25.” For online brands, staying competitive in this climate means recognising that doorstep delivery is no longer the “holy grail” of fulfilment. 

Today, OOH delivery presents a compelling option for cost-conscious, convenience-driven consumers, especially those seeking flexibility and sustainability. Retailers that act now to incorporate these solutions can expect not only improved customer satisfaction but also a more resilient, adaptable fulfilment strategy. And, for many shoppers, this choice isn’t a luxury but an expectation. For retailers, meeting that expectation could be the difference between a missed sale and a loyal customer. 

For more information on InPost’s out-of-home parcel delivery solution, get in touch today.

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5 ways progressive retail leaders use technology to enhance employee (and customer) experience https://www.retailgazette.co.uk/blog/2024/11/5-ways-progressive-retail-leaders-use-technology-to-enhance-employee-and-customer-experience/ https://www.retailgazette.co.uk/blog/2024/11/5-ways-progressive-retail-leaders-use-technology-to-enhance-employee-and-customer-experience/#respond Wed, 13 Nov 2024 10:28:04 +0000 https://www.retailgazette.co.uk/?p=176752 Leaders within retail are under extreme pressure to deliver exemplary experiences for their employees. Those that do, find their people stay longer, are happier, engaged, more effective and delivering increased customer experience. In fact, LinkedIn’s Workforce Learning Report revealed that 93% of employees would stay at a company longer, and maintain higher engagement if they felt like their business was invested in them as individual contributors.

Evidently, companies with a higher employee engagement rating are up to 23% more  profitable, when compared to organisations with lower experience levels, according to Gallup’s study of 456 research studies across 276 organizations in 54 industries and 96 countries. Therefore it’s vital to drive increased and improved employee experience; but are leaders getting it right?  Recent research suggests not. A recent study titled ‘Employee Experience: Fuelling a High-Performance Workplace’ found that on average only 13% of employees from 120 polled companies are fully satisfied with their experience at work. Separate research which polled more than 2,000 employees also found that 49% of employees feel that their organisation is not delivering on the experience they promised.

So, what will set successful modern retail leaders/organisations apart? One answer is increased adoption and utilisation of technology to create new ways of working. This is borne out by Oxford Economics and Cognizant, who partnered to evaluate 180,000 jobs earlier this year, and found that 90% of jobs in the next five to seven years will face disruption of some sort as  result of the impact of technology. In other terms, disruption is inevitable, therefore those organisations who truly understand the value that technology delivers will be the winners. New technologies are generating the accurate insights to drive highly personalised experiences across all touchpoints at scale, enabling retailers to always stay focused on delivering positive business outcomes through connected employee and customer experiences.

Here’s five key ways for retailers looking to achieve exceptional employee experience:

  1. Link employee experience to customer satisfaction measures and behaviours

Modern retail leaders understand the importance of equipping their employees with the right tools to perform their jobs efficiently and effectively. Mobile-first and user-friendly technologies such as smart tablets and agile POS systems have become essential means across retail to check stock levels, answer customer queries, and order items directly from the warehouse, all without leaving the customer’s side. This level of service enhances the shopping experience, reduces customer wait times, and empowers employees to perform their tasks more effectively.

However, Forbes data, which polled over 500 workplaces found that 59% of workers think their organisations have been too slow in delivering the right apps, tools and technology to enhance workforce productivity and effectiveness. This is despite 95% of executives believing that improving employee experience is  an economically beneficial concept.  Employee trust hinges on whether their employers “get it” and preparing for the next wave of change. Therefore, more is required to connect how employees feel, think and operate to increased customer experience and outcomes

  1. Enhance communication and collaboration through technology

Effective communication and collaboration is crucial for a cohesive work environment, especially in retail, where employees often work in shifts and across different locations. Many retail organisations deploy a mix of communication methods and are still reliant on manual – traditional – interventions. On the other hand, modern organisations are increasingly turning to intuitive comms solutions, which are accessible to all workers on a 24×7 basis. These solutions generate personalised messages, organisation updates, learning opportunities or platforms to showcase their skills based on employee preferences, interests and field/ area of work. Recent research indicates that 45% feel more connected to their team as a result of using digital communication. In an environment where information can change quickly, the right technology can facilitate better communication, and therefore a better experience for your employees. Conversely, nearly half of workers currently report their productivity being affected by ineffective communication.

  1. Leveraging data-driven insights for informed decision-making

The retail sector generates vast amounts of data daily, from sales figures to customer feedback, however research indicates that 75% of executives don’t trust the data and are often wary about relying on data-driven decision-making processes. Oracle’s research found that 35% don’t know which data or sources to trust and 70% have given up on making a decision because the data was overwhelming. In contrast, modern leaders leverage data to gain insights into employee performance and customer preferences, which in turn informs decision-making and employee development. By using smart data analytics tools, leaders can track key performance indicators such as sales targets, customer satisfaction scores and employee productivity, and leverage this data into actionable guidance. Clients are adopting a structured approach to accelerate ideation, design, engineering, and deployment of combined data and software solutions to train, govern and fine tune on your data.

  1. Personalisation and adopting Gen-AI to tailor the employee experience

Personalisation for employees is critical, combined with AI and automation it improves work experiences across the full hire to retire lifecycle. Typical examples include creating personalized assimilation journeys for new hires based on their skill sets, past experience, assimilation progress and levels of engagement, generating personalised messages, organization updates, learning opportunities or platforms to showcase their skills based on employee preferences, interests and field/ area of work. Research found that utilising AI to personalise learning and development yields a 57% increase in learning effectiveness and improved employee productivity and an enriched approach from technology by;

  • Adopting a microlearning approach with rich visuals and smart interactivities to keep learners actively engaged in the learning process.
  • Leveraging exploratory, immersive approaches with detailed product overviews that allow interaction.
  • Using realistic scenarios to contextualise the content.
  • Provided downloadable job aids for quick reference and on-the-job support.

AI-powered learning platforms offer personalised training modules based on an employee’s role, experience level, and career aspirations. By analysing past performance and feedback, these systems can recommend specific courses or resources that will help employees improve their skills and advance their careers. AI customises the employee recognition, sending automated messages or rewards to employees who meet accurate and meaningful performance criteria.

  1. Being hyper-focused on technology enables continuous improvement and adaptation for the future

The retail landscape is a constantly changing and evolving environment, and the ability to adapt is crucial for success. New technologies enable greater continuous employee improvement and increase operational flexibility through employee feedback (anonymous or named). This can be surveys, posts/ comments on intranet, data captured through 1-1 conversations, generative AI can identify patterns, levels of engagement at various levels and make recommendations to address improvement areas and monitor the effectiveness of new initiatives or changes in real time. For example, implementing a new point-of-sale system or customer service protocol can be closely monitored using digital tools to ensure that employees are adequately trained, using the tools in the right way and measuring against the stated desired outcomes. If issues arise, they can be quickly identified and addressed, ensuring minimal disruption to the business. By embracing a culture of continuous improvement and using technology to support this, retail leaders can ensure their businesses remain competitive and responsive to both employee needs and market demands.

The bottom line for progressive retail leaders

The modern leader has to understand future trends that impact their customers, suppliers and employees’ current state and synthesize future trends to provide exceptional, unforgettable experiences to differentiate their business.

Ultimately, the intersection of technology, employee experience and customer satisfaction/experience is where modern retail leaders will truly distinguish themselves. As retail adapts and evolves, those who successfully navigate these changes will find themselves not only locating, developing and retaining their talent but also empowering their workforce to deliver exceptional customer service. The statistics speak volumes with 23% increase in profitability attributable to high employee engagement and a 20% boost in satisfaction through mobile solutions, the case for tech-driven employee experience is undeniable.

The retail leaders who get this right are those who understand that technology is more than just a tool; it’s a bridge between their workforce and their business goals. Whether it’s harnessing data for informed decision-making, leveraging AI for personalised experiences, or continuously improving through adaptive technologies, the most successful leaders are those who see technology as a catalyst for positive change. In an industry where nearly half of employees feel their companies are failing to deliver on experience promises, those who leverage the right tech solutions will find themselves ahead of the curve, with a workforce that’s not just engaged, but thriving.

For further insights, we invite you to read Oracle’s e-book “3 Ways CHROs Can Apply AI Right Now”. Find out how Cognizant’s Oracle Fusion Cloud HCM services can help businesses meet HR goals and transform employee experience.

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How leading UK retailers are diversifying additional revenue streams https://www.retailgazette.co.uk/blog/2024/11/how-leading-uk-retailers-are-diversifying-additional-revenue-streams/ https://www.retailgazette.co.uk/blog/2024/11/how-leading-uk-retailers-are-diversifying-additional-revenue-streams/#respond Wed, 06 Nov 2024 11:33:39 +0000 https://www.retailgazette.co.uk/?p=176239 In today’s dynamic business landscape, diversifying revenue streams has become essential for sustained growth and resilience. But don’t take our word for it. We’ve spoken with some of the UK’s most interesting retailers to find out how they are using additional revenue to develop their organisations beyond their established, core revenue streams.

Each business has shared their experiences about how they have pushed into new areas such as advertising, subscription services, loyalty programmes, collaborations and more. Let’s take a look at some of the business leaders Webloyalty has spoken to in their new Diversifying Revenue Streams report.

Paul Wright, head of advertising for UK & IE at Uber understands the importance of creating new avenues for your business. Being responsible for all advertising from Uber’s Journey Ads to the sponsored messaging in Uber Eats, Paul believes extending businesses into new areas can work well when executed with the right strategic vision coupled with the right resources to support the new areas business growth.

Uber’s new revenue stream is advertising and it runs across both Uber Eats and Uber Rides. Having built a range of advertising products that can be bought, from sponsored listing for restaurant partners on Uber Eats, to Journey Ads in the Uber rides app, there are now many options to work with partners and build a strong additional revenue stream.

“With more advertisers on our platform, we can create more profit that we can reinvest into the growth of our core businesses – accelerating the flywheel effects of our advertising program.”

In just over a decade, Aron Gelbard, co-founder and CEO of Bloom & Wild has built the business into Europe’s leading online flower and plant business. Pioneering the letterbox flowers concept, Bloom & Wild have revolutionised the industry, expanding their reach considerably. Yet they are always on the lookout for more ways of expanding.

Bloom & Wild have moved into multiple new revenue streams, expanding on a number of fronts. One of those geared for 2024 is the inclusion of a loyalty programme for their most frequent customers who now widely shop in other gifting categories beyond flowers. This acts as an opportunity to not only provide better offers and lower prices, but also enable Aron and his team to better understand the audience and be more targeted by presenting a more personalised experience.

“Over the years we have developed a strong platform, which our customers love and trust and so there is a natural logic to extending our ranges into adjacent areas, where we can maintain our core values, as well as remaining true to our customer proposition. We have enriched our understanding of our customers by offering a wider proposition… These extra revenue streams have first and foremost helped us serve more customers and offer our customers more choice.”

Lara Chant, co-founder of Brityard has helped develop the business from a digital marketplace into a physical destination. Being a strong believer that homegrown brands and talent are underrepresented on the high street and in the media, Brityard partners with the finest UK brands to offer them a home in the heart of London, on Regent Street.

Brityard was initially a directory before becoming a drop-shipping ecommerce website, but has now developed into an immersive retail, hospitality and events destination. Re-imagining the use and monesitation of retail space is key to the Brityard concept, and offers them a wide variety of options to expand their additional revenue sources.

“Re-imagining the use and monetisation of retail space is key to the Brityard concept, whether that be through memberships, pop-ups, events and or even private space hire to a wider audience. We are still very early stage but our core revenue stream is B2B subscriptions, memberships, with hospitality, retail and events revenue in addition to this. Our partners in each of these core areas invariably present further additional opportunities for us to explore.”

The interesting concept in this report is simply how the definition of additional revenue varies depending on each business. Some have chosen the route of loyalty and subscriptions, whereas others have adopted retail media space for selling advertising, demonstrating the vast multitude of opportunities when looking to add additional revenue streams to any business. By speaking with these business leaders, as well as more from OnBuy, Elvis & Kresse, COOK, Ribble and Furniturebox, this report provides great insight into what large businesses are doing today in order to diversify their revenue streams and ensure they are bolstering their bottom line.

Read insight from all eight business leaders by downloading the full report today, Diversifying Revenue Streams, and see how your business can benefit from additional revenue streams today.

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How TikTok Shop is becoming the UK’s next big ecommerce powerhouse https://www.retailgazette.co.uk/blog/2024/11/how-tiktok-shop-is-becoming-the-uks-next-big-ecommerce-powerhouse/ https://www.retailgazette.co.uk/blog/2024/11/how-tiktok-shop-is-becoming-the-uks-next-big-ecommerce-powerhouse/#respond Tue, 05 Nov 2024 07:04:15 +0000 https://www.retailgazette.co.uk/?p=176075 As social commerce rises, TikTok Shop is quickly emerging as a major player in the UK’s ecommerce market.

With over half of those aged 15 and older in the UK using TikTok, its blend of entertainment and commerce is transforming how consumers discover and shop. Brands are leveraging TikTok Shop to reach new audiences, drive viral sales, and unlock new revenue streams.

This article explores TikTok Shop’s growth, its impact on ecommerce, and how brands can capitalise on this channel for success.

The power of TikTok influencers

TikTok’s success as an ecommerce platform can be largely attributed to its community of influencers. These creators don’t just entertain – they build trust and drive purchase decisions through their content. By tagging products directly in videos or during live streams, influencers offer a seamless shopping experience that turns viewers into customers without ever leaving the app.

“TikTok influencers are crucial to the success of TikTok Shop because they engage followers through authentic content that drives sales directly within the app,” explains Nick Grant, marketing director at adQuadrant. “Their real-time engagement, strong follower trust, and compelling content make them indispensable to TikTok Shop’s explosive growth.”

Influencers often act as affiliates, earning a commission on each sale they generate. This model has contributed significantly to TikTok Shop’s Gross Merchandise Value (GMV), with creators playing a central role in driving sales. By integrating entertainment and ecommerce, TikTok Shop allows influencers to connect with followers in new ways, creating powerful moments of discovery that lead directly to conversion.

How are UK brands finding success on TikTok Shop?

UK brands are taking advantage of TikTok Shop to boost their presence and drive sales, with the beauty category leading the way. Challenger brands like Made by Mitchell, P Louise, and Nature Spell have successfully leveraged the platform as their primary sales and marketing channel, achieving significant growth and visibility.

“TikTok Shop is quickly cementing itself as a powerhouse in ecommerce because it’s converting its large, highly engaged user base into shoppers,” says Ben Muir, CEO of Unsociable. He emphasises that “successfully utilizing affiliate marketing can create a tsunami of virality which drives huge revenue and visibility.”

This viral success on TikTok Shop isn’t confined to the app itself. Muir explains how the ripple effect often extends beyond TikTok, impacting other sales channels like direct-to-consumer websites, Amazon, and even physical retail stores. “When a brand gains virality on TikTok, it can feel like they are everywhere in the minds of target consumers,” Muir adds. “We had a brand go viral earlier this year, and it led to a retail listing in Tesco.”

This ability to create massive awareness and demand showcases TikTok Shop’s unique advantage over traditional ecommerce platforms. By achieving virality, brands not only capture the attention of digital shoppers but can also leverage this popularity to secure partnerships with major retailers. It’s a powerful testament to TikTok’s blend of social engagement and ecommerce, helping UK brands elevate their presence and influence far beyond the app.

Trends shaping the future of TikTok Shop

TikTok Shop is poised to continue growing. One of the most notable trends is the rise of LIVE shopping, which mimics the concept of home shopping networks but with the added interactivity and reach of social media. Brands and creators are increasingly hosting real-time events that enable viewers to shop instantly.

“In the next 12-18 months, we expect to see rapid growth in LIVE shopping, influencer marketing, and personalized experiences,” shares Grant. “Augmented Reality (AR) is also set to expand, allowing users to virtually try on products before buying. Influencer partnerships will continue to be a critical driver of viral sales.”

The use of AR filters, gamified shopping experiences, and TikTok-exclusive discounts are all part of a broader strategy to create an immersive, engaging shopping environment. With TikTok Shop, brands are not just capturing demand – they’re creating it.

Practical steps for TikTok Shop success in the UK

TikTok Shop sets itself apart by inspiring purchases through engaging content, allowing brands to connect with consumers in new and unexpected ways.

With TikTok’s heavy investment in live shopping — already a massive success in Asian markets — UK brands have new opportunities to create moments of serendipitous discovery. Live shopping, combined with real-time engagement and influencer partnerships, makes TikTok Shop a powerful platform for retailers aiming to expand their reach and boost sales.

By leveraging TikTok’s unique blend of entertainment and commerce, brands can connect with consumers meaningfully, drive conversions, and unlock new revenue streams. TikTok Shop isn’t just a trend – it’s reshaping ecommerce. For brands eager to reach new audiences and accelerate growth, now is the time to get on board.

About Linnworks

Linnworks is a leading provider of inventory, order and warehouse management solutions for ecommerce retailers. Our solution brings three core attributes to the retailer: connectivity to a diverse number of marketplaces, automation to traditionally time-consuming ecommerce processes and a centralised platform to manage listings, inventory, orders and shipments. Learn more at www.linnworks.com.

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Best loyalty programs 2025: what makes them stand out and learnings from the US https://www.retailgazette.co.uk/blog/2024/11/best-loyalty-programs-2025-what-makes-them-stand-out-and-learnings-from-the-us/ https://www.retailgazette.co.uk/blog/2024/11/best-loyalty-programs-2025-what-makes-them-stand-out-and-learnings-from-the-us/#respond Mon, 04 Nov 2024 07:08:55 +0000 https://www.retailgazette.co.uk/?p=175920 For deeper insights into the top loyalty programs 2025, check out the report from Talon.One, “Loyalty strategies for 2025: Lessons from best-in-class loyalty programs.”

As technology evolves and consumer behaviors shift, understanding what makes customers tick—and what kind of loyalty program will resonate—is at the top of business’ agenda for 2025. Today’s top enterprises understand that a well-crafted loyalty program doesn’t just reward, it forges lasting relationships by incentivizing every customer action across every channel. Research shows that when consumers feel appreciated:

  • 88% plan to stay with the brand
  • 83% intend to spend more
  • 87% are willing to advocate for it.

From retail to the QSR industry, loyalty is no longer a ‘nice-to-have;’ it’s a business imperative. In this blog, we’ll explore how six standout loyalty programs pull it off, each setting the pace for what it means to win customer hearts in 2025.

Best loyalty programs 2025: The programs we love

H&M’s loyalty program: Where loyalty stays in style

At the top of U.S. apparel loyalty programs in 2023, H&M excels in transforming casual shoppers into passionate brand advocates. Their loyalty program, H&M Membership, captivates customers at every touchpoint, delivering personalised perks that drive repeat purchases and champion sustainable shopping behavior.

Program at a glance:

  • Launched in 2017
  • 10% off welcome offer
  • Two-tier structure (Core, Plus)
  • Free shipping on all orders for Plus members

Why do we love H&M’s loyalty program?

  • Straightforward digital onboarding: H&M’s loyalty program offers a quick and easy digital sign-up, requiring only basic information. This simple process captures zero-party data while ensuring customers can join in minutes.
  • Tiered membership for premium rewards: The program’s two-tier structure incentivizes spending, with Plus members unlocking special benefits like free shipping, early access to collections, and unique experiences such as exclusive invites to fashion shows once they hit 500 points.
  • Sustainability-driven incentives: H&M aligns its loyalty program with sustainability efforts, rewarding members with $15 coupons for recycling clothing in-store through its garment collecting program.
  • Omnichannel loyalty experience: Members earn and redeem points seamlessly across online, in-app, and in-store channels, creating a unified and personalised shopping experience with their digital Member ID.

First in line for luxe: How The RealReal drives loyalty

The RealReal is one of the US’ most successful online marketplaces to buy and sell luxury goods. Its subscription loyalty program, First Look, sets a new standard by integrating luxury with sustainability, and delivers value to customers while supporting environmental goals.

Program at a glance:

  • 2-tier subscription model, ranging from $12 to $49.95 per month
  • 24-hour early access to new arrivals
  • Members-only secret sales
  • Unlimited free shipping for Platinum members

Why do we love The RealReal’s loyalty program?

  • Personalised experiences at scale: Personalization is at the core of The RealReal’s loyalty strategy. The platform customizes every interaction based on individual customer behaviors, from purchase history to product preferences. Whether it’s exclusive product curations or personalised “New Arrivals” emails, The RealReal ensures that members see the most relevant items across all channels.
  • Exclusive access to pre-owned luxury: First look gives members 24-hour early access to 20,000 new luxury items daily. It caters to shoppers’ desire for exclusivity, offering secret sales, curated collections, and birthday perks, making speed a top priority for their most engaged customer base.
  • Incentives for consignment: In 2023, the company revamped its loyalty program to offer consignors a clearer view of their earnings timeline, while also enhancing incentives across all tiers. The incentives promote a circular economy where customers actively participate in sustainable fashion practices.

“Our loyalty program members are our most engaged shopper base. People see value in First Look because things are so one-of-a-kind and covetable on the site.” Kerri-Ann Butcher, Senior Dir. of Lifecycle, Loyalty & Retention Marketing, The RealReal

Adidas goes the extra mile with adiClub

Adidas’ loyalty program, adiClub, is designed to engage and reward customers for their fitness activities and purchases. Launched in 2022 to replace the previous membership program, adiClub provides a range of benefits that cater to both sports enthusiasts and fashion lovers, creating a community focused on active lifestyles.

Program at a glance:

  • Free to join
  • Four-tier program
  • 10 points earned for every $1 spent
  • Free shipping for all members

Why do we love Adidas’ loyalty program?

  • Points for purchases—and workouts: Members earn points for every dollar spent, as well as for tracking workouts through the Adidas Running and Training apps. This dual approach incentivizes both shopping and fitness engagement, allowing members to accumulate points quickly.
  • Tiered membership levels: adiClub features a four-tier structure, where members unlock increasing benefits as they accumulate points. Higher tiers provide access to exclusive products, special events, and level-specific perks.
  • Exclusive access and offers: Members receive early access to sales, limited edition releases, and members-only products. This exclusivity fosters a sense of belonging and excitement around new drops and promotions.
  • Experiential rewards: adiClub stands out with unique, non-monetary rewards like raffles for signed merchandise, access to member-only products, and once-in-a-lifetime experiences like training with top athletes.

“At AdiClub, we’re revolutionizing loyalty by transcending transactions; we’re fostering meaningful interactions.” Jorge Lluch, Global Loyalty Director, Adidas

Sephora’s Beauty Insider: The Blueprint for customer loyalty

Launched in 2007, Sephora’s Beauty Insider program allows members to redeem their points for exclusive rewards. With a tiered structure that enhances the shopping experience, Beauty Insider not only fosters customer loyalty but also builds a vibrant community of beauty lovers.

Program at a glance:

  • Free to join
  • Three-tier structure (Insider, VIB, Rouge)
  • 1 point earned for every $1 spent
  • $1000 annual spend required for top tier

Why do we love Sephora’s loyalty program?

  • Member-only rewards and promotions: Members receive access to exclusive discounts during Sephora’s seasonal sales events, birthday gifts, and tier-specific rewards, enhancing the overall shopping experience.
  • Gamified experiences for all members: Sephora’s Beauty Insider program sets the bar for using gamification to boost retention. With its Beauty Insider Challenges, members can rack up points through interactive experiences, not just purchases. Whether it’s buying online and picking up in-store, subscribing to text alerts, or adding samples at checkout, these tasks offer 100 points each—making engagement as rewarding as it is fun.
  • Beauty Insider community: The program allows members to connect, share beauty tips, and engage with one another, fostering a sense of belonging and community among beauty enthusiasts.

“Last year we launched Beauty Insider Challenges, which is a really fun way to connect loyalty benefits with experiences at Sephora. We’re really happy to partner with Talon.One as our strategic partner for launching this new benefit of being a Beauty Insider. ” Emeline Berlind, Senior Vice President and General Manager of Loyalty of Sephora

Wendy’s Rewards turns meals into moments

Launched in 2020, Wendy’s Rewards mirrors the company’s core promise: “Quality is our recipe.” The program elevates this commitment, offering customers a premium experience through personalised incentives that feel as fresh as their menu.

Program at a glance:

  • Free to join
  • 10 points earned for every $1 spent
  • Points available across the entire menu

Why do we love Wendy’s loyalty program?

  • Member-friendly mobile app: After a $15 million investment in its mobile app, Wendy’s loyalty program saw a 40% increase in active users by Q1 2024, growing to over 6 million monthly users and a total membership exceeding 40 million.
  • AI-driven personalization: Wendy’s uses AI within its loyalty program to create personalised offers based on individual customer preferences and purchase history, ensuring rewards remain relevant and appealing. Wendy’s also offers personalised support, whether through AI-powered interactions in the app or assistance from a member of the customer service team.
  • Omnichannel point redemption: The program allows customers to redeem their points through various platforms. Whether using the Wendy’s app, website, or in-store by scanning a QR code, customers can easily access their rewards.

“We see [the program] as a really positive tool to create this loyalty, and engagement allows us to understand our customer better. Kirk Tanner, President and CEO, Wendy’s

Chick-fil-A serves up fast food and faster rewards

According to the Market Force QSR Study 2024, Chick-fil-A now counts the second-most loyal customers in the fast food space. Chick-fil-A One exemplifies the brand’s dedication to customer care and loyalty as well as prioritizing community support.

Program at a glance:

  • Launched in 2016
  • Four-tier structure (Member, Silver, Red, Signature)
  • Birthday perk (a special sweet treat)

Why do we love Chick-fil-A’s loyalty program?

  • Personalization through AI-powered app: Chick-fil-A uses its mobile app to deliver personalised experiences, from tailored menu suggestions to rewards based on past purchases. The app’s AI and machine learning capabilities ensure every customer interaction feels bespoke, exemplified by their geofencing-powered “3 Threez in the 3rd” campaign during Sacramento Kings games.
  • Customer-centric rewards system: The program prioritizes customer desires for discounts and free products. With points that never expire and flexible redemption starting at just 200 points, Chick-fil-A makes its rewards accessible and engaging. The program’s alignment with customer preferences for practical benefits keeps loyalty participation high, without the pressure of expiring points.
  • Community building and charitable causes: Chick-fil-A strengthens loyalty by creating emotional bonds through community initiatives like the Inspiration Awards Program and charitable programs such as the Shared Table Program. Their focus on trust and transparency helps build a deeper connection with customers.

“We are building success one loyal customer at a time, and we make sure that everyone who comes in leaves with the intention of coming back.” Truett Cathy, Founder, Chick-fil-A

For deeper insights into the top loyalty programs 2025, check out the report from Talon.One, “Loyalty strategies for 2025: Lessons from best-in-class loyalty programs.”

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Data shows alarming level of consumer trust in food delivery hygiene standards https://www.retailgazette.co.uk/blog/2024/11/trust-in-food-delivery-hygiene-standards/ https://www.retailgazette.co.uk/blog/2024/11/trust-in-food-delivery-hygiene-standards/#respond Sun, 03 Nov 2024 11:59:51 +0000 https://www.retailgazette.co.uk/?p=175465 Brits are ordering more food than ever before to their doorsteps. In fact, the increase in market share for home deliveries is expected to see a continued annual uptick of around 8.4% year on year for the foreseeable – according to data from commercial kitchen firm Dephna. 

However, as this demand increases, consumers have high expectations for their food delivery experiences, and for improvement. A recent survey by CCS McLays has uncovered that UK consumers are highly concerned about the hygiene and safety of their food deliveries.

A resounding 86% of those surveyed by CCS McLays believe it’s the responsibility of food outlets to ensure their food arrives secure and tamper-free, with nearly half (49%) demanding tamper-evident packaging as standard.

For retailers, a negative delivery experience can leave a lasting impact, with 44% of Brits saying they wouldn’t reorder from a provider after a single unsatisfactory experience. That figure rises among older customers: only 14% of those aged 25-54 and six per cent of those aged over 55 would consider giving a provider a second chance. 

As Ian Hall, CEO of packaging experts CCS McLays, points out, “UK consumers are becoming increasingly unforgiving. Today, it’s about nailing the essentials – secure, fresh, tamper-free food deliveries. One slip-up, and they’re gone.”

Widespread concerns over hygiene and quality

A recent YouGov survey, conducted among 2,000 GB adults, shed light on high levels of concern over the safety and quality of food in transit. 

A significant 55% of respondents worry about hygiene standards, while one in ten believe their food has been tampered with en route. Among younger consumers in the 18 to 24 age range, nearly a quarter (24%) report concerns over tampering, signalling a potential tipping point in trust among the UK’s digital-native generations.

The consequences of compromised food safety don’t stop with lost orders. In today’s socially connected world, dissatisfied customers are not shy about making their voices heard. Two thirds (66%) say they would complain directly to the brand, 38% would warn friends, and 17% would take to social media to post a negative review. 

With so many options in the delivery space, customers will go elsewhere, and quickly, if standards fall short.

Consumers’ top delivery concerns: What needs to change?

It’s not just tampering that’s on the minds of British consumers. The survey highlighted several consistent pain points with food delivery, from temperature issues to missing items:

  • Food temperature: 53% say their food didn’t arrive at the right temperature
  • Missing items: 50% cite concerns about not receiving their full order
  • Wrong orders: 40% report receiving incorrect items
  • Poor food condition: Over a fifth (22%) have been disappointed by the state of their food on arrival
  • Damaged packaging: 21% are concerned about the condition of packaging

What’s the takeaway? Consumers want more than a delivery – they want a seamless, secure experience. Key factors they say would improve the delivery experience include timely arrival (60%), sealed containers (50%), clear tracking (50%), and tamper-evident packaging (49%).

Securing trust in the future of food delivery

The call for tamper-evident food delivery packaging is clear. As Ian Hall puts it, “Consumers are demanding urgent action. It’s not about flashy extras;  giving a great customer experience simply means secure, fresh, tamper-free food.”

With consumer demand edging toward regulatory requirements seen in places like California, UK food outlets would do well to adopt packaging innovations that not only protect their food but strengthen their brand trust.

To help food outlet providers meet the  demand for secure deliveries, CCS McLays has launched its Seal2Go tamper-evident food delivery bags in the UK. 

The bags are designed to keep food safe with an integrated tamper-evident system that includes foldable adhesive closure tabs and tamper-proof score cuts. This system offers an added layer of visible security for the restaurant, delivery driver, and consumer alike. 

In a market where customer loyalty can hinge on a single experience, the arrival of tamper-evident packaging like Seal2Go represents more than just a security measure. 

It’s an opportunity to keep consumers coming back by offering the peace of mind they’ve been waiting for. For brands, this might just be the key to lasting success in an increasingly competitive landscape.


 

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Listen: How can retailers defend themselves in a world filled with fraud? https://www.retailgazette.co.uk/blog/2024/10/retailers-defend-fraud/ https://www.retailgazette.co.uk/blog/2024/10/retailers-defend-fraud/#respond Fri, 18 Oct 2024 05:00:59 +0000 https://www.retailgazette.co.uk/?p=174554
In 2023 alone, cyber attacks and fraud cost UK retailers a staggering £11 billion in lost revenue.

That’s a huge chunk of money to lose at any time, but with retail margins currently razor thin, for many it could be the difference between a healthy turnover, and ceasing trading.

Retailers need protection from bad actors looking to commit nefarious acts. But with the evolution of criminal tools moving at lightning speed, how is it possible to stay ahead?

To answer that question, we’re turning to Eric Horgan, the chief product officer for Europe at card transaction experts Elavon. In the first episode of Retail Gazette’s brand new Unpacked podcast, Horgan sits down with host Kieran Howells, and gets into the nitty gritty of stemming return policy abuse, combatting online payment fraud, stopping phishing attacks in their tracks, and understanding AI’s role in fuelling fraud.

The conversation offers definitive answers on how you can protect yourself and your customers from devastating losses, and what being perpetually safeguarded from cyber criminals really looks like.

For more insight into protecting your business from fraud, download Elavon’s latest report, ‘Five ways retailers can combat the rising threat of fraud’.

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