Revolution in commerce and growing market
The significance of online and mobile commerce for business income is increasing. Brick and mortar is still holding up, but digitalisation is gaining foothold in the background.
As consumers’ buying habits change, retailers change their operating models. The significance of online and mobile commerce as a source of business income is increasing, but its impact on operating models is even bigger: as many as 50 percent of all the purchases made in traditional stores have been affected by online channels.
However, brick and mortar is still holding up. According to Gartner’s forecast, 72% of business income flows will continue to come from traditional stores. However, even brick and mortar will have to adopt digitalisation; otherwise, the positive impact generated by online channels on sales gures will not materialise.
According to a survey conducted by Gartner for Finnish business and ICT decision makers, the most important investment targets for them are the improvement of customer experience and the development of digital products and services. The creation of preconditions for omnichannel commerce is seen as a necessity.
B2B commerce follows consumer commerce trends. The digitalisation of commerce is expanding from B2C to B2B. A mere digital product catalogue does not serve as an online sales model any more. Industrial online stores are expected to offer the same functionalities as the customers of our clients are used to in online retail stores. As in the digitalisation of consumer retail, this trend puts increasing pressures for the further development of backend systems.
We have two main types of competitors. In more traditional retail and hospitality solutions, such as store systems, our main competitors are major software companies. In applications and marketing services, the range of competitors is much wider. But we are the only company in the Nordics that is focused in the eld of commerce.
We differentiate ourselves from the competitors by offering solutions that cover the entire supply chain and a high level commerce expertise. We are agile. We are large enough to be a trustworthy partner, but at the same time, we are small enough to serve our clients in a exible, innovative manner.
Economic and social megatrends that affect Solteq’s business operations
Especially four global social and economic megatrends offer Solteq several growth opportunities related to digital commerce in the company’s current and potential markets.
Urbanisation will increase offering and demand in both traditional and digital commerce. At the same time, increased leisure time will enhance consumption.
Digitalisation of commerce
Consumer behaviour has been an important change agent in the digitalisation of commerce. Consumers have readily adopted online shopping. Digital commerce will expand possibilities and product ranges for both stores and consumers. At the same time, the significance of efficient and customer-oriented online retail as a competitive advantage and point of difference will increase. Digitalisation will increase the number of retailing channels and fragment the offering.
Internationalisation of commerce
Efficient, customer-oriented logistics will be increasingly important in commerce. Logistics will play a key role as an enabler of global e-commerce. Multichannel commerce and digital marketing will open up international markets to retail operators of all sizes; e-commerce has no borders.
Strengthening role of mobile services
Mobile buying and paying alternatives are increasing fast. Consumers are going mobile. According to Gartner, more than 80% of the millennials sleep with their smartphones.