Interview • 30.03.2016

“The internet of things will emanate a strongly disruptive power“

Interview with Ralf Schienke, Retail Marketing Management Germany at Fujitsu

Ralf Schienke: The Iot will give the retail industry a strong competitive edge....
Ralf Schienke: "The Iot will give the retail industry a strong competitive edge. However, it is essential to include and inform those people affected by this type of reorganization by using successful change management".
Source: Fujitsu Technology Solutions GmbH

In these times of digitization, EuroCIS 2016 shone a spotlight on the big megatrends – for instance, the Internet of Things, IoT. The chance to make individual products “visible“ online, offers the retail industry great potential, especially in the areas of production and supply chain management. We spoke with Ralf Schienke, Retail Marketing Manager Germany at Fujitsu, about the current situation and the future of the IoT in retail.

Mr. Schienke, how strongly will the Internet of Things influence the retail industry? 


The Internet of Things (IoT) will have a similarly large effect on our daily lives as the Internet already exerts today. In the future, more and more animate and inanimate objects, that being buildings, clothing articles, groceries, plants, and animals will have IP addresses and computing power and therefore, be able to provide information about themselves and their environment.

According to the latest estimates by consulting companies like IDC, from an IT perspective, Earth will gain approximately 50 billion new “inhabitants“ by the year 2020. This change will strongly alter the society as a whole and subsequently also the retail sector. 

What new specific services are possible in retail by using the IoT? 

The Internet of Things will emanate a strongly disruptive power on products and the services industry: these products will be linked to the IoT during their entire lifecycle: during their development, distribution, sales and during use by the consumer. 

In the long run, it makes no difference whether we talk about food retailing, textile retailing or other areas. The integrated IoT services will hugely influence the design, cost and value for the customer. This will also significantly change the character as well as the potential of products and services. 

Let’s take food expiration dates for example that incorporate the real conditions of storage and the cold chain. Or products that are able to provide information about their origins, ingredients or their proper application. The IoT creates an added value. This is why a key question for retail will be who provides the services for this and who creatively uses and monetizes them.

The consistent shopping experience across all channels makes the crosslinked...
The consistent shopping experience across all channels makes the crosslinked store an important competitive advantage for retailers.
Source: Fujitsu Technology Solutions GmbH

How exactly do customers benefit from the new possibilities? 

Think of the goods that need to be at the right place at exactly the right time or products that better meet the individual expectations of their users. Patients receive individualized medical care because relevant information can be utilized thanks to wearables. Daily shopping is automated and become services that make daily life drastically easier.

The so-called omnichannel strategy is an important preliminary stage for this, but the Internet of Things also significantly increases the number of channels and touchpoints that need to be integrated. In light of this, the “omni“ moniker has perhaps been assigned a bit too early.

What retail areas can especially benefit from this?

The Internet of Things will greatly influence production and the supply chain: thanks to new information value loops, inefficiencies will be eliminated at many steps in the value chain, making significant cost and time savings possible. Sales data is transferred faster and more accurately into production and is going to help in saving energy and raw materials. Overproduction and the subsequent write-offs will be drastically reduced. 

Customer behavior such as motion patterns in the store will become better trackable and allow very accurate conclusions about the optimal store layout. Processes in warehouse and distribution centers most notably have lots of room for improvement as was already evident in several realized projects by Fujitsu.

What is the best way for retailers to proceed if they want to take advantage of the new possibilities?

We suggest identifying attractive pilot applications that allow concrete improvements in efficiency. We also recommend developing new products and services in fast test cycles and involving partners such as Fujitsu early on in the process to gather experience faster. This lets you quickly scale the application areas.

The Iot will give the retail industry a strong competitive edge. However, it is essential to include and inform those people affected by this type of reorganization by using successful change management. Regardless of whether those are employees or customers.

Interview: Daniel Stöter, iXtenso.com

related articles:

popular articles:

Thumbnail-Photo: Automated delivery services sprang up during China’s Covid-19 lockdown...
03.06.2020   #coronavirus #delivery

Automated delivery services sprang up during China’s Covid-19 lockdown

Retail technologies at Smart Retail Expo (SRE 2020)

In response to the Covid-19 outbreak, China’s retail giants JD.com and Meituan both deployed their smart deliver robots/vehicles in heavily locked down cities, such as Wuhan and Beijing. Insiders believe automated delivery technology will be ...

Thumbnail-Photo: COVID-19 accelerates adoption of contactless payments...
20.05.2020   #payment systems #coronavirus

COVID-19 accelerates adoption of contactless payments

Consumers around the world are switching to contactless to help with social distancing

RBR’s Global Payment Cards Data and Forecasts to 2024 reportreveals how increased contactless card issuance and acceptance combined with changes in consumer behaviour are driving growth in contactless payments. In 2018, the number of ...

Thumbnail-Photo: Electronic shelf labels: photo store introduces new technology...
09.05.2020   #electronic shelf labels (ESL) #electric displays

Electronic shelf labels: photo store introduces new technology

Cooperation between Photografica and Delfi Technologies

Photografica is a professional photography store in the heart of Copenhagen. Here, personal counseling and service play a crucial role. To the benefit of both employees and customers, the store has installed electronic price tags.With a central ...

Thumbnail-Photo: Reflexis successfully expands into Baltic region by signing Maxima Latvia...
08.07.2020   #POS communications #workforce deployment

Reflexis successfully expands into Baltic region by signing Maxima Latvia

Region’s leading retail chain chooses workforce management solution

Reflexis Systems, the leading provider of intelligent workforce management and execution solutions for multi-site businesses in retail, food service, hospitality and banking, today announced that Maxima, one of the largest Latvian retail chains, has ...

Thumbnail-Photo: Hobbii continues the growth adventure …
23.06.2020   #POS systems #brick and mortar retail

Hobbii continues the growth adventure …

… with new stores and several digital initiatives

The online store Hobbii.dk continues the opening of physical stores with the launch the third store in Tarup shopping center in Odense, Denmark. The close collaboration with Delfi Technologies, which is based on several digital initiatives, will ...

Thumbnail-Photo: Disposition and shelf maintenance in times of Corona...
19.08.2020   #POS marketing #shop equipment

Disposition and shelf maintenance in times of Corona

Tools for shelf management

The CPG industry is currently experiencing turbulent times just as much as retail. Challenges such as the ban on field sales force visits or the sudden increase in demand for some articles, which leads to gaps in the shelf and loss of sales, are ...

Thumbnail-Photo: Stay safe with VariPOS
11.05.2020   #cashpoints #terminals

Stay safe with VariPOS

How technology helps – Stay safe at the point of sale

Technologies for product identification and payment authentication are great for improving the customer experience with speed and accuracy, but these technologies are also being seen as beneficial in the wake of the Coronavirus Pandemic. ...

Thumbnail-Photo: Behind the curtain: Inside Amazon
18.05.2020   #online trading #marketing

Behind the curtain: Inside Amazon

A Frankfurt startup helps sellers to improve their ranking on the platform

"I want to successfully promote and sell my products on Amazon" - that's the goal of many sellers. It comes as no surprise as the Seattle-based online store has evolved to become the largest e-commerce marketplace in Europe since its ...

Thumbnail-Photo: Quantity discount on the WIMIsys PT51!
05.08.2020   #POS systems #displays

Quantity discount on the WIMIsys PT51!

From now until September 30th: 10% discount on the WIMIsys PT51 POS System when purchased together with a Swissbit TSE solution

Are you looking for TSE compliant POS solution for your customers in bakery, restaurant or retail shop? ...

Thumbnail-Photo: The safety barrier you need right now
02.06.2020   #customer satisfaction #security

The safety barrier you need right now

Poindus ProShield is an effective protection screen.

Safeguards like social distancing implemented in-store during staff-customer interactions are enhanced with our ProShield, an effective protection screen that provides an additional layer of protection for cashiers & customers at the point of ...

Supplier

SALTO Systems GmbH
SALTO Systems GmbH
Schwelmer Str. 245
42389 Wuppertal
APG Cash Drawer
APG Cash Drawer
4 The Drove
BN9 0LA Newhaven
Apostore GmbH
Apostore GmbH
Uferstraße 10
45881 Gelsenkirchen
Poindus HQ - Taiwan
Poindus HQ - Taiwan
5F., No.59, Ln. 77, Xing-Ai Rd.,Neihu Dist.
Taipei City 114
POS TUNING Udo Voßhenrich GmbH & Co KG
POS TUNING Udo Voßhenrich GmbH & Co KG
Am Zubringer 8
32107 Bad Salzuflen
Reflexis Systems GmbH
Reflexis Systems GmbH
Kokkolastr. 5-7
40882 Ratingen
CCV GmbH
CCV GmbH
Gewerbering 1
84072 Au i.d.Hallertau
Delfi Technologies GmbH
Delfi Technologies GmbH
Landgraben 75
24232 Schönkirchen
Adasys GmbH – a Poindus Company
Adasys GmbH – a Poindus Company
Max-Planck-Straße 10
70806 Kornwestheim