Cloud Computing is turning heads in the retail industry
The evolution of the cloud in the retail industry has offered businesses a new lease of life. Several retailers today consider cloud solutions as their catalysts to business enhancement and growth. Thanks to the rapid rise of cloud computing solutions! Although cloud’s introduction into the retail sector did not initially pull a large crowd, the fast-paced advancements in cloud computing sparked interest amongst the retailers in recent years. With technology being positioned at the core of business operations today, retailers have started to discern the importance of cloud computing in their operational model.
Tracing back to the initial days of cloud in retail – Businesses started to adopt cloud only to store and retrieve large amounts of data with ease. But the cloud journey was never intended to be a flat curve; the constant advancements in the cloud led to a new phenomenon called “cloud computing.” Beyond just being a data storage solution, the cloud extended its capabilities and powered businesses to gain a competitive advantage with its limitless solutions. From processing real-time data insights to revamping the operational model and enhancing customer experience, cloud computing is playing a pivotal role in changing the face of the retail business.
A study by Fortune Business Insights reveals that the global Retail Cloud market held a revenue of US$ 11.89 Bn in 2018, and it is anticipated to grow at a CAGR of 16.3% during the forecast period (2019 – 2026).
Let’s look at how cloud computing helps retailers transform their business operations and stay ahead in the ever-changing retail market.
Significant benefits of cloud computing in the retail industry
Cloud computing is more of a one-stop solution – from replacing your legacy systems to enhancing profitability, the cloud has turned out to be the new magic band for retailers.
As the advancements in cloud technology continue to grow, retail businesses today have a better view of cloud solutions, unlike before. A large number of retailers have started to unravel the benefits of cloud computing and its significant importance in transforming businesses. Like every other industry that is undergoing technology transitions, the retail sector is also keen on extending its capabilities and adapting to the latest technology solutions.
Now, let’s a look at the impact of cloud computing solutions in retail.
Cloud is revamping inventory management:
Cloud is helping retailers solve their operational challenges with the latest cloud computing solutions. Today, several retail businesses are leveraging the latest cloud solutions to solve one of their most common challenges – “inventory management.”To manage multiple stores at diverse locations and accurately keep track of the real-time stock data is a world of pain for the retailers. Considered one of the most important and time-consuming tasks in the operational model, “inventory management” holds the retail business’s root. Hence, it’s essential for retailers to have a structured inventory management process in place to ensure seamless business operations.
The introduction of cloud-based inventory management completely transformed the retail industry’s operational model. The tiresome traditional methods of stock management are now replaced by business automation. Rather than having separate inventories for each store, the cloud-based system synchronized multiple store inventories under one roof. This enabled the retailers to have quick access to real-time stock data across stores with ease. Cloud’s timely inventory updates and real-time visibility of stock data have made inventory management look hassle-free.
Cloud is replacing the traditional POS systems
Retail businesses face a lot of hiccups in the traditional or on-premises POS systems. Be it downloading simple sales reports or accessing real-time data, the traditional POS systems require a lot of processing time, even for the simplest of tasks. On the other hand, cloud-based POS systems facilitated by business automation help retailers pull the sales reports and transaction details in quick time. Centralizing the sales, inventory, and customer data under one cloud-system, the cloud-based POS offers greater agility and flexibility to the operational model. Leaving behind the need for manual POS updates and on-site support, the cloud POS systems have the upper hand when it comes to effortless maintenance. Some of the key benefits of cloud-based POS systems are:
- Access to real-time transactional data
- Increased data visibility and security
- Reduced downtime (POS updates)
Taking customer experience a step further with the cloud
One of the most underrated benefits of cloud computing is its ability to enhance the customer experience. It’s crucial for retail businesses to understand their customers better to meet their demands and requirements successfully. The latest cloud computing solutions assisted by big data and analytics aid retailers to have better insights on the customer buyer journey and also predict their buying behavior. The cloud’s ability to store, process, and analyze heaps of customer information is proof of its exceptional computing abilities. Data analytics also help retail businesses to segment their audience based on diverse categories, strategize specific marketing plans and target them better. Enhancing customer experience results in better customer retention rates and higher profits.
Offer greater data security with the cloud
How secure is your data in the cloud? – Whenever cloud conversations pop up in the retail space, the cloud’s data security has always been a question of debate. When compared with on-premises storage, Cloud promises improved data security and data protection methods. As retail businesses deal with a large amount of confidential data day in and day out, it’s critical to have a highly secured data security plan to prevent network infiltration, DDoS attacks, and ransomware. By leveraging advanced firewalls, data encryption techniques, and security measures – the cloud promises improved data security to all kinds of business-sensitive data.
Reduce operational costs by moving to the cloud
With the increasing technology transitions in the retail industry, several businesses have begun their digital transformation journey by moving to the cloud. The introduction of the latest technology solutions has forced retailers to revamp their operational models and modernize their technology infrastructure to meet the modern market demands. Retail businesses still relying on outdated legacy applications and on-premises infrastructure are slowly moving their business operations to the cloud to reduce their operational costs. Moving to the cloud helps retailers save on their IT infrastructure costs, licensing fees, maintenance, and support costs. Cloud’s diverse service models will allow retail businesses to choose the best-suited operational model and pay only for what they use. By moving to the cloud, retail businesses can completely eliminate the need for any upfront capital costs.
Accelerate your journey to the cloud
The cloud movement in the retail industry has completely forced a paradigm shift in the operational model. Today, several retail businesses are leveraging the latest cloud computing solutions to improve their operational efficiency and be more agile to the changing technology requirements.
The change is happening at lightning speed, and it’s crucial that you make your move to the cloud right now. Accelerate your journey to the cloud before your outdated legacy applications and IT infrastructure deteriorates your business growth. Take a fast track to cloud migration success by partnering with us. As a Microsoft Certified Partner, our impeccable experience in Azure cloud computing solutions will power your business forward.
Talk to our experts and get to know how our cloud computing solutions could redefine your business journey.