The retail industry has undergone significant changes over the past decade. From the rise of e-commerce shopping redefining how consumers shop to omnichannel retail providing customers with multiple convenient shopping options, the landscape has evolved significantly. However, despite the convenience of online shopping, many customers are returning to brick-and-mortar. 

According to Statista, in 2024, brick-and-mortar retail channels generated an estimated $21.8 trillion in sales worldwide, contributing significantly to total retail sales of approximately $29 trillion. This shift in consumer shopping behavior isn’t simply a trend – it demonstrates an increasing appetite for in-person shopping experiences, immediate product access, and human interaction.

Tangible shopping experiences 

According to BoF-McKinsey State of Fashion 2025, 54% of apparel shoppers prefer to buy clothing in brick-and-mortar locations versus online. One of the key driving factors behind shoppers’ return to physical stores is the opportunity to see, touch, and try products before purchasing. Whether physically trying a new product or evaluating the quality of items, shoppers find in-person shopping experiences more reliable. 

Additionally, the sensory experience of shopping – the ability to feel the fabric, assess the true color, or even the simple joy of browsing – is something that shoppers crave and cannot completely receive through online shopping. 

However, there are significant opportunities for retailers to capitalize on in-store footfall. According to the same BoF-McKinsey report, 75% of shoppers in 2022 were likely to spend more after receiving high-quality service from store personnel, indicating upsell and cross-sell opportunities. However, more than 60% of shoppers cited poorly trained or prepared staff as a cause of discontent with store experiences. This highlights the importance of well-trained store associates equipped with advanced technologies to deliver top-tier customer service. 

While consumers enjoy in-person shopping, they also expect it to be smooth, personalized, and highly convenient. With Teamwork Commerce’s Mobile point-of-sale (POS) technology, retail associates can complete checkout transactions from any part of the store – significantly reducing checkout queues and boosting customer satisfaction. Additionally, the Mobile POS allows staff to instantly answer customer queries, retrieve consumer data, and offer personalized discounts based on their loyalty points. This makes the in-store shopping experience of customers highly tailored and valuable.

Instant gratification and the rise of experiential retail

Instant gratification is another key factor encouraging shoppers to visit physical stores and make purchases. The ability to touch, try, and experience products firsthand gives customers the confidence to buy instantly, eliminating concerns about incorrect sizing or product quality. This, in turn, also minimizes the likelihood of purchasing the wrong item, color, or fit, leading to fewer returns and a more satisfying shopping experience.  

Recognizing the shift, retailers have started to transform their stores into destinations rather than just points of sale. From in-store interactive demonstrations and live events to personalized styling sessions and smart dressing rooms, brands are offering interactive and immersive experiences to attract shoppers. This strategy not only drives foot traffic but also fosters deeper consumer connections. 

To convert in-store foot traffic into a loyal customer base, retailers must deliver seamless customer experiences. One way retailers can significantly improve their in-store experience is by deploying an advanced self-checkout system that allows customers to seamlessly check out at their preferred pace. 

RFID-Powered Self-Checkout is capable of automatically scanning multiple items immediately, enabling customers to complete checkout transactions within seconds. As a result, retailers can complete more transactions in a day, improving business efficiency and customer experience alike. Associates can spend more time providing personalized experiences to shoppers and assisting them where required to add a human touch to the shopping experience.

Omnichannel and reduced returns

The rise of omnichannel retail seems to have positive implications for brick-and-mortar. Earlier, with offline and online shopping in isolation, customers who preferred in-store shopping visited physical stores while online buyers continued to make purchases online. With the rise of omnichannel retail, customers who prefer in-store shopping are still shopping in-person, but online buyers have also started to visit stores, leveraging options such as Buy Online, Pick Up In-Store (BOPIS) for convenience, cost savings and spontaneity.  

Brick-and-mortar stores are now attracting a wider audience, but this evolution demands that brands unify their online and offline shopping experiences. For retailers to foster customer loyalty and repeat visits, they must create seamless in-store experiences. If a shopper comes in to collect an online purchase, store associates should be equipped to complete the transaction smoothly within moments. This requires a seamless integration of online and offline platforms where data flows in real-time; If a customer has bought a product, an automated order memo should be created to ensure the product is available in-store at the time of collection. This can eliminate out-of-stock disappointments, enhance customer satisfaction, and increase repeat visits while encouraging positive word-of-mouth marketing.

Final Advice 

The question is: what does the return to brick-and-mortar mean for retailers? As shoppers make a return to brick-and-mortar, retailers will need to differentiate their store experience from the competition to stand out. Retailers must view this shift as an opportunity to re-imagine the in-store experience. The resurgence of brick-and-mortar is not just about transactions, it is also about engagement, discovery, and building lasting relationships. Those who innovate and adapt to evolving consumer expectations will thrive in this new era of retail.

Self-checkout has become a staple of today’s in-store retail environment. In fact, a 2024 study conducted by PYMNTS found that two-thirds (66%) of US consumers prefer self-checkout to staffed checkouts, with Generation Z (84%) and millennials (76%) leading the way in embracing the technology. 

It might come as a surprise, in that case, to see that over the past year, a number of retailers have actually started backpeddling on their use of self-checkout technology. Some of the nation’s biggest retailers, including Walmart, Target and Dollar General, all took the decision to start removing self-checkout terminals in select stores last year. These decisions came as a result of poor in-store experiences, with the retailers claiming that self-checkout negatively impacted customer satisfaction.

While traditional self-checkout may be causing issues for some brands, the answer doesn’t lie in removing the technology completely. In the retail industry that already struggles to deliver high-quality customer service due to staff limitations, creating more demand for labor hours only restricts their ability to improve experiences. Yes, customers will benefit from face-to-face transactions and not needing to scan their own items, but this significantly limits the ability of each individual in-store associate to deliver additional customer value on the sales floor.

The Current Challenges of Self-Checkout

According to The Grocer, 37% of shoppers openly admit to stealing in-store. The traditional self-checkout terminals, which rely on weight plates to verify items during transactions, have become catalysts for theft. With little to no presence of in-store associates at the checkout area, customers can easily commit scan fraud – manipulating the scanning process or failing to scan items at all.

Another challenge of typical self-checkout terminals – as previously noted above – lies in fragmented experiences. One core frustration with the technology is that it often requires associate intervention as a result of system glitches or misread items in the packing area. In these instances, intervention is required from in-store associates before the transaction can continue. With one team member monitoring multiple terminals at once, lengthy delays can be caused if more than one customer needs assistance. Suddenly, a technology that was deployed to streamline the checkout experience significantly slows down transaction rates, and longer queues begin to form.

How Does RFID-Powered Self-Checkout Alleviate Existing Issues?

Tracking all products at item-level from manufacture through to sale, RFID technology enables retailers to create complete visibility of their entire inventory. However, with this technology deployed at the foundation, RFID can also empower brands to evolve their self-checkout offering to enhance in-store experiences and security at the same time.

Teamwork Commerce’s RFID-Powered Self-Checkout terminals deliver seamless efficiency that facilitates secure transactions in 30 seconds or less. Customers begin by placing their basket or cart in a designated scanning zone. From here, built-in RFID readers automatically and accurately scan all items. Customers simply pay for their goods and leave the store. 

Automatic scanning actively mitigates theft attempts, removing the opportunity for customers to commit scan fraud. However, if a customer does manage to successfully progress beyond the self-checkout terminal, RFID tags themselves – which are woven into each individual product – are capable of triggering in-store alarms, flagging any unscanned items as customers pass through barriers. This allows retailers to identify and curb shoplifting without hindering the customer experience. 

Importantly, the seamless flow of transactions created by RFID-powered self-checkout significantly improves the customer experience. Streamlining the checkout process for customers, the technology reduces checkout and queuing times, while still enabling visitors to complete transactions at their own pace.

With fewer staff also tied to point of sale (POS) terminals, retailers can deploy more staff that are completely focused on adding value to customer experiences. Sales associates can dedicate time to creating meaningful, personalized interactions – delivering top-tier experiences before customers move onto a seamless checkout experience.

Moving Back in Time is Not the Answer

Self-checkout technology was a revolutionary solution when it made its way into retail. It was introduced for a reason: to alleviate pressures on in-store staff while creating more streamlined transactions for customers. Back-tracking on self-checkout is not the solution to improving customer experiences – the technology simply needs to evolve.

As RFID’s influencer across retail grows, its role in enhancing security and customer experiences at checkout – the final touchpoint in the retail journey – can transform a retailer’s operations. Mitigating theft attempts while enhancing satisfaction, RFID solves a number of issues that typical self-checkout encounters – all while enhancing shop floor efficiencies.

Interested to know how your business can benefit from RFID-Powered Self-Checkout? Get in touch!

In the UK, total retail sales increased by 2.6% in January, marking the industry’s most substantial growth in nearly two years. The ongoing challenge for retailers now is to continue pushing for growth. Creating unique and creative customer experiences can help brands drive sales and achieve significant growth. 

The toil of opening physical stores usually comes with the form of upfront costs, one avenue brands have begun to explore is the growing value of pop-up retail, also known as flash retailing. Pop-up retail is a temporary retail space that brands use to sell products, promote services, or create unique customer experiences. Pop up stores rely on temporary locations and come in various forms such as stand-alone pop-ups, shop-in-shop pop-ups or cooperative pop-ups. Each can be tailored to meet brand objectives as well as consumer needs. 

Especially in the social media scene, the buzz of pop-up stores has started to dominate platforms such as TikTok and Instagram. With many online influencers attending and sharing insights on new products and launches, it has become a core opportunity for brands to expand their audience and attract new customers. 

To further advance the value of pop-up stores, retailers are turning to innovative technologies to expand beyond physical spaces to include online experiences. Utilizing digital pop-ups in the form of limited-time online events, temporary webpages or eCommerce platforms further excels the customer journey and creates virtual brand experiences.

Creating the Ultimate Scene for Brand Visibility

A top priority for retailers is ensuring that they have a constant flow of traction in the public eye. To achieve this, retailers need to think outside the box to introduce new ways to increase visibility and make their mark in the retail scene. Recent statistics highlight that 81% of customers prefer companies that offer a personalized experience. Pop-up stores can serve as a key tool for retailers to raise brand awareness and add a personal touch to the shopping experience.

For brands looking to broaden their brand visibility, personalization is a key element to any popup store or event. One brand in particular that has showcased the influence of personalization tactics is the UK plush toy brand, Jelly Cat. Last summer, Jelly Cat opened their Fish & Chip London experience pop-up store, drawing inspiration from the classic British dish while offering a range of exclusive toys. The brand encouraged fans to participate in an interactive experience with staff and ensured each customer had a personalized product alongside their purchase. 

By utilizing flash retailing, brands can connect with customers on a personal basis, offer exclusive products and further enhance the customer experience. In addition, incorporating retail technologies such as Customer Relationship Management (CRM) tools into pop-up stores enables retailers to analyze customer purchasing habits across sales and have visibility over consumer preferences. Ultimately, allowing retailers to offer tailored discounts and promotions to create a bespoke customer experience, whilst driving product sales. 

Excelling Boundaries with Experimental Shopping

Improving the shopping experience is always an opportunity for retailers to stand out and drive loyalty. 

Teamwork Commerce’s Technical Service Director, Clint Ridenour, has noticed a continued trend of retailers utilizing pop-up shops, saying, “Some of Teamwork Commerce’s clients are using these pop-up experiences that are great for them to connect with customers in a new and different way. We are able to use our Mobile POS to support and get those set up quickly.’’

Therefore, many retailers are turning to interactive and experimental features to bring pop-up stores to life and further elevate the customer shopping experience. One interactive tool that is becoming increasingly popular in pop-up stores is the use of augmented reality (AR) technology. Through utilizing AR, brands can interact with customers in unique ways. Recently, a UK brand, Selfridges partnered with social media platform, Snapchat to create an AR sport-inspired experience. Customers could virtually try on a kit and experiment with Snapchat’s technology whilst enhancing interactions with the brands. 

To further upgrade pop-up store services, including technologies such as Mobile Point of Sale (POS), is an efficient way for customers to continue that memorable experience. Deploying speedy and smooth checkout solutions such as Mobile POS enables retailers to focus more on providing the ultimate pop-up experience and less on logistics behind the scenes. Additionally, payments can be made anywhere, creating a convenient and flexible service, perfect for any pop-up store or event. 

Striving For Cost-effectiveness

The saying ‘try before you buy’ is one of the many benefits brands can enjoy with a pop-up store. Compared to running a physical store, pop-up stores allow retailers to try new products and test out new locations while lowering overhead costs.

As a result, retailers have begun to explore other avenues such as digital pop-ups as a way to strengthen their customer base and be a cost-effective way to engage shoppers. Many of these pop-ups are being hosted on a website or social media platform and are used to create a sense of urgency or excitement around a brand. 

The UK beauty brand, Benefit, has been one of many retailers to dive into the world of digital pop-ups by launching their 3D shopping experience, ‘The Benemart’. The online digital shopping experience allows customers to browse the store as an avatar, shop with friends and bring gaming-inspired commerce into play. Introducing an immersive shopping experience such as a digital pop-up store can serve as a social hub for loyal as well as new customers to connect further with brands. Likewise, the cost-effectiveness of pop-up stores gives brands the freedom to expand their community without the financial burden. 

The Impact of Social Media

The influence of social media has had a big role to play in the value of pop-up stores. In particular, the increase in influencers being invited to pop-up stores and events has created a sense of community within the retail scene. Recent statistics have revealed that one in 10 Gen Z consumers in the UK said they regularly bought products promoted by influencers. This reflects why influencers are also using pop-up stores to break into retail with celebrities like Molly Mae debuting their fashion line, Maebe at a London pop-up just last year. 

In addition, digital pop-up stores or ‘live shops’ are now a prominent part of the shopping experience. Platforms such as Instagram, TikTok and Facebook are making shopping more accessible by including features that allow users to discover, browse and purchase directly from their feeds. This new form of digital pop-up stores has provided retailers with the opportunity to interact with their audiences in real-time, encourage more sales and engage with followers to increase brand awareness and expand the brand community. 

The Takeaway

The value of pop-up retail is a fundamental asset to retailers. By incorporating elements such as experiential installations, AR experiences, or interactive displays into pop-up shops, brands can empower customers to participate in forging meaningful connections and enhance overall brand visibility. These temporary installations can be used to transport consumers, create immersive experiences and build opportunities to attract a new customer base. Brands who use the power of flash retailing can capitalize on multiple opportunities to drive sales, increase revenue, and maximize their customer base. 

To find out how retail technology can upgrade your pop-up store experience, Click here. 

How Retailers Can Craft Impactful Campaigns to Thrive in 2025

As 2025 unfolds, retailers are executing their plans and capitalizing on opportunities throughout the year. However, customers are increasingly becoming conscious of their purchasing habits. Crafting impactful campaigns is essential to not only drive immediate sales but also to earn consumer loyalty and retention in the long term. According to Statista, 78 percent of consumers worldwide agree that becoming loyal to a brand comes after the first purchase.

To cater to evolving consumer preferences, retailers must be able to align their promotional campaigns with key shopping triggers of their customers. Real-time insights into consumer purchasing habits can empower retailers to make informed decisions that not only positively impact the short term but also drive consumer loyalty in the long run.

Avoid Overloading Promotional Messaging

Often, an influx of promotions can leave shoppers feeling fatigued and frustrated. The question is: How can brands rise above the noise? The answer lies in focusing on clarity, relevance and value. Brands must communicate when the promotion period ends, and keep their discounts simple, valuable and relevant.

Instead of overloading customers with mass promotional messaging, retailers must personalize their campaigns to cater to the specific needs of different customer segments. By utilizing historical and real-time data, brands can tailor promotional offers based on customers’ past purchases, preferences and browsing habits. Artificial intelligence-driven insights can help retailers predict what each shopper is most likely to be interested in, making messaging more relevant and effective.

Another key thing to keep in mind is that brands must adopt a holistic approach to their promotions and keep the messaging consistent across different channels such as email, SMS, push notifications and social media. At the same time, sending too many messages too often can lead to unsubscribes. Brands must space out their messaging campaigns to ensure customers don’t get bombarded with messages. Brands can use tactics that create fear of missing out (FOMO) using phrases like “Only a few left” or “Exclusive offer for VIP members” to drive action without excessive messaging.

Convert First-Time Shoppers Into Loyal Customers

While discounts may drive impulse purchases and short-term sales, brands cannot rely solely on them to ensure consumer loyalty. Retailers that combine discounts with other critical elements such as customer experience, convenience, and personalization can stand out from the crowd.

First impressions are important. Brands must ensure when first-time customers enter stores to make purchases, they are provided with seamless shopping experiences, faster checkout experiences, and top-tier customer service to turn them into repeat customers. Using technologies such as mobile point of sale (POS) and RFID-powered self-checkout systems that facilitate speedy checkout and seamless operations can help brands drive consumer retention and loyalty.

Brands should also make their post-purchase communication more human-centric and personable. By leveraging an integrated customer relationship management (CRM) system, retailers can use data-driven insights to send personalized ‘thank you’ emails, product recommendations, or exclusive discounts.

Best Practices for Retailers to Thrive in 2025

In addition to the above-mentioned recommendations, retailers can follow certain best practices to thrive throughout the year. Firstly, each retailer must invest in the right technology that can deliver a significant return on investment and enhanced customer experience. Retailers must continue to monitor and make any tech upgrades based on new advancements to keep up with trends. However, technology deployment doesn’t mean human displacement. Retailers should use technology to empower humans to perform their jobs more effectively and efficiently.

Brands that strike the right balance between technology and the human workforce can provide customers with unforgettable experiences that combine technology’s speed and accuracy with a human personal touch. Retailers should partner with an experienced technology provider that can work with them as partners, helping them improve their efficiency, productivity and customer experiences.

David Mauerer is sales manager at Teamwork Commerce, an omnichannel enterprise retail solution.

2024 has already become a distant memory with the retail industry quickly setting the tone for a transformative 2025. From AI-driven shopping experiences to evolving challenges and retail outlook, the first two months of 2025 have already revealed key trends that are having a significant impact on the industry.

In this blog, we break down the key developments from January and February 2025, highlighting what’s driving innovation, where challenges lie, and what retailers must focus on to thrive… 

AI Adoption Continues 

2025 began with a number of AI companies bagging funding, reflecting investors’ confidence in AI’s ability to revolutionize the retail industry. PACKAGE.AI raised $14 million in Series A funding while Daash Intelligence, an AI-powered predictive commerce intelligence platform for retail brands, secured $5.5 million in a second seed funding round, bringing its total funding to date to $8.25 million.

In addition to investors’ confidence in AI, shoppers’ willingness to embrace the technology has also developed in the last couple of months. According to a recent report by Cognizant, 47% of consumers across all age groups feel comfortable using AI to help choose products and services. However, it is also evident that shoppers are conscious of how and where they want to use AI. According to the same report, 28% are fine with AI reordering low-cost items, whereas 75% won’t trust it to automatically reorder or pay for high-value purchases without approval. This shows that most shoppers prefer a balanced approach, automating reorders using AI for low-value items while reserving more thoughtful decision-making for high-value purchases. This shows that the majority of shoppers want to take a balanced approach where they can automate their reorders for products that they do not necessarily ‘feel’ the impact of compared to more valuable ones that require more consideration.

To cater to the growing demand for AI-driven shopping experiences, many retailers have started to use the technology. Hugo Boss, for example, launched AI-powered product content live across its e-commerce platforms globally. Marks and Spencer launched an AI-driven tool to help shoppers find the perfect bottle of wine. Meanwhile, Alibaba has announced its biggest investment in AI, with plans to invest $53 billion over the next three years in AI and the cloud. This rising adoption of AI highlights a paradigm shift in the industry that is now being dominated by innovative technologies like AI. 

Retail Theft Remains a Challenge

Shoplifting and retail crime continue to pose significant challenges for retailers. According to Coresight Research, a 27% increase in cargo theft was recorded across the US and Canada while there was a 24% year-over-year rise in retail crime costs in the UK.

However, significant steps are being taken to combat the challenge. As of 2025, 28 US states have established criminal laws focusing on either those engaged in organized retail crime (ORC) or enhanced penalties for those who steal repeatedly to resell stolen goods. Retailers are also turning to advanced technologies such as RFID and AI to minimize shoplifting. By incorporating RFID technology, retailers can gain real-time visibility of their inventory. This allows brands to track products at item-level, significantly reducing the risk of theft. 

The technology can also trigger alarms in case tagged items are taken through in-store RFID barriers without being paid for. Since these tags are invisible and woven in, it makes it difficult for shoplifters to remove them, significantly enhancing in-store security. From self-checkout to modern point-of-sale (POS) terminals, RFID is being used to ensure no items are removed from stores without being paid for. At the same time, the technology significantly increases inventory accuracy and enables retailers to enhance operational efficiency and elevate customer experiences. 

In addition, retailers are also leveraging body cameras to empower staff. Go Outdoors, for example, has been providing staff with body-worn cameras as part of a trial to “deter theft” and “keep colleagues safe”. All this points towards retailers’ resilience to shoplifting, reflecting that proactive steps are being taken to address the challenge.

Positive Signs of Consumer Confidence

January and February have indicated strong signs of rising consumer confidence in the industry. Solid sales in the US during the holiday season indicated significant consumer resilience despite ongoing economic situations. This momentum was followed by a rise in consumer confidence in the new year. The UK retail sales rose in January for the first time since August, reflecting a potential increase in consumer confidence. 

While retail sales in the US slipped 0.9% in January according to CNBC, the overall picture was positive. According to Forbes, retail sales surged 4.8% year-over-year in January, rising to $668 billion and setting the stage for unexpectedly strong retail growth in the US. 

Similarly, Retail Week revealed consumer confidence to have risen two points in February, with the public being more optimistic about their personal finances in the year ahead. All this demonstrates that while economic circumstances may not be in their favour, shoppers are confident and willing to spend.

Retailers must be able to capitalize on this rising consumer confidence by delivering top-tier customer service, seamless shopping experiences, and personalized loyalty programs. As a result, brands can ensure they can earn consumer loyalty when shoppers are willing to spend. Those who can continue to earn consumer loyalty can solidify their position in the market.

Are you looking for expert advice on the right technology for your retail business? Get in touch.