Connected Retail Market by Product, Retail Channel, Component, Application

List of Tables

The Connected Retail Market was valued at USD 28.54 billion in 2023, expected to reach USD 31.95 billion in 2024, and is projected to grow at a CAGR of 12.78%, to USD 66.24 billion by 2030.

Connected Retail refers to the integration of digital and physical retail environments, leveraging technology to enhance customer experience and streamline operations. This market has become essential as consumer expectations shift towards seamless, personalized shopping journeys across multiple channels. Connected Retail applications encompass IoT-enabled inventory management, AI-driven customer insights, and augmented reality (AR) for immersive shopping experiences, among other technologies. The end-use scope spans various sectors, including fashion, electronics, groceries, and home goods, where these advancements are facilitating faster transactions and better customer engagement. Key growth influencers include technological advancements, rising internet penetration, and the proliferation of smart devices. The increasing demand for personalized shopping experiences and efficient supply chain solutions further fuels market expansion. Potential opportunities lie in adopting AI-powered analytics for customer behavior prediction and deploying blockchain for secure and transparent transactions. Retailers could also tap into augmented reality to enrich the in-store experience and leverage omnichannel strategies to connect with customers on multiple fronts. Challenges include high implementation costs, data privacy concerns, and the technical complexity of integrating legacy systems. Additionally, the constant need for technological upgrades and the risk of cybersecurity threats present formidable hurdles. To navigate these barriers, businesses should focus on scalable solutions and invest in robust cybersecurity measures. Innovation could thrive in areas like machine learning for enhanced predictive analytics and the development of eco-friendly retail technologies to align with growing sustainability demands. Insight into the market's nature reveals a dynamic and rapidly evolving landscape, driven by technological convergence and shifting consumer behaviors. As retailers strive to stay competitive, investing in research and development to pilot new technologies and business models will be paramount, ensuring they remain agile and responsive to future market trends and challenges.

KEY MARKET STATISTICS
Base Year [2023]	USD 28.54 billion
Estimated Year [2024]	USD 31.95 billion
Forecast Year [2030]	USD 66.24 billion
CAGR (%)	12.78%

Market Dynamics: Unveiling Key Market Insights in the Rapidly Evolving Connected Retail Market

The Connected Retail Market is undergoing transformative changes driven by a dynamic interplay of supply and demand factors. Understanding these evolving market dynamics prepares business organizations to make informed investment decisions, refine strategic decisions, and seize new opportunities. By gaining a comprehensive view of these trends, business organizations can mitigate various risks across political, geographic, technical, social, and economic domains while also gaining a clearer understanding of consumer behavior and its impact on manufacturing costs and purchasing trends.

Market Drivers
- Rising importance of sustainability and ethical practices influencing consumer purchasing decisions in connected retail
- Expansion of smart store technologies revolutionizing in-store customer experiences through interactive and personalized services
- Proliferation of e-commerce giants and their impact on traditional retailers adapting to digital transformation
- Increasing importance of cybersecurity measures to protect consumer data and ensure secure transactions in connected retail
Market Restraints
- Data privacy concerns due to increasing cyber threats may restrict adoption of connected retail technologies
- Integration challenges with existing systems may slow down the deployment of connected retail technologies
Market Opportunities
- Adoption of advanced IoT technologies to enhance in-store customer experiences in connected retail
- Leveraging big data analytics and AI for personalized shopping experiences in connected retail environments
- Integration of blockchain for secure and transparent supply chain management in connected retail
Market Challenges
- Creating consistent and personalized customer experiences across multiple retail channels
- Optimizing supply chain logistics to meet the demands of the connected retail environment

Porter's Five Forces: A Strategic Tool for Navigating the Connected Retail Market

Porter's five forces framework is a critical tool for understanding the competitive landscape of the Connected Retail Market. It offers business organizations with a clear methodology for evaluating their competitive positioning and exploring strategic opportunities. This framework helps businesses assess the power dynamics within the market and determine the profitability of new ventures. With these insights, business organizations can leverage their strengths, address weaknesses, and avoid potential challenges, ensuring a more resilient market positioning.

PESTLE Analysis: Navigating External Influences in the Connected Retail Market

External macro-environmental factors play a pivotal role in shaping the performance dynamics of the Connected Retail Market. Political, Economic, Social, Technological, Legal, and Environmental factors analysis provides the necessary information to navigate these influences. By examining PESTLE factors, businesses can better understand potential risks and opportunities. This analysis enables business organizations to anticipate changes in regulations, consumer preferences, and economic trends, ensuring they are prepared to make proactive, forward-thinking decisions.

Market Share Analysis: Understanding the Competitive Landscape in the Connected Retail Market

A detailed market share analysis in the Connected Retail Market provides a comprehensive assessment of vendors' performance. Companies can identify their competitive positioning by comparing key metrics, including revenue, customer base, and growth rates. This analysis highlights market concentration, fragmentation, and trends in consolidation, offering vendors the insights required to make strategic decisions that enhance their position in an increasingly competitive landscape.

FPNV Positioning Matrix: Evaluating Vendors' Performance in the Connected Retail Market

The Forefront, Pathfinder, Niche, Vital (FPNV) Positioning Matrix is a critical tool for evaluating vendors within the Connected Retail Market. This matrix enables business organizations to make well-informed decisions that align with their goals by assessing vendors based on their business strategy and product satisfaction. The four quadrants provide a clear and precise segmentation of vendors, helping users identify the right partners and solutions that best fit their strategic objectives.

Strategy Analysis & Recommendation: Charting a Path to Success in the Connected Retail Market

A strategic analysis of the Connected Retail Market is essential for businesses looking to strengthen their global market presence. By reviewing key resources, capabilities, and performance indicators, business organizations can identify growth opportunities and work toward improvement. This approach helps businesses navigate challenges in the competitive landscape and ensures they are well-positioned to capitalize on newer opportunities and drive long-term success.

Key Company Profiles

The report delves into recent significant developments in the Connected Retail Market, highlighting leading vendors and their innovative profiles. These include Alibaba Group Holding Limited, Amazon Inc., Best Buy Co., Inc., Carrefour, Costco Wholesale Corporation, eBay Inc., IKEA, Lowe's Companies, Inc., Macy's Inc., Marks and Spencer Group plc, Rakuten Inc., Sainsbury's, Shopify Inc., Target Corporation, Tesco PLC, The Home Depot, Inc., The Kroger Co., Walmart Inc., Wayfair Inc., and Zara SA.

Market Segmentation & Coverage

This research report categorizes the Connected Retail Market to forecast the revenues and analyze trends in each of the following sub-markets:

Based on Product, market is studied across Hardware, Services, and Software. The Hardware is further studied across Beacons, RFID Tags, Sensors, Smart Carts, and Smart Shelves. The Services is further studied across Implementation Services and Support and Maintenance Services. The Software is further studied across Customer Relationship Management, Inventory Management, Retail Analytics, and Store Operations Optimization.
Based on Retail Channel, market is studied across Offline Stores and Online Stores. The Offline Stores is further studied across Department Stores, Specialty Stores, and Supermarkets and Hypermarkets. The Online Stores is further studied across Mobile Apps and Websites.
Based on Component, market is studied across Connectivity Technology, Devices, and IoT Platforms. The Connectivity Technology is further studied across Bluetooth, Near Field Communication (NFC), and Wi-Fi. The Devices is further studied across Smartphones, Tablets, and Wearable Devices. The IoT Platforms is further studied across Application Enablement, Connectivity Management, and Device Management.
Based on Application, market is studied across Customer Experience Management, Merchandise Management, Sales and Marketing Optimization, and Supply Chain Management.
Based on Region, market is studied across Americas, Asia-Pacific, and Europe, Middle East & Africa. The Americas is further studied across Argentina, Brazil, Canada, Mexico, and United States. The United States is further studied across California, Florida, Illinois, New York, Ohio, Pennsylvania, and Texas. The Asia-Pacific is further studied across Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam. The Europe, Middle East & Africa is further studied across Denmark, Egypt, Finland, France, Germany, Israel, Italy, Netherlands, Nigeria, Norway, Poland, Qatar, Russia, Saudi Arabia, South Africa, Spain, Sweden, Switzerland, Turkey, United Arab Emirates, and United Kingdom.

The report offers a comprehensive analysis of the market, covering key focus areas:

1. Market Penetration: A detailed review of the current market environment, including extensive data from top industry players, evaluating their market reach and overall influence.

2. Market Development: Identifies growth opportunities in emerging markets and assesses expansion potential in established sectors, providing a strategic roadmap for future growth.

3. Market Diversification: Analyzes recent product launches, untapped geographic regions, major industry advancements, and strategic investments reshaping the market.

4. Competitive Assessment & Intelligence: Provides a thorough analysis of the competitive landscape, examining market share, business strategies, product portfolios, certifications, regulatory approvals, patent trends, and technological advancements of key players.

5. Product Development & Innovation: Highlights cutting-edge technologies, R&D activities, and product innovations expected to drive future market growth.

The report also answers critical questions to aid stakeholders in making informed decisions:

1. What is the current market size, and what is the forecasted growth?

2. Which products, segments, and regions offer the best investment opportunities?

3. What are the key technology trends and regulatory influences shaping the market?

4. How do leading vendors rank in terms of market share and competitive positioning?

5. What revenue sources and strategic opportunities drive vendors' market entry or exit strategies?

Product Code: MRR-1A1A064C065F

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Rising importance of sustainability and ethical practices influencing consumer purchasing decisions in connected retail
  - 5.1.1.2. Expansion of smart store technologies revolutionizing in-store customer experiences through interactive and personalized services
  - 5.1.1.3. Proliferation of e-commerce giants and their impact on traditional retailers adapting to digital transformation
  - 5.1.1.4. Increasing importance of cybersecurity measures to protect consumer data and ensure secure transactions in connected retail
- 5.1.2. Restraints
  - 5.1.2.1. Data privacy concerns due to increasing cyber threats may restrict adoption of connected retail technologies
  - 5.1.2.2. Integration challenges with existing systems may slow down the deployment of connected retail technologies
- 5.1.3. Opportunities
  - 5.1.3.1. Adoption of advanced IoT technologies to enhance in-store customer experiences in connected retail
  - 5.1.3.2. Leveraging big data analytics and AI for personalized shopping experiences in connected retail environments
  - 5.1.3.3. Integration of blockchain for secure and transparent supply chain management in connected retail
- 5.1.4. Challenges
  - 5.1.4.1. Creating consistent and personalized customer experiences across multiple retail channels
  - 5.1.4.2. Optimizing supply chain logistics to meet the demands of the connected retail environment
5.2. Market Segmentation Analysis
5.3. Porter's Five Forces Analysis
- 5.3.1. Threat of New Entrants
- 5.3.2. Threat of Substitutes
- 5.3.3. Bargaining Power of Customers
- 5.3.4. Bargaining Power of Suppliers
- 5.3.5. Industry Rivalry
5.4. PESTLE Analysis
- 5.4.1. Political
- 5.4.2. Economic
- 5.4.3. Social
- 5.4.4. Technological
- 5.4.5. Legal
- 5.4.6. Environmental

6. Connected Retail Market, by Product

6.1. Introduction
6.2. Hardware
- 6.2.1. Beacons
- 6.2.2. RFID Tags
- 6.2.3. Sensors
- 6.2.4. Smart Carts
- 6.2.5. Smart Shelves
6.3. Services
- 6.3.1. Implementation Services
- 6.3.2. Support and Maintenance Services
6.4. Software
- 6.4.1. Customer Relationship Management
- 6.4.2. Inventory Management
- 6.4.3. Retail Analytics
- 6.4.4. Store Operations Optimization

7. Connected Retail Market, by Retail Channel

7.1. Introduction
7.2. Offline Stores
- 7.2.1. Department Stores
- 7.2.2. Specialty Stores
- 7.2.3. Supermarkets and Hypermarkets
7.3. Online Stores
- 7.3.1. Mobile Apps
- 7.3.2. Websites

8. Connected Retail Market, by Component

8.1. Introduction
8.2. Connectivity Technology
- 8.2.1. Bluetooth
- 8.2.2. Near Field Communication (NFC)
- 8.2.3. Wi-Fi
8.3. Devices
- 8.3.1. Smartphones
- 8.3.2. Tablets
- 8.3.3. Wearable Devices
8.4. IoT Platforms
- 8.4.1. Application Enablement
- 8.4.2. Connectivity Management
- 8.4.3. Device Management

9. Connected Retail Market, by Application

9.1. Introduction
9.2. Customer Experience Management
9.3. Merchandise Management
9.4. Sales and Marketing Optimization
9.5. Supply Chain Management

10. Americas Connected Retail Market

10.1. Introduction
10.2. Argentina
10.3. Brazil
10.4. Canada
10.5. Mexico
10.6. United States

11. Asia-Pacific Connected Retail Market

11.1. Introduction
11.2. Australia
11.3. China
11.4. India
11.5. Indonesia
11.6. Japan
11.7. Malaysia
11.8. Philippines
11.9. Singapore
11.10. South Korea
11.11. Taiwan
11.12. Thailand
11.13. Vietnam

12. Europe, Middle East & Africa Connected Retail Market

12.1. Introduction
12.2. Denmark
12.3. Egypt
12.4. Finland
12.5. France
12.6. Germany
12.7. Israel
12.8. Italy
12.9. Netherlands
12.10. Nigeria
12.11. Norway
12.12. Poland
12.13. Qatar
12.14. Russia
12.15. Saudi Arabia
12.16. South Africa
12.17. Spain
12.18. Sweden
12.19. Switzerland
12.20. Turkey
12.21. United Arab Emirates
12.22. United Kingdom

13. Competitive Landscape

13.1. Market Share Analysis, 2023
13.2. FPNV Positioning Matrix, 2023
13.3. Competitive Scenario Analysis
13.4. Strategy Analysis & Recommendation