In the ever-evolving landscape of retail, technology continues to revolutionise the way we shop. One such innovation making waves in the industry is the adoption of dynamic pricing, powered by artificial intelligence (AI) software. As the traditional yellow discount stickers may soon become a thing of the past, supermarkets are turning to digital price tags and high-tech stickers to provide real-time pricing updates. This shift not only aims to reduce food waste but also offers retailers greater flexibility in offering discounts and influencing consumer behaviour. At RDS we embrace technology so let’s explore the rise of AI-driven digital pricing, its potential benefits, and the concerns it raises for both consumers and retailers.

The Rise of AI-Driven Dynamic Pricing

Supermarkets across mainland Europe have already embraced AI-driven dynamic pricing, with grocery retailers in Spain, Italy, Germany and the Netherlands leading the charge. Retailers in these countries have partnered with tech companies such as Waste-less, whose AI-powered system gauges the risk of food items expiring on the shelf and determines whether a markdown is necessary. By analysing factors such as sell-by dates, stock levels, and demand patterns, the AI ensures that prices are automatically adjusted to optimise sales and minimise food waste.

Benefits of AI-Driven Dynamic Pricing

Reducing Food Waste

One of the primary advantages of AI-driven dynamic pricing is its potential to significantly reduce food waste. Currently, UK supermarkets and food retailers are responsible for approximately 300,000 tonnes of wasted food each year. By accurately predicting demand and adjusting

prices accordingly, retailers can sell perishable items before they expire, minimizing the need for markdowns and preventing food from ending up in landfills. Wasteless claims that its system can cut supermarkets’ food waste by more than a third, presenting a promising solution to the pressing issue of food waste.

Improved Stock Management

AI-driven dynamic pricing not only helps retailers reduce food waste but also enables them to optimise stock management. By analysing sales patterns and demand fluctuations, the AI generates valuable data that can assist retailers in making informed decisions regarding stock replenishment. This data-driven approach allows retailers to avoid over-ordering or under-stocking, leading to more efficient inventory management and mitigating potential financial losses.

Enhanced Consumer Benefits

While the disappearance of traditional yellow discount stickers may disappoint some bargain hunters, AI-driven dynamic pricing offers new opportunities for retailers to provide greater benefits and discounts to consumers. Digital price tags and high-tech stickers enable retailers to easily change prices, allowing them to offer real-time promotions and discounts. This flexibility not only benefits consumers by ensuring they receive the best possible prices but also encourages increased footfall and customer loyalty.

Potential Concerns and Challenges

Although AI-driven dynamic pricing holds immense potential, there are several concerns and challenges that need to be addressed for its successful implementation.

Lack of Clarity and Price Unpredictability

One potential drawback of dynamic pricing is the lack of clarity regarding reference prices. Consumers may find it challenging to ascertain whether they are truly getting a deal, especially when prices are constantly changing. This unpredictability can complicate budget planning for individuals on a tight financial squeeze. To address this concern, retailers must establish clear guidelines and governance to ensure transparency and avoid any unintended negative consequences for shoppers.

Risk of Price Discrimination

Another concern associated with AI-driven pricing is the risk of price discrimination. Products that are more popular in certain areas may see their prices pushed up due to higher demand. This could potentially disadvantage consumers living in specific regions, leading to higher prices for certain products. Retailers must be mindful of this issue and ensure that pricing algorithms do not inadvertently discriminate against certain consumer demographics.

The Future of AI-Driven Dynamic Pricing

Despite the potential challenges, experts believe that the benefits of AI-driven digital pricing in supermarkets will outweigh the negatives. With added sophistication and flexibility digital price tags allow easier changing of prices and provide greater benefits to consumers and it is this that will ultimately win over shoppers. While some consumers may miss the thrill of hunting for yellow sticker discounts, the price reductions they receive through AI-driven pricing may compensate for this change.
The retail landscape is continuously evolving, and AI-driven dynamic pricing is set to revolutionise the way we shop. By introducing artificial intelligence and real-time data analysis, retailers can reduce food waste, improve stock management, and enhance the overall shopping experience for consumers. However, it is crucial for retailers to address some of the concerns I have mentioned earlier in this article, things such as clarity of pricing and potential price discrimination to ensure the successful implementation of AI-driven dynamic pricing. As technology continues to shape the future of retail, embracing innovations like digital pricing will help retailers stay competitive and meet the evolving needs of consumers.

Conclusion

At RDS, we have been at the forefront of retail design for two decades. Over that time, we have witnessed numerous changes and innovations in the industry. While we embrace technology and innovation we will miss the traditional yellow stickers we have all come to love over the years. Who doesn’t love the thrill of finding that bargain sticker! But as digital pricing becomes more mainstream, we are excited to explore how it can further enhance the retail experience while preserving the joy of hunting for discounts.

To explore how RDS can enhance your design or layout and boost in-store spending, get in touch today.

Together, we can create a retail experience that delights customers and drives sales.

Written by Neil Thurston neil@retaildesignsolutions.com

Many thanks to everyone involved in creating this article and all the tech talks we have had over the current Retail Landscape, you know who you are

Introduction.

In today’s digital age, retailers are constantly seeking innovative ways to enhance the in-store shopping experience and boost spending.

As the year draws to a close we look back over 2023 and one such technology that has gained significant attention, Digital Display Systems. RDS uses a range of digital design tools and techniques to create compelling layouts to engage and entice customers, ultimately leading to increased sales. In this article we explore how throughout 2023 our clients have worked in partnership with RDS to transform their bricks-and-mortar stores into immersive and interactive shopping destinations.

The Power of RDS as your Design Partner.

Our clients work closely with our in-house design teams to create an engaging and personalised shopping environment. By using the latest advancements in digital displays, screens, and interactive technologies, our clients captivate customers and influence their purchasing decisions. When we create layouts, detailed design packs and full construction/fit outs packs there are several key benefits:

1. Increased customer engagement: RDS creates an immersive shopping experience, capturing customers’ attention and encouraging them to explore products and make purchases.
2. Enhanced product visualisation: Through the use of state of the art 3D modelling software and the placement of high-definition digital screens and projectors, our clients can showcase products in a realistic and captivating manner, enabling customers to visualise how they would fit into their lives.
3. Personalisation and customisation: RDS enables our clients to tailor their messaging and content to individual customers, creating personalized experiences that resonate with their specific interests and preferences.
4. Interactive and informative displays: RDS designs layouts to have interactive displays, providing customers with detailed product information, customer reviews, and recommendations, empowering them to make informed purchase decisions.
5. Seamless integration with mobile devices: RDS creates concept designs that allow for seamless integration with customers’ smartphones, allowing them to access additional product information, discounts, and promotions while in-store.

Using Mobile Devices for In-Store Spending, How & Why?

Retailers have recognised the power of mobile devices in influencing in-store spending. Rather than discouraging customers from using their phones, retailers are actively encouraging phone usage to enhance the shopping experience. By providing free Wi-Fi, utilizing QR codes, and leveraging social media, retailers can engage customers and drive increased spending. Research has shown that customers who use their phones in-store end up spending 40% more compared to those who don’t. This can be attributed to the distraction caused by phone usage, which leads customers to revisit previously browsed sections of the store and make additional purchases.

Inspiring Purchase Decisions through Digital Screens.

Digital screens have become an integral part of the retail landscape, enabling retailers to showcase their products in captivating ways. Studies have shown that customers are more inspired to make a purchase when they see a short film or video demonstrating a product’s use, as opposed to static images. Our clients are using this insight by displaying product demonstrations, showcasing recipes, or presenting furniture in a home setting on digital screens. By witnessing products in action, customers are more likely to make multiple purchases to replicate what they see on the screen. This approach adds an extra dimension to the shopping experience, enhancing customers’ desire to own the products being showcased.

Digitising Personal Selling.

Personal selling has long been a powerful tool in retail, with studies demonstrating how it improves sales. However, the increasing resource costs associated with personal selling is making this more challenging by the day. To address this challenge, we are designing digital personal selling through the use of technology into our concept layouts for our clients. A recent study using a large vertical screen to display a recording of a person offering free samples created around an 80% increase in sales. This highlights the potential for taking the concept to the next level, it’s time to start planning in holograms or multi-sensory displays to create a digital scene projected onto the physical world. Such techniques could significantly enhance customers’ connection with products and increase their likelihood of making a purchase.

Creating Immersive Experiences with Mixed Reality.

RDS is embracing mixed reality technology into our concept designs to create immersive shopping experiences that blur the line between the physical and digital worlds. By projecting digital scenes onto real-life physical spaces, our clients can start to engage customers on multiple sensory levels. For instance, projectors fitted to the ceiling over supermarket aisles can create laser-show-style films accompanied by sounds and scents. By simulating the experience of cooking a recipe, customers are enticed to purchase the ingredients on display. Research has shown that such visual stimuli alone can increase sales by over 60%. When combined with sounds and scents, the impact is even greater, creating a truly immersive shopping experience.

The Rise of Experiential Retailing.

All these digital advancements in physical stores contribute to the concept of experiential retailing. The aim is to provide customers with a multi-sensory experience that goes beyond merely browsing products on shelves. RDS’s designers and space planners create concept environments (in 3D & 2D) where customers can see products in action, interact with digital displays, and enjoy a more pleasurable shopping experience. As technology continues to evolve, you can expect to see even more innovative and engaging RDS concepts and layouts in the future.

The Impact of Music on In-Store Spending.

While technology plays a significant role in enhancing the in-store experience, one thing that should not be forgotten is the power of music. Again studies have shown that music can increase a layouts total sales by around 3%, with an even greater impact during the festive season (which I’m sure you can all appreciate right now!). Mood-enhancing music, in particular, can create a positive emotional state in customers, leading to increased spending. By carefully selecting playlists that align with the store’s ambiance and target audience, retailers can create an enjoyable atmosphere that encourages customers to spend more.

Conclusion.

In an increasingly digital world, our clients are using RDS to transform their bricks-and-mortar stores into immersive and interactive shopping destinations. Through the use of digital displays, interactive technologies, and personalised experiences, our clients can engage customers, enhance product visualisation, and drive in-store spending. By embracing technology and creating experiential retail environments, our clients stay ahead of the curve and provide customers with memorable shopping experiences that go beyond traditional transactions.

2024 is only around the corner and as you can guess the technology RDS uses is growing, not just in space planning, layout & concept design but across the board. It starts right at the beginning, how we survey your site with Laser Scanners & Drones.

To explore how RDS can enhance your design or layout and boost in-store spending, get in touch today.

Together, we can create a retail experience that delights customers and drives sales.

Written by Neil Thurston neil@retaildesignsolutions.com many thanks to the RDS Design Team for the countless hours spent pouring their heart & souls into concepts and designs throughout the year (and for putting up with my endless geeky tech talks )

RDS lays the foundation for Design

Introduction

RDS transforms our clients retail layouts into captivating spaces that not only attract customers but also keep them coming back for more? In this article we will explore how RDS does it. With 25 year experience we specialise in creating stunning retail interiors that leave a lasting impression on customers. Our mission is simple: RDS delivers for our clients, turning your vision into reality.

The Power of Interior Design in Retail

In the competitive world of retail, aesthetics play a pivotal role. A well-designed interior can enhance your brand identity, engage customers on a deeper level, and ultimately boost sales. RDS understands the unique challenges and opportunities that retail spaces present, and we’re here to help you unlock their full potential.

Creativity Unleashed

At RDS we follow the latest trends and in some cases we even set them. At our head office in Earls Colne Essex we have a team of 50 talented designers, surveyors, technicians and all round geeky specialists that combines creativity with a deep understanding of your brand and target audience. Whether you’re looking for a sleek, minimalist look or a cosy, inviting atmosphere, we’ve got you covered. Our custom designs are tailored to your unique needs and objectives.

Maximising Space and Functionality

Retail spaces must strike the delicate balance between aesthetics and functionality. RDS understands this more than anyone, we optimise your space for maximum operational efficiency while maintaining a captivating look. From layout planning to fixture selection, every detail is carefully considered to enhance the layout experience.

Sustainable Design

In an era where sustainability matters more than ever, RDS is committed to eco-friendly design practices. We source materials responsibly and prioritise energy-efficient solutions to reduce your carbon footprint. A beautiful retail space doesn’t have to come at the expense of the environment.

A Collaborative Partnership

When you choose RDS, you’re not just hiring a service; you’re entering into a partnership. We value your input and work closely with you to bring your vision to life. Your satisfaction is our top priority, and we won’t rest until you’re thrilled with the results.

Results-Driven Design

Ultimately, RDS is all about delivering results for our clients. We measure our success by your success. With our expertly crafted interior & exterior designs, you’ll see increased foot traffic and, most importantly, a boost in sales.

Conclusion

As you can see we are passionate about what we do and we love doing it, that’s why we have been thriving for over quarter of a century, I guess the only question is are you ready to take your retail space to the next level?
Contact RDS today, and let’s start the journey toward a captivating, customer-focused interior that sets your business apart.

Remember, RDS delivers for our clients, and your success is our greatest achievement!

Written by Neil Thurston neil@retaildesignsolutions.com many thanks to Rebecca & James for their help & insights into the world of RDS

We plan hundreds of retail layouts every year, this article is a look at how we are helping our clients to create layouts that enable their customers to make more sustainable food choices.

Climate Change.

Let’s set the scene, climate change is very much at the forefront of all our minds, and we all want to help to reduce the impact. It’s easy to forget that food systems actually account for 37% of global greenhouse gas emissions and agriculture is the world’s leading driver of deforestation.

So how can a retail layout help reduce this, well with products placed in an easy to navigate flow and the labelling of these products showing better information about its environmental credentials, this kind of support allows consumers to make more sustainable choices during their food shop.

Currently eco-labelling is limited therefore location & placement in the layout is a key driver in making a change, consumers find it difficult to make more sustainable purchases despite the fact that 65% of them want to make the right choices to live a healthier and more sustainable lifestyle.

Ethical consumerism is a rising trend, figures show this is now valued at £122 billion and consumers are looking for messaging that is easy to recognize, connect with, and understand.

People want to make more Sustainable choices.

Research shows that eco-labelling on menus encourages people to eat more sustainably, with 84% of people opting for the more sustainable choices in the eco-label study. The adding of Nutri-Score labels to products in French supermarkets is being used to encourage consumers to choose more nutritional products. The success of the Nutri-Score System has led to the initiative being recommended for use in other European Union countries, as well as by the European Commission and the World Health Organization.

As we all know some sustainable products carry a price premium which could discourage consumers but if they are made aware of the product’s sustainability credentials research shows they are willing to pay the extra. Eco-labels, signage, customer journey, storeplanning and layout design have an important role to play in supporting consumers to make more sustainable choices.

How we help.

So how do we help? Let me briefly explain, we design layouts with a great customer experience, with signage, branding and wayfinding that allows the consumer to better understand the purchasing choices they have and the impact these choices have on the environment they live in.

Creating 3D models that show the sightlines, equipment layouts, branding and signage allows us to clearly communicate a proposed layout with our clients. Being able to see what the consumer will see allows informed decisions and changes to be made early in the design process reducing the need for costly onsite changes.

We create detailed 2D merchandising plans and construction packs to ensure the layout is delivered exactly as conceived ensuring a high-quality end result.

Conclusion.

With the European Parliament recently adopting proposals which will require companies to ensure the reliability and accuracy of their voluntary environmental claims, eco-labelling, signage, and product placement will play a huge role in improving consumer confidence in the sustainability of food products.

Here at RDS we support the retail industry to build resilient, transformative retail layouts. We have decades of experience using expert design, strategy, research, and intelligence using cutting edge technology and implementation support. Find out more about how RDS’s teams can support you by visiting our services page click here:

Call us on 017870224878 or email me – neil@retaildesignsolutions.com

Many thanks for the help and data from:

The World Economic Forum

Intergovernmental Panel on Climate Change (IPCC)

The Ethical Consumerism Report

The British Psychological Society

Let me explain how RDS helps our clients focus on their Asset Information Model (AIM) & why it’s so important.

Most of our clients are asset owners, they buy & develop large or small commercial property, we Laserscan, model and create 2D plans and 3D models for our clients.

It’s in these models that we embed Information regarding all the assets that make up the entire site, but why? Whats the value in doing this?

Hopefully in this article I will explain why it’s important and why it’s crucial to maintain the model.

How it starts.

An AIM will go through various stages at RDS before it becomes an AIM. It starts its life as a Pointcloud gathered on site by our fleet of Laserscanners, it then becomes a detailed set of existing 2D plans and a 3D model.

It’s in that 3D model that we embed project information, which is used to manage the information required to coordinate the next stage which is design and construction of the asset.

Our proposed models are a combination of design and construction models, drawings, documentation and all kinds of data. Some of this data is created to industry standards but a large amount is created specifically for our clients and their unique business requirements. This unique information ensures our clients maintain compliance, aids in operations and maintenance and satisfies information needs at an organisational level such as retail performance or customer journey.

3D is just the start.

Most of our clients are sold on the idea of BIM and AIMs in the form of 3D Models to create Visualisations, 3D Renders & Flythroughs. But 3D models are just the tip of the iceberg. The real value lies in the data and information embedded into the model below the surface. A lot of this data and information helps our clients get their property up and running. The clearer it is and more aligned to their needs, the quicker they will be up and running.

As an example, one of our clients asked for specific data within an asset register so their facilities management team could transfer this information into their facilities management software and start running planned and preventative maintenance on the day of handover. If they didn’t have this information, their FM provider might have had to spend three to four months and thousand of pounds in labour surveying the facility. Human error comes into play, not being able to access everything they need to onsite and equipment not being maintained as per warranty requirements.

As we all know, after four months, things change onsite, operating sites need to adapt and before you know it the AIM is out of date before you have even finished gathering the information!

That’s just one example, the models we create for our clients contain data about their buildings, level names, space names, system and asset IDs and many other specs, far too many to mention here.

If, as an organisation, you wish to capture building data into a database for analysis and you’ve not used an AIM or standards and policies that would maintain one, be prepared to spend a lot of time and effort chasing and re-formatting this data from an overwhelming array of siloed sources.

Analysis.

With an Asset Model in place, we can share key information for our clients across all contractors, suppliers & vendors prior to handover whilst their equipment or technology is still being installed and commissioned. This means at handover, they are already reviewing data that they can analyse and gain insights to add more value. Some of our clients also link their Computer Aided FM platforms to this data prior to handover, this enables them to manage many millions of pounds worth of equipment and ensure it is being effectively and safely maintained.

We don’t just do this for one site, we do this across our client’s estate because the more data you have, the more power you have to cross-analyse your data to better run your properties, keep operating costs low, reduce carbon emissions and keep the customers happy and staff productive.

Conclusion.

Currently if feels like only new buildings are benefiting from an AIM, what do we do with the rest? New buildings only account for a fraction of what exists, most of our clients have large portfolios of existing assets and they are regularly refitted and updated.

Unfortunately, most of these buildings are producing their data inconsistently and named differently, being captured in different, disconnected silos, or in some cases, not at all!

We can help change this by utilising our skills and technology to transform the way you capture your data and open up channels of information that will benefit you and your business in the long run.

The results are in……

Remember I said at the beginning of this article, why do this?

Well by doing this ultimately the asset will become more valuable in the long run. It will be cheaper to run, generate more revenue and be a nicer place to use!

If you would like to know more, I would love to help you, email me – neil@retaildesignsolutions.com

It all started with CAD back in 1998 and we still use it everywhere in our business today but over the last 24 years we have integrated new technology into our workflows to benefit our clients, some of these are:

• Reduced costs (Timesaving Technology, Laserscanners, Drones)
• Reduced Waste (Information Rich 3D BIM models allowing analysis of materials used)
• Enhanced detail and accuracy (Laserscanners, Drones, Topographic surveys)
• Streamlined construction (BIM model construction packs & Visualisation Packs)
• Reduced onsite errors (Cash detection software)
• Enhanced collaboration (Online 360 Photographic tours, visit your site or asset from any web browser)
• Optimised Design (Live 3D, go anywhere in your proposal, see it from the customers eyes, Virtual Reality, be inside your proposal)
• Streamlined Stakeholder sign off (Ultra HD Renders from any location, look & feel brought to life)

There are so many different technologies that can be used within a single workflow, if you follow ISO it expects a CDE is provided and managed by the appointing party (or a third party acting on their behalf), this is for the management of all information containers, that includes models or plans that are developed and exchanged throughout the life of the project. This is referred to in ISO’s as the ‘Project CDE’

However here at RDS we often implement our own CDE for our clients to adopt and use as their own.

So what does our CDE look like? How does it behave? Lets briefly explain….

Our solution is browser based and therefore requires no specialist software (just an internet connection) this enables you to access your files anywhere in the world!

We have document management tools for Design Files, BIM Models, Construction Documents and more ensuring that information is carefully planned, shared, stored, managed and retrieved.

CDE Document View

There are various components of our CDE, some of the most important parts are:

• Information States – giving documents levels of sign off or development.
• Classification of information containers – this is about inserting or embedding specific data that our clients require in CAD, BIM or Construction Documentation.
• Revision control – ensuring that only the latest Model, Plan or Document is used.
• Permitted use of information – only allowing the correct people to see or edit specific Models, Plans or Documents.

CDE 3D view

For more info please get in contact on 01787 224878 or email us at hello@retaildesignsolutions.com

Do you sometimes fell like this maze? A bit lost, not sure which way to turn? You know you want a BIM model but how? Have no fear because using our framework of documents helps you define clearly what is actually required…..If you don’t have such clear communication you create a lot of wasted time and effort.

We create documents for you that set out the Level of Information you need…

See an example below of the different details you can have for the same asset in your model

As you can see the detail can be vastly different, if you get this wrong then a model can become too complicated and money can be wasted creating content that will never be used!!!!

DEFINE AND AGREE ON THE LEVEL OF BIM REQUIRED – BE CLEAR ON HOW MUCH BIM IS ENOUGH AND ALSO HOW MUCH BIM IS TOO MUCH!

To define these requirements we use our own framework (but not the type of framework in the image above!!!) no we have a framework of documentation, the first of these documents is our Information Requirements

We create a bespoke tailored document to your needs, below is an extract of the kind of info found in this first document.

All our documents are based on International Standards and award winning recognised frameworks.

Next time……………

Using our trusted framework

Answering that question is really difficult, BIM is many things and can bring many benefits to a business but its different for everyone.

The true answer lies in understanding our clients needs, we learn, define and question why they are thinking of doing BIM in the first place.

Before we get into the project specific requirements for a client we start the whole process by answering some of the below:

• Why are you building a model in the first place?
• Why are certain model elements required at specific times through the projects timeline?
• Why do you need the model to follow a workflow?
• Why do you need to deliver the project in a specific file format?
• Why…………..?
• Why……………?

We ask many more questions so that we can get to the true purpose of why you need BIM and to ensure BIM is delivered to its true potential for our clients.

Contact us and take the first steps into a BIM solution for your next project and future-proof your assets……………

Next Time……

In the next article we will discuss the Information Document (Image below) , this is just one of the documents we put together for all our clients to enable BIM to be delivered successfully and tailored specifically to their needs……………….