Capsule

NEW TECHNOLOGY AND VALUE KEY FOR TODAY'S RETAILERS, SAYS EX-BLOOMINGDALE'S CHIEF

May 08, 2009 BY CAPSULESNEWS

futurestorebbc.jpgMarvin Traub, ex-CEO of Bloomingdale's, said retailers are facing the most daunting challenges he's seen in over 60 years in the retail industry, but that it was the industry's role to help customers emerge from the gloom by focusing on new technology and value.  "Now is not the time to shy away from innovation or uniqueness," he said at the World Retail Congress in Barcelona yesterday.  Traub, who is currently president of Marvin Traub Associates, said that retailers need to react to the current "period of exponential change", which is seeing new technology connecting the world to ever-greater extents.   Traub said that e-commerce sales would clearly grow in the future while purchasing from mobile phones was described as "an enormous opportunity". Viral marketing online and social media networks are also key, he said, while focusing on consumer concerns over sustainability is important.  "The newest generation of consumers has a heightened sense of social responsibility that significantly influences their purchases," he said. Value should also be a key consideration for retailers going forward, he said, adding that prices for luxury goods had rocketed to unsustainable levels in recent years and brands and retailers need to develop new price point strategies. (WGSN)