LONDON, 7 March 2024 — Retailers are optimistic about their prospects and the future of physical stores. But they face growing risks in a highly challenging and complex market, driven by disruptive forces such as social commerce, artificial intelligence (AI) and the metaverse, according to WTW’s Global Retail Risk Outlook 2024.
WTW (NASDAQ: WTW), a leading global advisory, broking, and solutions company, surveyed 700 senior decision makers in food and supermarkets, luxury and fashion, department stores, health and beauty, electronics, home and DIY and online-only retailers, to understand how the sector sees the future and its risks, challenges and opportunities.
Key findings include:
Garret Gaughan, Head of Direct and Facultative, at WTW, said: “It is reassuring to see that the Retail Industry is very upbeat about the future and embracing new technology such as AI whilst maintaining a healthy awareness of the risks that go with this.
“It is reassuring to see that the Retail Industry is very upbeat about the future and embracing new technology such as AI whilst maintaining a healthy awareness of the risks that go with this.”
Garret Gaughan | Head of Direct and Facultative, at WTW
“It will be crucial though that businesses navigate this new digital world safely. Public confidence and reputation are hard won and swiftly lost and by embracing tech and the digital landscape, businesses need to be aware they need to protect themselves in new ways.
“However, it is fascinating that despite so much commentary regarding the demise of physical retail, even purely on-line companies, see their future as including some element of physical retail space.”
At WTW (NASDAQ: WTW), we provide data-driven, insight-led solutions in the areas of people, risk and capital. Leveraging the global view and local expertise of our colleagues serving 140 countries and markets, we help organizations sharpen their strategy, enhance organizational resilience, motivate their workforce and maximize performance.
Working shoulder to shoulder with our clients, we uncover opportunities for sustainable success—and provide perspective that moves you.