'By 2030, 25% of retailers anticipate having no inventory in their physical stores'

As we stroll through shopping streets, more and more stores are disappearing, giving way to candy shops, small 'grab-and-go' eateries, and beauty salons. It seems we are on the brink of a new shopping era. Will everything move online? Is there still a future for the brick-and-mortar store? How will customers shop in the future? The PwC Retail Monitor 2024 investigates the current state of physical stores and explores the future of shopping.



Inventory disappears
One of the topics explored by PwC is inventory. Currently, 94% of retailers have the majority (>75%) of their products available in-store. Nearly half of these retailers indicate that this applies to their entire range, not just the most popular and best-selling items. However, this trend is expected to change by 2030. By then, about 25% of retailers anticipate having no inventory in their physical stores. This shift anticipates a greater emphasis on alternative distribution channels and a move towards virtual or online shopping channels.

This change is attributed to changing customer preferences. While customers still value being able to see and touch products before making a purchase, there is no longer a strong need to take the product home immediately. However, the preference for in-store shopping compared to online shopping can vary depending on the product's price (as mentioned earlier) and the sub-industry. For example, items such as clothing and fruit are more likely to be bought in-store, while products like new phones or a good book are often ordered online.

Source: PwC Retail Monitor