The retail industry in the United States is fairly consolidated and heterogeneous. It is not only one of the biggest retail markets in the world, but it is also the most competitive. Furthermore, the top ten retail companies in the US retail market hold one-third of the total market share. As the retail market is constantly evolving, retailers are finding themselves in an uphill battle to profitably increase growth and market share. Planning for and responding to potential retail industry challenges has to be a large part of the overall strategy for any retailer in the US.

Attaining operational efficiency

Retail companies in the US are facing significant challenges in terms of managing complexities and coping with the changes. Yet, in order to bring efficiency to their tasks and processes, companies in the US retail industry must identify ways to deal with complexities and cope with the dynamic market conditions.

Technological challenges

Most retail companies in the US continue to use outdated technologies. This will only add on to the already existing challenges in retail for them. But the key challenge here is that they often fail to find the required investments needed for an upgrade. Automation can ensure substantial operational cost reductions when applied to routine and repetitive tasks. It can also provide greater visibility and decision-making support to retail businesses.

Direct to consumer channels

While retailers are planning their stores for the future, manufacturers are increasing the challenges in retail through direct-to-consumer channels. This helps manufacturers to not lose any extra margin to the retailers.

Control over accounts payable process

Retailers engage with several different suppliers. Managing invoices manually can make gaining control over the accounts payable process difficult for retailers. Such challenges in retail companies lead to a direct impact on the financial forecasting of the business and ultimately affect their bottom line.


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