February 2, 2023
Just over one third of U.S. retailers, 33%, are building entirely separate market approaches to appeal to Gen Z consumers and 77% plan to expand the number of digital channels they will use this year.
Those are top findings of Square's Future of Commerce report that analyzes business owners' and consumers' attitudes on the evolution of retail and restaurants.
"Sellers are optimistic for the future, but also taking action to improve sales channels and technology for consumers in 2023," Alyssa Henry, head of Square, said in a press release on the findings. "At Square, we know it's critical for sellers to diversify their revenue streams and expand their offerings, and with our ecosystem, sellers have been able to evolve and thrive."
The report found that 97% of businesses polled reported planning to take measures to weather a potential recession in 2023. Those measures include adopting automation to allow workers to focus on more meaningful tasks and expanding business offerings.
Retailers are investing in diversifying revenue streams and shifting their omnichannel and marketing strategies while adopting more tech-forward solutions like "Buy Now, Pay Later" and automation.
Additional report findings include:
"As retailers look ahead to this year, they're taking a much more bullish approach to expansion and innovation," Roshan Jhunja, head of retail at Square, said in the release. "Whether it's offering more products and services, or investing in automation to allow for greater convenience, businesses as well as consumers will both reap the benefits."