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Retailer and consumer goods companies today live under constant pressure. Keeping up with the surge in e-commerce and multi-channel shopping, threading the needle of global supply chains,1 reimagining in-store experiences, and managing data volumes and privacy concerns just to name a few. Unfortunately, retailers of all sizes are too often caught flat-footed, and the lasting effects of COVID-19 are only making matters worse. Despite these pressures, global e-commerce sales will exceed $5 trillion in 2022,2 accounting for more than a fifth of retail growth.
To face these adversities head-on and capitalize on the explosion of e-commerce growth, retailers are injecting agility into their business by embracing e-commerce in the cloud. The cloud provides a robust infrastructure to enable seamless unified commerce operations, personalized experiences across channels, and thriving supply chains. To better understand how companies adopt the cloud to drive business transformation, we surveyed 50 global retail and consumer goods companies. The output of this survey is a list of 30 use cases mapped by the business impact, maturity stage, and future cloud investment intensity. These high-impact use cases span areas such as customer profiling, personalization, online returns management, real-time inventory visibility, virtual products, and many others. Furthermore, this study clarifies the business and customer value of e-commerce on the cloud beyond the parameters of speed and scale.
Before realizing the benefits of the high-impact use cases, the journey toward e-commerce cloud adoption starts with acknowledging the critical challenge facing retailers today. Our analysis sheds light on the following four challenges:
Although each of these challenges creates headwinds for retailers, the juice is worth the squeeze. Retailers can realize the following benefits by enabling e-commerce in the cloud:
More retailers are shifting their e-commerce workloads to the cloud. Currently, more than 60 percent of the total e-commerce workloads function on private and public cloud platforms. By 2023, this number is expected to grow to ~85 percent, with more than half of these workloads being hosted on public cloud platforms.
Retailers are making bets on e-commerce in the cloud to provide the agility required to meet the demanding pressures of today and the uncertainties of tomorrow. Cloud-enabled retailers say bring on the uncertainty. Do you?
Read more about how 50 of the world's largest retailers are adopting e-commerce in the cloud to drive business innovation through clear, actionable, high-impact use cases in the white paper, “Steering Through E-commerce Disruption with Cloud.”
Follow Microsoft Retail on Twitter and visit our Microsoft Cloud for Retail website to get the latest on how Microsoft and our partners are helping retailers deliver a seamless experience across the entire shopper journey.
1Supply Chain Pain: What’s Causing Backups At America’s Ports, YouTube.
2Global Ecommerce Forecast 2022, Insider Intelligence.
The post Achieving customer agility through e-commerce in the cloud appeared first on Microsoft Industry Blogs.
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