Woman wearing blue jeans shirt and sunglasses using mobile phone to compare price and holding orange shopping basket in mini mart background.

Almost half (44%) of Australian consumers say the use of in-store tracking technology enhances the shopping experience by improving customer service, while 34% say it helps create more personalised store promotions, according to a recent survey from mobile and IoT management solutions provider, SOTI.

In-store tracking is based around sensor data, which is received from beacons placed around a retail store that can connect with a customer’s mobile phone via Bluetooth and a retail application. The data can identify how long a customer has been in a store and what products they have selected to buy. This information can then be used by retailers to send customers promotions, special offers and store information.

“Our research, which surveyed over 500 Australian consumers, found that shoppers are increasingly getting on board with the concept of in-store tracking if it means a better retail experience. In fact, 42% of survey respondents stated that they are more likely to choose to shop in a store that uses tracking technology to enhance shopping experiences,” SOTI vice president sales for APAC, Michael Dyson said.

“It’s clear today’s consumers want relevant and personalised enhancements to their shopping experience, and this is something that retailers can now deliver with the data insights obtained through in-store tracking technology.

“While more retail customers are aware that retailers could be tracking their shopping habits, their comfort with this is reliant on the data being used primarily to offer them better shopping experiences, and the data being kept secure at all times.”

Of the shoppers surveyed, 42% communicated concerns around the security of customer data derived from in-store tracking, however, over half of survey respondents said that a comprehensive security process and management solution to protect gathered data would alleviate their privacy concerns.

“Security risks pose a rising threat to retailers who continue to gather more and more sensitive consumer data. For Australian consumers to really have faith in in-store tracking technology, they need to be confident their data is being protected,” Dyson added.

“For retailers to maintain credibility in this area, they must implement an Internet of Things (IoT) management solution with strong security credentials, that allows them to have visibility and management of all business-critical IoT endpoints, including in-store tracking technology, from a centralised point.”

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