Our survey shows cross-channel commerce is a priority for retailers, yet adoption is slow; we detail the strategy options available to them to avoid the ‘race to the bottom’

Europe’s retailers have not had an easy time over the past five years:

• Figures from Eurostat, the statistical office of the European Union, show a 9% fall in retail sales in the euro area since 2007; the sales index in March 2013 was down by 2.4% compared to one year before.
• In April 2013 even retail giants were struggling, Tesco PLC announced a 51.5% slump in profits and Carrefour SA posted  a 1.3% drop in quarterly sales.
• More than 1,400 shops closed in the UK between the end of 2012 and the start of 2013, including high-profile companies HMV and Blockbuster. Meanwhile, prime location retail rents in major cities across the continent are at their lowest levels since 2008.

The economic downturn is not the only factor, as changing customer behaviours and the rise of minimal-margin internet commerce have all put pressure on traditional retail. From the bricks-and-mortar models of the last millennium, consumers are now familiar with online purchasing; meanwhile mobile devices, smartphones, tablets and television sets are becoming ‘store fronts’ in their own right. Indeed, online e-commerce is one of the few areas that has shown growth – by an estimated 16% in 2012, according to the Centre for Retail Research.