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Retail's top trends, through a hardware lens

Here's the National Retail Federation's annual trend forecast.
1/30/2025

The National Retail Federation (NRF) has published its annual forecast of top trends and tactics to monitor. NRF issued 25 predictions in all, though we've culled the most relevant bits below for those in the world of hardware and building supply.

Lean, efficient and smarter supply chain strategies. 

Retailers should be prepared for a year of potential disruptions. As NRF writes: "Several risks loom large for retailers, including the potential for an East Coast port strike in January and uncertainty surrounding tariffs on China and Mexico."

Regardless, it may be wise to streamline your inventory practices. That may entail more investment in technology.

"Companies are more prepared, having deployed AI and machine learning not just to track inventory but to predict and adapt to disruptions before they become crises. Two trends worth tracking: the adoption of robotics and automation in warehouses and distribution centers, and the application of enhanced tracking technologies like blockchain."

Priority: painless shopping and checkout.

"Mobile and contactless payments expected to grow by 12.4 percent each year from 2025 to 2034," writes NRF. 

Everything leading up to checkout should be seamless, too: 

"Customers will expect brands to deliver consistent and personalized interactions, quick, hassle-free transactions with real-time inventory visibility and flexible delivery options."

That's where the tech stack comes in. NRF says to "expect cashier-less stores, inventory robots, self-driving delivery vehicles — even drones — to proliferate."

 

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Checkout should be quick and painless, per NRF.
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Mind the age gap.

If you're looking to reach another demographic, different folks may require different marketing strokes. NRF explains:

"Gen Z will seek authenticity and social responsibility, favoring brands that align with their ethical standards. Millennials will prioritize experiences and personalization, looking for brands that engage them meaningfully across platforms. Gen X will value convenience and efficiency, responding well to straightforward, hassle-free interactions. Baby Boomers will appreciate clarity and trust, gravitating toward brands that demonstrate reliability and customer care."

In-store services, events and "experiences" -- but with purpose.

NRF says in-person services or events are not just about buzz or traffic -- they can and should be "revenue drivers" that foster genuine connection. 

Among the rising trends in this vein is "live shopping," which NRF describes:

"This approach to selling, inspired by QVC and HSN, cultivates a sense of immediacy and exclusivity, and fosters connections between brands and products."

Brick-and-mortars rise again. 

"Physical retail stores will continue their rebirth in 2025," writes NRF. However, "today’s physical shops must offer immersive experiences that can’t be replicated online and showcase brands’ unique identities."

Invest in tech -- for employees.

There's no shortage of exhortations to implement AI into various business workflows, but don't neglect the folks who make your business bloom. NRF explains:

"As AI and automation streamline operations, the focus will be on empowering employees with tools for creativity, engagement and growth. By enhancing the work environment and fostering a culture of continuous learning, retailers will boost productivity and reduce employee turnover."

You can read the rest of NRF's 2025 retail predictions here.
 

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