Report: Retailers “Challenged” by Network, Security Demand Present Channel Opportunity

By
Brady Hicks
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Extreme Networks and Retail Systems Research published a new report: “The World is Connected: The Store Must Be Too.” Of note, the organizations revealed that retailers find themselves “challenged” by creating innovative in-store experiences that meet consumer expectations in the face of increasing network bandwidth demand and emerging cybersecurity threats.

Despite 75 percent of respondents calling demands on network bandwidth a “major” concern, the study found that the most successful retailers have leaned into Wi-Fi solutions to improve in-store experiences and overall store operations.

It should also be noted that these challenges, some speculate, could mean tremendous potential growth for the channel community.

Key Findings included:

  • 92 percent of retailers say that Wi-Fi is integral to offering a cutting-edge in-store shopping experience, while 54 percent say it has significantly improved in-store experiences.
  • Only 32 percent of retailers say their Wi-Fi network is “state of the art,” while 57 percent say it is “good enough.”
  • 72 percent of retailers use Wi-Fi to drive store operations.
  • 94 percent of retailers see endless demand for bandwidth on their constrained networks, creating technology adoption challenges; 75 percent list this as their top challenge, while 88 percent note that adding and managing new devices on the network is one of their biggest challenges.
  • 72 percent of retailers say they would prefer a single network that can handle any or all future devices and deployments, yet only 17 percent strive for a consistent technology profile across all their stores.
  • 96% of retailers claim that Wi-Fi has been instrumental in improving store operations to automate and streamline key processes such as virtual warehousing, loss prevention, electronic shelf labeling, digital displays, temperature monitoring and inventory management.

The survey polled 114 executives of global retail operations ranging from $100 million to $5 billion or more in annual revenue. To download the complete study, click here.