At a time of increasing uncertainty and change across the global retail industry, together with our international partners, JCWG felt that it was critical to understand more about how retail leaders are identifying and responding to these challenges. The final of five blogs on this report focuses on Retailer’s Outlook on the future.

As we gaze into the future of the retail landscape, our analysis reveals a tapestry of expectations, discrepancies, and valuable insights from retail executives. The juxtaposition between their outlook for the industry at large and their confidence in their own businesses paints a nuanced picture of the challenges and opportunities that lie ahead.

While 46% of respondents anticipate general retail sales to grow this year compared to the previous year, a more optimistic 67% foresee growth in the sales of their own businesses. This disparity underscores the divergent perspectives within the industry, with a substantial percentage expressing higher expectations for their individual enterprises despite a more cautious outlook for the broader retail landscape.

Similarly, when examining profit expectations, 19% of respondents expect a decline in profits this year, while almost a quarter expect profits to be much higher (5-10%). On average, a 1.8% growth in profit is projected, further emphasizing the positive outlook for their own businesses. This optimism reflects not only resilience but also a strategic confidence in their ability to navigate challenges and capitalize on opportunities.

The survey also reveals a mixed sentiment towards the retail industry at large this year, with 31% strongly agreeing that it will be a positive year, and 28% strongly disagreeing. This ambivalence reflects the complex interplay of societal and economic factors influencing the retail sector.

Looking toward the horizon of 2030, the executives’ outlook becomes markedly positive, with 83% expressing confidence in the future success of their companies. This aligns with their positive projections for sales and profits, indicating a long-term optimism that transcends short-term uncertainties.

As a parting gift, we glean valuable advice from these retail leaders:

“A clear, shared, solid and unchangeable strategy in the short to medium term, but accompanied by a reactive tactic: you need the ability to quickly improve what works and just as quickly close what did not deliver the expected results.”

“Expand your business with additional revenue channels. Not necessarily 100% correlated with your core business. Open yourself up to discussions taking in sometimes unexpected ideas. From many, a new direction worth developing could emerge”

“Be open to change. People have changed since the pandemic and want to know they are being taken care of and have an organization that cares for them”

“Focus 75% on winning products with sufficient supply in the market, explore 25% with new products that can generate a higher profit margin”

“You have to continually invest in innovation. Nowadays, everyone is focused on profit. That is a race to the bottom, with no investments, you will wake up 3 years later and find out your business is boring”

“Choose a distinctive position in the market aligned with your own DNA. Choose and be chosen. Doing what others do will not lead to sustainable growth”

“Respect your skilled workers – it will be much more expensive to qualify new ones”

The future of retail is shaped by a delicate dance between optimism, strategic foresight, and adaptability. As these executives navigate the path ahead, their insights and advice serve as beacons for the broader industry, urging a commitment to innovation, resilience, and a customer-centric approach.

Unlock valuable insights and stay ahead in retail leadership! Download the World Retail Congress Global Retail Executive Survey report today to gain a competitive edge, informed decision-making, and actionable strategies. Click the link here to access your copy now!

For help with preparing your retail business for the future, reach out to the team at JCWG!

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