Global Unified Communication as-a-Service in Retail Market - Segmented by Region - Growth, Trends, and Forecast (2018 - 2023)
The global unified communication as-a-service in retail market was valued at USD 3487.27 million in 2017, and is expected to reach a value of USD 13507.5 million by 2023, at a CAGR of 25.2 %, during the forecast period (2018 - 2023).The scope of the report is limited to products offered by major players, which include providers of Unified Communication as-a-Service in Retail market segment. While the various countries that provide the service have been analyzed.
The retail market has transformed dramatically over the past few years, laying new demands on stores of all sizes. Offering a wide range of products at lower costs is no longer considered as a unique advantage for vendors in the retail sector. To design a multi-dimensional and satisfied shopping experience for the customer, corporate executives, field managers, and store employees need access to a broad range of products and organizational information.
It has become very crucial to ensure effective communication between headquarters and associates, which is quite challenging for retailers at present. Further, disseminating corporate messages within a specific timeframe plays a major role in optimizing store operations. Retailers are heavily investing in store-level communication technologies to ensure there is a smooth flow of information. However, they are limited to store infrastructures that often consist of older, proprietary and disparate systems. This results in limited access to information and a heavy reliance on manual processes, leading to stores becoming less flexible and resilient.
Demand from Small and Medium Scale Business is expected to drive the Growth for this Market
The dependency of SMBs business on the cloud is proliferating and is expected to increase in future. UCaaS has emerged as an ideal solution for SMBs, mainly when delivered in a cloud-based model. These solutions combine real-time, integrated voice, and collaboration capabilities, along with a flexible and scalable delivery model making them well suited for SMBs. The major benefit of UCaaS for SMBs is more about reducing costs than having an impact on business. These businesses regard cost savings, increased security, and simplified management as the major benefits of deploying UCaaS. A recent study by ATT confirmed that two-third (67%) of small businesses (with fewer than 100 employees) use VoIP today. SMBs interested in hosted IP telephony and VoIP access service are likely to increase, and more than 70% of SMBs are expected to purchase new communications technologies in the next two years.
Impact of UCaaS as a Cloud on SMB
High Growth of Retail Industry in United States Demands the Need for Ucaas Systems
The United States has well-established distribution channels for all forms of retail sales. The retail industry provides an openly competitive environment that promotes strong business operations and spurs innovations that increase efficiency and reliability. The retail segment in the country employs around 29 million people, and provides more than 42 million jobs. Sales in the sector are expected to increase by 3.4% year-on-year, with e-commerce retail sales expected to grow by 7-10%.
Retailers in the country are scrambling to meet the expectations and demands of an increasingly digital customer base, asking for better co-operation and communication between the staff to provide seamless services to the customers. Further, Amazon USA has released Chime, a cloud-based UCaaS, hosted in Amazon Web Service’s cloud. It provides video conferencing service to enterprises and works on, both, desktop and mobile phones. It was deployed in retailer Brooks Brothers’s stores as a pilot project. Other retailers are expected to incorporate Chime in their stores, as the demand for UCaas in retail is expected to rise dramatically.
In addition to this, Walmart had decided to invest USD 11 billion in 2017 in capital expenditures, much of which has been poured into enhancing the online presence and optimizing the workflow. Moreover, it further expects US e-commerce business to grow sales by roughly 40% in fiscal 2019, further driving the demand for UCaaS in e-commerce.
Key Developments in the Market