Attracting the Ideal Retailers in a Crowded Market
CIO Review Europe | Wednesday, August 19, 2026
FREMONT, CA:As shopping options continue to expand, retailers are actively seeking tools to meet customer expectations. The rise of phygital commerce, smooth delivery processes, mobile and social commerce platforms, automated customer service through chatbots, AI-driven hyper-personalization, and immersive metaverse experiences is driving a swift adoption of technology in the retail industry.
In the retail sector, a substantial proportion (49 per cent) of businesses that made software investments last year express regret, with nearly one in four (23 per cent) reporting regret for multiple purchases. While this regret rate is lower than in industries like education, transportation, and construction, it remains a significant concern that can lead to customer attrition.
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Analysis of retail demographics reveals a trend: newer enterprises are more likely to regret software investments. 60 per cent of retail companies under five years old experience buyer’s regret, compared to 50 per cent of those five to nine years old and 42 per cent of businesses ten years or older.
Additionally, retail firms in growth phases exhibit higher regret rates (50 per cent) than those in stable or contracting operational phases (44 per cent). Technology providers must demonstrate a deep understanding of buyers' circumstances to address churn and identify potential regret indicators, such as business tenure and growth stage.
In many cases, retailers who express regrets about their purchases often attribute these regrets to issues such as poor usability or unexpected costs. A significant portion, specifically 29 per cent, of these regretful retailers cite software usability challenges as a primary concern. This challenge is further exacerbated by difficulties in training and onboarding, which 36 per cent of retailers experience, along with inadequate technical support services, as reported by 31 per cent of respondents.
One of the most disheartening experiences for retailers is feeling that they have paid more than justified for a product that fails to deliver the anticipated benefits. Among retailers who have encountered regret, 29 per cent expressed dissatisfaction with the total cost, which was higher than initially indicated.
Offering a comprehensive onboarding experience with valuable training resources and robust implementation support is crucial to mitigating buyer regret and enhancing overall satisfaction. Additionally, technology providers should demonstrate a proven history of prompt support desk responses, which can be evidenced through customer testimonials and the provision of free trial periods.
Despite notable levels of software purchasing regret in retail technology, retailers are poised to maintain their investments in software solutions in the upcoming year. This strategic approach addresses critical industry challenges, including enhancing customer engagement across physical and digital platforms and expanding their customer base.
Retailers will concentrate their software investments on marketing, retail management, and sales to deliver seamless omnichannel shopping experiences and appeal to the burgeoning Gen Z demographic. Furthermore, the escalating digitisation and personalised customer experiences necessitate robust consumer data management and compliance with privacy regulations. Consequently, IT security software emerges as a critical priority for retailers.
The path to success for software providers lies in offering the most sought-after features, enabling them to navigate search filters effectively and secure a place on the initial shortlist of potential solutions. It is imperative to optimise product profiles on software comparison platforms, showcasing capabilities in marketing, retail operations, and sales management while also highlighting robust security measures and practical data management functionalities.
Effective scaling of efficient growth hinges on attracting and retaining the right customers. Engaging software buyers within the target industry demands a profound comprehension of their needs and behaviours. From primary business challenges and technology investments to product expectations and factors driving regret, leverage these buyer insights to elevate your acquisition strategy and mitigate churn.
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