You think the solstice signals the start of the summer doldrums? We think not. Although retail sales -- especially online -- may slow a little during July and August, retail business and technology execs can't afford to slow down. Leaders use this time to make next year's technology decisions and fine-tune existing applications before the critical back-to-school and holiday seasons. Here's what should be on your summertime agenda:

Dedicate an executive off-site to long-term technology planning. Recent interviews with retail CIOs indicate that perhaps the most important key to retail success in the 21st century lies in how well IT and business execs collaborate and share processes and accountability. Use time away from the office to brainstorm how new technologies like Linux, RFID, and wireless LANs can support these goals, discuss where your company will be in five years, and strengthen personal relationships.

Free key staffers to do some R&D. Despite ongoing pressures to contain costs and new technology investments, leaders somehow find ways to explore trends that may affect business in the future. One CIO we interviewed just set up an RFID swat team, with the mandate to develop at least three scenarios for using RFID in the supply chain and/or in stores by 2005. They'll review the proposals at the end of the summer -- in time to allocate funding in 2004. Another has assigned his crack programmers the task of investigating all of the possible places Linux may replace Unix across the enterprise. We think that's a great idea -- and wouldn't it be cool to reward the guys who find and implement the best cost-savings opportunity with a bonus based on the one-year financial ROI?

Optimize your Web presence. Most retailers, especially seasonal sellers like Toys"R"Us and Best Buy, take advantage of summer's relatively light online traffic to fine-tune their Web sites for their most productive customer scenarios. Leaders use site analytics and conduct focus groups, usability tests, and site reviews to troubleshoot current sites and test plans for next year's site. Beyond web sites, retailers should also examine all digital marketing efforts, including email campaigns, affiliate programs, and portal deals. The goal? Enter the fall with an array of advanced tools -- and people who know how to use them -- to boost sales, convert customers across channels, and differentiate from the pack.

It's going to be a busy summer!




Kate Delhagen
Consumer Markets Research Director

P.S. Retailers won't be the only ones working this summer. According to retail CIOs, technology vendors have some homework to do. Ask Forrester to provide a vendor messaging review or sales force education during July or August by sending email to katedelhagen@forrester.com.

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