(Length: 4 pages)

July 11, 2006

Retailers' New Software Buying Habits

Trade Shows Like Retail Systems Decline, But Niche Vendors Stay Relevant

by Nikki Baird

with Carrie Johnson, Brian Tesch


Executive Summary (This is a document excerpt)

Despite great speakers, the Retail Systems show suffered from a lack of attendance by retailers and of participation by vendors. The painful, slow death of midyear trade shows signals a shift in how retailers are buying software. Retailers don't go to trade shows to learn about the latest and greatest, because, increasingly, it's all the same vendors, there are few opportunities for innovative new offerings to get their 15 minutes of fame, and retailers already have relationships with most of the other vendors on the show floor. All of the business is happening in meeting rooms, not booths: A new pragmatism among retailers that are looking for both vendor vision and demonstrated ability as they try to tackle uncertain technology investment priorities kills the need for exhibit-driven trade shows and reopens the innovation cycle, making room for niche vendors to continue to thrive. But a niche play is a risky one: Vendors navigating niches don't control their own destinies, relying instead on the whims of established vendors that serve as Transformers and Brokers in the retail software innovation cycle.

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Industry: Retail, Retail Technologies
Geography: Asia Pacific, Europe, North America

Archived Teleconference:
Trends 2007: Retail IT
Original air date: Friday, January 12, 2007
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