🌐 Strategies for a digital-first world
Hello,
Welcome to a world where digital-first strategies are not just options – they are necessities for thriving in today’s fast-paced markets.
🔍 In this newsletter edition, we look at how businesses adapt to stay ahead and navigate social commerce's intricacies.
From leveraging AI to understanding Gen Z’s online shopping habits, we cover the entire spectrum of innovation and sustainability.
📦🔋 We also dive into the latest returns policy trends, and Japan's ambitious leap into hydrogen energy.
P.S. We're eager to hear your thoughts! Found value in our insights? Give us a 👍. Think we can improve? A 👎 helps us move to a better groove.
Till next time,
Locate2u Team
🚀 EXCLUSIVE: AI lag threatens supply chains
The logistics sector faces significant challenges in environmental sustainability and AI integration.
Supply chain expert, Sofia Rivas Herrera, envisions a resilient future where the Red Sea crisis, AI integration, and environmental responsibility are seen as opportunities for growth.
Key insights:
🌍 Navigating crises: Shortening supply chains to mitigate risks, such as those posed by the Red Sea crisis. Nearshoring as a viable strategy.
🤖 AI integration lag: The slow adoption of AI in supply chain management is a concern. A bolder approach is needed.
🌱 Sustainability shortcomings: The supply chain industry lags in sustainable practices largely due to insufficient legislation holding businesses accountable.
Read more: Supply chain expert warns of AI lag, risks being left behind
📱 Social commerce and consumer worries
A report titled ‘Crossing the e-Commerce Trust Divide’ shows that trust is crucial in social commerce.
But it can be overwhelming to meet your customers where they’re at while finding your footing in a digital marketplace you don’t trust.
So, what should you keep in mind?
Consumer trust: Social media marketplaces are more trusted than e-commerce sites. 🤳
Retailer concerns: Despite that trust, retailers worry about inventory management, shipping, and payment processing. 🛒
Mutual worries: Both parties share concerns over financial fraud and delivery issues. 😩
💡💡💡 Closing the gap between consumer confidence and retailer concerns is crucial because trust is hard to repair once it’s broken.
How to build consumer trust:
Insurance: Coverage against fraud and delivery issues.
Education: Awareness about secure shopping practices.
Security upgrades: Essential for safeguarding transactions.
Go deeper: Social commerce: Survey reveals top consumer concerns
Quote of the week:
“We need to be more agile in implementing and less afraid of what AI can do in our industry.”
— Sofia Rivas Herrera, ‘Supply Chain Now En Español’ Podcast host, on AI-powered logistics and the risk of being left behind, in an exclusive interview with Locate2u’s Mia Lindeque.
🛒 Gen Z's online shopping habits
As digital marketplaces continue to evolve, Gen Z remains at the forefront.
Brands must adopt modern marketing strategies to engage with this digitally savvy generation.
Key insights:
📱 Marketing magic: TikTok is a powerful tool, with 58% of users discovering new brands on the platform.
🌍 Understanding Gen Z: This generation prioritizes online shopping; global challenges also influence them.
🛒 Social surge: Gen Z prefers shopping on social media. Grab their attention by implementing unique shopping experiences.
💡💡💡 While bridging the generational chasm is crucial to remain relevant in the digital age, it is not always easy!
To connect with Gen Z:
🧠 Focus on marketing campaigns that are considerate of mental health.
🎥 Short-form content is key, so be concise and captivating. Think TikTok!
🤝 Collaborating with social media influencers to amplify your brand's reach.
Go deeper: Embracing the ‘new way’ of online shopping with Gen Z
📦 Simplifying returns in a digital-first world
FedEx's latest report highlights a shift towards more user-friendly return processes. This also emphasizes US consumers' growing preference for no-label/no-box shipping.
The no-label/no-box trend fits the digital-first mindset while aligning with sustainability efforts by reducing waste.
Key insights from FedEx:
🌐 Consumer convenience: It’s easier and less stressful – hardly anyone has printers or packaging materials at home anymore.
♻️ Sustainability focus: The no-label/no-box trend is eco-conscious since it minimizes packaging waste.
🔍 Priority on returns: Businesses recognize the importance of streamlining the process to enhance customer satisfaction.
Read more: No-Label/No-Box shipping is the top return option for the U.S.
🌍 Japan's $20 billion hydrogen leap
Japan is looking to pioneer a clean hydrogen future, with a $20 billion investment to boost the energy sector and combat climate change.
If successful, this move will position Japan as a global leader by reducing production costs.
Key takeaways:
💰 Japan plans to bolster domestic energy advancements and establish a robust hydrogen fuel supply chain.
🌱 Hydrogen fuel produces only water as a byproduct and has high energy density, making it ideal for commercial vehicles.
📈 Japan's hydrogen supply will be amplified by 50%, aligning with the global decarbonization drive and anticipated surge in hydrogen demand.
Go deeper: Fueling the future: Japan’s $20 billion clean hydrogen strategy
📩 Do you have news for us? Get in touch at newsdesk@locate2u.com.