Retail IT’s New Year spending spree?

Retailers have been making do and mending when it comes to IT systems for the past couple of years. 2010 is likely to be the year when the necessary projects they have been putting off start to see some traction.

The lockdown of retailer’s IT systems is nearly over, but what projects will 2010 bring for IT departments who will have been focused on spending as little as possible this year?

The good news is that activity in the retail technology market is picking up. I’m hearing lots of whispers about bigger projects likely to get the go-ahead next year – including some major EPoS refresh deals.

The appetite for investing in consumer-facing IT seems to have returned. From kiosks and self-checkouts to feedback-gathering platforms and new loyalty schemes, all these technologies have found favour throughout this year, and next year it’s a trend that will continue.

At the same time, there is a continued appetite for technology that enables multichannel services. While this year there has been lots of talk about this, next year should start to see some more money being ploughed into upgrading the underlying infrastructure that will support this.

And while many retailers may still be kidding themselves that it’s some way off, the mounting evidence is that m-commerce is finally really starting to make waves.

Perhaps not the doing-all-your-internet-shopping-on-your-mobile-phone kind of commerce, but the willingness to use mobile as part of a multichannel experience is there. First it was mobile-friendly websites, then iPhone applications and now gift vouchers straight to your loved ones’ mobile phones. Expect more of these tactical developments next year.

IT budgets aren’t suddenly going to double in size, but retailers who plan on being around for the long-term recognise that technology is an essential enabler of their business plans. So hopefully next year will present IT departments with the chance to do some more innovative work than simply keeping the lights on.