IRCE 2012 – Internet Retailer Conference and Exhibition tradeshow at Chicago’s McCormick Place
IRCE (Internet Retailer Conference and Exhibition) is over for 2012.
To all who came to IRCE2012, THANKS for visiting Chicago, the local economy appreciated your visit. I appreciated your ideas and the opportunity for networking in my backyard.
Even after all these years in technology, it still amazes me to see how technology continues to move quickly in a few different directions. So while I will be highlighting some different companies I met or got reaquanted with in the near future here at SEODamian in future posts, let me share what I see were some major trends here from the show.
One of the big values I find in going to trade shows is the ability to compare and contrast different vendors in the same hour. The challenge with other solutions for comparing (trade journals, industry reviews, analyst reports) is that they often span data that makes comparisons irrelevant. They are X’s last quarter’s version compared to Y’s next quarter’s beta version. You still get the same issue at a tradeshow, but you can typically sniff out the game and get the real scoop on what the 2 companies are at today, and compare to 3 other similar solutions. Some of the key trends I saw in Internet retailing are:
- Prices are dropping. No big change there, except the rate they continue to drop. Typically not the same product at the same company, but by a new competitor creating most of the functionality of an existing solution and more for a lower price. Be it Chat and chat management (LivePerson look out, LogMeIn and others are looking to eat your lunch), survey tools, Addon’s to Magento (shopping cart platform), shipping auditing (no minimums needed here), affiiliate management, flash sales tools (keep it all in house or partner) and more.
- SaaS is the trend. The cost to distribute code to customers, and deal with your internal data center/stack complexities is too expensive for most tool creators. It is far easier for them to increase staff to keep 1 (or 2) data center up and going, then trying to guess how you (the customer) tried to make your data center secure and how you dealt with your specific legacy issues. The test bed is far easier to set up (if they are using AWS-Amazon Web Services, it is about 3 command lines to generate ‘another’ test bed). If you as a retailer can’t deal with SaaS or it’s API, look for adding at least one 0 (zero) to your cost in purchase price, and far more in TCO.
- Big data is here. Small startups need a credit card with a few dollars open on it to get a billion dollar data center (Amazon Web Services) to build ‘rock hard’ services. The cost of AWS is low enough that the ability to deal with incredible amounts of data in real-time changes what is being deployed as solutions. This shows up at the consumer level as presorted and pretargeted for their needs, not brood strokes. No longer is confirmation that a card number may be valid a real number good enough. It has to be validated that it belongs as a charge, not reported stolen and has the proper credit limit.
- The is no one stop shopping. The amount of tools to run a successful ecommerce site continues to grow. From the need to change pricing rapidly on one or all your SKU’s, to deploying across multiple channels (store, Amazon, eBay, Affiliate, traditional site, Facebook, ShopEngines) you need a collection of tools that is reminiscent of the stacks of apps in the 70’s and 80’s. The big difference, they are best not home developed, and often hosted in and out of house.
- Change is now often measured in weeks and months rather then years for software deployment. If you don’t like what you see today, what a quarter and redo your RFP (Request for Proposal). But monitor the products and community reaction in the meantime.
There was a lot more I saw, but 500 booths is hard to summarize in a few lines, so more to follow in the next posts.
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