As we close out 2024, I want to take a moment to thank our customers for your support throughout the year. After 10 years with Triquestra, it has been an honor to take up the CEO role and I'm thankful to our entire team for their support and dedication. The holiday season is upon us, and I sincerely hope that each of you has a fantastic Christmas surrounded by friends and family. This is a perfect time to unwind, recharge, and prepare for the exciting opportunities that lie ahead in 2025.
Reflecting on the past year, it is evident that 2024 has been challenging for retailers. The economic landscape has been tough, with retail trading experiencing a decline compared to the previous year. There are positive signs on the horizon and Reserve Banks have begun lowering their rates to stimulate the economy, creating new opportunities for retailers in the coming year.
As we look forward to 2025, there are three key trends to watch closely and leverage to their advantage. First, savvy consumers are becoming more cautious with their spending. With reduced spending power, shoppers are less impulsive, seeking deals, and research carefully before making decisions. Many consumers opting for generic alternatives to the more expensive brands. It is crucial to ensure that you have the clear product information available in real time to attract these discerning shoppers.
Second, as consumer expectations evolve, so do their brand loyalties. While price remains a significant factor, many consumers are seeking convenience and brands that align with their values, such as sustainable business practices. It is essential to evaluate your inventory management strategies to ensure you have the right product in the right place at the right price. Gen Z and Gen Alpha are rapidly becoming a significant part of the market, and understanding their buying habits is vital for future success.
Lastly, customers want to shop when and where it is convenient for them. Retailers must offer a consistent experience across both physical stores and online platforms. The fundamentals still hold true: consumers want convenient, consistent, and responsive shopping experiences and are willing to go elsewhere to find them. Investing in your e-commerce systems and processes can reduce friction for your customers and simplify store operations for your staff. While free returns may not always be feasible, you can reduce your return rates by providing clear product information and assets such as pictures and videos.
Thank you once again for your continued support. I wish you all a wonderful Christmas.
