Growth Opportunities for Advanced Information & Communications Solutions in the Retail Vertical

Retail is a key industry for county and regional economies, and it’s reflected in its share of global workers.
- There are over 420 million estimated retail workers worldwide, with the Asia Pacific region leading in total jobs.
- OECD economies have an aggregated 94 million workers in the wholesale and retail trade sector.
- In the US, retail trade accounts for 9.13% of the total workforce, with 15.53 million workers. If wholesale trade is included, then the number increases to 21.75 million workers.
- Similarly, retail is the largest private employer in the European markets, with a workforce of approximately 30 million workers in the European Union (EU), and an additional 2.7 million in the UK (representing 8.3% of the total British workforce).

While the retail industry’s transition from brick and mortar to online commerce is ongoing and undeniable, its physical presence is still key to the industry, as shown by the workforce size and share of total sales.

Retail is fundamentally about interactions—among staff, customers, and management—and the quality of these interactions depends on effective communication technology. Modern unified communications and collaboration platforms (UCC) unify voice, messaging, video, and collaboration tools, breaking down silos and enabling seamless coordination across stores, warehouses, and headquarters. Investing in advanced communication tools directly improves customer satisfaction, employee engagement, and operational efficiency—key drivers of sales and profitability in retail.Mobile-first communication solutions empower frontline retail workers, ensuring they receive timely updates and can collaborate in real time, even on the sales floor. Unified communications technology reduces costly errors, minimizes employee turnover, and supports rapid adaptation to changing market conditions.

Retail organizations are prioritizing investments in cloud-based, mobile-first, and AI-powered communication tools, with IT & telecommunications, customer service, and marketing departments leading efficiency-focused investments. Budgets for communications and collaboration are expected to rise in 2026, despite economic pressures.

Significant increases in investment are planned for cloud contact centers, business mobile services, employee performance tools, and AR/VR devices. Legacy systems like desktop phones and overhead paging are being phased out in favor of real-time messaging, video conferencing, and integrated platforms.

Top challenges include unreliable connectivity, fragmented tools, lack of integration with core business applications, and employee resistance to new technologies. IT departments face challenges related to talent shortages (especially in AI), strategic alignment with ESG goals, and proving ROI for technology investments. Technical hurdles include cloud migration, security, scalability, and systems integration.

AI-powered communications are expected to improve security, productivity, and customer experience. Most IT buyers prefer providers with strong, built-in AI capabilities and integrated platforms, but many see AI as a standard feature rather than a premium add-on. AI adoption is highest in sales, marketing, CX, and IT, with future expansion into compliance, legal, and HR functions.

Hybrid telephony environments (integrated on-premises and cloud) dominate, with a strategic shift toward unified, cloud-connected solutions by 2028. Mobile calling is crucial for retail employees, with security, compliance, and richer functionality as top improvement priorities.

Reliability, provider support, and advanced security are the most critical factors in purchasing decisions for UCC solutions. The main drivers for future investment are improving customer experiences, driving business growth, and enhancing information management.

Author: Ian Fresco