How Outdated Tech is Hampering In-Store Experiences

A new survey reveals that 65% of retailers feel their in-store technology isn’t keeping up with consumer expectations, threatening their ability to provide seamless shopping experiences.

Yes, technology is at the heart of delivering the modern shopping experience that today’s consumers expect. But a recent survey reveals a glaring issue in the retail industry: 65% of retailers believe their current in-store technology is insufficient for delivering these modern shopping experiences.

The study by Retail Systems Research (RSR), sponsored by retail technology provider Jumpmind, surveyed 112 retail executives and store managers between December 2024 and January 2025, highlights how many retailers are failing to meet the rapidly evolving expectations of today’s shoppers.

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The Technology Gap: Retailers Are Falling Behind

While the majority of retailers (85%) continue to view physical stores as their primary growth channel, the disconnect between what consumers want and what retailers can deliver is growing. The survey found that 62% of retailers admit that their current technology is not capable of providing the level of customer experience customers are demanding. 

This issue is especially pronounced in the area of point of sale (PoS) systems, with only 47% of retailers confident that their PoS technology is capable of supporting an innovative or differentiated store experience. In fact, a third of respondents pointed to their PoS systems as a significant obstacle to their ability to innovate and improve the customer experience.

Additionally, the rapid pace at which consumers are adopting new technologies has left many retailers scrambling to keep up. Thirty-four percent of those surveyed said that the speed of technological change is outpacing their ability to implement it, while 31% cited the high costs of new technology as a major barrier.

Steve Rowen, Managing Partner at RSR said, “While the past two decades have brought enormous technological potential to retail, the store of the future remains an elusive vision for many. Fortunately, low-cost, fully featured, consumer-grade technology is now available for far less capital investment than older store systems.”

Retailers Eye Mobile and Assisted Selling Solutions

Despite these challenges, there is a clear sense of optimism about the potential for mobile technology to transform retail operations. Sixty-three percent of respondents said that mobile devices have significantly helped in streamlining store management by freeing up managers’ time and providing better operational visibility. 

Assisted selling technologies and “endless aisle” solutions, which allow shoppers to browse extended product ranges online while in-store, also saw strong interest, with 70% of retailers planning to invest in these technologies over the next 12 to 18 months.

These investments are a reflection of the broader shift in retail toward improving the customer experience, both through more efficient operations and better engagement. However, these innovations are not enough to address the deeper structural issues faced by many retailers—issues that stem from outdated technology infrastructures that cannot support the demands of today’s tech-savvy consumers.

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Increased Threats from Ecommerce and Consumer Expectations

The pressure on brick-and-mortar retailers is further compounded by the rise of online competitors and changing consumer behaviour. A significant number of survey respondents—41%—believe that online retailers are eroding the value of physical stores, while 38% see direct-to-consumer retail models as a growing threat. Additionally, 28% pointed to the rise of same-day shipping from ecommerce as a major competitive challenge.

More than a third of retailers also cited the challenge of hyper-informed consumers as a direct threat to their business. Today’s shoppers, armed with instant access to information, are putting immense pressure on retailers to deliver more personalised, seamless, and engaging shopping experiences both online and in-store.

A Pivotal Year for Retail Innovation

The findings from RSR’s survey point to a critical inflection point for retailers: adapt or risk being left behind. Retailers’ continued reliance on outdated technology is inhibiting their ability to meet the rising expectations of today’s shoppers. With competition from ecommerce growing and consumers demanding more from their in-store experiences, the pressure is mounting for retailers to modernise their operations.

Joe Corbin, President and CEO of Jumpmind, said: “Many retailers have yet to crack the code on creating relevant and inspired in-store shopping experiences and time is running out. As inflation continues to impact consumer spending, it’s absolutely critical for retailers to create compelling and seamless in-store experiences that deliver value and differentiation, empowering both associates and shoppers.”

The opportunity for innovation remains vast, but the industry must act quickly to adopt flexible, cost-effective technologies that can enhance both customer and associate experiences. As we look to 2025, the retailers who are able to embrace these changes and invest in the right tools will be best positioned to navigate the rapidly changing landscape of the retail industry.

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