The retail landscape in New Zealand is evolving fast. New technologies are reshaping how people shop, how brands present themselves and how stores operate. But technology alone won’t deliver results, regular physical merchandising remains the bedrock that makes these innovations truly effective.
Here’s a look at what’s changing, and how consistent in-store execution ensures your brand stays ahead of the curve.
1. Emerging tech in retail: AI, AR, VR and beyond
What’s happening
- The power of artificial intelligence (AI) in retail is growing rapidly. From personalisation to forecasting, AI is enabling smarter, faster decisions in store.
- Augmented reality (AR) is creating new interactive opportunities: virtual try-ons, product visualisation, immersive displays.
- Virtual reality (VR) is still more niche but is being explored for immersive brand experiences and “virtual store” concepts.
- These technologies underpin what’s often called “phygital” – blending physical and digital touch-points (e.g., QR codes at shelf, in-store interactive screens, AR scanning).
How regular physical merchandising becomes the foundation
- Without shelves, tags, facings and POS in the right place, digital overlays (AR/QR) fall flat. If the physical shelf is disordered, the tech experience suffers.
- Visit frequency ensures that tech-enabled displays remain operational, correctly positioned and visible. A screen tucked away or a QR code missing signage = lost opportunity.
- A consistent physical presence means your team can spot where the digital/physical interface is failing (e.g., QR code not scanned, AR demo not intuitive), and fix it quickly.
- Physical merchandising visits also provide rich feedback on how shoppers are using these tech-enabled experiences. You’ll see which features catch attention, which don’t, and can adjust planograms or tech accordingly.
2. Changing shopper behaviours in NZ: post-pandemic, omnichannel, click-&-collect
What’s shifting
- Shoppers are mixing channels: researching online, buying in store, using click-&-collect, expecting seamless transitions between digital and physical.
- There’s increased demand for convenience, flexibility and immediacy. The physical store must now compete with online ease and still deliver brand presence.
- Retail experiences are no longer just about product on shelf; shoppers expect interaction, experience and engagement.
- “Phygital” now isn’t a buzzword, t’s a reality: incorporating screens, interactive displays, QR codes, digital signage alongside physical stock.
Role of regular merchandising
- With more channels and more complex shopper journeys, the physical shelf must act as a strong anchor. Visits ensure your shelf is aligned, frontage is clear, signage is correct, digital/physical cues work together.
- For click-&-collect or online-research-in-store patterns, the shelf needs to guide rather than simply display. Regular merchandising allows your brand to ensure pick-up points, end-caps, and signage reflect this behaviour.
- When shopping behaviour shifts, planograms need more frequent review. Regular store visits help you stay responsive, not waiting six months to react when shopper preferences change.
- Physical execution reinforces brand authenticity. In an omnichannel context, if the in-store presentation lags behind the online promise, you risk disappointing customers and losing trust.
3. Phygital merchandising: making it real in store
Key tactics
- Interactive screens / digital displays: Use in the store to showcase wider range, tell your brand story, launch sampling or tutorials.
- QR codes at shelf: Provide additional information, link to video demos, allow customers to order variants not physically available.
- AR experiences: For example, customers scan a product label or shelf zone and see overlays of usage ideas, benefits, variants.
- Unified signage & POS: Ensuring digital and physical messages are consistent and clearly point to each other.
Why physical visits matter for phygital
- A screen might be installed, but if surrounding shelving is messy, low stock or mis-faced, the digital impact is diluted.
- QR codes, AR markers and digital triggers must be placed in high-visibility, logical shelf positions. Regular merchandising checks guarantee this.
- Stock availability still matters. If a digital display or AR experience encourages discovery of a product but the shelf is empty, you’ve lost conversion. Visits pick up stock-out or refill issues.
- Store layout evolves: new categories, promotions, brand extensions. Regular visits let you optimise where and how phygital elements are placed for maximum impact.
4. Practical steps for brands & merchandising teams
Here’s a simple action plan your brand can adopt to integrate these future-focus strategies while keeping the physical base strong.
- Plan for frequent in-store review: Quarterly is no longer enough. For key stores/brands aim for monthly or fortnightly visits, especially when you’re experimenting with digital/interactive elements.
- Include digital interface checks in your merchandising audits: When you’re onsite, use a checklist: screens working? QR codes visible? AR markers intact? Shelf stock aligned with digital cues?
- Train store teams in the “phygital” role: Make sure store staff understand the link between physical shelf and digital/interactive elements. Encourage them to monitor and report tech or engagement issues.
- Use your field team for feedback into strategy: Your merchandisers see what happens in store. Ask them: what interactive elements are catching attention? What shelf zones get ignored? Is digital click-through translating into shelf picks?
- Ensure inventory & planogram agility: As shopper behaviour evolves and tech uncovers new pathways, your physical execution must be adaptable. Make planogram refreshes easier and more responsive.
- Track metrics beyond stock-facing counts: Look for signals like “QR scans per store”, “engagement rate with interactive display”, “conversion of digital engagement to shelf purchase”. Use regular visits to capture this intelligence.
5. How VSS Ltd helps brands keep momentum
At VSS Ltd, we specialise in not just putting shelves right once, but in keeping them right. In a world where digital and physical merge more every day, our strength lies in the fact that we:
- Are NZ-based with consistent local calls and quick responses
- Understand complex planograms and the interplay of physical layout and digital/interactive cues
- Bring frontline visibility into store behaviour and feed that back into brand strategy
- Provide merchandisers who aren’t just “putting product on shelf” – they’re brand ambassadors who ensure your tech-enabled brand experience works from shelf to screen
If your brand is exploring AR, interactive displays, QR engagements or omnichannel transitions, let’s talk about how we can not only launch these elements but sustain them with ongoing, high-quality physical execution.
Ready to bridge the physical and digital in your stores? Let’s connect and talk about how your brand can win in a “phygital” future with reliable, regular in-store merchandising. Reach out to our team at VSS Ltd and let’s map the journey together.
