Retailers push to onboard tech talent
Through a special arrangement, what follows is a summary of an article from COLLOQUY, provider of loyalty-marketing publishing, education and research since 1990.
At the Kroger Co., headhunters are going bananas for technology majors.
So are talent seekers at Nordstrom, Best Buy, Home Depot and others. Traditional retail positions, such as cashiers, are increasingly being shelved as major brands reduce store numbers and invest in digital integration. And with that shift comes an escalating demand for the technology talent to lead their efforts.
Yet a sampling of retailers investing in technology positions hints that many may be trying to catch up after not recognizing the need soon enough:
- Kroger in January said it is actively recruiting experienced digital and technology talent both in its corporate offices and in its stores to drive its Restock Kroger program.
- Nordstrom posted openings for nearly 30 technology positions in January alone. Opportunities included data engineers, software engineers and omnichannel inventory managers.
- The Home Depot has dedicated a webpage to attracting technology candidates, highlighting career opportunities in seven areas, including mobile, data analytics, online merchandising and user experience.
The positions these brands and others advertise come under various titles, but can be broken down into three broad categories:
- Customer experience leaders: Omnichannel marketing has generated the need to produce an indulgent, brand-specific experience that is consistent regardless of channel. Doing so typically requires aligning company-wide strategies, processes and technologies to the fast-changing needs
- Data analysts: Companies in 2018 will need roughly 180,000 people with deep analytical skill, with an additional 900,000 or so jobs that will require data management and interpretation skills, according to predictions by International Data Corporation. At retail, expect a good number of these positions to be in the form of customer analytics — dissecting shopper data to identify predictive behaviors, pain points and paths to purchase.
- Software developers: All those mobile-ordered shoes and razors are supporting a growing legion of IT professionals, digital marketers and software developers.
The challenge, for traditional retailers, is adapting the technology fast enough to win the best talent — and finding the right talent to adapt it. Another hurdle is capturing the interest of unknowing college graduates enamored with digital, more youthful-seeming brands.
However, regardless of the degree to which technology changes careers, the most valued quality among workers will not change. That is the ability to empathize with consumers and troubleshoot their needs. Software can help build machine intelligence, but when it comes to delivering memorable interactions, shoppers still tend to prefer humanity.
DISCUSSION QUESTIONS: Are many retailers simply behind the curve in seeking out tech talent or do they face huge obstacles attracting tech talent versus other industries? Which skillsets do you see as most important?
Phil MasielloFounder and CEO, CrunchGrowth Revenue Acceleration Agency
Phil MasielloFounder and CEO, CrunchGrowth Revenue Acceleration Agency
Phil MasielloFounder and CEO, CrunchGrowth Revenue Acceleration Agency
Phil MasielloFounder and CEO, CrunchGrowth Revenue Acceleration Agency
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19 Comments on "Retailers push to onboard tech talent"
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VP of Strategy, Aptos
Yes, and yes. Retailers are behind the curve (except in e-commerce) because for the most part it has been about maintaining aging systems rather than investing in modern technology. And yes, I think they do face challenges attracting talent, because they will get out-bid — I mean, retailers have wanted and have been looking for data scientists forever, but have chosen not to pay market rates (competing with the likes of investment banking firms) to get them.
From my corner of the world, there seems to be a big push towards investing in microservices. That’s not so much new tech skills or development languages, but it is definitely a new way of thinking. I actually think it will be harder for existing tech resources to change than it will be to find new resources capable of delivering on this latest round of tech strategy and architecture.
Consumer Advocate, finder.com
Hardly, I think retail presents one of the biggest opportunities for technology majors. Being at the forefront of the retail industry’s tech-evolution presents an opportunity to build and implement something completely new. If retailers can meet tech giants in terms of competitive salaries and benefits, they should have no issues attracting great talent.
Professor, International Business, Guizhou University of Finance & Economics and University of Sanya, China.
“If retailers can meet tech giants in terms of competitive salaries and benefits, they should have no issues attracting great talent.” But will they? I believe there is a huge lack of appreciation by many retailers for how technology is necessary to connect with customers today.
Founder and CEO, CrunchGrowth Revenue Acceleration Agency
What retailers should have by now is a huge database of customer shopping data. That data is valuable to build customer retention, build average sale and continuously enhance the shopper experience.
Retailers need the talent to be able to mine that data in a usable way and share it across the organization so users can make it actionable data.
When you look at companies like Amazon, Walmart and Google, who have been using data to understand users and are now using that information to migrate into advanced AI initiatives, it is clear that most retailers are way behind the curve.
Principal, Retail Technology Group
The question is a little like asking: “Are retailers in the software development and technology business, or are they in the business of buying and selling products?” It is conceivable that the retailers that are so actively recruiting are doing so because they are developing their own solutions and feel that this is a must because what they want is not commercially available yet, and so they rush to beat their competition by staffing and developing. The inevitable situation arises that, eventually, the commercial technology marketplace is able to develop faster, for more customers, and stay abreast of the evolving technology in a way that is very difficult for a few retail businesses to do, and impossible for most. There are voices for both camps.
VP of Strategy, Aptos
On one level, I agree with you. I’m concerned about that too, that retailers should not be reinventing the internet in order to feel like they are offering something “differentiating.” We’ve all seen that mentality play out to the harm of retail more than once.
On the other hand, though, can you even sell a product today without technology? Heck, my mom is an Etsy seller who has stopped going to local craft shows, because she makes more money online with less work. So you kind of have to be a technology company to be in retail today. And it’s that transformation — from buying and selling goods to “enabling experiences” (usually on some kind of technology platform) — that is disrupting the industry. If all you value is buying and selling products, you’re playing the wrong game in retail today.
Principal, Retail Technology Group
I think we are not on opposites of the camp here. The fine distinction I make is between hiring many technologists to build one’s own, or buying the technology and using it. We clearly agree that the retail industry can not ignore or forego the use of technology. My concern is, and has been, employing tons of people to develop what technology the commercial marketplace also can develop; possibly cheaper and of a longer life.
Chief Executive Officer, The TSi Company
President, Max Goldberg & Associates
Most retailers are behind the tech curve and it’s not going to get better. Retail is not viewed as being sexy. It’s not a springboard for techies into better jobs, unless the retailer one is working for is Amazon.
Associate Professor, Fashion Institute of Technology
Senior Marketing Manager, RW3
Retail and other non-tech industries have always faced obstacles when it comes to hiring tech talent because of two main factors.
The first is because of competition. Retail is just not as “sexy” as the Googles and Facebooks of the world. You’ve seen companies like GE and others launch marketing campaigns to help change that perception and it looks like it’s an uphill battle but they have had some success to date.
The second is lack of content and excitement around retail. When students are skimming for possible jobs the internet is filled with thought-provoking content and open source content surrounding all things tech. However, in retail, it’s the exact opposite. Everything is protected IP and trade secrets making it a very difficult industry to learn anything let alone get excited about.
Retailers need to become more transparent and start sharing insights with substance with their publication partners and allow young students the opportunity to really understand what retail is all about in 2018 and on.
CEO, Boltive
Hiring technology and data science talent is not for the faint hearted — regardless of industry. Candidates out of college have multiple offers, those already in the workforce get multiple calls a week from recruiters. These are the problems all companies with technology openings face. A couple ideas for retail:
President, b2b Solutions, LLC
Retail has never been thought of as having a lot of sizzle — except for those of us who love it. This is especially true in the technology area. Historically those who were in IT were seen as people to do the bidding of the other more glamorous departments such as marketing. While times have changed, some of that legacy thinking still exists.
Today retail is still not seen as very exciting by many, especially those with technology skills. If tech pros were asked if they would rather work for Oracle or Kroger, what do you think the answer would be? I think we all know. Retailers need to covey the complex issues they face to potential candidates. They also must elevate the viability of their tech departments by involving not only the CIO but others by including them in meetings, plans and execution of the business. It goes without saying that this also involves providing a level of compensation that is competitive.
Professor, International Business, Guizhou University of Finance & Economics and University of Sanya, China.
My fear is that even if they succeed in finding the talent that they really won’t know what to do with it. In retail there is a legacy mindset that ignores the connection between technology and customers. And, when your customers are way ahead of you on the technology curve, you are probably in trouble.
Head of Trends, Insider Trends
Global Retail & CPG Sales Strategist, IBM
I think the days of retailers struggling to attract talent at their corporate headquarters are waning. The stores are a different story, however I am seeing retailers matching and exceeding other industry compensation packages.
I think a more broad issue is the balancing of technologists and data scientists with even more capable AI technologies. Why depend on dozens or hundreds of humans to learn how to overcome business challenges in every function of the enterprise, when machines can learn faster and more productively? The key point is to hire the management to drive the technology to achieve the business objectives.
Co-founder, CART
Traditional retailers are having to become software companies in order to compete. The catch is that their cultures are simply not geared for the fast pace possible with technology development or the employee expectations that go along with it. There’s no question that most retailers are behind the curve (by a lot). Acquiring talent that understands experience and customer needs, be it store associates or software developers, is unchanged.
Vice President Retail, Tori Richard Principal, Osorio Group LLC, dba JAM with Mike®
Retailers are behind the curve because of the noted disparities in the attractiveness of working retail vs. pure tech companies and in pay (perceived or not), but also due to the lack of purpose & vision in most marketing and/or IT departments that seek to employ such talent. Those that want to buck the trend should do a few things:
Head of AI and Innovation, Raydiant