Omnichannel Retail with Edge Computing and 5G Technology

The edge computing paradigm is a new way of thinking about data processing and analysis. Rather than centralized processing, the edge uses local computation to process data as close as possible to the source. This new approach has many implications for different industries, and retail is no exception. The benefits of omnichannel retail powered by edge computing and 5G are too great to ignore. As we’ll see in this blog post, there are a number of ways in which these technologies can improve the customer experience when shopping online or at physical stores.

Omnichannel Retail with 5G and Edge computing 

Retailers that use centralized IT infrastructures may not be able to keep up with the modern omnichannel experience. The sheer volume of data flowing in and out of centralized systems comes with inherent challenges, such as latency issues and security risks. These centralized systems also may not have the processing power to handle the high speed of data flow. This can cause problems such as outages, slow data processing, and costly hardware upgrades. By leveraging the edge, retailers can deliver a frictionless omnichannel experience that is responsive, reliable, and secure. Achieving these benefits requires a new way of thinking about data processing. Whereas centralized systems use a “batch” approach that processes data in large batches at specified times, the edge uses an “incremental” approach that processes data in small batches as it is produced. The incremental approach allows retailers to process data when and where it’s needed, which leads to faster insights and better decision-making.

Here are some of the ways 5G and edge computing are changing omnichannel retail:

5G and Edge Make Fast-moving Consumer Goods Possible

Retailers have specific challenges to overcome for a frictionless omnichannel experience. One of the biggest issues is keeping product information accurate and consistent across channels. Real-time product data updates are essential for an outstanding omnichannel experience. For example, if you’ve added a blender to your shopping cart on an e-commerce website, you expect to see all the details of the blender, like its color, price, and current availability. If product data doesn’t update in real-time, problems like inaccurate information and mismatched stock levels can occur. Traditional IT infrastructure often cannot keep up with the volume and speed of data needed to keep product information up to date. The 5G network, with its high speed and low latency, and edge computing, with its scalable and flexible architecture, are ideally suited for this type of fast-moving consumer goods (FMCG) environment. The flexibility of edge computing, combined with the speed and volume of 5G, enables retailers to process product data in real-time and keep it consistent across channels.

Faster and More Reliable Product Data

It’s important to note that the consistency of product data across channels is only one of the ways that 5G and edge computing enable faster product data. Both technologies also enable faster product data collection, which can be a benefit in its own right. The speed of data collection can greatly impact the way a retailer operates. For example, if a retailer has warehouses across the country, it collects product data in those warehouses to keep its website and store shelves stocked with the right items. Traditional centralized systems collect this data in a batch-and-queue fashion. This approach leads to significant delays, especially when a warehouse is backlogged with product data. The amount of time it takes to collect product data in a centralized system can range from hours to days. On the other hand, the 5G network and edge computing can collect data instantly and continuously. This enables a more efficient and decentralized operation, which can help retailers improve their service levels.

Real-Time Analytics for Omnichannel Shoppers

Retailers can use edge computing and 5G not only to collect data faster but also to analyze data faster. When product data is centralized, it takes a long time for the analytics team to process it and get insights. If the company wants to use those insights promptly, it must send them to the field in a batch-and-queue fashion. Due to communication delays, this process often results in significant delays before the insights are actually used in the field. The real-time nature of edge computing enables the analytics team to process data in real-time, meaning they can get insights immediately and send them to the field continuously. This allows retailers to respond to new data faster and with greater accuracy. For example, if your store’s inventory system detects a particular blender’s low inventory, the real-time inventory system can feed that information to the store manager straightaway.

Responsive and Reliable Store Operations

The real-time nature of edge computing and 5G enables another valuable benefit for retailers: responsiveness. This is when a system is able to react to changes in real time, rather than having a lag between the time a change occurs and the time it takes for the system to respond. Responsive systems are essential for store operations, as they help managers make better decisions. For example, store managers can use sensors to track things like customer foot traffic, product sales, and energy consumption. When a manager makes a decision, such as changing the price of a certain product, the centralized system currently used to change this information in the store is often too slow to make a timely change. Now, with the real-time edge computing system and 5G network, the manager can make changes to the store in real time.


Retailers able to react to changes faster are able to respond to customer demand more quickly and accurately. This can mean the difference between running out of a product and having the product available when customers want it. The speed of edge computing and the high speed and low latency of 5G enable retailers to make these real-time decisions. Ultimately, the benefits of omnichannel retail powered by edge computing and 5G are too great to ignore. They promise a better and more consistent customer experience across different channels. This improves brand loyalty, as customers are happy with the service they receive. It also saves retailers money through reduced hardware and software costs and increased operational efficiency.

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