Digital Transformation for Charities at the CRA Conference 2022

I’ve spent the last decade helping clients to make the most of the opportunity that ecommerce offers. I have seen first-hand the importance of innovative thinking when it comes to driving revenues and improving internal processes, in order to deliver the best possible customer experience. So it was brilliant to attend this year’s Charity Retail Association Conference, which provided the perfect opportunity to speak to people about the incredible advancements being made within the sector on this front, and the vital role that digital transformation plays.

The Shopiago stand was busy throughout the two days of the Conference, with existing and prospective customers keen to share their experiences. Interestingly, many of our conversations on the stand came back to three key topics - which together pave the way for an exciting few years for the sector.

Most of the charity retailers I spoke to understood the importance and potential impact of online retail, and most had some kind of presence already. What was interesting to me was the understanding that ecommerce can work hand-in-hand with bricks-and-mortar stores. It’s not an either/or choice and it’s not a competition between the two channels.  

The same charities who are building their online presence are also often opening superstores - sometimes in out-of-town locations or in old department store buildings. These can provide space to collect, sort and list donations for online sale as well. In turn, ecommerce platforms support in-store operations - consolidating and automating processes and driving efficiencies. 

When it comes to Shopiago, customers who are using the platform to manage all their Ecommerce, Trade-in and Collection operations are seeing big benefits both on and offline. Precious storage space is cleared more quickly, manual processes that need staff and volunteer time are reduced and average sale prices have increased. 

It’s been a big year for preloved goods - fashion in particular hit the headlines with the eBay/Love Island partnership. There was a lot of chat at the Conference about a sea change in buying habits as more people embrace second hand. Buying preloved has always been cost effective and socially responsible, but right now it’s bang on trend too which counts for a lot.

Charities reported that younger shoppers in particular are more conscious of what they are buying and where it comes from. Online is the channel of choice for Millennials and Gen-Z, making ecommerce more important than ever for charity retailers who want to attract younger shoppers for the long-term. 

The pandemic has permanently changed the way many charity retailers operate. Lockdowns and store closures prompted many of the retailers I met to set up online quickly, being forced to adapt with limited resources under challenging circumstances. 

As a result, many charities are now retrospectively focussing on building up their online operations, ironing out the creases in processes that were initially set up quickly. People are keen to get the right infrastructure in place and to future-proof operations as they grow. 

During and immediately after the Covid lockdowns, digital transformation for charities moved from a nice to have to an essential process. Where it was previously met with some trepidation, there has been a shift towards greater expertise and understanding.

Combined, these three factors create a big opportunity for charity retailers. There is enthusiasm from shoppers as more people choose preloved, and physical infrastructure and online technology enables higher average sale prices and more efficient operations. 

The retailers I met at the Conference understood that digital transformation is both manageable and scalable, and is an essential part of any retail strategy. The conversation now is about optimising digital transformation strategy - scaling up and building on foundations. 

This transformation will help charities to realise the huge opportunity that exists to compete not just in the third sector, but in retail more generally - taking on fast fashion and throwaway culture with sustainable choices that put something positive back into the world. Digital transformation has long been a priority for mainstream retailers. At the Conference it was great to see its importance going from strength to strength in the charity sector as well.