What: The BoF reviews what retailers can expect in 2023.

Why it is important:  2023 will not be the year of normalization, but rather the year of adjustment from exceptional times to standard supply chain and inventory management operations.

2023 is likely to be more ‘normal’ than the two previous, tumultuous years. No more supply chain disruption, energy prices are getting lower, e-commerce growth is now back to pre-pandemic levels, so many retailers expect 2023 to be a clean slate, hopefully without unexpected catastrophes.

Many of them will have to correct the mistakes made in 2021, especially the large levels of inventory, which will mean relying on necessary pains such as discounting. Expect difficult inventory planning meetings, especially when it comes to predicting customer demand.

The keywords for the opening year are: cost control and supply chain flexibility.

2023 will set a new baseline for retail