The New Relic State of Observability for Retail report reveals crucial insights for Chief Information Security Officers (CISOs) regarding the strategic importance of observability in enhancing digital customer experiences (DCX) and operational efficiency. With retail organisations reporting a remarkable 302% return on investment (ROI), the findings underscore the necessity for robust observability frameworks.
Technology strategies and trends driving the need for observability for all respondents compared to retail/consumer respondents
According to Nic Benders, New Relic's chief technology strategist, “Retailers need to deliver great digital experiences to their customers, and they rely on observability to let them see into their digital presence.” This highlights the pivotal role observability plays in maintaining a seamless digital interface, which is essential for customer satisfaction and retention.
The report indicates that retail organisations are leveraging observability to minimise downtime and optimise customer journeys, particularly during peak shopping periods such as Black Friday and Cyber Monday. Notably, these organisations achieve a median mean-time-to-detection (MTTD) of just 32 minutes, significantly faster than other sectors, resulting in a 41% lower annual downtime. For CISOs, this agility in addressing outages is critical as it directly impacts both operational resilience and customer trust.
Furthermore, the adoption of Security, AI, and IoT technologies is integral to the observability strategy, with 46% of retail organisations citing security as a driving factor. This emphasis on security aligns with the CISO's mandate to safeguard data and mitigate risks in a rapidly evolving digital landscape. The integration of AI for enhanced decision-making and operational efficiencies further supports the need for CISOs to advocate for advanced monitoring solutions.
The report also notes that over half of respondents plan to implement synthetic monitoring within the next three years, signalling a shift towards proactive measures in ensuring optimal customer experiences.
As Goran Stefkovski, chief technology officer of Kogan, aptly puts it, “Just as a carpenter has a suite of tools on hand to complete a job, running an effective ecommerce site requires that the right tools are used.” This statement resonates with CISOs, who must ensure that their teams are equipped with the right technologies to maintain security and performance.
The New Relic report concludes that by investing in comprehensive observability solutions, retail organisations can drive significant business outcomes, enhance customer experiences, and fortify operational resilience—key priorities for any forward-thinking CISO in today's digital marketplace.
