Digital twins, virtual representations of physical environments or assets, are changing the way retailers design and manage shopping spaces, such as with real-time IoT input and advanced modeling. With the development of 3D store models, retailers can test layouts, manage inventory, and engage shoppers even before opening the doors of the store.
For example, a digital twin can predict the showcases of products that will generate sales from control of the HVAC which minimizes energy usage. Indeed, the global digital twin market is booming, with a 2023 value estimated at $16.75 billion and growth projected to reach $155.8 billion by 2030.
While the GCC, which includes the UAE, continues to have a rapidly digitized retail space in which to invest, projected around $44.4 billion in 2024 (with projections of $61.9 billion by 2030), adoption for this technology is just beginning.
Retailers in Dubai and Abu Dhabi are gearing up for a shopping experience of much smarter, immersive, and greener spaces through digital twin technology.
Personalizing the Shopping Experience
Digital twins enable extremely individualized shopping experiences. With the help of historic purchases and footfall analysis, customized in-store experiences can be offered for specific customers. It will provide retailers overall to experiment with custom in-store experiences for certain customers, based on their transactional history and in-store foot traffic patterns.
One real-world example of this is AR-enabled virtual fitting rooms that customers are exposed to in apps like ASOS and IKEA, where they can try on clothing or place a piece of furniture into their home virtually. It can reduce some of the returns and create better engagement with the customer.
Consumers even get to surf 3D virtual malls with personalized avatars, bringing friends along online. In one research, more than 70% of consumers indicated that they would pay more to brands that provide individualized experiences.
The retailers apply customers’ normal paths in digital twins to experiment and streamline the sales funnel, e.g., finding why users do not finish online orders and streamlining the checkout process prior to its launch. By connecting online and offline channels, digital twins assist in building a seamless omnichannel experience: customers may shop a virtual store from home, reserve goods, and then collect in a local mall with certainty that products are in stock and staged as anticipated.
Digital Marketing Also Benefits
Retailers can incorporate interactive tours into their websites or social media so that distant customers can see stores anywhere. Interactive product tags, guided storytelling, and embedded contact forms on a virtual tour create leads and brand awareness.
The “phygital” strategy makes shopping more interactive. Other tools include 3D product models and virtual try-on kiosks in malls, which enhance store inventories using extensive digital content. Digital twins help retailers accommodate the kind of customized and interactive experiences that consumers, especially Millennials and Gen Z, increasingly demand these days.
Simplifying Store Operations and Layout
In the background, digital twins streamline store operations. Retailers can build asset twins that mirror entire stores or shopping malls, replicating traffic patterns, shelving configurations, and power systems.
Smart shelf sensors (a component twin) track current inventory levels and note when products are picked. This information not only avoids stock-outs but also detects theft or spoilage (shrinkage).
Increasing Customer Engagement and Navigation
Large shopping centers in the UAE are beginning to use digital twins to improve wayfinding and engagement. For example, an AR navigation map (like Helsinki’s Mall of Tripla, where Immersal mapped 85,000 m² for real-time guidance) could help visitors find stores and amenities in major GCC malls.
Virtual mall excursions also enable consumers to prowl bargains online or watch live-streamed in-mall activities. Innovative applications have emerged: one Japanese mall used a digital twin and AR to develop an interactive art quest (“Jewel-rassic Quest” at Singapore’s Changi Airport), which drove repeat business and boosted sales.
UAE retailers might follow suit with similar gamified experiences and virtual concierges to attract tech-forward young consumers.
Sustainability and Inclusivity
Digital twins are potential resolvers of some sustainability issues in the retail industry, particularly accessibility. Advanced simulations enable malls to reduce energy consumption (by as much as 30%) with more intelligent climate and lighting controls.
For instance, lighting and HVAC in stores can dynamically change in response to virtual occupancy information instead of traditional timers. Retailers in Dubai and Abu Dhabi are now more frequently installing such intelligent systems to align with sustainability targets.
Adoption of Retail Digital Twins
Implementing a digital twin in retail usually entails:
(1) reviewing current data infrastructure (IoT sensors, stock systems)
(2) determining the scope (e.g., individual store layout vs. whole supply chain)
(3) connecting sensors and cloud data platforms
(4) constructing the 3D models and analytics dashboards
Conclusion
The concept of digital twins connects physical stores to the digital world, thereby changing retail in the GCC forever. It offers simulations for the entire shopping experience, from when a customer browses a mall to how the latest promotion is going, so that the retail experience can be more agile and better informed about its consumers.
Future‑thinking retailers who embrace this technology are able to provide more interactive, effective, and eco‑friendly shopping experiences. For Gulf enterprises looking to deploy these solutions, Dubai specialists such as Limina Studios offer end‑to‑end digital twin and immersive 3D services bespoke to retail spaces.
