How Servers Help Digital Retail Stores Deliver You the Goods

Published on: February 28, 2025 | 5 minute read | by Krisa Cortez

The so-called “shopping experience” has changed from what it was a long time ago. It has drastically transformed from traditional brick-and-mortar stores to a dynamic digital landscape largely thanks to sophisticated server technologies. These servers are the backbone of modern digital retail, the all-around help that facilitates everything from personalized recommendations and secured transactions to real-time inventory management and enhanced customer experiences. Which is something else considering consumer expectations continue to evolve. Retailers can only rely on powerful server infrastructures to stay competitive, deliver seamless transactions and engaging shopping experiences across multiple platforms, blurring the lines between online and offline commerce. All while opening the digital retail landscape with even more reach and possibilities.

Retailers Using Servers

Several big-brand retailers utilize servers to enhance their digital retail operations. In this context, servers become crucial for a variety of functions. From data management and hosting applications, to facilitating communication between customers and digital retail stores. Servers also enable centralization and data security management features to protect sensitive information.

Added to Cart: Amazon

Amazon uses servers for its cloud infrastructure needs through Amazon Web Services (AWS). AWS is an omni-channel approach that integrates online shopping with physical stores like Amazon Go and Whole Foods. They can then provide storage, networking, remote computing, email, mobile development, and security as part of their overall service. Amazon processes 300 billion data queries each day. That's a data footprint exceeding 500 petabytes, or, basically, 500 followed by 15 zeros if we think about it.

FUN FACT: During its recent Prime Day event, shoppers purchased more than 100 million products from the site.

Enhancing Customer Experience

Servers enable retailers to offer targeted promotions and personalized experiences by grouping together customer and product information as well as purchase history. This allows for consistent and tailored services across multiple store locations and online platforms. Supporting real-time data processing can help provide personalized recommendations and enhance customer engagement and satisfaction. Managed dedicated servers can also ensure quick website loading times and reduce buyers’ stress, making customers more likely to make repeat purchases due to the positive experience.

Added to Cart: Nordstrom

Nordstrom invests in data-driven and personalized customer experiences both online and in its physical stores. The company spends over 30% of its capital budget on technology and has established the "Nordstrom Innovation Lab" to develop and test new products. Nordstrom uses new technologies like sensors and Wi-Fi signals to track customer behavior inside their stores. They also use such technology to integrate online and in-store inventory.

FUN FACT: Nordstrom's marketing team tracks Pinterest pins to identify trending products. They are using that social data to promote those products in their physical stores which is very smart.

Ensuring Business Continuity

Added to Cart: Walmart

Walmart operates one of the largest hybrid clouds in existence and utilizes what's called a "Triplet Model". In this model, regional clouds across the U.S. are connected together, and pairs public clouds with Walmart Private Clouds, enabling 10,000 edge cloud nodes at their facilities and bringing computational power closer to customers. Walmart's cloud platform allows for 170,000 adjustments to their website backend every month that significantly increases their responsiveness. Walmart also uses servers to power operations and drive customer data analysis.

FUN FACT: At one point, Walmart operated the largest private satellite network ever created in the US to connect every store with its headquarters.

Security and Compliance

Servers play a huge role for ensuring the security and compliance of assets in digital retail. They host data security management measures such as firewalls and encryption. Authentication systems to protect data and applications from cyber threats are also hosted in servers. Servers can enable the implementation of access controls and authorization mechanisms, that way, only authorized individuals can access specific resources. Regular patching and updates in servers can address security vulnerabilities and protect against known exploits as well. While implementing the proper security controls allow businesses to demonstrate data protection compliance and maintain customer trust.

Added to Cart: Target

Target utilizes servers within its infrastructure to build and run cloud and compute platforms. They also use big data systems to power both store and guest experiences. Target stores are said to feature a high-powered compute platform. This enables the multi-channel retail experience that's part of their store operations.

FUN FACT: The 2013 Target data breach that exposed 41 million payment process cards and contact information for approximately 70 million customers, cost the company approximately $290 million in sales. For such a company dealing with huge amounts of confidential information, they could have invested more in data security management.

Scalability and Flexibility

Servers in cloud environments have the potential to provide businesses with the agility to rapidly scale resources up or down based on demand. This flexibility allows retailers to respond fast to market changes and adapt to evolving customer needs just as quickly. With scalable server infrastructure, e-commerce platforms can handle increased traffic and transactions. This ensures optimal performance is achieved even during peak periods like sales and similar spike-ups in opportunities.

Shopping in the Future

The retail sector is undergoing a significant transformation driven by technological advancements in 2025. This is due in part to shifting consumer values and business trends that do not stop growing. Retailers are adapting to meet customers wherever they are, and we have seen them use everything in their arsenal, be it on social media or in virtual dressing rooms. This creates even more avenues to further client experiences and build trust in a brand. The integration of AI in eCommerce for personalized shopping, a focus on sustainability, and the blending of physical and digital shopping through omnichannel strategies are also key trends shaping the future of digital retail.

Our prediction is that a continued drift towards AI will be a reality. This will allow companies to create more personalized shopping experiences in the future. We may be seeing AI agents streamlining decision-making and personalizing recommendations? Maybe adding a lot more robotic presence in the mix? There's also a growing emphasis on sustainable practices. Consumers are favoring eco-conscious stores with circular economy initiatives. The so-called “green economies”. As for the server market, it is expected to support this growth further. Some server technology might actually include a rising demand for AI infrastructure and innovations in data center security construction as well. We have seen such a trend occur already. So who knows what else technology will bring into the shopping environment in a few more years to come?

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