5 Retailers Benefiting From The Click-And-Collect Trend

January’s retail sales report evoked mixed reactions from economists, despite the fact that it exceeded expectations. A drastic downward revision to December’s figure sparked off fresh concerns of an impending economic slowdown. The innards of the report revealed declines for several categories, notable ones being auto deals and gasoline stations.

But it isn’t as bad as it looks at first glance. Sales are up 1.2% excluding autos and gasoline. Notably, sales at general merchandise stores, a proxy for brick and mortar stores, increased 0.8% and 2.2% year over year. This underlines the resilience of a category, which was largely written off in the age of online sales.

The successful adoption of several new strategies, particularly click and collect, and major improvements to in-store experience have revived the brick-and-mortar business. Investing in brands that have benefited from the brick-and-mortar approach looks smart at this point.  

Online Buying, Store Pickups Rule the Roost

According to a study by parcel store network Doddle, most American shoppers prefer to make their purchases online and then pick up the items from a physical store. A study of 2,000 American adults also revealed that half of all shoppers make their purchases online only to avoid shipping charges.

This makes it more than clear that BOPIS, buy online and pick up in store, is brick-and-mortar retail’s new mantra. An oversupply of such stores may still populate malls and big-box stores with online retail posing a stiff challenge. But fears of a retail apocalypse may be somewhat overstated.

As customers grow accustomed to buying online, local and physical stores may actually gain importance. Doddle’s study reveals that nearly 68% of buyers opt to click and collect. And of them, 85% make additional purchases when they arrive to pick up such online purchases.  

Technology, In-Store Experiences to Power Category

The click-and-collect trend illustrates how brick and mortar can harness technology not just to survive but thrive. Ultimately, online and offline formats could develop a symbiotic relationship, feeding off each other in a productive manner.

1 2 3
View single page >> |

Click here to sign up for a free trial to the Research Wizard today.

Disclosure: Officers, directors ...

more
How did you like this article? Let us know so we can better customize your reading experience. Users' ratings are only visible to themselves.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.