In a world where everything is online, are brick-and-mortar stores still relevant? Well, according to Shopify’s Future of Ecommerce in 2022, the retail industry is here to stay!
Some Interesting Retail Numbers
- 81% of Gen Z consumers in the United States prefer to shop in-store to discover new products
- 58% of consumers purchase from brands who they’ve experienced excellent past offline customer service with
- 54% of consumers are likely to see the product online and buy it from the store
- Omnichannel customers shop 1.7 times more than single-channel shoppers
Trend 1: Purely online brands are moving towards retail where they can experience the brand
The movement of brands into the retail space will certainly increase competition. Retailers will have to create interesting and unique experiences within the store to keep the foot traffic and win customer loyalty.
Factors influencing Trend 1
Brands are focusing on creating experiential retail stores as consumers are more interested in in-person shopping experiences
Higher retail vacancies are resulting in favourable commercial lease terms making direct-to-consumer brands more interested in moving to brick-and-mortar stores – the best time to negotiate favourable lease terms
Rising digital advertisement costs and a crowded e-commerce marketplace are making brands move to physical retail to lower the consumer acquisition costs
How to go about creating experiential moments in retail stores
Use pop-up shops to identify the demand for retail store
Create unique in-store experiences like workshops, events, collaborations, and more to build brand loyalty
Use existing customer data to personalize the shopping experience
Improve in-store shopping experience by training employees and store staff
Trend 2: Omnichannel shopping is the new normal
With the right omnichannel strategy, brands will be able to increase the average order values and customer loyalty.
Factors influencing Trend 2
To stay in the competition, brands have to build relationships with customers by creating unique experiences through omnichannel
Buying journeys have changed – consumers’ online and offline shopping expectations are not restricted to one channel
Brands must offer a consistent experience across all channels
Technology can help brands create fully connected physical and digital shopping experience – buy online, pick up in-store (BOPIS) can help increase order values
How to create an omnichannel technology for your brand?
Convert retail store into a showroom for better discovery and brand awareness
Carry less inventory and free up space for experiential retail
Track the customer data and product data across all the channels
Sync product information and inventory across all channels
Use retail shops as fulfilment centers for online orders
Trend 3: Reimagining staff and employee roles
If the employees are happy, they are definitely going to offer a better shopping experience to their customers, whether it is in retail or online.
Factors influencing Trend 3
Customers expect top-class service in stores
Retail staff expects higher salaries and better opportunities
Brands need to reimagine the roles and offer better compensation to retain and attract more employees
Technology can help staff to deliver a consistent top-class customer experience
How to meet customer expectations and improve the employee experience?
Create specialized roles and compensation packages accordingly
Provide a positive and healthy work environment where employees are treated with respect and offer them the flexibility
How Brik + Clik is redefining the retail experience in a brand new way
Though the world is all focused-on e-commerce right now, the retail industry is not going anywhere. After the changes brought out by 2020, consumers are craving to go out and shop. They are looking forward to in-person shopping experiences. They want to have exceptional buying experiences both online and offline.
With all the available retail vacancies, digitally native brands can venture into physical retail while offering unique shopping experiences to win foot traffic.
While there is a move to retail, the brands must also keep up with their omnichannel strategy so that the shopping experience is perfect everywhere. To do this, brands need to train employees in new technologies and evolve their roles to meet customer expectations.