How can traditional retailers fight Back?

Let us understand, what are the strengths brick-and-mortar retailers have

1)    Established Brand Name

2)    Customers

3)    Strong Relationship with suppliers

4)    Offline Retail touch points

Using the above strengths retailer can really innovate by making their stores in to extension of their online offering.  Retailers who have footprint across multiple locations can offer Web return in store, buy online and pick up at the stores, Store inventory mapped in the backend and Orders dispatched from the store where free shipping can be offered, payment booths and even drive-through customer service centers for online sales to their brick-and-mortar buildings.

The new connected customer wants convenience of Online as well as benefit of offline (instant delivery).

Let us consider Typical Shopper Mr. Sharma, an information technology specialist in Bangalore. He shops for items like clothes, electronics and even groceries online. But he also likes to receive his purchases as soon as possible. He placed his order on the eCommerce store of a food grocery retailer in the morning and picked up the order from a nearby branch during his 45-minute lunch break that day. And there were no expensive shipping fees.

In my opinion, this type of strategy will create disruption and will set be an offensive strategy against pure-play online retailers.

Unfortunately, stores have been portrayed as old school and an expensive-to-manage liability with several disadvantages. But the advantages of having a physical footprint are many.

One advantage is the ability to reach customers who pay with cash. As Cash on Delivery is perfected by online players and which is opted by many online customers.

Retailers can offer shoppers to order merchandise online and pay for it with cash at a store when they pick the item.

Another advantage Offline retailers hold over their online-only counterparts is same-day delivery and returns. If offline retailer offers store pickup for items bought on the Web, they can add a drive-through service that will allow customers to return or exchange purchases without leaving their cars.

Entire exchange process can be made fast and easy, when customer wishes to exchange certain products he fills the exchange form, selects new merchandise. Customers can meet an operations executive outside say Shoppers Stop store, He will provide a mobile phone receipt or printout, and the merchandise is exchanged.

The Store can push a drive-through service which is next of Buy Online and Pick up offline. Initially, we used to view the pick-up-in-store feature as a way to draw consumers into stores and encourage customers to buy more. Now, Stores would rather close the deal on an online order as soon as possible so shoppers do not go elsewhere or loose sales altogether.

Traditionally in mature markets the online orders for in-store pickup also tended to be much larger than typical in-store purchases, and that customers who picked up orders in the store visited about 50 percent more often than customers who shopped only in the stores.

Many retailers in the mature markets, let people place orders online and pick up items within a day at a selected location, forgoing shipping charges. The retailers say this option is especially popular with bulky items that do not qualify for free shipping, and for people in a rush.

Retailers can go even further by integrating the physical and online merchandise selections. They can combine offline and online inventory combined, which will increase the stock turn ratio. Customers can also be given an option to choose inventory from particular store for immediate purchase. If the product of a desired color and size is not available in that particular store or online inventory but available in the store which is in other city then order still can be fulfilled and customer is not lost.

If traditional retailers play to their strengths, I am sure we will definitely see Pure Play online players opening offline stores.

The consumer need for product data
The consumers are interacting with their products and brands very differently than in the past. The convergence of online search and social media engagement has made consumers more connected than ever, and entirely comfortable interacting digitally with brands and retailers.

Today’s consumers don’t care if they shop in a store, via a phone, or online. They want easy-to-use solutions that satisfy their lifestyle needs and preferences. As a result, industry has focused on providing them with a seamless shopping experience.

Moreover consumers have a more holistic view of retail options as a result of online reviews and social media – and they are quickly learning whom to trust. Therefore, Consumers are demanding more digital product information from a trusted source to be linked to the physical products they use and consume across multiple channels – anytime and anywhere. In addition, regulators are becoming advocates for the consumer – demanding greater disclosure and data accuracy.

A deluge of digital data
Data has never been easier to find. At the same time, it has never been as challenging to find accurate data consumers can trust. With this in mind, consumer trust and brand recognition is of utmost importance to businesses today.

To meet consumer expectations and help to connect them with the information that they are looking for, product data must be presented online in a consistent, searchable way that both humans – and machines – can understand and use. This in turn, will enable Retailers and brand owners to comply with emerging regulations for online information sharing.

Leveraging the power of data
If Retail community is to fully utilize the power of the Web and deliver value to their consumers, they must first agree on a standardised way to represent product data using global standards. Without this, brand owners and retailers will not be able to reap the benefits of optimized product visibility and searchability. Worse, search engines will continue struggling to understand and navigate the mountains of unstructured information that companies publish online every day.

To reach a global audience, retailers and brand owners need to agree that accurate and trusted data is essential. Questionable data will turn off potential customers and undermine brands.

Today is world embarrassment day. At least for me.

I had gone to the office canteen for chai, and Richa was raving about the variety available at some place called Dealz Planet. This shop sounded interesting, so I asked Richa if they had a branch in Ghatkopar. There was a second of total silence, and then everyone in the canteen burst out laughing. I didn’t dare look, but I am sure my boss was in the canteen too.

How was I to know that this was a website? Oh God oh God oh God. Knowing Richa, it must be all over FB and What’sApp by now

11/10/2013

I am sure the security guard was hiding his smile when he greeted me in the morning… wonder if someone told him!!!

Anyway I don’t know why everyone makes such a big deal of e-shopping. Give me the real thing any day – how can a few double clicks compensate for the bargaining and deals at a real shop?

Besides, the weekend is coming up. I am sure it will take just a few hours to learn about e-shopping and some cool jargon, especially when I have my best friend Google to help me

12/10/13

Unearthly hour of the morning

Yay the weekend has begun! I have sneaked up to the ipad while the family is still offline, snoring. Have googled Dealz Planet, and the home page has come up. Step 1 accomplished. Just need to quickly scan the page. Not expecting this thing to be a patch on the real thing… a few minutes more and I can go back to bed.

Later in the morning

OMG this isn’t a planet, Dealz Universe is more like it!!! Everything is on sale here… and not just the miserly chillar discounts you get at the market! These guys have up to 60% off on just about everything.

Aaaarrrrgh! Why did the family have to wake up so early? It’s only 10 am……..

After dinner

Hubby just asked me if I was in love with someone, because he saw me ‘looking longingly at the ipad’. He was more right than he knew

I have totally and hopelessly lost my heart to a purple designer kurti on Dealz Planet, that too at half-price!

After midnight

I have done it! I registered on Dealz Planet! I can’t believe I am shopping after all the shops in town have closed.

Putting things in the shopping cart is such fun – no pushing and shoving with aggressive shoppers at this clearance sale!

I have ordered a whole Chota Bheem action figure set for my nephew Akash (30% off, yippee), a lovely pair of kiddie sandals for my little Tanvi (without having to chase her all over the shop, what bliss).

Tomorrow, tomorrow, I will pick up one, or maybe two things for myself (not counting the purple kurti), better catch some beauty sleep now…

13/10/2013

10:00 am

My kurti is still on sale, but there’s a problem.

What if it’s too small? I’ve checked out different views, but hey, I can’t buy it without seeing it on myself in the trial room mirror.

10:03 am

AHA, I AM SAVED!!!! This site has a feature that says that if I can’t go to a trial room, the trial room will come to me. I just need to try out the kurti when it gets delivered, and if it doesn’t fit, BINGO, it goes back.

In that case, I’ll also buy that lovely formal shirt and some lingerie as well. Can’t make that poor delivery guy run around for a single kurti hahaha.

Special bonus: When anyone says COD in the future, I won’t’ look foolish by thinking they’re talking about a fish! Another reason to love the Cash On Delivery feature – don’t have to see my sins on my card bill.

15/10/2013

Morning

My parcel’s on its way!!! Got an sms from Dealz Planet to say my stuff is arriving today. I hope everything fits. Even though it won’t cost anything to return it.

Afternoon

It’s here. And it fits. Everything fits! Good thing I followed the fitting guide on the site.

I am a cutting-edge shopper! (and a cutting-edge mom – the kiddie stuff was a big hit).

Evening

OK so that was fun while it lasted.

Now’s the time to exercise self-control. Can’t become a shopaholic like all those addicts who have nothing else in their heads.

In any case I had started this whole exercise as a sort of education. And my task is now complete –  I am an e-shopper. I officially ‘like’ Dealz Planet on Facebook, ‘follow’ it on Twitter and Pinterest and publicly ‘+1’ the site. I am done with e-shopping, once I do the right thing by writing a couple of reviews. But wait ….

What’s this?

Another online store?

Up to 80% discounts?

Same-day delivery?

Gotta go diary, I have urgent work to attend to.