This new location is only an outpost: You can browse the store's stock on screen, click to order, and return the next day to try on clothes you ordered or pick up your purchases.
Will such outposts succeed in today's multichannel world? In the United States, JC Penney and other catalog merchants used to have catalog outlets that worked in a similar way, without the Internet interactivity, of course. Some carried a limited range of products, but most were focused on taking catalog orders. Most or all are now gone.
Dell also had a version of this concept at one time, putting small stores or kiosks in shopping centers where customers could try different laptops or computers and ask questions, then order online or via phone. After a few years, Dell closed the kiosks and widened its retail distribution base, allowing customers the choice of trying and buying at the store and being able to carry home purchases for immediate use.
These days, Internet kiosks inside stores are frequently used to let customers locate additional merchandise that can be ordered or obtain details about products available right there. Debenhams is installing many such kiosks to supplement its in-store range. John Lewis is opening limited-range stores with kiosks where customers can view the full range of stock and place orders.
The question is: Will shoppers travel to an outpost merely to browse online offerings? Will limited-range stores generate enough turnover--even with Internet kiosks--to be profitable? Or will multichannel strategies that combine Internet and mobile access from the customer's home or office with traditional store shopping offers be more effective?
