Friday, 2 May 2014

Clicks and bricks evolve

Multichannel marketing continues to evolve as retailers, in particular, test combinations of online ordering and physical store locations that might give them a competitive edge in attracting and serving customers. Clicks and bricks strategies for UK marketers include:
  • Buy online, pick up in a store. An example is John Lewis's Click and Collect service, which allows buyers to have purchases waiting for them at a nearby John Lewis, Waitrose or Click+ location. The new John Lewis 'convenience' outlet, opening in London's St Pancras Station this fall, will be a collection site and a retail store stocking high-demand items like home fashions and electronic gadgets. Already, 33% of John Lewis's online sales combine clicks and bricks--meaning one-third of the customers who buy online opt to pick up in a store.
  • Independent online retailers test store openings. Here, the idea is to compete more effectively, increase sales and reach customers who don't buy online or prefer to see merchandise before ordering. Remember, the high number of high street vacancies means e-businesses have more opportunities to try operating a store in a good location.
  • Pop-up shops allow for testing new products and markets. Clicks and bricks can include a limited-time pop-up shop for a specific occasion, product category and/or market. The temporary nature of pop-ups allows for flexibility and affordability. If the location attracts shoppers, the pop-up may be extended or used in another place or at another time.
  • Integrating digital with non-digital in other markets. Tesco, for example, shows how its clicks and bricks approach supports global growth (see below). The UK retail giant's South Korean business combines retail stores and online buying, with savvy use of digital media and customisation. It was a pioneer of the concept of virtual stores featuring  shopping via mobile. 
  • What about social media and shopping?  Stores open on a social media site appear to be perceived as slightly less trustworthy, according to a YouGov study. Still, social media content is vitally important for brand-building and awareness, even if shoppers don't actually click to buy via social media. Social media can influence, inform and persuade!