Trendy Products, which sells furniture online, has opened a 'digital concept showroom' in Cardiff. Trendy is, in fact, on trend, as more e-businesses add physical locations to allow customers to see and experience products, chat with salespeople, access digital catalogues and then make buying decisions.
Trendy has been in business for a decade, building a strong customer base. Now it plans to open more showrooms, expanding beyond digital to reach consumers who want to experience the product and consult with designers before they buy.
One reason for this trend is the availability of good retail locations. Many years of dismal economic growth and cautious consumer spending pushed a large number of stores into administration. Competition from online businesses has also caused retailers and other businesses to shutter some branches that weren't doing well. The result: vacancies in desirable shopping areas. And thanks to good space availability, some retail businesses are actually doing better.
Amazon, the pioneering e-tailer, arranged for space in sections of existing US retail stores for the 2017 holiday season. It owns the Whole Foods Market grocery chain, where it set up displays and sold products. But it also opened some mall stores and rented space in other department stores, enabling shoppers to see and trial Kindles and other products.
Alibaba, China's online retail giant, is adding a physical presence in key cities through partnerships and through, well, giant vending machines.
Each consumer-friendly Alibaba automated location (like the concept shown here) will sell Ford automobiles, starting with a test drive offered to consumers who qualify with sufficient credit to complete the purchase.
