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Travel retail industry leader puts new concepts in Poland
Consumers complain about cost of living
As many as 57% of European consumers said they are deterred from shopping in stores by the high cost of living. They believe that the biggest advantage of online shopping is attractive prices. Online retailers can use automated solutions to track – customers’ habits and desires. They can place the right, sought-after product, at the desired price – almost guaranteeing themselves a sale. In view of this, how can in-store retailers compete?
40% of respondents in a survey of shoppers said that not being able to try on clothes negatively affected their online shopping experience, as did the inconvenience of online returns. This problem is exacerbated during the pre-holiday season, as online shopping very often leads to returns. There are also clear opportunities for in-store and online stores to work together in this area – 24% said that the ability to buy online and return products in-store would make them more likely to store in person. It is up to retailers to use this situation to their advantage. Drawing inspiration from how online stores clearly display discounts and offers. Traditional stores have the potential to become the place where shoppers go for gifts.
Sustainability as an argument
Interestingly, a topic that is far down the retail industry’s list of priorities is the issue of sustainability. Only 1% of stores say they intend to invest in technology to support sustainability initiatives in the next 12 months. Even in the longer term, the vast majority (83%) said they have no plans to invest in sustainable technologies. This is particularly surprising because young people – dubbed the “climate change generation” for whom environmental issues are very important – have gained real buying power.
Online shopping with shipping and additional packaging used to deliver the product to the home may have difficulty attracting buyers from this generation. Stationary stores could benefit by presenting themselves as a more sustainable option than online shopping. Interestingly, young people – 16-24 year olds declared brand loyalty – 20% said they would choose to visit a traditional store for a particular brand.
New technologies – an effective information carrier
Effective in-store displays play an important role in communicating promotions and discounts. Eye-catching digital signage media, banners and digital screens can clearly highlight special offers, ensuring that customers are aware of promotions while shopping. Today’s consumers are clearly demanding that their in-store shopping experience better reflect that while shopping online. In fact, 66% of retailers believe they do not have the necessary technology to achieve excellent customer service. By leveraging technology in their stores, retailers hope to create an environment that online shoppers are accustomed to, while offering benefits that are unique to in-store shopping.
Traditional stores are competing with the constant technological advances of online stores. so they need to think about how to keep pace with them and take advantage, respectively, of the positive shift in consumer sentiment toward in-store shopping.
The pre-Christmas and New Year’s period will be an important test for the retail industry. Shoppers are beginning to identify problems with online shopping, traditional stores can attract and retain them. However, they need to keep sustainability in mind and skillfully leverage technology to provide a seamless customer experience and excellent visibility of offers and promotions.
