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Can a Company Survive Just By Being Online?

July 11, 2016

According to a survey done by ICSC Research, retailers that generate most online sales, can attribute this to the omni-channel strategy rather than just having the click and collect method.

Targeting consumers is no longer having an advantage. The consumer experience is not just one avenue. Consumers can be in the store physically looking at a product while searching on their mobile device to compare, review, search for coupons, or buy the product online. Physical stores are drawing in more traffic by having both a physical presence and online store which results in more spending by the customer. Some consumers prefer to see, touch, and test (experience) the product in store before purchasing online.

Consumers buying online and then picking up at store are more likely to spend additional money at the shopping center. Consumers said 42.1 percent of total spending came from the original purchase while 57.9 percent of total spending came from additional purchases.

Amazon is still the King of online shopping. Typically men prefer spending at Amazon around $102.70 each while women average $40.80 each. Households with income of $100,000 per year or higher spend 3 times more than a household income of $35,000. Shopping centers have been transformed into a showroom experience of products for the consumer and prove to be a powerful branding device.

“E-tailers with physical stores outperform those without: Report.” Shopping Centers Today Week, Retail Real Estate News. ICSC. N.p. 12 May 2016. Web. 10 July 2016.