RETAIL RULES FOR POST-PANDEMIC RECOVERY
COVID-19 HAS CHANGED THE WAY CONSUMERS SHOP AND INTERACT WITH STORES. WeAr EXPLORES SIX KEY RETAIL STRATEGIES FOR POST-PANDEMIC GROWTH
REPORT
BOPIS
“BOPIS” (Buy Online – Pick-up In Store) or at curbside (“BOPAC”) is here to stay. Customers found it safe; they now find it convenient. BOPIS is the perfect opportunity for increased upsells. The downside is that customers do not have to enter the store. “Expect to see more upselling curbside,” suggests Renee Harwood of RingCentral Inc, a communications platform that helps retailers. When the employee delivers a package to the customer’s car, “he or she might say: ‘We have a matching jacket for that, would you like to take a look?’” Shoe store Free Lance in Paris has dubbed the movement “distance shopping”, offering a virtual tour of their store whereby clients can browse online and call to buy.
SAFE SHOPPING. ACCURATE INVENTORY
Customers will expect stores to remain safe. Stores can minimize physical contact in the payment phase and accelerate the process via self-checkout, made possible by sensor technologies such as RAIN RFID*, which also provides accurate visibility on inventory, used by brands such as Nike, Inditex, Lululemon and Decathlon.
DIVERSIFY
E-commerce customers are used to finding “everything” in one place and stock diversification will also encourage better in-store sales. The addition of larger sizes, lifestyle, homeware and beauty will create additional reasons for customers to visit the store and purchase more.
LOCATION
The remote work revolution has made commuting an outdated concept, with many workers relocating to suburban environments. “There’s a big question mark over urban locations,” says Neil Saunders – a retail analyst with GlobalData – in an interview with Vogue Business in January 21. Saunders cites a worrying trend in the glut of residential space around developments such as New York’s mega-mall, Hudson Yards. Shortening the (physical) distance of the store to the customers could become necessary and lead to relocation; as such, retailers should think of physical store investments as a vehicle for customer acquisition rather than a distribution space for products.
EXPERIENCE SHOPPING
Online shopping has lessened the need for brick-and-mortar selling. Instead, many retailers are pivoting their spaces for “experiential services” with a community focus. Take Italian brand Slowear or lingerie company Fleur du Mal, who re-aligned their physical spaces to include sitting areas, bars and entertainment sections to encourage shoppers to socialize and stay awhile.
CLIENTELING
Although “clienteling” has always existed, the pandemic made for a more streamlined, data-driven approach, allowing customers to connect with store associates via VIP clienteling and personal styling platforms such as Endear, Seer, Proximity Insight, Hero and Salesfloor. As a result, customers now expect to gain assistance at any time, in any place. Combining back-end e-commerce logistics, order fulfillment, and personalization across channels is the key to a unified customer experience. In the USA, stores such as The Webster now offer a “digital stylist” as a permanent service. Such strategies encourage customers back in store to try on items with additional personalized advises. * RAdio frequency IdentificatioN (the link between UHF RFID and the cloud)