Although retail spending is in decline globally, eCommerce sales are steadily increasing. As impressive as this data sounds, eCommerce still makes up a small percentage of total sales. This means that over 80% of retail sales take place in physical stores.
Here are 5 reasons why investing in brick-and-mortar stores is still a smart move, as well as a solution that will help take your retail business to the next level.
1. Physical stores may reduce returns
Products bought in a store are less likely to be returned than those bought online. David Sobie, CEO and co-founder of Happy Returns, claims that customers return 5-10% of what they buy in-store, but as much as 15-40% of what they buy online. If you allow customers to return what they ordered online in the store, you can reduce postage and transportation costs.
2. Customers are more likely to buy a product that they have seen in person
You have probably been in this situation: You liked the product when you saw it in online, you ordered it, but you were disappointed when it finally arrived. This is why customers want to see, experience and test products in person, whenever possible. When you have a location where people can come and see for themselves that this is the product they want, they will be more likely to buy it and the possibility of returns will also be drastically reduced.
3. Nothing can replace human contact
Although the popularity of online sales is on the rise, human contact is still a key part of the retail experience. No matter how much resources you invest in photo and video material and sales texts, nothing can replace the experience provided by a well-informed salesperson.
4. Unique insight into customer habits and behavior
It’s true that you can learn a lot by analyzing data collected from an online store, but you’ll understand customers even better when you watch them live while they shop. In this way, you will discover what are the small details that customers simply adore.
5. Physical stores bring more traffic to your online store
Research conducted by the “International Council of Shopping Centers” shows that when retailers open a physical store, the number of visits to the online store increases by as much as 37% in the next quarter.
Take retail to the next level with LS Retail
Starting from boutiques, through supermarkets and pharmacies, retail includes a wide range of activities. What all retail activities have in common is a high level of competition, constant changes and a large number of daily challenges.
In order to stand out from the competition, your company needs a solution that will grow with it and adapt to every challenge. If you want to provide an unforgettable experience to your consumers, reduce risk, increase convenience and raise retail to a higher level, LS Retail can be a safe choice for you.
