You've probably heard quite a few retailers proclaim some version of "customers who shop across our multiple channels spend 2, 3, 4, even 6 times, that of our average customer." When I worked at Sears that is what we saw and that is what we said. Years later, when I headed up strategy and multichannel … Continue reading Umm, so then why aren’t your sales better?
There are some who think that most brick & mortar stores are eventually going away and that e-commerce can have a compound annual growth rate of 15% until the end of time. To which I answer, "don't be silly" and "of course not." There are many powerful reasons for physical retail locations to exist. In … Continue reading Why go to the store?
With e-commerce continuing to grow far faster than brick & mortar sales--and already comprising more than 10% of many brands' total revenues--the implication seems to be that retailers need far fewer stores and that future locations should be considerably smaller. After all, simple math tells us that with shrinking physical store sales, average productivity will decline, thereby … Continue reading Small is the new stupid
By now, it should be readily apparent that a very large--and growing--percentage of customers bounce back and forth between digital and physical channels when shopping. By now, it's obvious that the exploding usage of mobile devices is blurring the distinction between e-commerce and bricks & mortar. By now, we should understand that, in fact, it's … Continue reading As the channels evaporate . . .
“Reports of my death have been greatly exaggerated.” - Mark Twain* Media reports highlight the dramatic shift of spending from traditional stores to e-commerce. Industry analysts and pundits predict the demise of brands with substantial investments in retail real estate. We live in an increasingly virtual world, they say, and those with deep roots in … Continue reading Different, not dead: The future of brick & mortar retail