Online retail sales hit £91bn in 2013, with £11bn of that spent in December. With the IMRG and Capgemini telling us online sales are set to rise 17% to £107bn in 2014, this Christmas is set to be a pretty intense battleground.
The move towards online shopping can be very clearly seen in the rise of ‘Cyber Monday’ (the Monday after Thanksgiving in the US), now the country’s busiest online shopping day. Falling this year on 1 December, it is now catching on in the UK. Last year, 3.5 million items were ordered on Amazon.co.uk alone. So what can retailers do to maximise the traditional in-store experience?
The right in-store technology - self-checkouts, cashless management solutions, mobile and in-store marketing - can make all the difference. Use mobile technologies to identify customers and enhance their shopping experience. Geolocation through smartphones, for example, can alert retailers to nearby shoppers who might be tempted into the store with a special offer.
Another great way to generate footfall is to offer slick click & collect. You can’t prevent customers shopping online but you can tempt them further. Customers heading into a store to pick up an order can be persuaded to spend more. Amazon can’t do that.
Of course, there is plenty that Amazon gets right - so provide the best parts of its experience in store. Tailor shopping to individual preferences with bespoke recommendations. Offer what these online services were designed to replicate: helpful, knowledgeable staff. Enthusiastic assistants who really know their subject are very difficult to recreate online.
And don’t be afraid to bring the internet into the store, by providing free Wi-Fi to your consumers. Allowing them to check product specs or other prices online should not be scary.
Finally, it’s Christmas - so go for it! Shoppers still want the Christmas experience: an atmosphere and experience backed up by great choice and instant gratification - no delivery time worries. There is good reason why John Lewis’s bear and hare were not at home shopping on tablets - they were in-store with the twinkling lights, mince pies and the personal touch.
Martin Smethurst is MD of retail at Wincor Nixdorf
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