Does it come in blue?

Does it come in blue?

Recently, Target announced they are splitting from Amazon by holiday of 2011 to manage their online process. GM has started to sell cars on eBay through a tailored and co-branded portal. These are examples of how physical and digital spaces are moving closer together to create seamless and better experiences for channel agnostic customers, particularly in retail. As the method of product purchase blurs (online/offline; at home/in a store), going to the store might be fun again in a time when retailers and customers are getting back on the dance floor.

Branding will be better, drawing more traffic and leading to more sales. Brick-and-mortars will collaborate better with online to create a more holistic and seamless experience.  Online kiosks in stores will bridge the gap between digital signage being transactional, an enabler to the next step on the path to purchase, and transformational, a journey all way through the purchase. Stores will be more enjoyable, intuitive, and make shopping easier for the customer who may prefer to shop without the aid of an employee. If the path to purchase is easy for the customer, the brand will have a higher standing in the customer’s mind. And that is the ultimate goal.

Joel Rubinson has terrific insight on how the GM/eBay partnership could re-launch the overall customer experience of buying a car.

But, there are big challenges when incorporating .com into physical retail space. We have already seen several cases where pricing between a physical store and .com didn’t match up, but the potential for brand disconnection is even greater.

If you do all your homework on a new automobile and head to the showroom or dealer, the last thing you want to run into is an employee/salesperson who knows less about the product than you do or is only interested in talking to secure a sale. It will destroy your impression of the product, the store, and the brand. And right now, with the way auto manufacturers are struggling to get back, that first impression MUST be perfect. The potential pitfall is even greater in a department store environment where employees have no specific product training and are asked to cover everything from food processors to HDTVs.

Customers should never be forced to use digital interaction due to ignorance or incompetence of the employee or retailer.

As brands develop the holistic experience, understanding the strategy for each touchpoint with the brand and the advantages and potential pitfalls in every case will be crucial.

One Response to “Digital Retailing”

  1. Paul,

    You touch on what I believe to a major trend in retail: the convergence of the online and offline shopping experience. With technology innovations and more dynamic self-service systems, retail stores are increasingly becoming consumer-driven environments. The ease and efficiency offered through online shopping, including the ability to garner expert reviews on a product with the click of a button, are finding their way into the world of bricks and mortar. From RFID. handheld shopping devices, to flexibile digital displays, these technologies promise to reinvigorate the offline shopping experience.

    While e-commerce continues to pull shoppers from offline retailers, our own consumer behavior and sociology ensure that bricks and mortar establishments will always exist in one form or another.

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