Ready for this? Most shoppers prefer to buy from stores, not online

But – gulp! – there's a catch!

Despite the ease and convenience of online shopping, “the majority of American consumers still choose brick-and-mortar stores over e-commerce.”

Why? According to Retail Dive’s Consumer Survey* of 1,425 U.S. consumers, there are three main reasons:

1. “To see, touch, feel and try out items” is the top reason 
2. Shoppers also want it now and want it fast; they want “to take items home immediately.” 
3. One in five consumers cites easy returns  

Refreshing, isn't it? Shoppers want a shopping experience, in a real store. And it confirms that Amazon is nowhere close to being the only game in retailing. (If only everyone would quit hyperventilating.)

But, there is a far more sobering message here about today's very demanding shoppers. Retailers are expected to deliver on ALL fundamentals of retailing (the "right product", "right price", etc), ALL the time!

Assuring customers that "we can get that for you in just a couple days" won't satisfy. (After all, they have the web for that!) You must be in stock, with exactly what the customer is  looking for, whenever she comes into your store. 

And oh yes, be sure it is offered in a compelling shopping experience!

Yikes! Some may call these expectations crazy. Or call the shoppers entitled. 

We call it the New Normal. And like it or not, relish the challenge – or close the doors.

• Time to be nimble and quick.
• Have much better inventory control.
• Raise turns.
• Be smart about markdowns.
• Make all your stores compelling places to be.
• And above all else, keep having fun!

However, who better to meet that challenge than independent retailers? 

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Retail Dive's Consumer Survey, sponsored by iQmetrix

Noticed Sales Ticking Upwards?

Why it matters to know "Why?"

How to pick up the pace even more

Many retailers now are being buoyed by gradual upticks in sales. 

If you are one of those, we encourage you to give some thought to "Why?" your business is experiencing sales increases.

You will find that it will be for one of these three fundamental reasons.

• More customers, or  
• Higher prices, or
• More items-per-transaction 

But, The ROI suggests that, when you analyze your results, you will quickly eliminate reasons 1 and 2.

"More customers"? That's a stretch.

Few places are experiencing growth in population. Plus, with the proliferation of online shopping, while your customers don't need to be geographically close, they also have many more choices when they are ready to buy. Your competition may be growing faster than the market of customers.  

Higher prices? Just not in the cards these days.

This is not an environment where many margins are increasing.

Inflation likely will not be a major factor. Plus, not only are retailers expanding online, so are many vendors, so price pressures continue to be downward. 

So, what IS driving sales increases? We think you will find that it is is all about transactions: 

• more items-per-transaction; or,
• more transactions

Whether at the grocery store, gift shop, lawn and garden center, sporting goods store, or wherever they are shopping, many customers are giving themselves permission to buy more, or to replace ("Finally!") those things they've had for several seasons.  

• Shoppers are feeling some more confidence, and have a decided case of "frugal fatigue". Enough already, they're saying. There are things we have not bought for a very long time.
• Shoppers are increasingly purposeful in their shopping. When they go to a store (or a website), they have an intent to purchase. The traffic you do receive should yield higher conversion rates.

And all that is very good news. These are shopper behaviors that you can focus on, and increase!

• Your sales staff can focus on add-on sales, to increase the items-per-transaction.
• Your buyers can bring in more "impulse items" and more complementary products that lend themselves to add-on sales.
• Your sales staff also can work on improving their conversion rate of "just looking" browsers to actual paying customers.    

Of course, be grateful for sales increases. Who wouldn't be?

But by analyzing and discovering "WHY?" sales are increasing, you can make them even better. Jump on this chance; it's unique!