E-Retail & Connected Commerce
Connected Commerce: Definition
The term " connected retail," or "e-retail," refers to the integration of digital technology into a physical store (often called a "brick-and-mortar" store), thereby streamlining sales staff operations and enhancingthe customershopping experience.
Unlike a traditional retailer, an e-retailer operates a physical store in addition to an online store.
Connected retail also—and above all—relies ondigital tools that can assist the salesperson, such as connected tablets. These can help in two ways. They allow salespeople to access their store’s inventory, saving them a trip to the stockroom, for example (which means they don’t risk losing a sale). They also help with customer service by providing quicker access to purchase history and, consequently, purchasing habits.
These new tools also benefit shoppers. In fact, it’s easy to imagine connected kiosks replacing checkout counters, thereby eliminating wait times and enhancingthe customer experience.
The Benefits of Being an E-Retailer
E-retail encompasses three key concepts: web-to-store, showrooming, and the digitization of the point of sale.
Today, nearly 88% of customers first research products online before making a purchase in-store. This is known as “web-to-store.” And precisely because this percentage continues to rise, it is essential for retailers to bridge the gap between physical and digital channels.
Showrooming is the opposite of web-to-store. Essentially, it involves spotting an item in a store and then purchasing it online under better conditions: lower prices, fast and free shipping and returns, and 24/7 shopping. By integrating brick-and-mortar retail with e-commerce, retailers will no longer view the internet as a competitor, but rather as a source of additional revenue.
Finally, as noted above, the digitization of retail outlets plays a key role in e-retail. A digitally equipped salesperson is more effective in making sales and can build stronger connections with customers; a self-service kiosk can allow a customer to search for a product or even enable the salesperson to remotely order an item that may be out of stock.
And some brands are taking it even further. In fact, Maybelline in Shanghai is developing stores that are doubly connected: not only in terms of the relationship between sales staff and customers, but also between customers and social media. (Source: LSA)
Another step forward for the new business!