Definition: Retail
Retail: Definition & Origin
By definition, “Retail” is a term of Anglo-Saxon origin that translates to “retail” or “Retail Sales.” A “Retailer” or “Retailer” is the term used to describe a person who runs this type of business.
Retail refers to the sale of finished products directly to consumers. It is one of the oldest commercial activities. This sector encompasses several types of businesses, including food, technology, restaurants, clothing, cosmetics, and more.
Retail is at the end of the distribution. That is why a retailer sells in small quantities, unlike a wholesaler , who focuses primarily on purchase volume.
A retailer may operate multiple stores and even run an online business. In that case , the retailer will transition from a "brick-and-mortar" model to another model known as "click-and-mortar ."
Retail: What Does the Future Hold for Retail?
In 2017, 85% of internet users shopped online, or nearly 37.5 million French people. A figure that will continue to rise: the convenience of e-commerce and the appeal of the deals are attracting more and more internet users.
The rise of online shopping is not without consequences. In fact, it has an impact on foot traffic foot traffic : a 2.7% decline over the first five months of 2018 for specialty retailers across all sectors (a 5.1% decline in 2018 over a 12-month rolling period).
As consumption patterns evolve, consumer expectations are changing as well. Consumers are demanding a personalized experience, omnichannel and seamless.
In light of these emerging needs, the retail sector must reinvent itself to address the pain points found in physical stores (out-of-stock items, limited product selection due to available floor space, etc.). To achieve this, phygital is the key: it enables true synergy between online and offline channels and revitalizes in-store traffic through, in particular, omnichannel delivery methods (click-and-collect, e-reservation). The days when everything worked without digitalization are over. Ultimately, brick-and-mortarstores will have to adapt by becoming click-and-mortar stores if they wish to differentiate themselves from pure players.