Le blog de Nestore

Although physical stores remain the first mode of access to goods of mass consumption, The increase in online shopping is a sustainable trend.

Representative 80% of retail sales, convenience stores are going through difficult times and is suffering from the popularity of e-commerce. Physical stores must therefore evolve from urgently taking into account the new digital consumption patterns.

‍Indeed, brands are facing a new generation born with e-commerce. Buying online? it is a natural reflex for them.
But by offering an optimal customer experience, e-commerce players are succeeding to seduce and retain these new consumers.

The consumer Hyper and multi-connected Becomes even more informed, solicited and demanding. He wants the best prices but also quality. He does not want to wait and wants the product to be immediately available in stock and/or delivered As soon as possible. He wants touch, see and test the product. He wants a personal advice. He wants the business to adapt to his needs regardless of the time or place. No single channel can meet all of its requirements. The shopper is becoming omnichannel.

Is physical commerce in danger compared to e-commerce?

In our opinion, it is an opportunity!

Les retail players need to find solutions for respond to these new behaviors, satisfy the customer and provide an enriched and memorable customer experience.

Increasing online visibility can be an effective solution ! In fact, as explained by journaldunet.com, approximately 70% of users use their mobile devices to find information about a product before it is purchased. That's why creating a website adapted to the smartphone is super important!
The smartphone therefore allows to erase the border between online commerce and convenience stores but for that the merchant must arrive to put it at the heart of its sales strategy.

‍‍According to the 2016 Ifop survey, more than one French person out of two (51%) would find it interesting to receive promotional offers in real time on their smartphone, while browsing store shelves (67% of those under 35). This effectiveness is explained by the fact that the message is received on a smartphone, A tool that is as intimate as it is essential for everyday life, including for payment.

Between ease of payment, geolocation, augmented reality and source of information, many points must be taken into account.

The merchant must therefore adopt a cross-channel or omnichannel strategy and allow the consumer to juggling store and smartphone by offering them, for example, to buy or book online and to collect in store, to have them delivered from the store to their home, or even to be able to access their digital basket on site to put items there and finalize the online purchase later.

‍From entering the store to buying, consumer behavior is analyzed through his smartphone in order to list different types of behavior in store (“in store”). The aim is to give retailers all the tools to capitalize on this data in order to manage their advertising strategy. Sellers will therefore have access to his purchase history, tastes, expectations and much more.

This union of the online and offline channels is progressing, although there is still a lot to do, since The latest studies show that the degree of omnichannel is less than 40% in the retail sector

To relaunch physical commerce, you must Breaking the codes of traditional commerce and above all create the “wow” effect !

Traders have, in fact, a role to play with their customers and must precisely focus their efforts on their product and service offerings.
Customers don't have to go to a store just to buy but to live a unique experience that changes their daily lives.If they enjoy these experiences, the customer will be more likely to make a purchase.

For fight against competition with e-commerce, many brands have integrated the concepts of store digitization or “phygital”. They consist in offering virtual fitting rooms, equipped tablets or interactive terminals, including digital devices in order to provide a better customer experience.

The advantages of digitizing the point of sale are numerous. (The digital-in-store is in a position to provide several benefits!)

Here are a few just for you!

• Boosting store traffic,
• Optimize customer conversion,
• Improve the profitability of your store,
• Strengthen the attractiveness of your brand,
• Modernize the brand image of your point of sale,
• Reduce waiting times in stores,
• Streamline the customer journey,
• Stimulate cross selling (cross-selling) and up selling (upgrading),
• Have an undeniable competitive advantage‍

Personalization to relaunch physical commerce

In the future, the phygitalization of the store will lead to more personalization of the customer relationship.
This extreme customization will also be done with technological innovations. The products will adapt to each shopper. 3D printers, for example, will be able to personalize an item and make it unique.

‍We can more and more regularly personalize products during workshops in stores. New stores like Apple or yet Ikea, organize numerous workshops. (Yoga classes, waste-free cooking classes, creative and fun workshops, demonstrations, photo/video classes..)

The purpose of brands? Bringing customers together in a same place, around the same experience and create a link between the customer and the brand.

The problem with e-commerce brands without physical stores: bringing your brand to life through your website and social networks.
Of course he is able to make himself known, but that is not enough! (the customer experience is missing!)

The rise of pop-up stores and showrooms are two concepts that are increasingly being exploited for a simple reason: these are not places made to optimize sales, but the customer experience.

Les Pop Up Stores So are a A good way to promote your e-commerce brand in physical stores, a way ofattract online shoppers, of show the brand's universe in real life and especially of create a real connection with consumers (in the same way as the workshops)!

Pop-up stores are becoming more and more numerous! Whether in a store dedicated to the brand or several brands (concept store),in other brands such as Ikea, which has a space dedicated to the exhibition of collaborations with creators or even in malls or big flagships that are inspired by it like Zara !

Physical commerce is not dead and still has many surprises in store for us..! (To be continued)