What’s Up With In-Store Pickup? Four Reasons Why This Omnichannel Purchasing Trend Is Beneficial for Brands, Retailers and Consumers

In today’s shopping environment, consumers seek convenience, in addition to reduced costs. Capabilities such as in-store pickup have given consumers, not only the option to find items on-the-go but have allowed brands to feature additional inventory online.

In order for brands to capture more online sales, it is important to connect brick-and-mortar retailers with inventory opportunities seamlessly to drive the most amount of conversions as possible.

In-store pickup connects the online-to-offline experience by engaging the consumer online while also benefiting from having a human touchpoint in order to outshine the competition.

By tailoring the shopping experience to consumers online-to-offline, brands are offering consumers the flexibility to shop and view items at their own time and pace.

In-store pickup continues to provide a solution to this omnichannel need among brands, retailers, and consumers.

Listed below are four reasons on how to maximize in-store pickup:

  • In-store pickup is equivalent to spending more money:

Large international retailers who offer a wide variety of products, such as Target,  almost make it impossible for consumers to visit a store without purchasing a few unintended items. To do so, Target has set-up a strategy to drive consumers into their storefront easily by offering a way for free in-store pickup in-order to reduce shipping fees. By creating an easier way for consumers to find products, brands like Target have experienced an uphill trend in consumer spending habits.

  • Multiple buying channels are more profitable:

Multi-channel shoppers are shown to have a more profitable impact on brands, than those who shop within a single channel.

According to a 2017 report from IDC Retail Insights multi-channel shoppers have shown to have the following impact:

  • 15-35% increase in average transaction size
  • 5-10% increase in loyal customers’ profitability
  • 30% higher lifetime value than those who shop using only one channel

This proves that in an effort to increase profitability, tech-savvy and innovative brands must continue to search for opportunities to leverage their consumer interaction across multiple channels.

  • Let the consumer pick the best method:

By giving consumers the option to pay for the products they’ve ordered online in-store, brands have opened a technology capability for consumers who typically wouldn’t shop online to pay later.  These consumers are among a handful of those that still fear the thought of inputting their financial data into an online platform. Having alternative payment options assures apprehensive consumers that their information is protected, opening up a whole new market of potential online shoppers for brands.

“94% of large business in the United States have a cybersecurity policy to ensure customer success.” -  2017 Clutch Insights Report

  • Convenience keeps consumers loyal:

Many large companies such as Kroger, CVS Health, Nordstrom, and Walgreens are now offering curbside pick-up. This program provides the consumer with the option to avoid the long lines, and have their online order hand-delivered conveniently to their vehicle. By creating opportunities such as curbside delivery for capabilities such as in-store pickup, brands are encouraging consumers from buying elsewhere, or forgoing merchandise altogether.

 
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Overall, the progression of this omnichannel purchasing option is beneficial to brands, retailers, and consumers for a variety of reasons. By creating more traffic into storefronts, consumers typically will spend more than their predetermined amount.

To give consumers optional buying experiences, which are exceptional across the board, brands must continue to offer purchasing capabilities such as incorporating in-store pickup into their business model.

With Quivers Collaborative Order Fulfillment Solution brands can reduce channel conflict, expand their distribution network, partner with retailers and create a true multi-channel strategy. To learn more about in-store pickup, contact Quivers at sales@quivers.com.