Here’s why physical retail stores won't be replaced by online stores (yet)
The recent pandemic has forced the vast majority of states to impose travel restrictions.
While we are gradually recovering from their effects, one thing that remains is the sudden increase in popularity of online stores. In fact, the majority of businesses that were started in 2020 operate on an online store setup. The truth is that the e-commerce bubble has been growing even before the pandemic.
The introduction of online retail businesses like Amazon and eBay has yielded massive profits, so much so that they’ve begun to draw in a significant share of the market from physical retail stores and malls. This raises the question of whether online stores will fully replace physical retail stores.
The short answer is no, even when the trends indicate a strong case for online stores. Here are a few reasons why:
Immediate release of products
With online stores, buyers generally have to wait a few days or weeks before they receive their item, whereas physical retail stores are able to give buyers their products right away.
Buyers are also guaranteed that they’re going to get what they bought, whereas with deliveries, there’s always a risk that the courier could lose your package, or your purchase could get damaged in transit.
Buyers can inspect products personally
Another benefit of buying from a physical retail store is that customers can inspect the product personally for any defects. This not only means that it’s easier for buyers to trust retail store purchases, but it also serves as a means to create trust with buyers.
Easier return process
Another issue with e-commerce transactions not found with physical retail purchases is that items are difficult to return and replace.
Buyers who are dissatisfied with their purchase have to wait for the returns process to play out (on top of waiting for the package to arrive from the initial purchase). Not only that, but a replacement or a refund is not guaranteed.
With physical retail stores, the return process is a simple matter of bringing the item back to the store, presenting your proof of purchase, and showing why you want a replacement.
Which store model is better for your business?
Considering the rate at which businesses are shifting to an online model, it’s easy to see why you might want to consider taking the same approach.
The truth is that there isn’t a single approach that’s better than the other. Instead, your goal should be to provide your customers with a variety of choices.
You can’t disregard the reach and potential that can be achieved with online retail, nor can you disregard the time tested reliability and convenience of having a physical retail store. The best thing to do is to adopt both approaches.
While physical retail stores may seem like they are under threat of being replaced by online stores, that is far from the case. It’s really just a matter of being able to present your physical retail space properly, and by making it easy to find your location.
Measures like these McNamara Signs can help your buyers find your physical easily, and they can also spark interest in customers that are passing by. Physical retail isn’t dead or dying, it’s merely keeping up with the times, as we all should.
