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Click and mortar vs pure play e tailers

Jonathan Levitt March 26, 2018 Amazon. Omnichannel retailers such as Walmart, Target, and Best Buy are taking aim at the Seattle giant by rolling out innovative bricks-and-clicks business models that combine the best of online and in-store shopping.

Difference Between Pure-Play Internet & Clicks-&-Mortar Business Models

So who will win the battle for consumer hearts-and-minds — and their wallets? Will the pure-play online retailers like Amazon and an increasing number of niche sites like Bonobos and Fab.

  • The study found that, despite deploying a bevy of tactics to meet the needs of the omnichannel shopper, bricks-and-clicks retail brands are still struggling to build seamless customer experiences across channels;
  • In order to satisfy the modern savvy shopper, physical retail brands need to adapt to the digital revolution, opening up to the omnichannel shopping experience;
  • For example, Tyco International is a large conglomerate involved in almost everything you can think of, from home security to plastics and adhesives;
  • This is a great opportunity for brands to engage with existing and potential customers, inviting them to visit the store and sending appropriate real-time news and promotions that suit them.

The study found that, despite deploying a bevy of tactics to meet the needs of the omnichannel shopper, bricks-and-clicks retail brands are still struggling to build seamless customer experiences across channels. Omnichannel retailers are delivering impressive shopping experiences in some key areas, including homepage and product page presentation and checkout.

That means if omnichannel retailers continue to deliver on these shopping experiences, as well as improve functional areas where pure-play retailers now have the lead, they have a chance to catch up to, or even surpass, pure-play competitors. The OpinionLab study also benchmarked Functional Mean Ratings which score critical functions on a 1 — 5 scale for both omnichannel and pure-play ecommerce retailers.

  • A new generation of online-only etailers such as Bonobos and Fab;
  • As such, this type of stock has a performance that correlates highly to the performance of the stock's particular industry.

According to the research, omnichannel retailers are champions of the checkout with an average rating of 3. This finding flies in the face of conventional wisdom; one would think etailers had mastered online checkout, since they invented it in the first place.

  • The study found that, despite deploying a bevy of tactics to meet the needs of the omnichannel shopper, bricks-and-clicks retail brands are still struggling to build seamless customer experiences across channels;
  • Open up to the omnichannel Thanks to the digitalization of shopping, consumers are now extremely autonomous; they research different products, comparing quality and cost anywhere, anytime;
  • Internet business have fewer overheads but businesses that have a strong street presence inspire more customer confidence.

Omnichannel retailers provide customers with ample options to complete their purchases. Omnichannel retailers also received high ratings for their homepages and product pages, achieving mean scores of 3.

'Evolved' retailers more likely to succeed compared to pure-play business strategy

With decades of catalog commerce behind them, omnichannel retailers are experts at product presentation and branding. A new generation of online-only etailers such as Bonobos and Fab. Shoppers gave ecommerce retailers high marks for site search, account management, ease of finding information, and service and support. So what does this mean for omnichannel retailers heading toward the 2013 holiday season?

Streamlining site navigation, as well as offering stronger pre- and post-sale support and account services, will go a long way to winning over new customers. Improving site search functionality is also a key recommendation for omnichannel retailers. Omnichannel retailers may trail their online-only competitors in customer experience by a hair, but they are closing the gap.

What physical retail brands can learn from pure play e-tailers

If omnichannel retailers can build on their successes, and continue to accelerate adoption of new channels such as mobile and in-store tablets, they stand a strong chance of gaining on Amazon and other pure-players. E-commerce is undeniably the future of retail. There will be room for both omnichannel and pure-players, but the most nimble and adaptable retailers will take more of the multi-billion-dollar pie.

This article was originally published in 2013 and is frequently updated.