Experiences bring shoppers in-store. How can retailers stand out?

In a world where anything can be purchased online, people turn to physical stores that offer a unique experience. Retail technology such as mobile apps and digital signage are vital to attract new customers and retain long-time fans alike.

Dive Brief:

• Shoppers, particularly younger ones, visit stores for the experience, according to a survey of 1,300 shoppers released by logistics solution provider Ryder last month. 
• While six in 10 consumers say the experience draws them to shop in-store, that number rises to 7 in 10 among those aged 18 to 29. The share of customers seeking in-store experiences is up 21 percentage points from last year. 
• However, in-store customers still use digital experiences. More than three-quarters of customers check products on a mobile device while in store, with the top reasons being to compare prices, check availability and learn more about products.

Dive Insight:

Customers are becoming more interested in brick-and-mortar experiences post-COVID, but retailers still need to give them a reason to visit.

“You’ve got to understand your customer,” James Kucera, director in BRG’s retail performance improvement practice, told CX Dive. “You’ve got to understand their needs, what excites them, and you’ve got to give them a reason to put down a cell phone, get up off the couch and go into your physical store.”

A common mistake retailers make is playing defensively against the Amazons, Walmarts and Targets of the world, according to Kucera. These companies set the standards for a good experience online and in-store, but smaller retailers need to focus on their own strengths rather than try to close the gap with retail’s giants.

The trick is careful customer listening, Kucera said. Knowledgeable retailers can design experiences that give shoppers a reason to not just choose brick-and-mortar over e-commerce, but their brand over the competition.

“Some customers want that luxury experience,” Kucera said. “Some customers are coming in looking for information — they're looking for knowledge on the products. Other customers are walking in because they're looking for a great bargain.”

It’s important to go beyond the basics, according to Kucera. Intuitive store layouts, clear signage and speedy checkout are now table stakes. Retailers can build on that foundation with efforts like training knowledgeable associates or rolling out useful mobile apps to truly stand out.

Online orders can lead to in-store experiences as well, particularly during the holidays. In fact, 44% of digital shoppers say they choose buy online, pickup in-store services more often during the holiday season, according to Ryder.

This can provide a golden opportunity for retailers to wow customers with a great experience. Stores can create efficient buy online, pickup in-store experiences through offerings like dedicated pickup areas, providing a starting point for long-term loyalty.

This article was written by Bryan Wassel from CX Dive and was legally licensed through the DiveMarketplace by Industry Dive. Please direct all licensing questions to legal@industrydive.com.