News

Physical, digital melding together fast in retail

March 22, 2018

The lines between the physical and the digital is getting even more blurry, according to a NRF/Forrester study.

The traditional retail experience and the online retail experience are melding given consumers expectations to shop in both environments in a seamless manner and retailers making moves to make that happen, according to a press release.

"This report shows more than ever that retail is retail regardless of where a sale is made or how the product is delivered," NRF Vice President for Research Development and Industry Analysis Mark Mathews said in the release. "Products ordered online are increasingly picked up in-store or shipped from a nearby store, and digital technology being used at bricks-and-mortar locations lets retailers help customers find what they want or make the sale even if the product is out of stock. Traditional retailers have seen the opportunities of online selling for years now, and those selling online increasingly see that stores are part of the key to success."

The survey reported 32 percent of retailers are "pureplay" online retailers while 57 percent are multichannel retailers, including traditional bricks-and-mortar retailers that also sell online.

The study states 43 percent of store-based retailers surveyed expect a net increase in the number of bricks-and-mortar stores they operate by the end of 2018 compared with 2017, and 16 percent expect a net reduction.

"More brands plan to open stores versus close them this year, which proves that the physical retail store is not doomed as many think it is," Forrester Vice President and Principal Analyst Sucharita Kodali said in the release. "Smart retailers understand that the two go hand-in-hand, but customer-obsessed retailers will continue investing in areas like omnichannel to provide customers with the seamless on and offline experiences they expect and now require. This year's survey proved that while they have work to do in 2018, retailers are moving in the right direction."