Afuture where digital dominates
Now that “traditional” store-based retailers are becoming genuine multi-channel merchants, a new dynamic has begun to emerge: Instead of applying traditional learnings to the online space, it is the online space that is teaching new lessons to traditional retailing.
Nowhere is this more apparent than in how consumers shop. With information so readily available, the term “educated consumer” may soon be redundant, as today’s shoppers are much more knowledgeable than they were in the past. They come into stores armed with a variety of information, often obtained online.
The things most often sought by these savvier consumers aren’t specific details on a particular product, but rather their fellow shoppers’ opinions on what items are the best to buy and where are the best places to buy them. Now, retailers are realizing the importance of these reviews and are using them to make merchandising decisions.
Though some people are paid good money for their expert opinions on where to place products on store shelves and which items should get special attention, retailers are realizing that when it comes to making a purchase, consumers are influenced more by their peers than by anything else. Companies such as Bazaarvoice are helping retailers and manufacturers harness this valuable information to improve how they market and sell their products. With its new BrandVoice service, Bazaarvoice has enabled manufacturers to collect and display its ratings and reviews on their own brand sites and to share the information with retailers that sell their products (see story on p.3).
Walmart.com also has introduced a “Connect and Share” section that provides information from a variety of sources, including bloggers, to help shoppers make informed decisions. The retailer may even have found a way to eliminate the need for “Frequently Asked Questions” by enabling users to answer each other’s questions.
Even professional review sites, such as Consumer Reports, are having a greater influence on retail. The trusted source for product information has made it easier for shoppers in the Boston area to learn more about particular items. With special kiosks at select malls, consumers can simply log on to ConsumerReports.org for free and find everything they need right there in the mall.
It wouldn’t be surprising if similar kiosks started popping up at other retail locations, and before long, customers likely will be able to access both professional and consumer reviews of any particular product right in stores. Who knows, maybe soon we all will be provided with an electronic device that let’s us scan each individual item and instantly access reviews for that product.
The digital space offers endless possibilities for retailers both online and off. But while there was once, and perhaps still is, a fear that brick-and-mortar retailers will become obsolete, these companies are taking cues from the Web and creating a better in-store experience for their customers. No online site can replicate the ability to see and touch a product first-hand, which is a clear advantage for physical stores. If these brick-and-mortar retailers can perfect a way to harness product reviews and provide easy access to them in stores, they will be well-positioned for the future of retailing.
And speaking of the future of retailing, Retailing Today always will be on top of the latest trends in the industry. Following suit with business in general, we will become a truly digital-focused product and are even better positioned to provide our audience with the latest news and trends in retail. We look forward to the future of retailing and of Retailing Today.