Saturday, 2 July 2011

Product should be cheaper In Store.

I've had this conversation with a few people lately. Friends have found incredibly good deals on the internet that absolutely brain the In Store competition on price & service. Why? It doesn't make sense. In Store should be cheaper considering the lengths we go to simply to get there. There should be a bonanza waiting for us In Store with queues of people lining the foot path waiting for their chance to get inside. There isn't. Aside from the occasional opening of a new store and the fanfare it entails, there are no 'clear' signs of any In Store marketing body telling us exactly how and why we will benefit by making the trip in. There should be! Why are we bothering?

OK, because we love it. Or some of us still do anyway. We've been shopping in the market place for 2,000 years and I don't see it slowing anytime soon. Having said that, it has clearly slowed. The internet has evolved so fast that we cannot ignore the sheer convenience and opportunism it holds for the shopper. Why though, do retailers send strong, clear marketing-driven messages about deals on their websites?

Is it because everyone else is doing it? Could they be doing so at the detriment of their bricks and mortar stores? Are they effectively shooting themselves in the foot?

Is it because they believe the internet will make them billionaires? Couldn't be. The magic bullet simply doesn't exist.

In theory, online should be more expensive. You don't pay travel costs, fuel or parking. Even the train from Flemington to the CBD (3 stops) is $6.80. For the purpose of this blog, I call it a Tarrif on my decision to buy In Store. If I had decided to drive into the city (assuming I'm on my own), there would be an additional flat fee parking expense on top of fuel.

So, by staying home and having my product delivered for free, with a free gift, and a discount off my purchase, and lifetime subscribership, with a ribbon... I both save & use the time previously dedicated to travelling In Store, to do 'other things'.

Talk about a lop sided deal for the In Store retailers. Aside from the love of shopping in store, where is the incentive & how can the retailers fight back?

Is the love of shopping off line enough to keep the industry alive for the next 2,000 years?

Over to you, what do you think?

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