Retail Store Sales – How To Avoid Losing The Sale To Showrooming

Showrooming. Retailers hate showrooming. So how can you take the showrooming traffic and avoid losing the sale in your retail store? Well, let’s look at it and see.

What is showrooming?

Retail Store Sales - How To Avoid Losing The Sale To ShowroomingShowrooming is what happens when customers use your store as a place to touch, feel and play with a product, The problem comes in when they leave and buy it online at a lower price.

As many retailers have found, online stores often offer lower prices than brick and mortar stores because they do not have the overhead cost of a retail location lease, utilities and salespeople. It is frustrating to sales people because they spend their time with a customer who doesn’t buy from them and leaves them without a sale to show for it.

It is costly to the retailers who have to pay all the overhead with no sales to show for it, as well as the cost of damage caused to the store’s floor samples of a product. So what can you do to combat this? There are a few things.

Buying in your store lends value over buying online

The best thing you can do is to be sure to show customers who come in that buying in your store lends value over buying online. Don’t do it by lowering prices. That only accomplishes a lowering of your profits. By offering added value, you make the price worth it. Do that through your loyalty programs and by offering items that are exclusive to your store.

Your loyalty program can do things like give early access to sales and sales professionals that can help with finding the right product. Loyalty programs can include extra sales that give them a break over the online available product, or just give additional and exclusive benefits.

Create value and you will put a halt to showrooming.

O-To-O Marketing – Why You Need To Know About Showrooming

Getting people to go from online to offline (O to O) takes great marketing.

Have you ever gone into a store to find something and then pulled out your smartphone to price check it? How often do you find a better deal elsewhere? Doing that is called showrooming.

O-To-O Marketing - Why You Need To Know About ShowroomingShowrooming really is what many people think is smart shopping. Who hasn’t comparison shopped? Technology just made it easier to do on the spot. That is the problem for retailers, lost sales due to people checking on the spot. Before smart phones, you had to sit at your computer to do that, or drive from store to store, taking the chance that the product wouldn’t be there if you left the store and came back.

Today, showroomers tend to fall into one of five categories: Exploiters; Savvys; Price Sensitives; Experience Seekers; and Traditionalists. Exploiters are shoppers who have absolutely no intention of making a purchase in store. They are gathering information, period. Savvys are the ones with smartphones who aren’t afraid to use them. They price shop on the spot, and will even make an online purchase while standing in your store. Price sensitives are more likely to do things like purchase extended warranties or loyalty programs. Experience seekers will come to your store, but only for a sale or an event, and will only buy online on their smart phone if buying it in your store is inconvenient. Lastly, the Traditionalists want and prefer to shop in your store. They use their smartphones to text or call others for advice about their purchase.

O to O Marketing needs to pay attention to those types of showroomers. They can leverage parts of each to their advantage. Use both online and offline to your advantage. Launch sales from both simultaneously and use things like card-linked offers, printable coupons, geotargeting, or social media. Make sure that your store offers free wifi… but make sure they have to register to use it. This will give you data to use to target them for offers to keep them in your store.

O to O Marketing is important to keep your business viable.

Incoming search terms:

  • o to o business
  • business development social media
  • o to o
  • what is O to O
  • what is oto sales gunnell

Retail Marketing – What is Showrooming and Can it Help You?

Showrooming has been the bane of retailers when working on their retail marketing. But, showrooming can be something that works to your advantage, if you know how to use it!

Retail Marketing - What is Showrooming and Can it Help You?Showrooming is when a customer will use your store as a show room to touch and feel a product, play with it and then they leave and find and buy it online at a lower price. As many retailers have found, online stores often offer lower prices than brick and mortar stores because they do not have the overhead cost of a retail location lease, utilities and salespeople. This practice is costly to the retailers. Their salespeople spend time with a customer who isn’t going to buy, the cost of the actual loss of the sale, and the cost of damage caused to the store’s floor samples of a product. So what can you do to combat this? There are a few things.

Some retailers try to combat showrooming by lowering their prices. The problem with an across the board price cut is it lowers your profits. A better way is to do one of two things: look at your items that are being showroomed as luxury brands by creating value; or by selling items that are exclusive to your store.

Luxury marketers create value adding experiences instead of giving price breaks. They do this through loyalty programs that give early access to sales and sales professionals that can help with finding the right product. Loyalty programs can include extra sales that give them the break on the online available product, or just give additional and exclusive benefits.

Some major retailers are attempting to combat showrooming by selling products exclusive to their stores. While these tend to be larger retailers, this can work with smaller retailers by finding brands that not everyone has.


 

Technology store mystery shoppingMystery Shopping Programs

Looking for a great Mystery Shopping Company that focuses specifically on the wireless and telecommunications industry? Look no further!

TechnologyStoreShopper.com puts vital information right at your fingertips. We’re the secret shopping specialists for the technology retail sector – developing and managing turnkey programs for retailers, wireless carriers, franchise companies and manufacturers.