A former pure-play eCommerce company founded in 2012 now has big brick-and-mortar plans. The online apparel brand Untuckit intends to open 50 branches by the end of 2018. It might seem ambitious in scope, but the path from online to physical retail is well-trodden. Online-only brands like Warby Parker and Bonobos, for example, frequently serve as successful clicks-to-bricks stories. Meanwhile, as online startups add physical channels, big retail chains have been retrofitting for eCommerce. Ultimately, it seems, omnichannel retail is the new norm.
Omnichannel Retail as Standard Operating Prucedure
Untuckit opened its first brick-and-mortar location in 2015. With a major investment round in June, it now operates 20 branches. Since retail closures reached a record high, the goal to open 100 stores by 2022 may seem counter-intuitive. But it really reflects a shift in how omnichannel retail is winning as traditional retail struggles. (In fact, Untuckit’s expansion is likely connected to lower rates on mall vacancies left by traditional retailers).
Plant Online, Grow Everywhere
Brands can and do build a lucrative business exclusively with online channels. eCommerce, after all, gives brands a cost-effective means to establishing a customer base and grow revenue. Adding brick-and-mortar for an omnichannel retail strategy, however, does a lot more. It accommodates the way consumers shop today. It gives their customers more ways to shop, to return and exchange purchases and it contributes to increased online sales. In fact, a physical store opening can increase website traffic of local customers by 52%, according to a report on UK retail.
The Omnichannel Retail Advantage
Omnichannel retail gives consumers consistent pricing and product information across channels. Moreover, it gives them options for purchasing and fulfilling orders. In other words, omnichannel retail raises customer service level. Consumers, in turn, appear to be more loyal and spend more with omnichannel retailers. According to a survey of 46,000 shoppers, consumers spend 4% more in the store and 10% more online with omnichannel businesses than with single-channel brands.
Managing Omnichannel Retail
Omnichannel retail calls for a solution that makes it easier to manage orders and fulfillment regardless of how a customer makes a purchase. Cin7’s realtime visibility and automated routing and fulfillment can get you there.
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