Basically Showrooming means that consumers browse physical stores in order to gather information only to turn around and purchase the products online. This practice is not likely to become a favorite with retailers anytime soon, as it in 33% of the cases means a lost sale for the brick and mortar store. 90% of smartphone owners who used their mobile while in a store to research products were looking at somebody else’s site. That’s not good news for the pure brick and mortar operations as they have very limited means to fight it. As for multichannel retailers, they better do everything in their power to make sure the consumer is encouraged to surf their site.
If you can’t beat it – join it!
According to an IBM study, Showrooming drives 50% of online sales perhaps not surprising considering one in five American consumers actively practice Showrooming.
The main reason consumers showroom is to compare prices between retailers, so the obvious answer to combat Showrooming would be to be the cheapest. This approach however is gravely flawed, as that would catapult every retailer into the reddest of red oceans, leaving everyone on the brink of extinction.
A much better approach would be to recognize that not all consumers are created equal. Not everyone is driven purely on price. Offering your customers an engaging and satisfying shopping experience will go a long way to retain them in your store. Good old fashion customer service would be a good place to start. A study done by Zendesk shows that the two main factors in creating loyal customers are quality and service, price only makes it to third place.
But since 20% of your customers will likely reach for their mobiles while in store anyway, the second place to focus attention is on the online experience you present them with .
Ready – Set – Engage!
Engagement is the keyword here; make the experience interesting and useful. Personalize the journey as much as possible by allowing customers to interact with your brand, make it suit their specific needs and let them share their findings with the world through social media. The more time a consumer spends online with your brand, the more engaged they become and the more likely they are to close the sale with you.
In addition the transition between the online and offline store should be seamless and coherent; the offering, look and feel should be equal across all channels, leaving the customer with the feeling that it is one integrated experience. The use of responsive design when building websites, where the pages will adapt automatically to the medium being used to view them, will go a long way in creating a consistent impression when using a digital medium.
Use data driven marketing and take advantage of what technology makes possible, offer free wi-fi in store and include smart sensors and QR codes offering personally tailored specials and information in real time. A global survey done by Cisco reveal that 75% of consumers want a personalized experience, once they have opted in.
By making it more advantageous to be on your site while in store, you actually make Showrooming work for you.