The Impact of Virtual Reality-How Department Stores Are Responding to Their Online-Only Competitors
With the e-commerce market steadily on the rise, traditional brick and mortar stores have realized they need to rethink their business strategies to further incorporate their e-commerce platforms. One of the greatest advantages virtual outlets hold over classic department stores is their ability to guarantee a wider selection of brands, products, colors and sizes always in stock for the customer. While department stores have acknowledged it is impossible for them to offer such a diverse variety in each individual store, some have made great efforts to gap the bridge between their inventory and the customer.
The J.Crew "Red Phone"
J.Crew for example has had the “Red Phone” for years. In every store, tucked away on a blonde wooden table with a catalogue and a pencil was this phone. If the exact item you wanted wasn’t available in the store, the “Red Phone” immediately connected you with a CSR who helped you locate your desired purchase and send it to your house for free. (Remember, free shipping was a shocking upgrade back then!)
However wonderful the “Red Phone” might seem, it still required you to awkwardly stand in the middle of the store for several minutes listing off item numbers, phone numbers, credit card digits and addresses to finalize your transaction. Macy’s recently tried to cut out a few of these steps with their new high-tech cash registers that automatically fine-tooth their inventory for the customer’s convenience and the cashier can make the purchase for you. This eliminates a great deal of effort for the shopper, but is it enough to beat the online bazaar?
An online kiosk at Kohl's allows customers to locate a product at Kohl's stores across the country
The latest answer to the call of technology for department stores has been the “online kiosk.” These tall booths have recently been revealed in chain stores such as JCPenney and Kohl’s. When these stores can’t provide the customer with exactly what they need, instead of directing them to “check online” from their home computers, they can lead them to the kiosk! These kiosks search the chain’s website directly and let the customer make a purchase right then and there. Another win for department stores!
Phones, cash registers and kiosks are all great tools in the battle for business, but in the long run…can they really out-do a three-click-purchase from your living room (with free overnight shipping)?
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