CREJ - Retail Properties Quarterly - May 3, 2017
One term used frequently within this issue is omnipresence. As in, retailers that embrace an omnipresent format will succeed and, potentially, drive the expansion of some online only retailers to new brick-and-mortar locations. Omnipresent means present in all places at all times, according to Merriam-Webster. For retailers, it’s about harnessing technology while embracing a physical presence in order to make the brand ubiquitous for consumers. Online sales growth has more than doubled in-store sales growth for the past few years, which means that despite the fact that online sales only represents 10 to 12 percent of all sales, its speed of growth and dominance in certain retail niches can’t be ignored. However, as I read the articles in the issue, I couldn’t help but feel hopeful that some leveling out may be coming. The internet has culled, and will continue to cull, the herd of cumbersome retailers that cannot adapt to changing consumer habits. But those that do may not need to fear the end is near. This is where the idea of omnipresent retailers really comes into play. Those retailers surviving and thriving in this environment are the ones that embrace the internet to offer costumers a better experience. A company’s website is no longer just a vehicle to purchase an item, but also is a place to read peer reviews, share one’s own opinions, rate experiences and explore the brand. Yes, some people prefer to buy their clothes strictly online or in stores. But for other consumers, shopping reflects a hybrid approach in which nothing –– browsing, trying on, purchasing or returning – is specifically relegated to be done in stores or online. Instead, the two options complement one another based on the individual consumer’s shopping habits and desires. Sometimes you want the instant gratification of walking out with a purchase in hand; other times, the convenience of purchasing something on your laptop from bed at 10 p.m. can’t be beat. The fact is, by allowing consumers to have more control over their experiences via multiple avenues of availability, the retailer cultivates and, potentially, retains repeat customers. As a member of the constantly analyzed millennial segment, omnipresent retailers make the most sense to me. So while store footprints may shrink and the distance between repeat stores may increase, retailers still will have real estate needs. And as several authors in this issue point out, some online only retailers are seeing the benefits of physical locations and beginning to embrace a click-to-brick mentality. Michelle Z. Askeland maskeland@crej.com 303-623-1148, Ext. 104