Consumer Preferences

Newsflash: Location Matters for Retailers and the Proof is in the Numbers

by Jenna Sindle

We all know that old adage: “Location, location, location!” In any given context, whether it’s real estate, hotel choice, or even tattoo placement, location matters for a number of reasons. And in retail, it’s a biggie. “The difference between selecting the wrong location and the right site could be the difference between business failure and success,” according to Shari Waters at The Balance.

Previously on Retail Technology Insider, we’ve talked about location intelligence and strategy in the context of geofencing and how location plays into immediate advertising efforts for brick and mortar retailers. We’ve also talked about how brick-and mortar isn’t dying the way many consumers think it is; it’s just becoming more hybridized and folding in tactics that we know work online into a physical setting, like automation and digitalization.

But let’s dig into some of the numbers1 that are powering strategy facelifts for retailers with physical storefronts:

  • On average, shoppers make 7.5 purchases at a physical store per month. That’s almost twice a week that consumers are making their way to a traditional storefront and purchasing something they need that same day.
  • Twenty percent (1 in 5) consumers purchase items in-store after browsing in-store, whereas only 5 percent (1 in 20) purchase online after browsing online. Makes you think a bit more about how your location can determine foot traffic and how it plays into key demographics for your business.
  • Even when customers order something online, nearly half of them (48 percent) go to the store to pick up their order. That’s yet another opportunity to capitalize on the statistic listed above and make an impression on customer that’s already interested in your products.

To learn more about why location matters to brick-and-mortar retailers and why online retailers shouldn’t count them out, download a full infographic detailing these shopping trends and preferences from Pitney Bowes.

 

 

 

1This data was provided to Retail Technology Insider by Pitney Bowes