{"id":1828,"date":"2014-12-05T11:00:42","date_gmt":"2014-12-05T05:30:42","guid":{"rendered":"http:\/\/gtm360.com\/blog\/?p=1828"},"modified":"2021-11-05T15:56:28","modified_gmt":"2021-11-05T10:26:28","slug":"retail-is-barking-up-the-wrong-tree-against-ecommerce","status":"publish","type":"post","link":"https:\/\/gtm360.com\/blog\/2014\/12\/05\/retail-is-barking-up-the-wrong-tree-against-ecommerce\/","title":{"rendered":"Retail Is Barking Up The Wrong Tree Against Ecommerce"},"content":{"rendered":"<p><a href=\"http:\/\/gtm360.com\/blog\/wp-content\/uploads\/2014\/07\/quote-sales-are-contingent-upon-the-attitude-of-the-salesman-not-the-attitude-of-the-prospect-w-clement-stone-179351.jpg\" target=\"_blank\" rel=\"noopener\"><img loading=\"lazy\" decoding=\"async\" class=\"alignright wp-image-1832\" src=\"http:\/\/gtm360.com\/blog\/wp-content\/uploads\/2014\/07\/quote-sales-are-contingent-upon-the-attitude-of-the-salesman-not-the-attitude-of-the-prospect-w-clement-stone-179351-200x94.jpg\" alt=\"quote-sales-are-contingent-upon-the-attitude-of-the-salesman-not-the-attitude-of-the-prospect-w-clement-stone-179351\" width=\"200\" height=\"94\" srcset=\"https:\/\/gtm360.com\/blog\/wp-content\/uploads\/2014\/07\/quote-sales-are-contingent-upon-the-attitude-of-the-salesman-not-the-attitude-of-the-prospect-w-clement-stone-179351-200x94.jpg 200w, https:\/\/gtm360.com\/blog\/wp-content\/uploads\/2014\/07\/quote-sales-are-contingent-upon-the-attitude-of-the-salesman-not-the-attitude-of-the-prospect-w-clement-stone-179351.jpg 850w\" sizes=\"auto, (max-width: 200px) 100vw, 200px\" \/><\/a>Although I had my first taste of ecommerce as far back as 1998, over the years I&#8217;ve preferred to shop at brick-and-mortar stores &#8211; at least in India &#8211; because the offline channel shields me from the intrinsic <a href=\"http:\/\/sketharaman.com\/blog\/2008\/06\/27\/a-tale-of-two-sites\/\" target=\"_blank\" rel=\"noopener\">delivery risk<\/a> of the marketplace model and saves me the <a href=\"http:\/\/gtm360.com\/blog\/2013\/09\/13\/mobile-otp-cyanide-or-caffeine-for-online-payments\/\" target=\"_blank\" rel=\"noopener\">friction<\/a> of transacting online with credit cards.<\/p>\n<p>Accordingly, when I had to buy a few things recently, I headed over to the high street and a couple of malls in Pune, India, which is where I live.<\/p>\n<p>Much to my dismay, I found that:<\/p>\n<ol>\n<li>Two stores had shut down (CROMA @ Pulse Mall, Venus @ Magnum Mall)<\/li>\n<li>Two others didn&#8217;t have what I wanted (Microsoft Mouse, Belkin Power Trail)<\/li>\n<li>The salesman at one store (The Mobile Store) couldn&#8217;t understand why I was asking him if I could install apps from Google Play Store on a certain Android smartphone (Nokia X).<\/li>\n<\/ol>\n<p>Since I didn&#8217;t have the time and energy to continue my search at other brick-and-mortar stores, I bought all these items online.<\/p>\n<p>As you&#8217;d have inferred by now, I didn&#8217;t jettison physical stores because of price. Instead, my decision to defect to ecommerce was driven by the following non-price problems ailing brick-and-mortar stores:<\/p>\n<ul>\n<li>Spiraling cost of overheads &#8211; rather than low margin on merchandise &#8211; threatening the viability of many retail businesses (More in\u00a0<a style=\"color: #2200c1;\" title=\"Permanent Link to Retail Winners &amp; Losers Amidst Skyrocketing Real Estate Costs\" href=\"http:\/\/gtm360.com\/blog\/2012\/11\/30\/retail-winners-losers-amidst-skyrocketing-real-estate-costs\/\" target=\"_blank\" rel=\"bookmark noopener\">Retail Winners &amp; Losers Amidst Skyrocketing Real Estate Costs<\/a>)<\/li>\n<li>Stock outs \u00a0(Not the first time it has happened:\u00a0<a title=\"Permanent Link to Stores Have Themselves To Blame For \u2018Showrooming\u2019\" href=\"http:\/\/gtm360.com\/blog\/2013\/05\/10\/stores-have-themselves-to-blame-for-showrooming\/\" target=\"_blank\" rel=\"bookmark noopener\">Stores Have Themselves To Blame For \u2018Showrooming\u2019<\/a>)<\/li>\n<li>Ignorant store attendants who don&#8217;t know that many &#8220;Android&#8221; mobile devices can&#8217;t access Play Store (Nokia X and B&amp;N Nook Color are just two examples of &#8220;closed ecosystem&#8221; Android devices that support only Android apps published on their proprietary app stores).<\/li>\n<\/ul>\n<p>I&#8217;m not a spendthrift but price didn&#8217;t enter the picture in any of my aforementioned purchase decisions.<\/p>\n<p><a href=\"https:\/\/gtm360.com\/blog\/wp-content\/uploads\/2014\/07\/rbw-fi.jpg\" target=\"_blank\" rel=\"noopener\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-1831 size-full\" src=\"https:\/\/gtm360.com\/blog\/wp-content\/uploads\/2014\/07\/rbw-fi.jpg\" alt=\"\" width=\"630\" height=\"280\" srcset=\"https:\/\/gtm360.com\/blog\/wp-content\/uploads\/2014\/07\/rbw-fi.jpg 630w, https:\/\/gtm360.com\/blog\/wp-content\/uploads\/2014\/07\/rbw-fi-200x88.jpg 200w\" sizes=\"auto, (max-width: 630px) 100vw, 630px\" \/><\/a><\/p>\n<p>It is dangerous to jump to conclusions on the basis of a datapoint of one but brick-and-mortar retailers are mistaken if they think people shop online only to get lower prices.<\/p>\n<p>Even at their current price levels, physical stores have a reasonably good shot at retaining their loyal customers by fixing their inventory problems, enhancing the shopping experience and otherwise setting their house in order.<\/p>\n<p>Hope they&#8217;re listening!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Although I had my first taste of ecommerce as far back as 1998, over the years I&#8217;ve preferred to shop at brick-and-mortar stores &#8211; at least in India &#8211; because the offline channel shields me from the intrinsic delivery risk of the marketplace model and saves me the friction of transacting online with credit cards. &#8230; <a title=\"Retail Is Barking Up The Wrong Tree Against Ecommerce\" class=\"read-more\" href=\"https:\/\/gtm360.com\/blog\/2014\/12\/05\/retail-is-barking-up-the-wrong-tree-against-ecommerce\/\" aria-label=\"Read more about Retail Is Barking Up The Wrong Tree Against Ecommerce\">Read more<\/a><\/p>\n","protected":false},"author":4,"featured_media":1831,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9,7,1],"tags":[],"class_list":["post-1828","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ecommerce","category-retail","category-mandatory-category"],"_links":{"self":[{"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/posts\/1828","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/comments?post=1828"}],"version-history":[{"count":12,"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/posts\/1828\/revisions"}],"predecessor-version":[{"id":8587,"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/posts\/1828\/revisions\/8587"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/media\/1831"}],"wp:attachment":[{"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/media?parent=1828"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/categories?post=1828"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/gtm360.com\/blog\/wp-json\/wp\/v2\/tags?post=1828"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}