The Robin Report recently published an interesting article discussing how stores are the new black. It provided a thought-provoking perspective for me on how omni-channel retailing is being driven by both brick-and-mortar retailers needing to be more digital and e-commerce only retailers needing to open stores because 93% of retail purchases are still made in stores. Maybe neither type of pure-play retailer can survive in the long-run. Is omni-channel the new black?
JustEnough identified early the rise of omni-channel and that’s why our demand-driven retail planning solutions are designed for all types of retailers – whether they reach customers through one channel or many.
Here is a short excerpt from the article and you can read the complete story here.
Terry Lundgren, CEO of Macy’s, borrowed this quote during his opening remarks at the University of Arizona Global Retailing Conference in Tucson back in April, attributing it to NYU-Stern Marketing Professor Scott Galloway, who also happens to be one of the world’s experts in digital marketing.
Calling stores “the new black” is a nod to that old-fashioned expression referring to something that’s come into style. Simply said, it means they are not only not going to be replaced by e-commerce, they will thrive as the “in vogue” standard-bearer for retailing. In fact, even more dramatic than Galloway’s assertion that stores are now in vogue is his prediction that pure-play e-commerce is actually going away.
Bolder still, at a DLD event in Europe earlier this year, Galloway said, “E-commerce companies are either going to open stores or go out of business.” On the other hand, he also said, “(brick-and-mortar) retailers need to be excellent at digital or they will go out of business.” He went on to say, “I also believe that Amazon cannot survive as a pure-play retailer. Stores are the new black in the world of e-commerce. We’ve discovered these incredibly flexible robust warehouses called stores … retailers are not befuddled prey waiting around to be disrupted. They are in fact growing their e-commerce businesses.”