As Black Friday quickly approaches, retailers have become creative attempting to lure in customers to their stores.
Walmart will throw 20,000 parties during November and December, while Sears is putting its full store top to bottom on sale during November. Macy’s has a pop-up of Samsung in its flagship locations in New York City as well as virtual reality headsets in certain stores.
J.C. Penney is giving coupons to customers that are worth as much as $500 when shopping in stores Thanksgiving Day.
Stores are using desperate measures to get shoppers to stop buying online and drive to their nearest mall or shopping center.
The Amazon effect is affecting all retailers and those retailers have decided if you cannot beat them, then join them.
Amazon has built its retail presence up through acquiring Whole Foods as well as entering deals with some traditional retailers such as Kohl’s. Attracting customer into their stores is helping Amazon lower delivery costs, says an industry analyst.
Delivery is very expensive, added the analyst and things are much more efficient when customers pick up items at stores.
Analysts on Wall Street say that inspiring loyalty amongst customers is far easier when those customers visit the stores and do not shop online.
It is very difficult to develop brands online, said the analyst, but a physical store makes for a strong branding tool.
If a good experience takes place while at one of the stores, it will likely be remembered. If you find a good deal shopping online, the feeling will not likely be the same, and that is why retailers are doing all they can to make the experience at stores interesting, exciting and appealing.
So places such as Macy’s will have events that are holiday themed at stores across the country, Walmart will deploy Holiday Helpers dressed with reindeer hats, and J.C. Penney will air advertisements that show real shoppers at their stores cooing while enjoying the holiday savings while they shop.
A marketing analyst on Wall Street says shoppers must feel as if they are receiving some added value from shopping at a store, otherwise they will stay home and look for deals online and usually on Amazon.
In addition, if retailers are successful in attracting shoppers to their stores, they purchase more impulse items, say analysts. Even if shoppers are only entering to return an item, the chances they might purchase something more that was not planned increases.