Expect big savings this summer as online & in-store shops compete
After over three months ofdesolation, non-essential shops in the UKopenedtheir doorsonMonday12 Aprilto apublicravenous for in-store shopping.Queues snaked around carparks outside Primark stores across the country and staff at Ikea sang and whooped as the first shoppers entered.
Not that you really need the figures, but data from market insight group Springboard (via theGuardian)revealed high-street traffic grew175%week-on-week on Monday,and471%year-on-year.
But what does this mean for online shopping?
We’ve all gotten cozy with buying products onlinethroughoutthe pandemic.Whilebrick–and–mortarhigh streeticons such asDebenhamshave had to shut their doors for good (having been open for over 200 years), online retail has never been stronger.
In January 2021, the proportion of good bought online spiked to a record 35.2%ofallretail, according to theOffice for National Statistics.The graph shows the spike in online shopping during the first lockdown.
A clear winner has been Amazon,whichtrebledprofits following itsOctoberPrime Day last year. Its net income grew to US$6.3 Billion in the third quarter of 2020, compared to US$2.1 Billion the year before.
But it would be foolish forsuche-commercegiantsto get too comfortable.They’ll have to get competitiveinstead, though it won’t be easy.
The challenge will betwofold:keeping the attention of shoppers who want to return to the high street– and more difficult yet –staying relevant as peoplespend less time online.
This summer, Amazon, eBay and others won’t just be competingtokeepshoppers’ attentionfrom high-streetretailers,but alsofrom long-separatedfamilies and friends,pubs and restaurants,and timeoutdoorsin the sun.
I suspect they will do it withbigger salesand discounts than you’d usually findover the summer, with a focus on servicesyou can’t typically get in-store like buy now pay later schemes,free next-day (or even same-day) delivery, as well as extradiscounts from social media posts.
Equally, brick-and-mortar stores may continue what they’ve already started: to incentivise shoppers with exclusive in-store discounts. Competition is good when it means discounts and offers: the consumer ends up the winner.
The pandemic has changed retail forever – let’s watch and see what happens next.
Author: Somrata Sarkar, Contributor
Previously a Tech Advisor Senior Staff Writer, Somrata researches and writes about the best tech deals to help readers make smart, informed buying decisions. She’s an expert on accessories and also reviews laptops, phones, audio and other devices.
