Online Shopping Trends

Focus Trends: Buy-Online-Pickup-In-Store

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Focus Trends:

Buy-Online-Pickup-In-Store

by Charlene Capps, Aug 22, 2019

Buy-Online-Pick-Up-In-Store, Click-and-Collect, Clicks to Bricks – all terms that harmonize retailers’ physical stores and shopping online.  Whether it’s legacy stores like Lowe’s and Walmart increasing digital footprint, or an online retailer opening physical stores like Amazon or Duluth Trading Company, all retail concepts are looking to make the shopping experience seamless for consumers.

Legacy retailers are seeing a large presence with the Buy-Online-Pick-Up-In-Store (BOPIS).  The top five retailers that scored the best within that category are Best Buy, Home Depot, Bed Bath & Beyond, Kohl’s and Target.  Shown in the map below are locations for the top 10 retailers for BOPIS and layered in red are new locations that have opened over the last 16 months.


Tractor Supply reported in Q2 2019 that more than 70% of online orders were fulfilled in store.  Considering the retailer is operating more than 1,900 stores, it is very encouraging that customers are utilizing the investment the retailer made in its brick-and-mortar properties and digital presence. Unlike retailers flocking to the city, Tractor Supply is happy living the country life. They also report that mobile check-out will be available in 1,000 stores by the end of 2019. Omni-channel is not just a buzz word for urban markets and city life, it is also being adopted and proven successful in rural America too. Discount department stores are the most popular retailer type using BOPIS, with 60% of them offering the option. The second highest categories are electronics stores and grocery stores.

Going the extra mile for home deliveries in rural markets can be very expensive and timely. According to ICSC Industry Insights, 49% of online shoppers prefer BOPIS to avoid shipping fees and 40% mentioned the ability to get their items quicker. Today, urban dwellers use BOPIS 14% more than rural consumers, but as the satisfaction rates grows for the rural consumer (79% satisfaction rate) that gap will close in the future.

sources:
https://www.fool.com/investing/2019/02/26/best-retailers-buy-online-pickup-in-store-ranking.aspx
https://www.retaildive.com/news/tractor-supply-company-sees-bopis-pay-off-in-rural-communities/559958/

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