Shopping online Essay

With more and more people shopping for items online, the Internet marketplace has
grown exponentially. More and more businesses have been transitioning their sales to suit
the online shopper, but increasing research from New York University's Professor of
Marketing, Scott Galloway, states that " . . .pure play businesses are unsustainable and that
brick and click stores are the new black" (Welsh Company). This realization for many
businesses that operate exclusively online is a terrifying one as more and more reports
show that online only retailers are soon to be a thing of the past.
Comments from Terry Lundgren, CEO of Macy's Department Stores, at a recent
Digital Life Design Conference in Europe also bear similar uncomfortable news for pure
play, online only retailers. "E-commerce companies are either going to open stores or go
out of business" (Lewis). This is a harsh realization for retailers such as Amazon and eBay
who only offer online retail stores. In order to compete in the market, retailers must have
both a physical and a virtual presence that commands attention. Many retailers like Best
Buy and Macy's have seen the trend coming for years, and have taken full advantage of this
market to bolster their sales in both markets. Increasing online shopping helps pure play
businesses, but with online retailers only making up 10 percent of the retail environment,
one can see why business must have a foot in both worlds.
With many businesses trying to be in both the virtual and the physical world
simultaneously, some are turning to automated systems to provide their customers with
multichannel access to products. A newer company called A-Store is a fully automated
vending machine service providing many different retailers wares, ranging from children's
toys to high-end electronics and cosmetic products. This company also provides a
preorder service for those who travel often and need to ensure that the products they want
and need are where they are going to be, regardless of embargos and product limitations
due to global location restrictions. Many brands offer this service, such as Sephora makeup
for ladies who like to travel light, and Apple and Android offering smartphones to
businessmen on the go, with the items guaranteed to be in the vending machine at their
preselected location when the traveler arrives (Automated Stores).
All businesses must yield to the needs of the consumer to stay relevant and to stay
in business. Multichannel businesses are paving the way to the future of retail shopping,
and in order to stay with the times, businesses must adapt their business plans or suffer the
consequences. More and more retailers are seeing a shift in their business toward
immediate order fulfillment needs by their customers, so they must implement the bricks
and clicks business plan in order to survive. In the end, the customer wants what they
want when they want it, so retailers must offer multichannel opportunities to stay in
business. Pure play retailers are on life support, and multichannel businesses are getting
ready to pull that plug.