The document discusses the benefits of ship-from-store programs for retailers. It notes that brick-and-mortar retail sales have declined by $30 billion in recent years as foot traffic has decreased. E-commerce continues to grow rapidly. Ship-from-store programs allow retailers to leverage both physical stores and online sales by shipping products directly from stores to customers, improving delivery speed and reducing costs while increasing inventory utilization. The document provides examples of large retailers like Dick's Sporting Goods, Macy's, Best Buy, and Walmart that have adopted successful ship-from-store programs.

1. Shopatron Slideshow
6 Compelling Cases for
Ship-From-Store

2. 6 Compelling Cases for Ship-From-Store
The Future of Brick-and-Mortar
Looks Dim
1/3
US retailers received only 1/3 of the
holiday foot traffic they did 3 years ago

3. 6 Compelling Cases for Ship-From-Store
The Future of Brick-and-Mortar
Looks Dim
$30B
In the last 4 years, brick-and-mortar
retail sales shrank by $30 billion

4. 6 Compelling Cases for Ship-From-Store
The Future of Brick-and-Mortar
Looks Dim
➤
There hasn’t been an indoor mall built since 1996
➤
Increased popularity of “showrooming” is cutting
into traditional retail sales
➤
Big name retailers are rapidly closing physical
storefronts

5. 6 Compelling Cases for Ship-From-Store
eCommerce Continues to Thrive
$300,000,000,000+
eCommerce is approaching $300 billion in
US sales and is the only trillion-dollar
industry showing double-digit growth

6. 6 Compelling Cases for Ship-From-Store
eCommerce Continues to Thrive
Brands and retailers need to find a
balance between the physical and digital
shopping experience to survive.
But how?

7. 6 Compelling Cases for Ship-From-Store
Why Ship-from-Store is the Answer
➤
Ship-from-store programs allow brands and retailers to
leverage the benefits of having both a physical and
online presence.
➤
Many big names champion ship-from-store and many
big companies are adopting ship-from-store programs.

8. 6 Compelling Cases for Ship-From-Store
6 Compelling Cases
for Ship-from-Store

9. 1
2014 Will be Tough on Traditional Retail
“Retailers that succeed in finding creative ways to deliver products…will
thrive the most…the single most important things are endless aisle
followed by ship-from-store.”
- SucharitaMulpuru, Senior Analyst, Forrester Research

10. 2
Dick’s Embraces Ship-from-Store…
“We look at it as having over 500 distribution centers across the
country that can get product to customers quickly and inexpensively.”
- Edward Stack, CEO, Dick’s Sporting Goods

11. 2
…and Reaps the Rewards
Having every Dick’s store participate in their ship-from-store program, “has
many benefits: it allows us to connect online customers with any inventory in any
store; it improves inventory utilization; it lowers shipping costs; and improves
speed to our customer, allowing us to now compete on speed. 75% of our orders
are shipped to a customer within a 15-mile range of a Dick’s store.”
-Michele Willoughby, EVPeCommerce and Supply Chain, Dick’s Sporting Goods

12. 3
Macy’s Ditches Distribution Centers
“We’re no longer going to need fulfillment centers anymore,” said
Macy’s CEO Terry Lundgren, according to RIS. “We’ve got 800 of
them, and they’re called Macy’s stores.”

13. 4
Best Buy Empowers Over 400 Locations
“With the rollout of ship-from-store, we are looking at our stores strategically in
relation to our longer-term supply chain strategy. We strive to deliver inventory to our
customer when and where they wan to receive it.” -HubertJoly, CEO, Best Buy

14. 5
Best Buy Wins With Ship-from-Store
“It’s not just that they’ve implemented ship-from-store – they’re doing it better than
everyone else…Other big-box retailers have rolled out ship-from-store, but Best Buy
seems to have created a blueprint that is having a tremendous impact on its business.”
- Kevon Hills, VP of Research, Stella Research

15. 6
Wal-Mart Steps Up Online Delivery
“Ship-from-Store will enable us to do same-day and next-day delivery at a low
cost to us and offer convenient and expedient delivery to the customer…For 50
years, we’ve been picking from the back of the store and putting items on the
shelf…Ship-from-Store is no different, except that you’re putting them into a box.”
- Joel Anderson, President & CEO, Walmart.com

16. Recap: The Benefits
of Ship-From-Store






Improve Delivery Speed
Reduce Costs in Multiple Ways
Increase Inventory Turn
Avoid “Out-of-Stock” Items
Fewer Markdowns
Mutually Beneficial for Brands
and Retailers
 Compete and Win!

17. Looking for more
eCommerce inspiration?
Head over to the Shopatron website for dozens of resources
on how to transform your eCommerce strategy.
ecommerce.shopatron.com/resources