How Brick and Mortar companies can compete with teh price advantage of e-commerce giants.Here are 6 tips for them to become more competitive and not lose out.Driven mostly by data and excellent instore experience will drive consumers back to stores .There are but many things which a online buy can not deliver. Editor : Javed Akhtar,RewardPort

1. How Brick-And-Mortar Retailers Can Beat Ecommerce Price Advantage

2. The online ecommerce juggernaut may seem invincible, but players like Flipkart, Snapdeal, or
Amazon have a major Achilles heel. Research shows that exceptional customer service is the
number one factor influencing how much a consumer trusts a company, and 75% of
consumers say they have done business with a company because of positive customer service
experienced in the past and the experience with buying process
Retailers hoping to fight online giants will have plenty of ammunition at their disposal if they use
this insight to up their in-store game. Brick-and-mortar retailers can counter razor-thin margins
offered by ecommerce sites through superior customer service. But first, they have to listen to
what shoppers need and want, and use this data to propel their customers beyond the lone factor
of low prices.
Here are 6 strategies that may help conventional brick and mortar store owners compete with
ecommerce sites:
 Know your customer:
It is now more important than ever for retailers to take a genuine effort in understanding their
customers. I’d suggest that you initiate programs that help you know your buyer and his
preferences. Some effective ideas include capturing customer data through CRM practices, a
loyalty program, social media strategies, etc. Online companies score over conventional store
owners, because they know so much about their customers. But with a little imagination and
ingenuity, this information can be collected and used effectively. In fact, large retail companies
have already started to implement strategies around this idea.
 Engage customers:
Large retail companies have data but they have to use this information to communicate and
personalize their relationship with their customers. Personal information about buyers is
probably the biggest weapon in their arsenal that could help them handle competition from
online companies. Retailers, large and small, can use this data to send information about offers,
receive feedback and engage customers. With tools like email, SMS, missed call, apps,
Facebook, Twitter, Instagram, implement such ideas would be a cakewalk.

3.  Blend the good aspects of online and in-store shopping:
Imagine you are the owner of a retail store and a customer checks in asking for a particular
material of cloth. Being an earnest businessman, you inform the person that although the material
isn’t in stock, you can get it for him in two days time. Problem solved, you’d say? But wait!
There’s more that you can do. You can direct this customer to your Facebook page and tell him
that he can choose a color of his choice and inbox the preference to your page. You, in turn
would see to it that the chosen color is set aside for the customer. This can then continue as a
tradition wherein your customer can order from home and yet assure the quality of the product
before buying. Another instance where online and offline shopping can be integrated is when
retailers blend in-store shopping and online payment. Apple has already marched towards this
end. iPhone customers can scan bar codes of products and purchase them through their Apple
Pay app.
 Enhance the Shopping Experience:
Installing mobile charging pods, keeping children entertained with a separate kids’ play area,
matching the customers pace, etc. can go a long way in enhancing customer experience. The last
aspect is particularly important. It is more than likely that your in-store customer has already
researched about the product before entering your place. He is already aware of the different
models available online and has probably chosen your store because yours was the lowest price
of all and also because he’d like to be sure about the quality of the product. Understanding such
customers and creating a positive experience for them is important.
 Service first then sales:
I recently had the misfortune of purchasing a product through a teleshopping network. Whilst
everyone in the company was happy to sell me their product, none of them shared the same
enthusiasm when I had to complain about the product quality. If I had taken the pain of shopping
through a conventional brick and mortar shop, I could at least visit the place and get the problem
sorted. But it’s been a month now, and I am yet to speak to a ‘customer relations person’ who
could own up to the problem and offer a solution. This is where brick and mortar shops can
easily outshine their online counterparts. By demonstrating to your customers that their
complaints matter, you’ve not only earned their trust, but also given them the satisfaction that
there lies a solution to their problem.

4.  Webrooming:
Webrooming refers to the process of researching products online and then visiting the store to
purchase them. A report by Merchant Warehouse estimates that around 69% of customers with a
smart phone, webroom. And to put this trend into numbers, Forrester Research estimates that this
trend is likely to result in $1.8 trillion in sales by 2017. There are several reasons why customers
prefer webrooming as against showrooming. Merchant Warehouse says, 47% of them don’t
prefer paying for shipping, 46% wanted to touch and feel the product before buying, 36% of
them wanted the store to match the online price and around 37% wanted it to be easy to return
the product back to the store if they didn’t like it. So have a great presence online and on social
media and run good offers there incentivizing the customer with coupons to use it offline.
Even in the age of online shopping, consumers want to be able to trust retailers before they buy a
product. Retailers can take advantage of this factor by keeping customer engagement at the heart
of their strategizing.