CNN – Traditional brick-and-mortar stores alone are not enough to be ahead in the digital age. America's buyers want comfortable and stress-free experiences.
Walmart and Nordstrom build physical businesses that do not actually sell anything. The two retailers are creating small hubs in major cities and metropolitan areas that allow shoppers to check their online grocery and apparel orders. Through these new locations, they have access to shoppers who want to get things done quickly without having to go to the regular shops with large boxes or wait for delivery home.
Earlier this month, Walmart opened the Walmart Pickup Point, a 40,000 square foot prototype shop outside of Chicago in Lincolnwood, Illinois, to ensure online collection and delivery to customers. Customers drive to designated parking spaces and a Walmart employee loads their trunk with the order.
The interior of Lincolnwood Locations looks like a Walmart with food and everyday items such as diapers, household cleaners, and pets. However, unlike a traditional Walmart supercenter, customers can not go inside. It is also testing a similar model near its Arkansas headquarters.
The new location "gives busy customers the opportunity to buy, how, when and where they want," said store manager Nicole Olson in a press release.
The new Walmart locations are similar to Nordstrom Local, a concept first introduced by Nordstrom in 201
Nordstrom Local's hubs are smaller than traditional department stores. They offer customers the opportunity to pick up and return and use Nordstrom's conversion and tailoring services. Nordstrom has three local stores in Los Angeles and is scheduled to open its first two in New York City in September.
Walmart and Nordstrom's innovations are the latest examples of how retailers are trying to create distinctive services to combat Amazon.
] Buy Online, Store Pickup Grows
In recent years, retailers have successfully expanded their online pickup options in their stores.
Nordstrom offers pick-up at all of its more than 100 full-price locations in the US, but Walmart Walmart Pickup Point and Nordstrom Local are another way these retailers seek to benefit from the growth in pick-up, especially among younger and richer buyers. 19659002] More than 15% of US buyers have already tried to pick up online, and sales are expected to reach $ 35 billion a year next year, according to estimates by Cowen analysts.
Roadside pick-up is the "true" According to Cowen analysts, this is a further development of the traditional shopping experience in the store.
Pickup appeals to shoppers who grab their belongings and do not wait at the cash register or with sales reps Picking up orders from stores can also be faster than home delivery.
For retailers, picking up is a more economical model than delivering as they can avoid expensive shipping costs
Creating Customer Engagement
Walmart points out that its hub in Lincolnwood is expanding its ability to attract customers in an area where it is possible. & nbsp; # 39; Does not fit in one of the 170000 square meter jumbo shops.
For Nordstrom, customers who visit local stores spend on average two and a half times more than regular customers, the company says. Customers are typically younger and more frequent Nordstrom buyers than those who do not shop at Local.
"Expanding our local market strategy in New York City is a cornerstone of how we can improve service to our customers." Jamie Nordstrom, President of Stores, said in May.
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