The first limitation of online shopping is that customers are not able to try an item before buying it. Even if it is not a problem for Generation Z, it is definitely one for Millennials, Generation X as well as the Baby Boomers. Moreover, when buying high-end items, customers still like to visit stores to get an experience that they can’t have online.
Furthermore, a common mistake made by companies is to expand the number of channels before offering quality customer services in the main one. However, quality service is known to be an efficient way to increase and maintain the revenue of companies. The size of investment made for Omnichannel development depends on the company’s industry, the brand’s image as well as the long-term corporate strategy.
Some companies prefer to focus on the classic brick & mortar retail experience to improve and innovate the in-store experience to provide a competitive service. This strategy focuses more on client retention and the creation of loyal customers. Few examples of successful companies following this strategic model: Best Buy, Walmart.
Other companies are looking to expand their sales through a maximum of channels using an unfocused approach even if it means losing quality in the service. This strategy prioritizes the generation of new customers. Some examples of successful companies following this strategic model: Sephora, Disney (Disney’s Magic Band), Virgin Atlantic.