A Foolproof Formula for Fighting Showrooming in 2015

Showrooming in 2015

A few years ago, showrooming sent shockwaves through the retail world as shoppers started showing up at stores only to whip out their phones to find lower prices online.

Then, the trend reversed.

Showrooming gave way to webrooming as consumers switched gears––carefully researching their options online before buying in-store. Last year alone, almost 70% of U.S. consumers reported using the internet to look at products before ultimately buying through brick-and-mortar. 

While things seem to be shaping up for physical retail, one in five shoppers still practice showrooming today and roughly a third of those who research prices online end up leaving to buy from a competitor.

So, how can retailers combat the lingering effects of showrooming? 

We’ve revisited two of the most effective strategies for getting shoppers re-engaged in the store experience as well as new ideas on how to use technology to execute those strategies across all your stores.

1. Get serious about omnichannel

There’s literally hundreds of articles calling on retailers to “adopt omnichannel strategies,” but few actually tell you how to do it.

Retailers know they need to be where their customers are both online and offline. The real question is, which omnichannel initiatives have the biggest impact on consumer behavior? What parts of omnichannel work best?

Recent research by comScore suggests there are five factors that drive us to buy. Number one on the list lies at the heart of any good omnichannel strategy:

Price consistency across all channels

Almost half of all smartphone users now compare in-store prices with online prices when they shop. When the two are inconsistent, they get frustrated––a problem that means fewer sales both online and offline.

Consistent pricing across all retail channels is one of the most effective ways to get an omnichannel strategy off the ground, and today, retailers are turning to technology for a solution.

How is technology helping retailers keep prices consistent? 

Retailers have used MAP (Minimum Advertised Price) policies and UPP (Unilateral Pricing Policies) for years with mixed results. Even when they work, sellers are constantly challenging their manufacturers to enforce these policies––a task that saps tight budgets and strains the relationships retailers depend on.

Instead, retailers big and small are turning to streamlined retail management systems to standardize their pricing policies across all channels. 

These systems make it easy for corporate teams to put uniform policies in place to provide consistent, reliable pricing on each channel they use whether it’s a rolling out a new promotion or updating in-store signage. More on that in a bit.

First, let’s talk about the second most effective way to get showroomers excited about brick-and-mortar:

2. Create truly engaging brick-and-mortar experiences

If you’re rolling your eyes after hearing that suggestion for the thousandth time, don’t worry. We know retail experts have been calling on companies to create “engaging retail experiences” for years. Again, we’re not here to tell you it’s important––we’re here to help you do it.

Before you can take the first step though, it’s important to remember what sets brick-and-mortar apart from shopping online:

  • One-on-one personal interaction, and
  • Instant gratification

So, how do you actually create a retail experience that does both really well?

First, you have to give store associates everything they need to be helpful without being pushy.

Second, you have to get store managers and corporate marketers working together to craft compelling local campaigns that speak to specific markets.

Both of those require a system that lets teams communicate and collaborate virtually. Enter the distributed marketing platform.

How do distributed marketing solutions help retailers drive in-store business?

They streamline retail supply chains

In short, they do away with the complex marketing supply chains that prevent retailers from bringing their big ideas to life.

They build better in-store campaigns 

Store managers log in to the same system your corporate team does. There, they can view, customize and order marketing materials to create locally-relevant campaigns.

They keep things consistent 

Corporate approval tools make it easy to ensure promotions and other pricing information remains the same across all channels.

They improve the bottom line 

Distributed marketing systems not only increase the reach and success of your in-store marketing initiatives, they also decrease workloads, cut costly inefficiencies and shorten delivery times considerably.

Taking it one step further

Here at Suttle-Straus, we’ve built a distributed marketing solution that goes a step further. 

Unlike other systems, the S4 Marketing Resource Center allows users to take full advantage of our in-house commercial printing services to eliminate the risks of outsourcing to third party service providers.

Want to learn how the S4 Marketing Resource Center helped a major franchise transform their local marketing system and make a big impact on their bottom line? Download our Topper’s Pizza Case Study here.

Photo: YL Tan

About the author

Latest posts

Chrissy Knaak

Chrissy Knaak

As the former Marketing Director at Suttle-Straus, Chrissy oversaw all marketing projects, including website initiatives, print campaigns, conferences, and market research.
Loading posts...

Topics: Technology, Brand Management

Comments