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E-Commerce vs. Brick & Mortar: Are Small Box Retailers Killing the Big Box?

Today’s retail market is rapidly evolving and giving way to the millennial entrepreneur. Businesses are less focused on upsetting the supply chain and more concerned with building technology that efficiently manages the end-to-end shopping experience while reducing costs.

With big-box brick and mortars folding left and right and bankruptcies plaguing the industry, the writing is on the wall. Traditional retailers like Sears, Radio Shack and Best Buy are either gone or they have one foot in the grave, while e-commerce driven retailers like Amazon and Dollar Shave Club are cleaning house. People are opting out of the mall experience and embracing the opportunity to purchase a wider array of goods online at a lower price. With the digital market becoming the norm, the problem is navigating an exponentially expanding online catalog. “Small-box” retailers – such as subscription box services – are able to streamline the online shopping experience for consumers in three ways: providing product specialization, utilizing consumer preferences and saving the consumers’ time.

As small-box retailers threaten the traditional retail model, big-box retail stores are struggling to stay relevant. The market is quickly evolving and if Darwin taught us anything, adaptation is crucial for survival. If big-box retailers want to remain relevant, they need to follow the model provided by the small-box retailers:

  • Invest in technology.  In today’s increasingly connected and mobile world, consumers want access to your brand anywhere and at any time. It is essential to have a mobile-friendly e-commerce website and a personal voice on social platforms like Facebook, Twitter and Pinterest. Make it easy for consumers to find you, be inspired by you, purchase from you and interact with you.
  • Develop and maintain relationships with customers by creating a brand philosophy they connect with.
  • Leverage big data. Consumers shopping online gives manufacturers and retailers an opportunity to strategically enhance the shopping experience. This allows retailers and manufacturers to efficiently develop better services and products.
  • Add a subscription service as an additional revenue stream and to introduce loyal customers to new brands.
  • Transform your physical presence into a non-pressure showroom experience that exhibits the story behind your brand. Ensure that customers are able to interact with your products and provide a seamless option for them to buy in store or online.

At the end of the day, profit matters most for businesses; profit is the blood that pumps the life of any company. Pair disruptive technology, high-demand product, and smart planning with a proven business model and you have all of the key ingredients for success.

Contributed by Jeremy Barnett (pictured above), who is the CEO and co-founder of Trendy Butler, the innovative fashion subscription service for men. He brings to the company an extensive business background, having worked in capital raising, brand building and continuity models for the past 14 years. Since launching the company in beta in January 2015, he has attracted more than 4,000 active members and generated $1M+ in revenue in its first six months of operations.  

Photo Credit: Provided by Trendy Butlet with permission to use. 


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