Bridging the gap between bricks and mortar and digital

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Closing the divideHow bricks and mortar and digital collide

Online retail is booming in Australia

Online shopping now represents 7% of all retail sales* *NAB Online Retail Sales Index, June 2015

2015 $18.3B2013

$13.7B$15.3B

2014

$13.7B

2013

$18.3B

2015

Retailers are starting to close the gap between bricks and mortar and digital sales.

Online shopping on the rise

"Today's customer demands multiple touchpoints. The customer

is in charge, and the retailer must be able to say: ‘We'll meet you

wherever you want us to'."

- Paul Greenberg, Executive Chairman, National Online Retailers Association.

Closing this divide is about letting the customer choose their preferred style of interaction – mobile, in-store, online or

social – and creating seamless pathways between these modes.

Flexible shopping pathways

So who is conquering this ‘brigital divide’ in Australia?

$0.6B

$18.7B

Gifts

Total market:

$1.1BFood & drink

$2.0BHealth & beauty

$1.4BHobbies

$3.7BElectronics

$3.1BHome & garden

$4.1BApparel

$2.7BEntertainment

Here’s what Australians are buying:

Source: Independent market research by QOR, March 2013 - 2015

Our favourite apparel websites

Source: Independent market research by QOR, March 2015

By purchase volume, this is where Australians are actually shopping online

Target24%

20%

17%

15%

13%

14%

12%

14%

12%

11%

20%

14%

14%

13%

11%

11%

11%

10%

9%

8%

We asked Australians for their favourite online stores

Traditional retailers still lead the way in the online space. But for these bricks and clicks players, the

'brigital divide' is still quite wide.

David Jones Woolworths (all brands)

Dick Smith

Percentages of sales made online

7%

JB Hi-Fi Kathmandu

2.5% 5.8%

2% 1.6%

Bridge the divide between bricks and mortar and online sales?

Creating a seamless omnichannel environment that caters to every shopper's whim is the future of retail.

Let’s look at how it’s done...

I’d like to buy a size 10 green jumper.Do you have any in-store?

We sure do. This isa new arrival today.

Apps and responsive online stores are becoming

the norm.

Sales via messaging platforms is the new

frontier for point-of-sale.

#1 Enhance the mobilecommerce experience

Worn at Fashion Week

#2 Digitise your store

Most sales come from bricks and mortar settings. Engage with shoppers in real-time as they wander through the aisles.

newsletter

#3 Think immersive

Apps can help with particular stages in the purchase journey. Personalise your site to welcome back a particular shopper.

If you only sell online, think hard about how a physical space could boost your business.

Even if it's about bridging the gap with services like Click & Collect, or ensuring your brand is the face of delivery when goods arrive at a customer's door, the

traditional channel can pay dividends.

#4 Bricks are the new black

Shoes of Prey allows customers to design their

own shoes in studios across the US and Australia.

Etsy opened a pop-up shop in New York City to

feature the site's designers and makers.

#5 Find novel ways to connect

#6 Invest in social media

People shop in social tribes. Align your strategy across social media so customers enjoy a seamless transition

from one channel to the next.

1.44busers

302m users

StarTrack can help your business bridge the divide between bricks and mortar

and digital sales

To find out how, call us on 13 2345

StarTrack is a business of Australia Post