After living away from the US for so long, lots of things strike me as interesting every day. One thing I’ve noticed recently is what I’m calling “hollowed-out” retail: retail stores have a limited selection of merchandise, suggesting that customers purchase the rest of the items online. In fact, it seems as if they’re pushing people to buy mostly online by offering online-only discounts (see here for an example). This appears to make some economic sense: stock only the most popular items in-store, and keep a single warehouse for all the “oddball” stuff, which can be ordered via the Internet. As well as encourage people to shop frequently online to save on operating costs.
However, this ethic can be problematic for some things, such as electronic parts! At ITP, we need access to a variety of electronic parts. Most of these can only be ordered online. This means you need a US-based credit card, which is a handicap for me, and for several of the international students. Moreover, it makes browsing almost impossible – you have to guess, based on tiny photos, if something will work for you. Also, you have to make fairly large orders, otherwise the shipping is prohibitive. This means, for example, that ordering small amounts of cable adapters or connectors is prohibitively expensive.
In contrast, Tokyo’s Akihabara (the electronic district) is fully stocked with everything, either through megastores or mini-malls full of specialists, and it is possible to handle merchandise, and pay with cash. It is not uncommon to see schoolchildren poking around, finding parts they need for electronics projects, and buying just what they need. They don’t have credit cards, so online is not an option. Also, the storekeepers are generally specialists in what they carry, and are often helping customers.
I wonder what this will do long-term to US consumers’ taste when retail stores only stock a small range of the most popular items and encourage people to go online for deals and less popular items. I know that this is a world filled with technology, and most people do their shopping online, but shouldn’t we have that choice? The reality is that some people prefer to shop for particular clothes or electronics in-store rather than online, especially if you don’t know what you’re looking for. They crave the in-store shopping experience. Especially when it comes to fashion shopping, customers love trying on the clothes for better judging their choice. Besides, the in-store soft music sets the mood, making customers feel relaxed and positive about being in that particular store. Most retail store owners make use of music streaming systems, and check out this page to get an idea about the same.
Even though retail outlets provide a fun, relaxing shopping experience to customers, many these days prefer online merchandise. As a result, retailers get their stores online to avoid losing their customers. Custom apparel that you want to buy for your soccer team, or to increase brand awareness for your business tends to be done online with places like Imprint, as they do a whole range of merchandise, including backpacks and polo shirts, (https://imprint.com/shop/custom-apparel/polos). By doing these types of things online, it gives you the freedom to browse at your own leisure, instead of feeling rushed by a shop assistant. But only stocking a small range of popular items in-store could potentially have a damaging effect on consumers and businesses themselves. Ironically, Japan has a chain of stores based on this premise, Ranking Ranqueen, which only carries the top 5 or 10 products in a series of categories, ie top 10 CDs, top 10 books, top 10 cosmetics, top 10 snacks, etc.
Hollowed-Out Retail in the US
After living away from the US for so long, lots of things strike me as interesting every day. One thing I’ve noticed recently is what I’m calling “hollowed-out” retail: retail stores have a limited selection of merchandise, suggesting that customers purchase the rest of the items online. In fact, it seems as if they’re pushing people to buy mostly online by offering online-only discounts (see here for an example). This appears to make some economic sense: stock only the most popular items in-store, and keep a single warehouse for all the “oddball” stuff, which can be ordered via the Internet. As well as encourage people to shop frequently online to save on operating costs.
However, this ethic can be problematic for some things, such as electronic parts! At ITP, we need access to a variety of electronic parts. Most of these can only be ordered online. This means you need a US-based credit card, which is a handicap for me, and for several of the international students. Moreover, it makes browsing almost impossible – you have to guess, based on tiny photos, if something will work for you. Also, you have to make fairly large orders, otherwise the shipping is prohibitive. This means, for example, that ordering small amounts of cable adapters or connectors is prohibitively expensive.
In contrast, Tokyo’s Akihabara (the electronic district) is fully stocked with everything, either through megastores or mini-malls full of specialists, and it is possible to handle merchandise, and pay with cash. It is not uncommon to see schoolchildren poking around, finding parts they need for electronics projects, and buying just what they need. They don’t have credit cards, so online is not an option. Also, the storekeepers are generally specialists in what they carry, and are often helping customers.
I wonder what this will do long-term to US consumers’ taste when retail stores only stock a small range of the most popular items and encourage people to go online for deals and less popular items. I know that this is a world filled with technology, and most people do their shopping online, but shouldn’t we have that choice? The reality is that some people prefer to shop for particular clothes or electronics in-store rather than online, especially if you don’t know what you’re looking for. They crave the in-store shopping experience. Especially when it comes to fashion shopping, customers love trying on the clothes for better judging their choice. Besides, the in-store soft music sets the mood, making customers feel relaxed and positive about being in that particular store. Most retail store owners make use of music streaming systems, and check out this page to get an idea about the same.
Even though retail outlets provide a fun, relaxing shopping experience to customers, many these days prefer online merchandise. As a result, retailers get their stores online to avoid losing their customers. Custom apparel that you want to buy for your soccer team, or to increase brand awareness for your business tends to be done online with places like Imprint, as they do a whole range of merchandise, including backpacks and polo shirts, (https://imprint.com/shop/custom-apparel/polos). By doing these types of things online, it gives you the freedom to browse at your own leisure, instead of feeling rushed by a shop assistant. But only stocking a small range of popular items in-store could potentially have a damaging effect on consumers and businesses themselves. Ironically, Japan has a chain of stores based on this premise, Ranking Ranqueen, which only carries the top 5 or 10 products in a series of categories, ie top 10 CDs, top 10 books, top 10 cosmetics, top 10 snacks, etc.