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  • Writer's picturePaula Kocol

The impact of convenience in a click and collect retail setting

Introduction

The retail industry has undergone significant changes with the introduction of the internet into the customer buying process. Retailers have evolved from a single brick and mortar strategy to a click and mortar system, which increases customer satisfaction and loyalty. One of the latest developments in this evolution is the option to buy online and pick up in store, also known as Click and Collect (C&C). This article, "The impact of convenience in a click and collect retail setting: A consumer-based approach," published in the Journal of Retailing and Consumer Services, explores the impact of convenience in the C&C retail setting from a consumer-based approach. In this blog post, we will summarize the key takeaways from the article and provide insights on how retailers can leverage these findings to improve their C&C offerings.


Key Messages

The article highlights several key messages related to the impact of convenience in the C&C retail setting. First, C&C is a natural continuation of the evolution of sales formats and is part of a time-saving strategy. Second, C&C enables retailers to increase and develop their customer base, especially more valuable multi-channel shoppers. Third, C&C positively impacts online spending at the retailer and total grocery spending through larger baskets and/or extra shopping trips. Fourth, convenience is a crucial factor in the positive response of consumers towards the C&C system. Fifth, functional convenience has the strongest contribution to the model and explains 31.4% of customer response. Sixth, digital convenience is clearly discriminant according to the type of C&C, whereas access convenience does not always have a strong contribution and worse can be negatively scored.


Highlighted Strategies

To improve their C&C offerings based on the findings of this article, retailers can leverage several strategies. These strategies include:

  1. Maximizing the speed and ease of shopping: Retailers can optimize their C&C offerings to maximize the speed and ease of shopping for their customers. This can be achieved by streamlining the ordering and pickup processes, optimizing inventory management, and leveraging data analytics to improve operational efficiency.

  2. Enhancing functional convenience: Retailers can enhance functional convenience by ensuring that their C&C offerings meet the functional needs of their customers. This can be achieved by providing accurate product information, offering a wide variety of products, and ensuring that products are available when and where customers want them.

  3. Prioritizing digital convenience: Retailers can prioritize digital convenience by ensuring that their C&C offerings meet the digital needs of their customers. This can be achieved by providing a user-friendly website and mobile app, offering multiple payment options, and providing real-time order tracking.


Hands of a person and a clothing item on a wooden hanger on top of the open paper box

Case Studies

The article does not provide specific case studies, but it does offer insights into the impact of convenience in the C&C retail setting based on a sample of 1078 consumers. The study found that C&C in a whole access, functional, process, relational, and digital convenience positively influence consumer response. Functional convenience has the strongest contribution to the model and explains 31.4% of customer response. Further segmented approaches of the causal model prove that the type of C&C has a moderating effect on the relationship between convenience and consumer response. Digital convenience is clearly discriminant according to the type of C&C, whereas access convenience does not always have a strong contribution and worse can be negatively scored.


How Seeplus by Inovretail can help

Based on the article, one of the main issues for retailers in a click and collect setting is to understand the level of service demanded by shoppers and to maximize their margin rate through an operational management of relevant click and collect services. AI-powered Seeplus by Inovretail could help retailers with these challenges by providing a suite of solutions for managing click and collect services.

For example, Seeplus offers tools to manage inventory, orders, and customer relationships, making it easier for retailers to provide a high level of service to their click and collect customers. By automating these processes, retailers can reduce system costs and maximize their margin rate. Additionally, Seeplus offers real-time data analytics, which can help retailers to better understand the level of service demanded by shoppers and adjust their strategies accordingly.

Another key issue for retailers in a click and collect setting is to offer convenience to customers. According to the article, convenience is the capacity of the retailer to offer convenient shopping, i.e., maximizing the speed and ease of shopping. Seeplus by Inovretail can help retailers to offer convenience to customers in several ways. For example, Seeplus can help retailers offer a range of options for pickup, including curbside pickup and locker pickup, which can make the process faster and more convenient for customers.


Conclusion

The ahe article "The impact of convenience in a click and collect retail setting: A consumer-based approach" highlights the importance of convenience in the C&C retail setting. Retailers can leverage the findings of this article to improve their C&C offerings and increase customer satisfaction and loyalty. Maximizing the speed and ease of shopping, enhancing functional convenience, and prioritizing digital convenience are key strategies that retailers can implement to improve their C&C offerings. By doing so, retailers can increase and develop their customer base, positively impact online spending, and drive increased sales growth.

Seeplus by Inovretail can provide retailers with the tools and solutions they need to manage click and collect services effectively and offer convenience to customers. Through automation and data analytics, retailers can reduce costs, maximize margins, and enhance customer satisfaction.




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