ICSC on why brick-and-mortar matters


ICSC thinks the death of the brick-and-mortar store model has been greatly exaggerated with e-commerce dominating the conversation on retail sales. The relationship is more symbiotic than some say, reasons ICSC.

The research firm notes the audacious growth rates of e-commerce come off of small base and will slow as the scale broadens. Last year, in-store sales grew 3.5% to $144B, while in-store purchases rose 17% to $38B.

Consumers are much more likely to make a purchase after visiting a store than browsing a website. ICSC thinks this indicates the e-commerce model without B&M showrooms would weaken.

A key point is that online retailers providing an in-store return option are able to deliver higher net sales than those without one - 95% vs. 77%. Consumers tend to buy extra goods when making the return trip to the store.

ICSC infographic

Related ETFs: XLP, VDC, FXG, IYK, RHS, FSTA, UGE, PSL, PSCC, SZK

From other sites
Comments (1)
  • oldmanbobd
    , contributor
    Comments (8) | Send Message
     
    Long time holder of VDC and XLP. Core holding good and bad markets.
    14 May 2014, 04:10 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs