A new era of retailing

Today is an interesting time to work in retail because so much change is happening.  There are online only retailers, brick and mortar only retailers and everything in between, but what is the direction to move?  I have worked at 3 companies in the last 4.5 years and all have found themselves asking that very question.

While at Toys R Us I witnessed a retailer struggling to compete on price with Walmart, Target, and Amazon.  They were being attached on all fronts like they never had before and there next move was very important.  They decided to focus on omnichannel retailing, such as in store pick up, ship from store, ect.  There first year into this effort did not go so smoothly and they ended up loosing money on omnichannel transaction because they just hadn't gotten all the kinks out yet.  So was it the right choice for Toys R Us to try to go head to head with their biggest competitors?  I think the jury is still out on this, but I hear they are still struggling.

Next I went to Ross Stores, who had no online presence and no plan to get one.  I often wondered and asked if this was the right choice.  At Toys R Us online was the only growing business model, so it seemed crazy to me for a company not to have one at all.  However, Ross' whole business model was a treasure hunt, which was simply hard to manage online.  Similar retailers, such as Tuesday morning and TJ Maxx tried and failed to have an online presence.  However, TJ Maxx just launched a website for the second time, so they believe it is a necessity.  Again the jury is out, but for the Ross business model staying away from the internet might just work.

I now work at BJ's Wholesale Club, who was very late to the online party.  BJ's does not have the infrastructure in place for a website, so they're website is no where near where it should be.  The website has many many limitations, such as it is unable to do certain promotions, any area that is picked and packed can't be online, it is a hassle for a merchant to even get an item online.  In this case i think it is really hurting BJ's not having a robust online presence, like any other mass retailer.

As you can see different companies will have different strategies based on their business model and this will always be the case.  The key is to figure out what works best for you in this digital era.  I liked hearing about online only companies now showcasing in brick and mortar locations.  I firmly believe that brick and mortar stores cannot cease to exist.  They may change over time, but people will always need to touch, feel, and  try on product.