Brick-And-Mortar Stores Are Far From Dead, Survey Shows

By Christine Kern, contributing writer

91 percent of holiday shoppers made purchases in a physical store.

Even as shoppers turn more and more to their mobile devices to research and even buy products online, a new survey demonstrated that brick-and-mortar stores are far from dead. In fact, 91 percent of holiday shoppers reported that they made purchases in a physical store this holiday season, according to the New ICSC Holiday Consumer Purchasing Trends Study.

"Looking back at the holiday season, the major trend that emerged is the prevalence of the omni-channel consumer and the resulting convergence among brick and mortar and digital retail," said Tom McGee, president and CEO of ICSC. "The story of bricks vs. clicks is an old one. The story is now one of a shopper getting the best of both worlds, using online research and capabilities to inform physical purchases. The American consumer has sent a clear message that the physical store remains at the epicenter of the shopping experience."

But while the physical store is not dead, the mobile realm is still gaining ground. Six in ten holiday shoppers reported that they used their mobile devices in-store in order to compare prices, check availability or product information, and access reviews/ratings. And half stated they researched products before they entered the store.

Among the study’s other findings:

• 198 million American adults made holiday purchases at a physical store this holiday season ( Nov. 1 - Dec. 25).
• Seeing, touching, and trying on merchandise was cited the number one reason to shop in store (32%), followed by the ability to browse (26%), and the ability to get the item right away (24%).
• Shoppers also embrace the ease of returning and exchanging products in store, with 20 percent of shoppers electing to shop in-store because of this advantage.
• Consumers continued to show resiliency this season, as 40 percent of shoppers say they spent more this season than in 2014, with 33 percent spending the same this season. Only 23 percent said they spent less than last year.

In fact, the new trend is bricks AND clicks, with omni-channel selling the wave of the future. The growing trend is “Click and Collect,” or “Buy Online, Pickup In Store,” as consumers do more comparison and research online before heading to the store to get their items, according to CNBC. This process allows retailers to use stores as distribution centers for its online sales, and reduces the cost of getting items delivered to consumers directly.

Consumers are also more likely to make impulse buys once they enter the physical store to pick up their ordered merchandise, driving sales higher. The ICSC reported that 69 percent of shoppers who used click and collect then purchased additional items while picking up their orders this holiday season. The survey also found that 36 percent reported making another purchase in an adjacent store at the time of pickup.

The survey polled 1,014 consumers between December 28 and December 30.