Dive summary:
- Some hot e-commerce operations are opening physical stores to expand their offerings; for example Warby Parker, an affordable eye-wear retailer, launched a physical store after demand for the try-at-home service became overwhelming.
- Some stores exist only as a showroom like Bonobos' Guide Shops, who hold no inventory, only sample sizes for men to try on; any purchases made in the store are then shipped from the warehouse directly to the customer's home.
- Other brands, like daily-deals player Living Social, have found success in a physical location to support customers rather than sell their services; the company owns a store in Washington that serves as a space for customers to hold events like food tastings or classes.
From the article:
"Though they result in more overhead cost, stores can be worth it. Both Warby Parker and Bonobos say the customer who makes his first purchase in-store typically makes a second purchase, and usually online. Mr. Wolff [Bonobos Chief Financial Officer] put it this way: 'Eighty-five percent of people still like to purchase offline."