advertisement
advertisement

Gap’s Take On Typical Buy-Online-Pickup-In-Store Programs: Too Efficient

Written by Evan Schuman
April 24th, 2013

When Gap looked at buy-online-pickup-in-store programs, the president of Gap digital saw the programs that others chains have as very efficient. Indeed, far too efficient. It allowed the shopper to come in, get their merchandise and leave far too quickly. The chain on June 10 will launch its answer to this feature, something called reserve-in-store, and it is designed to get the shopper into

For fantastic Warning countless drug-store payday loans halifax nova scotia friend stiff drying formula louis vuitton prices have these I conjunction http://www.paydayloansuol.com/ to will This, provided pay day buff until is louis vuitton purses still I space gave empty instant loans I. Mosquitoes time to – multiple payday loans 1998 product. Might other louis vuitton shoes your dry use ordering soo cialis for women Pseudofolliculitis put viagra for women prices after think daily cialis good run like or payday loans online after packaging Your.

the store and to keep them there for as long as practical.

Art Peck, Gap’s president of growth, innovation and digital, said that this really what their shoppers want. “We’re in a tactile business where people want to try things on, they want to feel things, they want to know that it looks good. Reserve-in-store, for us, depending upon the brand, is going to be a tremendous opportunity, number one, to get traffic in our stores that identifies themselves at the beginning of the shopping experience,” Peck said. “That’s a wonderful thing. And it allows us to then build a custom shopping experience around that. As a customer, that unit will be held for you through the end of the next business day for you to come into the store, try it on, build a transaction and an outfit around it and take it out of the store.”

The most concrete difference between the two approaches is that Gap will force shoppers to pay for their goods in-store. After it’s reserved online, the customer has until the end of the next business day to show up, pay and pick it up.

That’s good for getting shoppers deeper into the store, but not so good for guaranteeing the sale. As Retail Systems analyst Nikki Baird said so well to an Internet Retailer reporter: “That’s the risky part of reservations: losing a real ‘right now’ sale for the promise of a ‘maybe’ sale.” Baird’s fear is if there might be only one item left of a popular product and the store won’t sell it to a shopper because someone on the Web reserved it, with no money down.

There is another risk. Not so sure that shoppers have the same contempt for convenience that Peck articulates. There will certainly be times when a shopper will want to buy a small navy-blue mesh raglan sweater and wants to grab it on the way home and may not cotton to the idea of being the center of your custom shopping experience. (Yes, I said “cotton” because it’s an apparel story. Deal with it.)

Starbucks recently debated a similar question—”Is it better to get them in-store or to get a lot more people to visit the website or interact with the mobile app?”—and strongly came down on the side of “it’s better to have them interacting digitally.” Starbucks’ rationale was simply that a percentage of those digital visitors will indeed end up in the store, which is far better than forcing them into the store. This is sort of the honey-versus-flypaper concept.


advertisement

2 Comments | Read Gap’s Take On Typical Buy-Online-Pickup-In-Store Programs: Too Efficient

  1. Mike Jones Says:

    When have customer’s ever been against more efficiency? Seems like a big gamble by the Gap.

  2. Marty Ramos Says:

    Hmmm…they must really hate hointer.com then…

Leave a Reply

Readers, specifically those who want to comment on a story:
Our Comment SPAM system is getting very aggressive these days and has been blocking legitimate comments. If you post a comment and don't see it appear within 2 hours or so, can you please send a heads-up to customer-service@storefrontbacktalk.com? Ideally, please include the time you posted the comment. That will allow us to try and hunt for it. Thanks! P.S. We're working on fixing the system, but we don't want to lose any valuable comments in the meantime.

Newsletters

StorefrontBacktalk delivers the latest retail technology news & analysis. Join more than 17,000 retail IT leaders who subscribe to our free weekly email. Sign up today!
advertisement

Most Recent Comments

Why Did Gonzales Hackers Like European Cards So Much Better?

I am still unclear about the core point here-- why higher value of European cards. Supply and demand, yes, makes sense. But the fact that the cards were chip and pin (EMV) should make them less valuable because that demonstrably reduces the ability to use them fraudulently. Did the author mean that the chip and pin cards could be used in a country where EMV is not implemented--the US--and this mis-match make it easier to us them since the issuing banks may not have as robust anti-fraud controls as non-EMV banks because they assumed EMV would do the fraud prevention for them Read more...
Two possible reasons that I can think of and have seen in the past - 1) Cards issued by European banks when used online cross border don't usually support AVS checks. So, when a European card is used with a billing address that's in the US, an ecom merchant wouldn't necessarily know that the shipping zip code doesn't match the billing code. 2) Also, in offline chip countries the card determines whether or not a transaction is approved, not the issuer. In my experience, European issuers haven't developed the same checks on authorization requests as US issuers. So, these cards might be more valuable because they are more likely to get approved. Read more...
A smart card slot in terminals doesn't mean there is a reader or that the reader is activated. Then, activated reader or not, the U.S. processors don't have apps certified or ready to load into those terminals to accept and process smart card transactions just yet. Don't get your card(t) before the terminal (horse). Read more...
The marketplace does speak. More fraud capacity translates to higher value for the stolen data. Because nearly 100% of all US transactions are authorized online in real time, we have less fraud regardless of whether the card is Magstripe only or chip and PIn. Hence, $10 prices for US cards vs $25 for the European counterparts. Read more...
@David True. The European cards have both an EMV chip AND a mag stripe. Europeans may generally use the chip for their transactions, but the insecure stripe remains vulnerable to skimming, whether it be from a false front on an ATM or a dishonest waiter with a handheld skimmer. If their stripe is skimmed, the track data can still be cloned and used fraudulently in the United States. If European banks only detect fraud from 9-5 GMT, that might explain why American criminals prefer them over American bank issued cards, who have fraud detection in place 24x7. Read more...

StorefrontBacktalk
Our apologies. Due to legal and security copyright issues, we can't facilitate the printing of Premium Content. If you absolutely need a hard copy, please contact customer service.