advertisement
advertisement

This is page 2 of:

Gap’s Piperlime Problem: Online To Stores Isn’t So Easy

May 23rd, 2012

A chain that started with stores, then went online and spun off a specialty brand that it now wants to bring back to the physical world, can steal the answers to some of those questions from its existing stores. But that’s not a perfect answer. The more generic a store looks and feels, the harder it is for customers to buy the idea that this is the same as the online experience.

A version of that problem has already burned Gap in the past. In 2008 it merged the backends of its four E-Commerce brands (at that time Gap, Banana Republic, Old Navy and Piperlime) and allowed customers to jump easily from one site to another using the same shopping cart. That ended up diluting the online presences of all four brands, and customer satisfaction with the sites actually dropped.

Now Gap is trying to use the clicks-to-bricks success of Athleta as a template for Piperlime, and the chain is a little more aware of the pitfalls. The design goal for the Athleta stores was to satisfy customers who “really wanted the opportunity to physically experience the brand and try that product on because it’s so technical,” Gap CEO Murphy said. “And the customers, they really love the online experience and were inspired from the catalog, they really wanted a physical manifestation of the brand.”

That translated into store layouts that are designed for lots of special events, including a heavy schedule of workout classes and demonstrations at the dozen stores the chain currently has open. And that’s obviously not a perfect model for Piperlime, which is intended to be a single showcase store focused on shoes, handbags and apparel.

And whatever design decisions are made for the Piperlime stores may change the personality of the brand—that, in turn, will have to be fed back into the E-Commerce site to keep the personality consistent. The bigger the difference between how the site and the store feel, the more complicated that realignment will have to be.

Yes, there’s still a difference between channels, and there are still limits to what E-Commerce people have to worry about. But as brands move back and forth between stores and sites, you’d better expect those limits to get a lot more flexible. Those channels are getting closer all the time.


advertisement

Comments are closed.

Newsletters

StorefrontBacktalk delivers the latest retail technology news & analysis. Join more than 60,000 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.