EuroCis Overview: British Land: Offline and online stimulate each other
The True Value of Stores research, using data from Connexity Hitwise, shows that when a new store opens, traffic to the retailer’s website from the surrounding postal area increases by 52 percent on average within six weeks of opening.
Importantly, digital traffic from the local area then remains around this level, demonstrating that a physical store has a significant, positive and sustained impact on digital interaction with the brand.
Brands with fewer than 30 stores enjoyed the greatest positive impact from store openings, with uplifts in local traffic to their websites of 84 percent on average, showing that a physical store can make a critical contribution to the online success of expanding brands.
The ‘halo effect’ improves brand awareness, customer service and trust
These findings take British Land’s True Value of Stores research one step further and starts to quantify the ‘halo effect’. More work is already underway, in partnership with Revo, to measure the distinct contribution of each channel and ensure leasing models and valuation methods reflect the benefit of the store to retail businesses as a whole.
Charles Maudsley, Head of Retail, Leisure & Residential for British Land, said: “The research shows that physical stores are an engine of online growth. Consumers choose brands that align to their lifestyle and values: a physical store enables a retailer to demonstrate its brand in action and drive interest online. At the same time, stores enable retailers to respond to evolving shopping habits, market their brand effectively, and deliver products more efficiently. At British Land, we provide the perfect platform for retailers to do this through our continued investment in Regional and Local centres across the UK.”
Click & Collect as an example of the link between online and physical
Ben Dimson, Head of Retail Business Development for British Land, said: “One year on from the True Value of Stores report, the findings are more relevant than ever. Blending channels is increasingly common, pure-plays are still moving to physical and click & collect, an increasingly important link between physical and online, is continuing to take ground. Click & collect usage is on average 46 percent greater than the national average at our Local centres proving they are particularly well positioned for omnichannel shopping.”
The True Value of Stores research quantified for the first time the value of click & collect sales and online sales browsed in store. The key findings were that 89 percent of all UK retail sales touch a store and non-food physical sales are boosted by 9 percent when adding click & collect sales and online sales browsed in store.