How the success of online shopping can actually help the retail real estate sector.
While the massive growth of online shopping has taken a toll on retail real estate, some retailers and landlords are finding ways to take advantage of the changing market. Curious to see why some experts claim that the success of online shopping can actually help the retail real estate sector? Here’s what you need to know.
Because the sale volume of brick-and-mortar store still greatly outpaces that of e-commerce, industry experts maintain a positive outlook for the retail real estate sector. In 2017, in-store sales were close to $4.4 trillion, while e-commerce was around $262 billion. This translates to about 87% of all retail sales being done in brick-and-mortar stores. Additionally, having an in-person location typically boosts a retailer’s web traffic by approximately 37%. According to experts, this illustrates the co-dependence of online and physical retail locations.
However, this does not mean that physical retail stores can continue to operate as they have been. They need to make changes in order to remain relevant. Obviously, setting up an online store is the first step to remaining relevant. Experts also recommend adopting the omnichannel approach where shoppers have the ability to buy in-person or online and choose whether to have the items shipped to them or to a store for pick-up. With the omnichannel approach, the name of the game is making your store accessible and easy for consumers to buy from.
This is how the success of online shopping can actually help the retail real estate sector. Are you interested in more expert commercial real estate news and advice? If so, then contact the experts at California Commercial Realty Advisors, Inc. Our dedicated team is eager to assist you today.