New Consumer Behavior Threatens Retail Profit Model

2011/10/18 9:34:00 30

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Consumers Threaten The Profit Model Of Retail Industry

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ShopperTrak, a research firm, released a report on Monday that retailers, including best buy, rely on consumers to attract consumers, and then lure them into buying something they do not plan to buy.

profit

The model will be seriously threatened.

The report points out that impulse consumption requires consumers to browse in the shop, but as consumers who are more proficient in Internet know their goals before going out, they usually find what they want directly and then pay off.

This traditional profit model of retail business has become increasingly ineffective.

ShopperTrak chief executive Bill Martin (Bill Martin) pointed out in the report that these targeted consumers usually walk into fewer stores. On average, each purchase will only enter three stores, which is far below the average of the five stores before the recession.

The report points out that the result of this trend is that shoppers in holiday shopping activities may drop by 2.2%.

"This can be a fundamental change in shopping behavior," Bill Martin said.

The report says that this change will be more severe for some chain stores.

Because it is more convenient to compare on the Internet, the retail outlet of best sellers, including best buy, may suffer the most serious impact.

clothing

And accessories usually require customers to try them on personally, so the impact of this trend will be minimal.