Conflicting stories emerge about the success of 'Click and Collect'

Some news stories have emerged in recent times about the phenomenon that is 'Click & Collect.'

"A click-and-collect company which announced a major deal with Network Rail is to open fewer parcel collection points at stations than planned.

Doddle now wants to recruit people to use their own homes as pick-up points for internet shopping."

http://www.bbc.co.uk/news/business-33597033

"Click-and-collect is a fairly new battleground for UK retailers, and promises rich rewards for daring firms.

It has been hugely popular over the past five years, as customers embrace the convenience of being able to order goods online and pick them up in store or elsewhere."

http://www.bbc.co.uk/news/business-33371265

Now I don't think that both stories sit happily hand-in-hand and it's another case of the truth being more shades of grey than the black and white reporters make it out to be.

I've blogged loads of times about the advantages of 'Click & Collect' and I feel that these apply whether you are a High Steeet chain or a single independent retailer. It allows you to sell products online that maybe you can't stock in store. It brings people through your door that may not have otherwise visited, customers who collect spend more money whilst in store. There are even companies that allow you to collect things that you've not even bought trough them - Argos have set up collection points for eBay purchases and mdny independent stores have become Collect+ locations, with sellers including Amazon.

So why are John Lewis different?

Obviously they've looked at their business model and they don't think that it works at present. I've heard the head of their organisation talk before about customers needing to change their pricing expectation when ordering online. He believes that customers need to stop expecting a product at the same price and free delivery. I think he's deluded. The fact that they don't have to pay High Street or shopping centre rent, the savings in staffing and the reduced security concerns of having customers walk through their doors should mean a cheaper online product in my eyes. It's why Amazon are so successful - their long-term model to now has been online-only sales.

For independent retailers I'd say that having an online store will bring you extra business, not extra costs. Enabling your local customers to collect directly from you should increase your market, your footfall and your profits. Whether you do this through your existing website, a custom-built sales-only website, eBay or Facebook, one things for sure - you'll bring more people through your door, whether physically or digitally.

And that can only be good.

You can have an online offering and not damage the High Street

I was reading this article on the BBC website this morning and it seemed to strike at the heart of the online vs High Street battle-

http://m.bbc.co.uk/news/business-30928438

Although it's difficult to fully quantify eBay as a direct competitor to your UK High Street store, there's more than meets the eye in what eBay offers. Established retailers have their own eBay pages where they sell off stock that is discontinued or slow-selling elsewhere. As long as you have a fix on the costs then there is nothing stopping you using the eBay marketplace for any if your products.

I have spoken many times on this blog about the advantages of having an online offering, especially when you offer Click & Collect as the main way of delivery. This gives your customers access to a range that you may not be able to carry in your shop every day of the week. eBay could be an extension to this - carry your full range, offer larger items as collection only and smaller items for postage. Amazon marketplace is another option for sellers of some products.

As well as individual retailers making use of the technological marketplaces offered by these American retailing giants, there is the question brought up about how this competition affects the future if the UK High Street. My blog is based around how I see the future of the High Street. I can see a massive challenge from online, I can see a massive challenge from overseas companies, such as eBay and Amazon, but I can see a bright future if retailers differentiate and if they can make the most out of online.

It's not a direct choice between online or offline, but the two markets will change. The main man at John Lewis has recently said that customers can't go on expecting to have items delivered and pay the same price that they pay in physical shops. This to me seems contradictory, even taking into account delivery costs online must have much less in the way of overheads.

Overall, I think that if you are an individual High Street retailer you can still stand out and be successful. If you differentiate on quality and service and use online to supplement your offering then this will keep your business vibrant and Click & Collect will help keep people coming to the High Street and keep that vibrant as well.