Click and Mortar Business: What It Is and How to Use It for Growth

If you're still relying on conventional methods such as Brick and Mortar for your business operations, it's time for an upgrade.

💡By 2040, eCommerce will handle 95% of purchases. Online sales have already jumped by 300%, while department store sales have dropped by 50%.

Considering these stats, converting your physical stores into online ones seems like a no-brainer. If you're unsure where to begin, don't worry! You're in the right spot.

Have you heard of Click and Mortar? It's a game-changer, blending offline and online operations seamlessly. This model combines the convenience of online shopping with the personalized service of physical stores.

In this blog, we'll dive into the transformative power of Click and Mortar businesses, how to set them up, and the perks they bring. But first, let's understand what Click and Mortar means, especially if you're more familiar with the term "Brick and Mortar

TABLE OF CONTENT:

• Understanding Click and Mortar: An Overview
• Key Differences Between Brick and Mortar and Click and Morar
• Implementing a Click and Mortar Strategy in Your Physical Store
• What are the Advantages of Adopting the Click and Mortar Model?
• What Mistakes to Avoid When Implementing the Click and Mortar Business Model?
• Manage Your Click and Mortar Business with eLogii
• FAQ about Click and Mortar Retail Business
• Concluding Thoughts

Understanding Click and Mortar: An Overview

Click and Mortar is a business model that combines online eCommerce channels (click) with physical retail stores (mortar) into one unified operation.

Also known as brick-and-click, it allows you to integrate your offline business with online shopping to give customers a seamless experience.

With Click and Mortar, customers have the flexibility to choose how and when they shop. They can opt for delivery or pick up, but they always check out and pay online.

⇒Walmart: A Real-Life Example of Click and Mortar

• Walmart, one of the world's largest retail giants, is a prime example of the Click and Mortar business model.
• Walmart has a user-friendly eCommerce website and mobile app. Customers can browse a wide range of products, make purchases, and choose either home delivery or in-store pickup.
• Additionally, Walmart has a large network of physical stores in many locations.
• This integration allows Walmart to offer a flexible shopping experience for its customers.

Key Differences Between Brick and Mortar and Click and Morar

The primary distinction between the two lies in their retail strategies.

Click and Mortar businesses have both an online and physical presence, while Brick and Mortar stores only have physical storefronts.

In Click and Mortar, transactions happen online, whereas Brick and Mortar stores accept in-person cash payments.

Click and Mortar allows your business to leverage technology and reach more customers. If you're interested in adopting a Click and Mortar model, the next section is for you.

Implementing a Click and Mortar Strategy in Your Physical Store

Improve Omnichannel Marketing

Using omnichannel marketing helps you understand customer behavior through data and insights. A good omnichannel approach ensures your retail business connects with customers across various channels. Make sure your online and offline content matches your customer service strategies.

For a successful marketing strategy, an omnichannel presence offers a smooth customer experience from start to finish. Identify the channels your customers use often and create content that blends online and offline retail strategies.

Organize Your Inventory System

To offer customers in-store pickup or delivery, you need an efficient inventory tracking system. This prevents selling items that are out of stock. Whether it's for store pickup or delivery, make sure products are available. If you manage your inventory well, customers will be more interested in shopping online.

Keep your inventory system updated for both your physical store and online store, and track products to simplify the process.

Keep Inventory Levels Consistent

Keeping inventory consistent between online and offline channels ensures a smooth shopping experience for your customers. Invest in a good inventory management system to inform customers about what’s available in-store and online.

Invest in the Right Point-of-Sale System

Link your POS system to your online store to manage both smoothly. With a reliable POS, you can efficiently offer B2B e-commerce products and services. The system helps manage items and process payments.

A robust POS system also improves your retail shop's efficiency by reducing labor costs and enhancing customer service.

Simplify Shipping and Returns

Shipping is a key part of the Click and Mortar strategy. Clear shipping and return policies make online shopping easier for you and your customers. Ensure clear communication about returns from the start to make the process smooth. Choose a reliable shipping provider to streamline operations.

Note: Remember to consider shipping costs for products delivered through your online store.

Analyze Your Overall Data

Combining your online and offline operations gives you a full view of your business performance. An e-commerce platform provides detailed analytics, putting all the data at your fingertips. This helps you make informed decisions.

Following and implementing these practices will help Click and Mortar businesses increase their ROI. Besides generating revenue, there are many other benefits to using the Click and Mortar model.

Let’s explore them.

What are the Advantages of Adopting the Click and Mortar Model?

The primary advantage of this model is omnichannel sales. By combining online and in-store sales, customers gain access to a broader market, and shoppers can explore more offerings from your business.

Here are the benefits of Click and Mortar.

1. Fosters Customer Confidence

Shoppers have traditionally favored inspecting products firsthand before making purchases. In today's digital era, they increasingly rely on online shopping. Customers can interact with items in-store or make purchases later online. This expanded flexibility enhances customer trust, providing more avenues for purchasing.

2. Lowers Marketing Expenses

E-commerce enterprises invest heavily in marketing and advertising to expand their customer base. Yet, establishing a physical store can attract more customers, reducing marketing expenses. Additionally, it can enhance brand visibility, positioning you as a market leader. Yet, operating a brick-and-mortar store incurs its expenses, so align your strategies with your business objectives.

3. Enhances Customer Experience

With Click and Mortar, customers can select products and enjoy a seamless checkout process. Some prefer shopping in person, while others prefer the convenience of online shopping. Customers can browse products online and then visit the physical store to make purchases.

4. Cuts Shipping Expenses

By embracing the Click and Mortar approach and offering in-store pickup options, some customers may choose Buy Online, Pick In-store (BOPIS). This saves both businesses and customers money on shipping and can lead to increased sales at your store. When customers come to pick up their orders, they may also discover other products and add them to their purchases.

5. Boosts Sales Revenue

Having many sales channels allows you to expand your revenue streams. Investing in an eCommerce store expands your virtual customer base within your shipping area. It also maintains a physical store to attract local customers. By adopting both online and in-person business models, you can reach a broad audience and increase revenue simultaneously.

What Mistakes to Avoid When Implementing the Click and Mortar Business Model?

Adopting a Click and Mortar business model can revolutionize retailers' sales strategies, yet it presents certain challenges. Here are some common pitfalls to steer clear of during implementation.

1. Poor Technology Fusion

Neglecting to integrate online and offline systems can result in disconnected customer experiences and inefficient operations. Seamless data syncing and a unified platform are crucial for successful Click and Mortar execution.

2. Branding Inconsistencies

Inconsistent branding across online and offline channels can perplex customers and weaken the brand message. It's vital to uphold a unified brand identity and messaging to strengthen brand recognition and trust.

3. Skipping Mobile Optimization

With mobile usage on the rise, retailers need to make sure their websites and apps are mobile-friendly. Ignoring mobile optimization can result in a bad user experience and drive away potential customers.

4. Overlooking Customer Feedback

Customer feedback is crucial for enhancing the Click and Mortar experience. Ignoring or not using this feedback can prevent improvements and lower customer satisfaction.

5. Poor Inventory Management

Keeping the right inventory levels for both online and offline channels is essential to prevent overstocking or stockouts. Good inventory management ensures customers can find the products they want, and when and where they want them.

6. Ignoring Local Strategies

Each location has its customer preferences and behaviors. Not using localized marketing and inventory strategies can lead to missed growth opportunities.

7. Skipping Performance Tracking

Not analyzing data and tracking performance can slow down optimization. Retailers need to regularly measure key performance metrics to find areas for improvement and make informed decisions.

8. Ignoring Consumer Trends

Consumer preferences and behaviors are always changing. Retailers need to stay updated with industry trends and customer demands to stay relevant and competitive.

Make sure to check all these points to avoid mistakes when implementing the Click and Mortar strategy. Additionally, ensure quick and smooth shipping or delivery for your customers.

How can you do this? Some businesses opt for last-mile deliveries to cut shipping costs. If you handle deliveries yourself, consider using routing software like eLogii to efficiently manage delivery schedules for single or multiple drivers.

Manage Your Click and Mortar Business with eLogii

eLogii is the leading route optimization software for logistics and delivery businesses that need to plan multiple routes for deliveries, pickups, and services. This route planner offers advanced features such as route planning, route scheduling, and single-day planning. You can plan and optimize multiple routes daily and dispatch them to drivers. To maintain transparency, drivers can use the proof of delivery feature to confirm package delivery.

eLogii gives you exclusive options like below:

• Excel/CSV data import for each entity
• Define maximum distances, and travel times, and limit the number of stops
• Drivers can gather proof of delivery using photos and e-signatures
• Keep customers updated with delivery status and estimated arrival times (ETAs)
• Include the specific data objects that are most important to your business
• A dedicated driver app helps drivers check their next delivery

With eLogii, you can efficiently plan, schedule, and get optimized routes to reach retail store locations in the shortest and fastest way possible. One of our esteemed clients shared their experience with eLogii. By efficiently planning routes with eLogii, they saved 10%+ by driving 300-400,000km less per year.

FAQ about Click and Mortar Retail Business

Concluding Thoughts

Expanding your retail business by transitioning from a Brick and Mortar store to a Click and Mortar model is an excellent choice. Yet, before making any decisions, it's important to understand your audience thoroughly. Click and Mortar stores make it easy to manage and analyze stocks both online and in-store, all at your fingertips.

This business model enhances the customer experience, leading to an increase in ROI. Once you start online and offline sales, consider investing in route optimization to streamline your deliveries.