Monday, 29 December 2014

Bata, Fabindia & Evok going for the plan to cash in on online shopping craze

A growing number of brick-and-mortar retailers and mall operators are adopting a "click-and-collect" strategy — where consumers buy products online but take deliveries from physical stores — in a bid to join the online shopping frenzy and, at the same time, ensure higher footfall in offline shops.

Top shoe retailer Bata, ethnic wear brand Fabindia, Flying Machine jeans, furniture seller Evok and mall operators Infiniti Mall and Virtuous Retail are among retailers that offer or plan 'clickand-collect' service — a concept introduced by retailers such as Walmart, Tesco and Target that has taken off in a big way in the US and Europe this year.

The move comes at a time when a burgeoning number of Indian consumers are shifting a good part of their shopping to e-commerce players such as Flipkart, Amazon and Snapdeal.

Infiniti Mall in Mumbai, for example, is working on an e-commerce concept where its tenants are encouraged to give about 10% discount to online shoppers, but the consumers must visit the stores to take delivery. Virtuous Retail, which operates malls in six cities across the country, too, is working on a similar model.

Bata plans to start its 'click-andpick' service in 2015. "A customer can choose a pair of shoes that they like and pick it up later from the (nearby) store. This way sometimes the customers end up buying other things also," Thomas G Bata, chairman of Bata Shoe, told ETearlier this month. "So, we are building a profile of 10 million customers. We are trying to integrate digital with our retail stores."

Furniture and home products retailer, Evok will also give vouchers to online buyers offering discounts on products when they visit its shops for delivery. "Decoration and furnishing is typically an impulse type of purchasing and when customers come to my stores they have the opportunity to buy those products," said Ajay Seth, chief operating officer at Evok.

Nitin Chhabra, chief executive of Bengaluru-based e-commerce consultancy Ace Turtle that's helping Evok and Flying Machine with their omni-channel plans, said traditional retailers such as Walmart, Target and Best Buy are clocking more than 20% in sales through the 'click-andcollect' concept.

Alok Dubey, chief executive of US Polo and Flying Machine brands, said the company will put all its 200-odd stores on its clickand-collect offering over the next 12-18 months. He said the company will deliver-to-home from the closest outlets in the first stage of its omni-channel plans.

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