Keynote: How the Connected Store Works

 

Dominik Brokelmann, CEO Brodos AG and author of “Der vernetzte Laden” (“The Connected Store”)

 

 

Many specialist retailers have noticed that customer traffic in brick and mortar stores is currently on the decrease. Market research is also reporting the same trend. Online trade has taken over a large share of the total market volume, securing its own “piece of the cake”. This means: only those specialist retailers who are capable of coping with the internet and its demands will be successful in the long term. In my keynote speech at the roadshows I explain how thanks to the connected store it is now possible to tempt customers from the region who are shopping online back into the store.

A 10 minute summary of my keynote speech:

These are the core aspects of my keynote address:

  1. Is the cake shrinking?

The market volume for brick and mortar retailers is in decline as online trade continues to increase. Anyone who wants a share of the market volume as a whole has to make sales both online and offline. 

  2. Online trade continuing to grow

We presume that online business will continue its upward trend.

 3. How the connected store works
Customers are better informed thanks to the internet and have significantly more options to choose from. They are no longer dependent on their regional retailer.
 

4. Timing of "internet assisted" purchases
The timing of buyers’ behaviour has changed. With purchases made in brick and mortar stores, the customer first chooses a retailer before making the purchase. On the internet, customers first look for a product which will solve their problems.  

 

5. Availability in huge product range
The product range is continuing to grow, more and more specialized products are being developed. The curve on the left shows in orange the product range available in store from brick and mortar retailers. In the case of the long tail product range in green, few products are sold but from a wide product range. This is where kiosk systems come into play.   

 6. Conclusion

The product range needs to be developed further. Online business is inevitably set to develop further.

 

 

 

 

 

 

 

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