PROFILE
Yogesh Huja
Founder & CEO
Founder Freedom Smart Labs Ltd - Freedom Desi is built with a vision to connect the offline retail ecosystem using new age tools like mobile app, cloud platforms, Internet of Things & more. We are India's 1st App to Discover Malls & Markets around you. We are helping the Hyper Local to O2O Marketing to translate online traffic to real footfalls.
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- Posted on: 03/08/2017
Are chains cannibalizing their own in-store sales with e-commerce?
Despite online selling being around for almost 20 years now and the internet reaching 2 billion plus people, online sales still account for less than 15% of global sales. In India there are 2 concepts which e-commerce & app players are trying: 1) discounting and 2) Cashback. In order to enjoy such benefits, consumers often do showrooming, where a consumer visits the brick & mortar retailer, experiences the product and then buys online to enjoy discounts and cashback. The programs run by brands to promote the e-commerce channel have fallen flat due to wrong strategy of execution. The sales representative at a brand store is the key driver of cannibalising the sale by letting consumer re route through an e-commerce channel where brand is offering a discount. I wrote last year on similar topic, have a look.