New business models vital for retailers to lure consumers to digital platforms

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Covid-19 has made digitisation of shopping more urgent for brick-and-mortar retailers

21 June 2020 - 18:21In an era of social distancing and, in SA’s case, extreme lockdown regulations, most consumers have become accustomed to a world of convenient, but remote, shopping. Long queues and overcrowded shopping malls are becoming a distant memory, with more people opting to shop online.

There was a consensus that digital fulfilment would play an increasing role in shopping, but that there was still a real need for malls as lifestyle and entertainment destinations. This meant brands continued to expend the majority of their efforts on in-store transactions and driving customer footfall.

What remains to be seen is how the SA public will react to these changes over the long term. One thing we dare not forget is that for millions of people shopping centres remain an important destination for leisure and entertainment, and how this plays out post-Covid is yet to be discovered. Getting this mix right will ultimately help retailers win and retain market share, as omnichannel shoppers have evidently shown that they are more loyal and tend to have a larger shopping cart.

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