Not knowing what is best for your business can be tricky, especially when you’re contemplating between opening a physical store or an online shop, or even both. But there’s no need to dwell on it anymore because all you need to do is take a look below and weigh the pros and cons.
The Upper & Lower Hand of Physical Stores
1. Pure Physicality
The very first leverage about having physical stores is that you are able to provide the pure thrill of shopping. Being able to see, feel, and sometimes smell, will allow customers to weigh the price with the quality of the product.
2. Product Specialties
Physical stores also allow certain products with special features to have an easier display. For example, consumers wanting to purchase body baths with a fragrance have difficulties knowing exactly how the smell of the product is like. Hence, physical product display will enhance the customer experience and at the same time have loyal customers return.
3. Instant Transfer
Transactions are also straightforward in a sense where there is little to no delay in payment as customers usually pay by cash or card on the spot. Hence, payment records are easier to keep track and less confusion will occur.
4. Steep Prices
Naturally, because of the external reasons like shop rental, product shipping, and material costs, prices in the physical store are often higher than online ones. This is because shop owners need to make sure that the earnings are able to cover the expenses used.
5. Only for the Local Community
If you ONLY have a physical store, only locals and the nearby communities that are aware of your existence will be seen around your store. Time spent in your store by customers is also less due to physical closing and opening times. Hence, limitations will automatically be set, and the number of sales will also be constrained.
The Benefits & Drawbacks of Online Stores
1. An Online Escapade
With infinite users online, having an online platform is only an open door to wider reaches from around the world. The cost for an online space is definitely more affordable than a physical one as there are no external expenses like rent and amenities.
2. Unlimited Inventory Space
You are able to display an endless range of products on the shelves of an online store, hence, the expansion of products are always easier. As you expand your product variety, more relevant consumers will show up and sweep those shelves clean.
3. Wherever & Whenever
Let’s say you do not have a website, but you are a registered user on online shopping platforms. You can be a seller too! With platforms like Shopee, Lazada, or even Instagram, online shops, or drop shipping has emerged in an abundance. Due to the simple user interface, sellers and customers can sell and buy easily.
4. The Limitations of Personalization
Personalization on online shopping platforms is convenient, as relevant consumers will be able to reach your store in a jiffy but for those outside the relevance of the search word, consumers will definitely come across your shop less. Thus, your wide reach is only limited to those relevant to the keywords associated with your shop.
5. Hard to Open Up
First-time viewers at your shop will undeniably have doubts about your products. This is because they did not have experience with your products or your services. Hence, aggressive advertising and marketing of your product or brand are needed to clarify uncertainties and enhance brand awareness.
Which path do you choose?
You can choose either or opt for both and have a broader reach of consumers by going omnichannel. Where not only your physical store is synced online, you are also able to navigate your physical and online customer activity. If you still can’t make up your mind, it’s always fine for you to consult an expert, because ultimately, you are to do what is best for your business.