There are several reasons retailers should own their sales channels, both brick and mortar and digital. Here are some key reasons:
- Control: Maintain control over the customer experience, from the moment a customer discovers their brand to the point of sale.
- Flexibility: Quickly adapt to changing market conditions and customer needs, such as launching new products, changing pricing or promotions, and responding to customer feedback.
- Data: Valuable data on customer behavior and preferences, such as purchasing history, demographics, and product preferences. This data can be used to inform marketing and merchandising strategies and improve the customer experience.
- Cost-effectiveness: Retailers with their own sales channels can often operate more cost-effectively than those that rely on third-party channels. For example, they can avoid paying commissions or fees to third-party sellers, reduce overhead costs, and optimize their supply chain and inventory management.
- Branding: By having their own sales channels, retailers can strengthen their brand identity and stand out from competitors. They can use their sales channels to communicate their brand values, tell their brand story, and build an emotional connection with customers.
In summary, having their own sales channels enables retailers to maintain control, adapt quickly, gain valuable data, operate more cost-effectively, and build their brand identity. These benefits can help retailers increase sales, improve customer loyalty, and stay competitive in a crowded market.