In this digital age the old fashioned brick-and-mortar stores are becoming obsolete as consumers move to more convenient and hassle-free shopping experiences. As a result Walmart Inc. (NYSE:WMT) and Nordstrom Inc. (NYSE:JWN) have decided to build physical stores that are not selling anything but will act as retrieval centres for customers purchasing products online.
The retailers are building small hubs in populated suburban areas and cities to offer their customer convenience in collecting their online orders such as groceries and clothing. The new outlets that the retailers are opening will provide them with access to customers who want their products fast without having to travel to the store to pick the product or sitting and waiting for home delivery.
Walmart Pickup Point
At the beginning of this month Walmart unveiled the Lincolnwood, Illinois Walmart Pickup Point which is a 40,000 square-foot store that is mean to serve customer and offer ease in collecting and picking their online orders. Customers visit the store and in the designated Walmart parking spots a worker will load your order to your car easily.
The Lincolnwood outlets are similar to Walmart in design and inside they have all the groceries householder cleaners, diaper and pet supplies. Unlike the traditional Walmart stores customers will not be getting inside. The retailer is equally replicating the model around the Arkansas headquarters.
In a statement Nicole Olson the store manager stated that with the new locations consumers are now afforded the luxury of shopping anywhere and when they want.
The concept is similar with one that was introduced by Nordstrom back in 2017 in Los Angeles and it was dubbed Nordstrom Local. Nordstrom local are smaller hubs that offer customers convenience of making pickups and returns which also takes advantage of the retailers tailoring and alteration service. Nordstrom already has three outlets in Los Angeles and there are plans to open two in New York in September 2019.
The innovations by the two retailers are ways that traditional retailers are innovating to be competitive and catch up with Amazon.com Inc. (NASDAQ:AMZN).