In light of news that Ocado is reported a 35% jump in sales, and Asos and Boo Hoo buying up former high street mainstays, the question is: are high street retailers doomed, or can they also operate online? Dr Maggie Zeng, Senior Lecturer in Entrepreneurship at Kent Business School, explains they have one last hope online:
‘We have known for a while that high street stores and grocers were struggling before the pandemic, and with strict lockdown policies, the fate of these high street retailers have been pushed off the cliff and they have had no choice but to be acquired by online giants, such as Asos, Boo Hoo and Ocado. This seems to be becoming the new norm.
‘With the most lucrative customer demographics being 20-40 years old who grew up with the internet, and online retailers who have been working hard on their digital assets, including data to make the customer experience as easy as possible, the fate of the remaining high street stores and grocers is not hard to predict.
‘Simply creating an online presence is an immediate option for high street retailers’ survival. This is really a basic step, and the important questions should be:
- “What kind of unique user experience can we provide for our customers?”,
- “How can we maximize the value of the data we collect from our customers to innovate and create better shopping experiences?”,
- “How can we collaborate to create a new retail experience mixing the advantages from both online and offline shopping process?”,
- “Are there any new business models we should adopt to make us relevant in the fast changing business environment?”.
‘Until these questions can be answered, the high street monopoly is here to stay. It is not too late to be a solution, as the online retail realm perpetually open to innovation and utilisation – even from the smallest of friendly local high street stores. This will be proven over time.’
Dr Zeng is one of Kent Business School’s experts in emerging strategies in the digital economy, business ecosystem, dynamic capabilities and innovation.
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