Today, Jason and Gerard pick apart the brand’s omnichannel approach to marketing to see which are effective in a shrinking market.
They discuss Click & Collect in an apparent bid to upsell their other inventory with higher profit margins. They also discuss the decision to pass up on zipPay and Afterpay, the purpose of maintaining physical stores, and a possible long term strategy to pivot the brand and stand out.
02:21 Click & Collect: A hybrid e-commerce model that tailors the user experience
14:17 Avoiding zipPay and Afterpay, a strategic profitability decision?
16:32 Physical stores: Fostering trust and brand recall
22:55 Jobkeeper reduction and discretionary purchasing will hurt retail
27:09 Adding a face to the brand to build customer loyalty
02:33 “The other option is Click & Collect which is where they have to purchase something online but they come in store where they have to pick it up and then they get upsold all these different items.”
15:21 “If you offered Afterpay on JB Hi-Fi products or zipPay or something like that for a thousand dollar, two thousand dollar laptops, your sales would probably go through the roof. However, in terms of your bottom line, I don’t know how beneficial that would actually be.”
21:45 “Maybe the physical stores would serve a different purpose, more like showrooms like you mentioned, educating people on what they can buy and maybe anchoring people through value-adding.”
25:41 “Payments are going to be winding back. People probably aren’t going to be as willing to spend money. They really need to find out a way to either maintain that spending with a lot of value to customer or figure out how to incentivize those large purchases.”
29:08 “You need to build that loyalty to the customer. Whether it’s getting influencers in or having more of a face to the brand, showing what you stand for, I think that’s probably where I’d look at.”