Can Brick and Mortar Compete with Digital on Price?
From eMarketer:
Brick-and-mortar retailers may be able to wow shoppers with wonderful touch-and-feel experiences and in-person customer service, but they are still at a big disadvantage when it comes to price—a key purchase factor for many consumers.
From apparel and furniture to televisions and sporting goods, prices of goods are declining. But online prices are dropping at a much faster rate than in-store price tags, according to Adobe’s Digital Price Index study, which compares the prices of baskets of comparable goods online against those in the Consumer Price Index (CPI) measured by the US Department of Labor Bureau of Labor Statistics. The study, which looks at a total of 18 product and service categories, suggests that price deflation can be seen in most categories, whether online or in physical stores, but the declines are more distinct online...
For instance, online apparel prices in June fell 4.1% from a year earlier, compared with a 0.6% decline in-store during the same period. Prices of televisions sold online declined 13.2%, vs. an 11.4% drop at physical stores.
From apparel and furniture to televisions and sporting goods, prices of goods are declining. But online prices are dropping at a much faster rate than in-store price tags, according to Adobe’s Digital Price Index study, which compares the prices of baskets of comparable goods online against those in the Consumer Price Index (CPI) measured by the US Department of Labor Bureau of Labor Statistics. The study, which looks at a total of 18 product and service categories, suggests that price deflation can be seen in most categories, whether online or in physical stores, but the declines are more distinct online...
For instance, online apparel prices in June fell 4.1% from a year earlier, compared with a 0.6% decline in-store during the same period. Prices of televisions sold online declined 13.2%, vs. an 11.4% drop at physical stores.
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