It’s a new year, but retailers seem to be running the same race they were in 2014 and searching for a finish line that always seems beyond their reach. Retailers are well aware of the challenges of “getting the price right” in all of their retail channels, but in 2014, consumers and media alike became consumed with the notions of “consumer price transparency” and “competitive price intelligence” that put retailers’ pricing tactics under a strong microscope.
One such tactic that caught a lot of attention was the increasing speed and frequency of retailers’ price changes and promotions – great for the online channels that can make millions of price changes daily with the push of a button, but not so great for brick and mortar stores who typically rely on paper labels. This disconnect has resulted in lower levels of customer confidence in store prices compared to online prices for the same merchandise. According to our new consumer research report:
• 42% of U.S. consumers think retailers offer different prices online and offline
• 72% of U.S. shoppers leave the store without their intended purchases because they perceive the in-store price is too high
Because of the perception that paper labels in the store are out of date and do not reflect real-time, online pricing, brick and mortar stores will lose almost every time. What are retailers to do? In our new report, “Getting the In-Store Price Right in a Digital Age,” we explore the pricing challenges that retailers face, and how electronic shelf labels (ESLs) can truly level the playing field between brick and mortar stores and online retailers. With ESLs, retailers can quickly provide their brick and mortar stores with equal agility to create and execute new sales promotions and price changes in the store in a matter of seconds.
A new year is the perfect opportunity to ditch old habits and start fresh with new ideas. In 2015, retailers have an opportunity to not only win the pricing race, but to ensure that all of the retail channels have the right price at the right moment.
Sarah Todd Marketing Manager Displaydata