French
magazine LSA is publishing a series of articles about retailers all around the
world that masters cross channel retailing (Internet – point of sales). One ofthe them got my attention: homes-up.com.
Homes-up.com
is mostly an online retailer, but own a boutique in Shangai. The concept is
that it is a 100% showroom store, where the different products the company
sells are displayed. In order to get those products, the company have 2
computers in the middle of the store, for the shoppers to order the goods he
wants. Then they will be delivered home.
LSA
considers that it is a pity the store does not propose to purchase the products
and hence to take them out with you. I actually don’t think so. We may have a
consumption that showrooming is bad for business, and that it is important to
find new ways to generate both squarefoot sales, and in store profitability.
But actually,
homes-up.com is defining a totally new business model. A business model I envisioned
years ago. This model has a lot of strength:
- · You maximize the display room, as there are no stocks.
- · You have very low wages costs, as you don’t cash in (either by mobile devices or the computers of the company). And same thing, you save space as there is no cashier desk.
- · Your salesperson can focus on advising, and can be stress free concerning the fact that the customer is going to indeed purchase the goods online.
This is a
new business model that I am sure will spring up in the next couple of years.
