Today, more and more e-tailers are opening up brick-and-mortar stores because they realize the value of offering shoppers multiple and integrated points of shopping access.
Some of the advantages of this model include: strengthening brand-name recognition, giving local customers a physical location to return merchandise or buy items right away without having to pay shipping costs, lowering promotional costs through cross-marketing and cross-merchandising opportunities, and expanding your customer base. In addition, experts say that when shoppers have multiple channels of access to a retailer and its products, they are more likely to be loyal customers.
There are other reasons to offer bricks and clicks, says Irene Dickey, a lecturer in the management and marketing department at the University of Dayton School of Business Administration in Dayton, Ohio. Â"There are consumers who love the social interaction shopping provides,Â" she says. Â"There are consumers still afraid to purchase online because of security issues, and many customers prefer to Â'try onÂ' items before buying.Â"
Of course, there are certain risks and costs associated with opening a physical store--like theft, personnel turnover, government regulations and inventory problems, not to mention high overhead costs.


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