June 27, 2017

Apply The Techniques To Retail Trade Areas

The popular narrative is this.
  • Amazon is destroying retail.
  • E-Commerce is cannibalizing retail.
  • Retail is doomed.

Look at your own count of rolling twelve-month buyers within a retail trade area. Here's an example.

You cannot blame Amazon for what happened in Sep/Oct 2015 (the start of a long trend of negative performance). And you cannot blame e-commerce cannibalization, because if the customer shifts channels the customer is still counted in this image, right?

You can only blame yourself - it's the fault of marketing or merchandising or whatever.

The industry narrative is frequently wrong.

It's our job to figure out what we're doing wrong (and we do an awful lot wrong, me included). Then, once we know what is wrong, we can "fix it" ... and we're more than capable of fixing problems!