What is a Pure Play Retailer? A Comprehensive Guide for eCommerce in 2022

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A Comprehensive Guide for eCommerce in 2022

A successful pure play retailer should have a physical storefront and integrate their online and offline marketing strategies. A digital marketing strategy is adequate, but a physical storefront offers brand touchpoints, which are hard to replicate online. Moreover, customers who return items in-store will bear the transit costs. Consequently, a pure play retailer might end up paying twice for shipping.

Examples of successful pure play retailers

As the retail landscape continues to shift toward omnichannel retail, the role of brick-and-mortar stores becomes increasingly important. Pure play retailers must adapt their existing workflow and tech stack to accommodate the needs of an omnichannel business. Researching the best ecommerce platform and investing in the right technology partners is vital to ensure a smooth transition to the new model. Businesses should also abandon traditional supply chain practices and adopt the latest logistics solutions.

A pure-play retailer may find it difficult to transition from an online-only model to a brick-and-mortar store. The retailer must strike a balance between the success of its online platform and the need to expand into a new channel. Additionally, a physical store is not a guarantee of success. It all depends on the type of products and the market it targets. In the case of pure-play retailers, the transition to a physical store may be less difficult than initially anticipated.

Pure-Play Retailer Benefits

A pure play retailer has a number of distinct advantages over a brick-and-mortar company. These advantages are not immediately apparent. For example, clients of brick-and-mortar stores must invest time and money to ship products. Then, they must cover the cost of in-store return transit. In contrast, a pure play retailer does not require in-store returns, which means that customers are not burdened with double-fee freight. Ultimately, this reduces the profits of a pure play eCommerce company.

Another benefit of pure play eCommerce is its low startup costs. Those without a physical storefront can start a business without a huge upfront investment. Another advantage of a pure play retailer is that it does not require a physical storefront to sell products. For merchants without a brick-and-mortar store, WareIQ is the perfect fulfillment service partner, with decentralized fulfillment centers in multiple states. With this, merchants can lower shipping costs and store inventory closer to customers.

Drawbacks of Pure-Play Retailer

As the Internet continues to evolve, the challenges facing traditional brick-and-mortar retailers are increasing. Besides costs, a physical store requires huge upfront costs, including warehouse space and equipment. It also is difficult to scale, making third-party logistics (3PL) providers a perfect fit for eCommerce merchants. These services can help them reduce their overall shipping costs, since they can leverage their existing networks.

Another drawback to a pure play retailer is competition. While the first company may be a sensation overnight, a competitor can quickly overtake them, slashing their sales and profits. In a worst-case scenario, the new player may go public, and suck out all the profit the first company was making. Therefore, pure play retailers need to be prepared to deal with competition.

Traditional brick-and-mortar retailers have longstanding relationships with their customers. They know their customers’ tastes and preferences. While pure play retailers have the advantage of scale, it may be too costly for brick-and-mortar retailers to compete with them. A retail media network could be the answer to a brick-and-mortar retailer’s e-commerce challenges. These companies are already making significant strides in the space of digital transformation.

ShipBob integration

With the integration of ShipBob, a technology-enabled third-party fulfillment company, Mercury customers can benefit from ShipBob’s omni-fulfillment capabilities. Using connected technology and warehouses close to customers, ShipBob can help merchants improve transit times, shipping costs, and the customer experience. To learn more about how ShipBob can help you, visit the ShipBob website or download the Android app.

As a fulfillment service provider, ShipBob stores and delivers orders to customers worldwide. With multiple Fulfillment Centers across North America and Europe, it offers two-day express shipping. It also offers wholesale shipping and own packaging materials. ShipBob also offers volume discounts and other services to merchants. For example, in 2022, ShipBob expects that 50% of its customers will purchase from pure play retailers, making it an ideal partner for such a growing segment of retail.

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