September 26, 2007
BrainTrust Query: How important is buy online/pick up in-store as a strategy for retail growth?
Roger Selbert, Ph.D., Editor & Publisher, Integrated Retailing
Giving consumers a choice to buy online and pick up in-store is becoming a major point of competitive differentiation in the retail industry. Or is it?
Well-known pioneers Circuit City, CompUSA, Wal-Mart, Best Buy and Sears – and even smaller multi-channel players like Bombay Co. – are providing in-store pick-up for web orders as part of an overall strategy to improve customer service and increase profitable growth. To stay ahead of the curve, some retailers have even begun adding perks such as reserved parking spots, special checkout lines and in-store signage directing consumers to the pickup area.
Wal-Mart has launched a program that offers free shipping to customers who purchase items online and have them shipped to one of the company’s stores instead of their homes. The initiative has surpassed Wal-Mart’s expectations, with about a third of all online sales occurring through this program.
“It’s gone incredibly well,” Raul Vazquez, Walmart.com’s chief executive told The New York Times. “None of us expected to see it reach this percentage of sales at this point.”
Customers
who use the service already are among Wal-Mart’s most loyal; the trial-period
surveys showed that two-thirds of site-to-store customers shop weekly at Wal-Mart
stores. According to a survey the company sent to customers who used the service
during a trial period, about half spent an additional $60 in Wal-Mart stores
when they went to pick up their online purchases. CompUSA says customers who
buy online and pick up in stores spend 35 percent more than customers who shop
only in stores.
Some retailers offer in-store pickup of web orders across most
categories; others limit the service to items that can be carried out of the
store. Wal-Mart’s service allows customers access to thousands of items that
only are available online. RadioShack launched its ship-to-store program in
1,300 company-owned stores last November, and plans to roll out the program
to 3,400 franchises this year. Their aim is to get online shoppers to stores
for up-selling and cross-selling.
According to a recent survey by The E-Tailing Group, the share of merchants
offering same-day in-store pickup of products ordered online increased to 73
percent from 56 percent last year. The survey reviewed 23 multi-channel merchants
and found significant improvements across many aspects of execution (store
locators; product locators; web site visibility; free shipping; in-store return
for items purchased online; designated pickup counters; in-store signage for
pickup; average wait time). But the survey also found room for improvement
in other aspects (post-order e-mail communication; provision of store phone
numbers, hours and pickup instructions; product bar codes for ordered items;
having ordered merchandise ready and waiting for pickup).
On the other hand, according to Retail Systems Research, less than a quarter
of the retailers it surveyed indicated that they have fully implemented or
are rolling out a buy online/pick up in-store program. The biggest implementation
problems are order management (a customer-facing OMS is essential), and rollout (online executives are used to moving quickly, but a buy online/pick up in-store program requires months to install technology and train employees). As such, writes RSR managing partner Nikki Baird, buy online/pick up in store is not yet “ante to play” in retail.
Discussion Questions: How much emphasis should retailers be placing on a
buy online/pick up in-store program? Where do you see the differentiating
factors in the way programs are run?
[Author’s commentary] Buy online/pick
up in-store may not YET be ante to play in retail, but that day is coming,
and probably sooner rather than later. It has been the pattern for such innovations
to first be adopted by pioneers (both retailers and consumers), and then
to quickly reach “critical mass.” Then
the trend cascades. Remember, consumers are ruthless – they expect that every
retailer is, or should be, able to match the service and convenience level
of best-in-industry retailers.
BrainTrust
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This should become a fundamental requirement for multi-channel retailers. Existing data indicates that consumers who buy online and then pick up in-store are “worth more”…using several different metrics. WM results indicate a $60 incremental in-store spend for 60% of those consumers. That’s worth noting.
How important will this be to moving the overall numbers? There is no data at the moment to conclude anything. Intuitively and logically, if this service is to have an impact, there should be a measurable increase in both overall online volume and in online conversion rates. With conversion rates hovering in the 2.5% to 3% range, measurably impacting that number will generate significant volume. In addition, the potential for cannibalization has to be considered and tracked. WM says that roughly one third of its online transactions are pickup in-store. What portion of these would have bought in-store anyway? What portion of these are simply online shoppers switching to a less expensive and faster method of obtaining the merchandise?
The jury is still very much in deliberation of the impact this functionality will have on overall revenue as well as online key performance metrics. However, despite this lack of evidence, there is no doubt that the capability will become a requirement for any multi-channel retailer. Cross channel synergy is a critical focus area, and any initiative which leads to footsteps in-store as a result of online activity counts as a huge win. Here’s why: WM.com averages roughly 20 million unique visitors a month with a 2.5% conversion rate. That equates to roughly 500,000 purchases a month. If one third of those are going in-store, then the service is driving 165,000 footsteps a month, and 60% of those consumer spend an additional $60. Projected to a chain-wide number, that would amount to $10 million a month of incremental volume. Unfortunately, put that into contrast with the $22 billion in net sales for August alone, and it’s hard to see how this will markedly change overall performance.
I’ve moved 100 miles from my closest REI but continue to shop regularly via Internet by both mail and using in-store pick up for larger items [like skis]. But to me the key to REI, as well as Costco, Southwest Airlines and Trader Joe’s is their willingness to make effortless 100% refunds WITHOUT Restocking Fines…. So, if I purchase something that doesn’t fit or is simply the ‘wrong color’, I KNOW I CAN RETURN IT. Site-to-Store is all a part of the REI Experience and for sure they are a leader in this with effortless in-store pickup. But guaranteed return with or without a receipt and without penalty are another important component….
Again, we are dredging up a business plan that has existed for decades and trying to make it NEW–it’s NOT. When I was a kid in the 50s, my mother would get together her grocery list and phone it in to the Red & White (grocery store). She would stop by a few hours later pick up the order, pay and come home with the groceries. If she was running behind she could call and the groceries would be delivered to our house. The only difference between then and now is that the interceding generations never experienced service (they have always pumped their own gas, etc.). So when something is offered today that was a standard business practice in 1955 it seems NEW and CUTTING EDGE.
I personally don’t care about being able to pick up in-store. The reason I buy online is to avoid the hassle of going to the store and for the excitement of “what will the mailman bring today?” The major problem with “Pick up in store” is that the supply chain is never really sure what the store has in inventory. Has anyone ever told you that the “computer says we have one, but I can’t find it”?
To us, this falls under the “duh” category…in other words, the cost of doing business.
Could possibly be a strong negative differentiator if you DON’T comply with consumers need for flexibility, such as multiple connection points.
Store pickup of web orders is absolutely the right thing to do for any multi-channel retailer. But it is a tough one that requires the retailer to face many subtle issues.
What is the right way to measure cost of sales on such a purchase? Retailers are bearing the cost of the web site and the store. Should the cost of sales be increased?
How about the companion sales that usually come when the customer arrives at the store and begins to shop? Should these incremental purchases be measured as web-influenced? Are the metrics equipped to make this distinction?
How about the measure which retailers call “inventory”? Doesn’t inventory need to be broken into “inventory” and “available inventory”? Are retailers ERP systems able to make these distinctions? And can retailer’s report them properly?
If web ordering/store pickup begins to reach some critical mass, are the retailer’s planning systems equipped to handle the forecasting of web order demand?
Should web orders/store pickup orders be included in comp store calculations and in the store manager’s bonus?
Many retailers have implemented this service in a hurry without thinking through the subtle issues. As the popularity picks up, they’ll have deal with them.
In response to Nikki Baird’s excellent question, “what’s next?,” allow me to offer a few prognostications: First, retailers enjoying success in online purchase/in-store pickup will benefit significantly from better-controlled inventory and just-in-time delivery for most products–not just those that customers have ordered online for pickup.
Second, returns of online-ordered items will go much more smoothly when handled in-store, and the service will be expanded to allow in-store returns (and exchanges) of items ordered online but delivered to the customer.
Third and finally, when retailers become hubs of activity for customers picking up online orders, they will begin offering items online from non-traditional suppliers and even non-competing retailers. In fact, they could even become universal pickup points for Amazon.com and other online retailers who do not have their own brick & mortar. I recently decided to upgrade my cooking wok and utensils to the highest-quality, authentic, Asian-made items I could find. The real deal. The best I could find were available only from a very small retailer who sold only online from a location in San Francisco. If their products had been carried on the Wal-Mart website, for instance, they would have sold more and I could have picked up my order at WM.
I have used Sears’ approach to this amenity. I really like the idea and convenience. I think the only problem is that not enough retailers are jumping on-board.
Places like Pottery Barn, Williams-Sonoma and Crate & Barrel, who all offer a catalog with items that are available only through the catalog or the internet should really consider this as a method to drive sales. I often will back out of purchasing an item online once all the shipping and handling fees drive the price up by about 25%.
Essentially, today’s customer wants more than a name, they want value. The companies already have a logistics process in place–why not tweak it some?
In many market segments, like clothing or other specifics where buyers are hesitant to finalize a transaction without having seen or tried on the item ordered, this could accelerate the use of online ordering…in other words, it is an escape route for someone who orders hoping what they ordered is what they think it is. If not, somethings that do not fill expectations can be a real hassle to return…For example, I like ordering from LL Bean because I know from experience what fits me and what does not. If I ordered from someone else, I am not sure until I try it on. There are great differences in some men’s wear depending on cut and fullness.
In other segments, it offers more technical choices and better prices. Perhaps shopping online or by catalog allows me to ponder and compare if the documentation is complete, and then order and still have some wiggle room to “not accept” the item before the deal is compete…it offers a way out of the deal if I can unpackage it at the pickup station and refuse delivery if it is not what I thought it was in fit, trim, or finish or function. I see it as a way out without me having to re-pack and ship back with no help.
It’s all about service. This trend will only get more popular as our “internet kids” graduate and have more money to spend. Companies that can boast the highest percentage of accurate orders and the most variety will have the advantage. Once retailers master accuracy, I think the differentiators down the road will be reward programs that offer points toward gifts and customer service. People who will help you load your purchases into the car with a smile will go a long way in ensuring that your shoppers have an enjoyable experience and want to come back.
Integrating a web site, catalog and stores is becoming an important competitive tool for serving customers. Retailers such as Recreational Equipment Inc. (REI) and Circuit City have done a great job of making the online buying/pickup process seamless.
Unfortunately, the folks at Wal-Mart haven’t created procedures that make it work as well. I recently made a purchase through Wal-Mart’s web site where I was informed that I would receive an email in 7-10 days letting me know the item was available for pickup at my local Wal-Mart store. After ten days had passed I sent an email asking when I would be notified and received a reply telling me it would be another six days. About two hours later I received another email informing me the item was actually ready for pickup that day.
For Wal-Mart and other retailers to make the online buying/pickup process work it must be quick, easy, convenient, and seamless for the customer. With competitors already executing the process very well, it will become a significant competitive advantage.
Site-to-store programs are critical to retail success, period. My concern is that integrating multi-channel models and making it all work is yet another area that vendors have ceded to retailers. Most vendors are simply asking “bricks or dot com?” This in spite of the fact that websites are now many retailers top “door.” We see a golden opportunities for vendors to play a more active role in multi-channel implementation by evolving their inventory planning and shipping capabilities and funding store-level support that will maximize the opportunity for add-on sales.
Retailers operating across multi-channel platforms will be keen to adopt reliable and seamless site-to-store strategies similar to what we are seeing with Wal-Mart, Best Buy and others viewed as industry leaders. Consumers handsomely reward those brands who demonstrate a focus on providing time-saving, hassle-free customer experiences and who can reliably execute on maximizing the convenience factor. Closing the loop on an optimal site-to-store strategy includes offering consumers the ability to return or exchange online purchases in-store.
For decades, J.C. Penney customers have been able to order remotely (phone, mail, and later, online) then pick up the merchandise at the store. The service is a two-way street, because customers can also drop off their returns at the store. Both trips, pickup and return, offer impulse shopping opportunities. And many folks would rather go back and forth to a store than stand on line at the post office, which isn’t open 7 days a week, anyway. They don’t have a place during the day where packages can be accepted or given up for pickup, because they aren’t at home and can’t use their workplace for those purposes, either.
It’s still a bit of a differentiator for this holiday season, but it won’t be by next holiday season. The big question is, what’s next? If you’re Best Buy and you’ve been doing in-store pick up for a couple of years, how do you slay the competition the next time around?
The idea of buy anywhere/get anywhere is the natural evolution, but I think there’s an opportunity to really get sophisticated with cross-channel. With price and inventory optimization, retailers have an opportunity to shape demand by making offers to customers based on where they have too much inventory: “You know, if I ship this to your house, rather than you take it home today, I could give you 10% off and free shipping, and then you don’t have to lug it home.” Or, “We don’t have your size? Well, you can have it shipped from our website, or we’ll give you 20% off if you pick it up from our other store down the street.”
Buy anywhere/get anywhere is coming, and fast. But it’s not just an opportunity to serve customers better. It’s an opportunity for retailers to impact their bottom line too.
It is comical that retailers look for a means to have in-store face to face discussion with consumers who slide away.
Said another way, if retailers spent more time on sales associate and consumer service programs, many of the “cut the labor” efforts would not be needed.
So consumers detour away from ‘less and less’ store level service retailers. So your examples of Circuit City, Best Buy, Sears, and add Home Depot…etc, are in the limelight of poor sales and profit pain!
Instead, such retailers aren’t being noted for consumer service success, and are questionable website ordering retailers, too. Hmmmmmm
Providing in-store pick-up for items ordered from a website is essential. The key is to ensure the customer when they come to the store is able to receive their item quickly and accurately. One of the big issues that comes into play with in-store pick-up is allowing the consumer to be exposed to a pricing variance between the store and the website. Pricing integrity is essential across the same SKUs. If a retailer wants to turn off a customer all they have to do is have them buy an item on the web and then come to the store and see the same item on sale. The policy must always be the give the customer the lower of the two prices.
I wonder whether online ordering/in-store pickup loses some of its attractiveness to Christmas shoppers, since avoiding crowded parking lots and long checkout lines is one of the reasons for shopping online in the first place. Can anybody speak to this?
Regarding, M. Jericho Banks’s comment about universal pickup points for Web only retailers like Amazon, this sounds similar to the role played by 7-Eleven in Japan. Consumers can place orders over the Internet and have them shipped to a convenience store like 7-Eleven. These stores are ubiquitous and conveniently located in heavy commercial districts around train stations. Thus commuters can pickup their orders on the way home from work.
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This should become a fundamental requirement for multi-channel retailers. Existing data indicates that consumers who buy online and then pick up in-store are “worth more”…using several different metrics. WM results indicate a $60 incremental in-store spend for 60% of those consumers. That’s worth noting.
How important will this be to moving the overall numbers? There is no data at the moment to conclude anything. Intuitively and logically, if this service is to have an impact, there should be a measurable increase in both overall online volume and in online conversion rates. With conversion rates hovering in the 2.5% to 3% range, measurably impacting that number will generate significant volume. In addition, the potential for cannibalization has to be considered and tracked. WM says that roughly one third of its online transactions are pickup in-store. What portion of these would have bought in-store anyway? What portion of these are simply online shoppers switching to a less expensive and faster method of obtaining the merchandise?
The jury is still very much in deliberation of the impact this functionality will have on overall revenue as well as online key performance metrics. However, despite this lack of evidence, there is no doubt that the capability will become a requirement for any multi-channel retailer. Cross channel synergy is a critical focus area, and any initiative which leads to footsteps in-store as a result of online activity counts as a huge win. Here’s why: WM.com averages roughly 20 million unique visitors a month with a 2.5% conversion rate. That equates to roughly 500,000 purchases a month. If one third of those are going in-store, then the service is driving 165,000 footsteps a month, and 60% of those consumer spend an additional $60. Projected to a chain-wide number, that would amount to $10 million a month of incremental volume. Unfortunately, put that into contrast with the $22 billion in net sales for August alone, and it’s hard to see how this will markedly change overall performance.
I’ve moved 100 miles from my closest REI but continue to shop regularly via Internet by both mail and using in-store pick up for larger items [like skis]. But to me the key to REI, as well as Costco, Southwest Airlines and Trader Joe’s is their willingness to make effortless 100% refunds WITHOUT Restocking Fines…. So, if I purchase something that doesn’t fit or is simply the ‘wrong color’, I KNOW I CAN RETURN IT. Site-to-Store is all a part of the REI Experience and for sure they are a leader in this with effortless in-store pickup. But guaranteed return with or without a receipt and without penalty are another important component….
Again, we are dredging up a business plan that has existed for decades and trying to make it NEW–it’s NOT. When I was a kid in the 50s, my mother would get together her grocery list and phone it in to the Red & White (grocery store). She would stop by a few hours later pick up the order, pay and come home with the groceries. If she was running behind she could call and the groceries would be delivered to our house. The only difference between then and now is that the interceding generations never experienced service (they have always pumped their own gas, etc.). So when something is offered today that was a standard business practice in 1955 it seems NEW and CUTTING EDGE.
I personally don’t care about being able to pick up in-store. The reason I buy online is to avoid the hassle of going to the store and for the excitement of “what will the mailman bring today?” The major problem with “Pick up in store” is that the supply chain is never really sure what the store has in inventory. Has anyone ever told you that the “computer says we have one, but I can’t find it”?
To us, this falls under the “duh” category…in other words, the cost of doing business.
Could possibly be a strong negative differentiator if you DON’T comply with consumers need for flexibility, such as multiple connection points.
Store pickup of web orders is absolutely the right thing to do for any multi-channel retailer. But it is a tough one that requires the retailer to face many subtle issues.
What is the right way to measure cost of sales on such a purchase? Retailers are bearing the cost of the web site and the store. Should the cost of sales be increased?
How about the companion sales that usually come when the customer arrives at the store and begins to shop? Should these incremental purchases be measured as web-influenced? Are the metrics equipped to make this distinction?
How about the measure which retailers call “inventory”? Doesn’t inventory need to be broken into “inventory” and “available inventory”? Are retailers ERP systems able to make these distinctions? And can retailer’s report them properly?
If web ordering/store pickup begins to reach some critical mass, are the retailer’s planning systems equipped to handle the forecasting of web order demand?
Should web orders/store pickup orders be included in comp store calculations and in the store manager’s bonus?
Many retailers have implemented this service in a hurry without thinking through the subtle issues. As the popularity picks up, they’ll have deal with them.
In response to Nikki Baird’s excellent question, “what’s next?,” allow me to offer a few prognostications: First, retailers enjoying success in online purchase/in-store pickup will benefit significantly from better-controlled inventory and just-in-time delivery for most products–not just those that customers have ordered online for pickup.
Second, returns of online-ordered items will go much more smoothly when handled in-store, and the service will be expanded to allow in-store returns (and exchanges) of items ordered online but delivered to the customer.
Third and finally, when retailers become hubs of activity for customers picking up online orders, they will begin offering items online from non-traditional suppliers and even non-competing retailers. In fact, they could even become universal pickup points for Amazon.com and other online retailers who do not have their own brick & mortar. I recently decided to upgrade my cooking wok and utensils to the highest-quality, authentic, Asian-made items I could find. The real deal. The best I could find were available only from a very small retailer who sold only online from a location in San Francisco. If their products had been carried on the Wal-Mart website, for instance, they would have sold more and I could have picked up my order at WM.
I have used Sears’ approach to this amenity. I really like the idea and convenience. I think the only problem is that not enough retailers are jumping on-board.
Places like Pottery Barn, Williams-Sonoma and Crate & Barrel, who all offer a catalog with items that are available only through the catalog or the internet should really consider this as a method to drive sales. I often will back out of purchasing an item online once all the shipping and handling fees drive the price up by about 25%.
Essentially, today’s customer wants more than a name, they want value. The companies already have a logistics process in place–why not tweak it some?
In many market segments, like clothing or other specifics where buyers are hesitant to finalize a transaction without having seen or tried on the item ordered, this could accelerate the use of online ordering…in other words, it is an escape route for someone who orders hoping what they ordered is what they think it is. If not, somethings that do not fill expectations can be a real hassle to return…For example, I like ordering from LL Bean because I know from experience what fits me and what does not. If I ordered from someone else, I am not sure until I try it on. There are great differences in some men’s wear depending on cut and fullness.
In other segments, it offers more technical choices and better prices. Perhaps shopping online or by catalog allows me to ponder and compare if the documentation is complete, and then order and still have some wiggle room to “not accept” the item before the deal is compete…it offers a way out of the deal if I can unpackage it at the pickup station and refuse delivery if it is not what I thought it was in fit, trim, or finish or function. I see it as a way out without me having to re-pack and ship back with no help.
It’s all about service. This trend will only get more popular as our “internet kids” graduate and have more money to spend. Companies that can boast the highest percentage of accurate orders and the most variety will have the advantage. Once retailers master accuracy, I think the differentiators down the road will be reward programs that offer points toward gifts and customer service. People who will help you load your purchases into the car with a smile will go a long way in ensuring that your shoppers have an enjoyable experience and want to come back.
Integrating a web site, catalog and stores is becoming an important competitive tool for serving customers. Retailers such as Recreational Equipment Inc. (REI) and Circuit City have done a great job of making the online buying/pickup process seamless.
Unfortunately, the folks at Wal-Mart haven’t created procedures that make it work as well. I recently made a purchase through Wal-Mart’s web site where I was informed that I would receive an email in 7-10 days letting me know the item was available for pickup at my local Wal-Mart store. After ten days had passed I sent an email asking when I would be notified and received a reply telling me it would be another six days. About two hours later I received another email informing me the item was actually ready for pickup that day.
For Wal-Mart and other retailers to make the online buying/pickup process work it must be quick, easy, convenient, and seamless for the customer. With competitors already executing the process very well, it will become a significant competitive advantage.
Site-to-store programs are critical to retail success, period. My concern is that integrating multi-channel models and making it all work is yet another area that vendors have ceded to retailers. Most vendors are simply asking “bricks or dot com?” This in spite of the fact that websites are now many retailers top “door.” We see a golden opportunities for vendors to play a more active role in multi-channel implementation by evolving their inventory planning and shipping capabilities and funding store-level support that will maximize the opportunity for add-on sales.
Retailers operating across multi-channel platforms will be keen to adopt reliable and seamless site-to-store strategies similar to what we are seeing with Wal-Mart, Best Buy and others viewed as industry leaders. Consumers handsomely reward those brands who demonstrate a focus on providing time-saving, hassle-free customer experiences and who can reliably execute on maximizing the convenience factor. Closing the loop on an optimal site-to-store strategy includes offering consumers the ability to return or exchange online purchases in-store.
For decades, J.C. Penney customers have been able to order remotely (phone, mail, and later, online) then pick up the merchandise at the store. The service is a two-way street, because customers can also drop off their returns at the store. Both trips, pickup and return, offer impulse shopping opportunities. And many folks would rather go back and forth to a store than stand on line at the post office, which isn’t open 7 days a week, anyway. They don’t have a place during the day where packages can be accepted or given up for pickup, because they aren’t at home and can’t use their workplace for those purposes, either.
It’s still a bit of a differentiator for this holiday season, but it won’t be by next holiday season. The big question is, what’s next? If you’re Best Buy and you’ve been doing in-store pick up for a couple of years, how do you slay the competition the next time around?
The idea of buy anywhere/get anywhere is the natural evolution, but I think there’s an opportunity to really get sophisticated with cross-channel. With price and inventory optimization, retailers have an opportunity to shape demand by making offers to customers based on where they have too much inventory: “You know, if I ship this to your house, rather than you take it home today, I could give you 10% off and free shipping, and then you don’t have to lug it home.” Or, “We don’t have your size? Well, you can have it shipped from our website, or we’ll give you 20% off if you pick it up from our other store down the street.”
Buy anywhere/get anywhere is coming, and fast. But it’s not just an opportunity to serve customers better. It’s an opportunity for retailers to impact their bottom line too.
It is comical that retailers look for a means to have in-store face to face discussion with consumers who slide away.
Said another way, if retailers spent more time on sales associate and consumer service programs, many of the “cut the labor” efforts would not be needed.
So consumers detour away from ‘less and less’ store level service retailers. So your examples of Circuit City, Best Buy, Sears, and add Home Depot…etc, are in the limelight of poor sales and profit pain!
Instead, such retailers aren’t being noted for consumer service success, and are questionable website ordering retailers, too. Hmmmmmm
Providing in-store pick-up for items ordered from a website is essential. The key is to ensure the customer when they come to the store is able to receive their item quickly and accurately. One of the big issues that comes into play with in-store pick-up is allowing the consumer to be exposed to a pricing variance between the store and the website. Pricing integrity is essential across the same SKUs. If a retailer wants to turn off a customer all they have to do is have them buy an item on the web and then come to the store and see the same item on sale. The policy must always be the give the customer the lower of the two prices.
I wonder whether online ordering/in-store pickup loses some of its attractiveness to Christmas shoppers, since avoiding crowded parking lots and long checkout lines is one of the reasons for shopping online in the first place. Can anybody speak to this?
Regarding, M. Jericho Banks’s comment about universal pickup points for Web only retailers like Amazon, this sounds similar to the role played by 7-Eleven in Japan. Consumers can place orders over the Internet and have them shipped to a convenience store like 7-Eleven. These stores are ubiquitous and conveniently located in heavy commercial districts around train stations. Thus commuters can pickup their orders on the way home from work.