Omnichannel: Driving sales, or just efficiency?

As stores have seen underperforming locations and declining comp-store sales, their response has been a case of circular reasoning. The thought process of converting physical stores to “omnichannel” centers has led stores like Macy’s in some directions that are actually hastening the sales shortfalls.

Just in the past week, RetailWire¬†panelists have discussed the risk of trying to perform multiple functions (including omnichannel initiatives like BOPIS) without adding payroll — putting stress on the existing associates and cutting into expected levels of customer service. I’ve been in several mall anchors recently (not just Macy’s) where the store needs a physical refresh, or more sales associates, or more competent restocking of the selling floor.

It’s not a simple question of how to manage competing expenses, but neglect of a company’s core mission can only cut into its topline sales and profits.

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