Internet Retailer - Strategies For Multi-Channel Retailing


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Feature Article May 2003   
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Free delivery to stores boosts kiosk sales

Most surveys say consumers hate delivery charges—that’s why sites like Amazon.com and Buy.com have made so much marketing noise over how to avoid shipping charges. Now with a twist that leverages its store locations, REI Inc. is showing that the surveys are true.

REI is offering free store delivery for anything ordered onREI.com through store-based web-enabled kiosks. Since the free store pick-up service started last September, kiosk-based sales of kayaks, which can have delivery charges of over $100, have surged 700%, while overall kiosk-based sales are up 30%. Beginning in June, REI will offer free delivery to the store for any item at REI.com ordered in the store or at home.

Right now, store web-based orders have to originate with a store sales associate. But also beginning in June, customers will be able to place their own orders over kiosks for store pickup. REI says the offer for free store pick-up is permanent one that REI can afford because it consolidates online-ordered products with other shipments already destined for its stores.

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