Online spending is expected to account for 12% of all retail trade in Australia and to be worth $43.1 billion by 2022 according to research group CBRE.
CBRE highlighted the omnichannel experience of Sneakerboy and its integration of online platforms into its five brick and mortar stores, as an example of a retailer moving with consumer trends. The digital channels drive customer engagement and foster the in-store experience.
The research also highlighted the brand's minimisation of backroom space, as Sneakerboy's backroom only takes up 4% of its floor space compared to 40% for other retailers.
“The brick and mortar store is wholly a showroom. There is no inventory or storage, with only shoes lining each wall and the distinguishable minimalist tunnel-shaped store forms part of their customer experience.
“iPads connected to seats allow customers to browse real-time stock and check available sizing while trying on shoes.
“There are no prices on display either as they are all displayed on the app.
“Customers do not walk out the door with their new shoes but instead pay for them using the Sneakerboy app with shoes being delivered over the next few days," the research said.
According to the report, Australians also overwhelmingly prefer home delivery for online purchases with almost 70% of respondents citing it as their preferred delivery method.
CBRE also found that online growth has been driven by millennial shoppers who reportedly spend an average of 4.9 days per months shopping online.
However, it also found that millennials frequent bricks and mortar stores more than other generations, with a preference for feeling and experiencing physical goods in-store.