The E –Commerce,  future of the retail industry ?

The e - commerce in the retail industry also known by the name of "Drive". 

It became the new economic growth factor in the area of ​​food supermarkets.

It began in 2004 with the "Auchan" group who created the " Drive " or  "Click  and Collect"  food.  After that, 250 openings  of « Drive »  were observed to reach the number of 2321 in 2013 on the French territory. For these big stores, this became a way to gain new customers but also not to lose.                         

The French quickly adapted to this method of consumption and  now one French  in five  use: ease of ordering online via PC, tablet or smartphone, from home , work or in transport. This  is a more convenient way that allows you to go directly to the desired product by avoiding unnecessary spending of  impulsive purchases It also avoids the problems of parking, crowds and gives an  access to a more competitive offer without additional cost. Purchases are faster because they are available the same day after a few hours.

There are two forms of " Drive "

The " Drive  Solo" is a warehouse who has withdrawal  zone and  it's situated separately of any supermarket. It is located in a strategic location to attract new customers and gain market share.

The " Drive Attached " for its part is located in the same area and close to the large surface area, sometimes even stuck to this one with a reserved storage area. The supply is  taken directly from the storage space and if ever the stock is out , it provides directly in the store. It is called " picking " whose some stores will even make 100% picking.                                         

The advantage of the "drive attached " is the speed of installation but against part there is the risk of being out of stock even within the store.

However the success of the  « Drive » could stops suddenly due to many threats. 

Today,  supermarkets have invested considerably in e - commerce. However, they still face a dilemma : Does the investment will be profitable? To this is added the change in legislation desired by the government that wants to submit the authorization of the « Drives » at the same level as all other commerce, thus making it more difficult , long and costly the birth of a « Drive ».                                                                                            

In Germany, some companies sell their food products online and deliver them. To remain competitive, the « Drives » may need to be adapted to this concurrence.This will certainly require additional investment and  thus as a result, with a higher cost  to the consumer.

Today we can ask as what will be the evolution of these models e-commerce in the future.The virtual trade will  it make disappear the immense commercial areas  which we know?

Oksana.S

M1NGT

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