Clicks and Bricks in a Symbiosis : A qualitative study about the value of the physical store in a digital era

Abstract: Background and Problem DiscussionA paradigm shift in retail is evident due to the increase of customers purchasing productsonline, where digitalization has created a concern regarding the existence of the physical storein today’s digitalized society. On the other hand, e-commerce has been seen as an opportunityfor retail stores to use as a strategy where physical and digital work together in a symbiosisfor creating unified messages and experiences for the consumers across channels. However,this creates a challenge for finding the right combination, where physical stores require otherdemands today because of e-commerce.Purpose and Research QuestionsThe purpose of this study is to investigate the value of the physical store in today’s digitalizedsociety from a company perspective. In order to answer the purpose, the following researchquestions have been formulated focusing on the Swedish fashion industry:• What role does the physical store have in today’s digitalized society?• How do fashion brands value the physical store?Research MethodologyIn this study, a qualitative method was conducted with a hermeneutic approach, utilizingsemi-structured interviews with key people at three traditional and three online-based fashionbrands, which are MarQet, H&M, Gina Tricot, Ellos, Jollyroom and Nelly.com.ConclusionThe physical store increases in value when working in a symbiosis with the online store. If thephysical and digital commerce are coordinated and run parallel with each other, together theycan produce greater value than individually. Traditional and online-based fashion companiesfind value in the physical store in attracting more customers, strengthening the brand,providing a holistic experience with personal service, events and added services. The storecan provide that little extra to the customer also by integrating with the online store in order tomove seamlessly across channels. The physical store is required in today’s digitalized societyin a symbiosis with the online store to create value for both customers and brands. This studycan in the long-term contribute to knowledge for fashion brands to understand and use thephysical store in the best way possible to create customer value.