Walgreen’s opens digital-only store
Walgreen’s has opened an experimental store in Chicago that displays just two aisles of merchandise. Other products typically carried by the drugstore chain — cosmetics, alcohol and gift cards — are accessed by ordering online or through a kiosk system in the store. Shoppers who are on site can use a tablet to place orders that are then collected by an associate and packed for pickup. Walgreen’s denied the “digital-first” format is primarily aimed at preventing theft, saying it fits the way people shop now, using self checkout and online order/store pickup.
What do you think of this new store layout? Is this the future of pharmacies? Share your thoughts in a post or comment below.
By SANDEEP RAMESH
Ads Business Leader
The retail store format has remained the same for over a 100 years. But a recent experiment by Walgreens in Chicago(as a response to shoplifting) may provide a glimpse into the future…
Let’s use this concept to imagine what the future of the departmental store could look like:
You walk into the ‘store’. Instead of aisles of products, you have cafes/bowling alleys/video game arcades.All products are stored in the basement.
You use an app or a digital kiosk to order.The products are delivered to your car/parking. You finish your shopping/entertainment/dinner and leave with the groceries.
The ‘shop floor’ is basically used for sampling, promos, coupons and a gamified shopping experience. (Cue Apple and Meta’s VR headsets)
While this makes shopping infinitely more enjoyable, it can transform the retailer’s business economics:
– Increase monetization of the retail space with higher-margin activities.
– Unlock in-store media revenue
You convert the boring shop floor into a cash-spewing machine.
The in-store retail media opportunity alone could double the retailer’s ad revenue & overall EBITDA and change the contours of the retail business,the largest industry in the world.