This is an issue Primark will have considered. And unlike Next, it had a poor experience of selling outside of the stores when it trialled selling through online retailer Asos a few years ago. There is a perception that setting up and running a website should be easy. However, even small e-commerce owners quickly find that being online is not just a nice-to-have addition to their business. To sell online, businesses need a gripping website with quality pictures.
Returns usually occur when the item fails to match its online image or the information provided is incomplete or inaccurate. Online chat, call centres and customer support all need to be staffed, in addition to the warehouse operations dealing with online orders.
Most retailers find themselves setting up separate distribution warehouses to handle their online goods. Most major retailers have also set up separate distribution centres just to deal with returns.
We found that accepting returns in store is the most cost-effective route. Generally speaking, online shops offer a standard price for delivery, no matter what you order. Some will even offer free delivery. How much would you be willing to pay? In the UK the law is that a retailer has to refund the customer the total cost of their purchase, including delivery. That means all online shops lose the cost of the original delivery, as this has to be given back to the customer. This shows how much of a big problem it is.
Returns are not simple, even when you think they are. Put that together with general customer services, tracking orders for customers, missing items, damaged goods and so much more. All of the above cost a lot of money, which in turn would mean higher costs or possibly a loss of quality.
The likes of Boohoo, and PrettyLittleThing already offer rock bottom prices. Primark have been online before, kind of. Where can you still use click-and-collect? Retail sales in 'worst for 25 years' 'Worst year for High Street job losses in 25 years'. The BBC is not responsible for the content of external sites.
View original tweet on Twitter. Why won't Primark sell online? Primark shops saw strong sales when they reopened after the first lockdown. Can the retailer survive offline? The changing online dial. View comments. H M S In the news. Mary Hanbury. Primark , a low-cost, European apparel chain, is the fastest-growing retailer in the United States, according to a report from the National Retail Federation's Stores magazine, which used sales data from Kantar Consulting.
It currently has nine stores in the US but does not sell its products online. Primark's business model of offering rock-bottom prices does not lend itself well to e-commerce, executives say. Get a daily selection of our top stories based on your reading preferences. Loading Something is loading.
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