Click and Collect: Savior of Customers, Killer of Brand Loyalty?

Click and collect is one of the shopping models that gained significant traction during the lockdowns of 2020. And for a good reason: it streamlines logistics for retailers, and means customers are no longer dependent on delivery services. This approach has its drawbacks, however. Through click and collect, the gap between customers and brands grows even larger, as companies lose out on valuable touchpoints. And because it’s impossible to turn people away from a trend they like, the only prudent choice for retails is to find a way to personalize the shopping experience and generate loyalty in other ways.

What Is Click and Collect, and What Are Its Benefits?

Also known as ‘buy online, pick up in-store (BOPUS), click and collect refers to a hybrid shopping model where customers order a product online, and then pick it up at a physical location, whether that be a store, a designated pickup point, or a locker.  

Click and collect has been steadily adopted by more and more customers in recent years, to the point where BOPUS was considered the most valuable aspect of the retail shopping experience by 40% of customers, according to a 2019 survey by iVend Retail. 

It’s not hard to see why:

• Customers can save on shipping fees
• Buying online is more convenient, while dropping by at the pickup location is still faster than shopping in-store
• The process is more reliable and secure than regular delivery
• There’s no need to wait around for the delivery guy
• During the lockdown, customers could avoid direct contact with others by picking their packages up from lockers, like the Amazon Hub Locker+

Amazon established several locker locations across the US, where customers can pick up their delivery (or return a product). The lockers can be opened via a self-service kiosk. Image source: Terrestrial.

Click and Collect in 2021 - From the Retailer’s Perspective

Many eCommerce companies prefer to rely on click and collect, as they no longer need to worry about traditional shipping. Omnichannel retailers also benefit from this shopping method, as they can repurpose unused real estate into collection points. Others can dedicate a part of their stores to pick-up points and train their staff to upsell products to BOPUS customers.

However, there are several underlying issues regarding click and collect. First of all, not all businesses are suited for it. The system works best for groceries & supermarkets, electronics stores, and fast fashion boutiques. It’s less likely someone would pick up pre-assembled furniture or a refrigerator on their own, while fans of luxury fashion might find this method too impersonal. 

Furthermore, click and collect effectively ruins in-store customer engagement. Pickup points and lockers only work for large, established eCommerce brands like Amazon, or IKEA with its unassembled, easily portable furniture. Unless the collection point is inside the store, customers won’t set foot on your premises anymore. But even if the collection point is located in your store, customers are likely to enter, get their package and leave without exploring — upselling to such hasty customers is a real challenge. 

But offline retailers aren’t the only ones to witness the downsides of click and collect. Even for eCommerce brands, retaining BOPUS customers is a real challenge, as they no longer base their purchase decision on brand love, but rather on the geographical convenience of the pickup points. This is even worse than discounts because establishing new collection points and training new staff consumes far more time and money than offering a markdown.

The IKEA click and collect service is available in a lot of stores, where all products can be picked up for free if the order value is high enough. Image Source: EveningNews24

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