For example, at discount department stores, 96% of spending is in-store. Spending behavior across channels varies by category, but the percentage generally tilts toward physical-store spending. While Most Spend Remains In Stores, Online Shopping Drives More Store Transactions In contrast, when the initial purchase is online at a traditional department store’s site, subsequent in-store purchases total only 50% of the original $100 spent online by the 30th post-sale day, including in-store returns. By the 30th post-transaction day, they will have spent an additional $319. For instance, in discount department stores, five days after spending $100 on a retailer’s web site, shoppers will spend an additional $140 in-store on average. ICSC analyzed more than $31 billion in consumer spending with consumer insights firm 1010data during 2016, 20 at retailers across several categories, including apparel, beauty, discount and traditional department stores, home goods and emerging digital native retailers.Īlthough the study largely focused on transactions taking place within a 15-day period, spending usually continues to increase for a full month. Shoppers that spend $100 online and then buy in-store at the same retailer within a 15-day period average a net spend of $231.Shoppers that spend $100 in store and then buy online at the same retailer within a 15-day period average a net spend of $267 and.The study, titled The Halo Effect II: Quantifying the Impact of Omnichannel, revealed:

Retailers must take this halo effect seriously when planning future stores or even reducing store counts, according to a survey from the International Council of Shopping Centers (ICSC). Usually, it stems from, and leads to, a series of transactions, emphasizing the role of the “halo effect” - how a purchase in one channel directly impacts the purchases in another. A single online or in-store transaction is rarely an isolated occurrence.

Halo online 2019