Could online shopping decline and the 'high st' return if
Could online shopping decline and the 'high st' return if
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Discussion

footnote

Original Poster:

924 posts

136 months

Saturday 12th November 2016
quotequote all
delivery drivers agitated for conventional 'employee' working conditions?

Just a thought I, and I'm sure many others have had, that the online shopping profit margin depends as much/maybe more on cheap delivery than on lack of high street premises.

How narrow are the margins that make it profitable to post out items and still undercut a large retailer?

For example, in my local B&Q, I saw gardening boots at £9.99.
Like many people, I then assumed the shoes would be cheaper online.
I couldn't find them online anywhere at less than £9.99 plus delivery - so I bought them at B&Q.

At ASOS I paid £10 for a year's guaranteed next day delivery.

How many items do I have to buy before the margin is eaten up in delivery charges.

And this is all with the current driver conditions and pay.

If delivery drivers are regulated, say in the next 5 years: perhaps have to have tachographs, limited driving hours, full employee terms and conditions -

Could online shopping disappear as quickly as it arrived?

bitchstewie

68,111 posts

240 months

Saturday 12th November 2016
quotequote all
If I can buy an item locally as cheaply and easily as I can online I'm happy enough to go into town and get it.

The point for me is that locally I might have a "choice" of one item whilst if I go online I have infinite choice and it'll almost certainly all arrive the next day.

So in short, no I don't think it will make a significant difference.

Alpinestars

13,954 posts

274 months

Saturday 12th November 2016
quotequote all
Aren't drones supposed to take up some of the delivery?

And bear in mind, someone has to make a journey somewhere to get whatever you buy from wherever you buy it, to your house.

Hoofy

80,133 posts

312 months

Saturday 12th November 2016
quotequote all
"Click and Collect" may become more prominent. Many shops offer it, plus you can have it delivered to Collect+ "stores" if the online business doesn't have a physical venue. (Annoyingly, I thought of the concept before I saw the first Collect+ store but had no idea how to implement it.)

footnote

Original Poster:

924 posts

136 months

Saturday 12th November 2016
quotequote all
Of course, online 'choice' is amazing but it only arrives next day at a price - usally a premium delivery charge.

If an increase in delivery costs meant that the item cost plus delivery went up much further (beyond local retailer level) after all B&q can deliver 100 pairs of shoes more economically to their local warehouse than they can one pair to me - could online shopping become more of a finding/searching activity - rather than buying - for enough numbers of consumers to affect the success of the business model

swisstoni

24,137 posts

309 months

Saturday 12th November 2016
quotequote all
I don't quite know how the business model works.
Mrs buys almost all her clobber online now and sends half of it back again, a lot of it with a free return!

Perhaps that IS easier than paying for premises on High Streets and staffing them and stocking them etc, etc.





dci

662 posts

171 months

Saturday 12th November 2016
quotequote all
A trip to my local high street:

Get in car and drive about 20 minutes to local town.

Enter car park and remember that it must be the only place in 2016 that doesn't take card payments.

Drive to local tesco, withdraw money and go in to tesco and buy something you don't need as the cash machine only gave you notes and the PAD machines don't take notes so you need change.

Drive back car park, spend a while trying to find a space that doesn't have the arse end of a people carrier hanging over the lines then park. Then find out the machine doesn't even give change..

Walk about 5 minutes to the desired shop to find that as its a small town centre store it doesn't have what you wanted in stock.

Go home disappointed.

Vs

Open IPad

Go to website

Select item and purchase

Turns up next day


It's really a no brainier for me.

bitchstewie

68,111 posts

240 months

Saturday 12th November 2016
quotequote all
footnote said:
Of course, online 'choice' is amazing but it only arrives next day at a price - usally a premium delivery charge.

If an increase in delivery costs meant that the item cost plus delivery went up much further (beyond local retailer level) after all B&q can deliver 100 pairs of shoes more economically to their local warehouse than they can one pair to me - could online shopping become more of a finding/searching activity - rather than buying - for enough numbers of consumers to affect the success of the business model
Again, I don't think so.

As others have mentioned you have click and collect, and there are costs with the high street such as parking.

Once you get outside of staples such as food where if you live in a reasonable sized town you have plenty of choice.

I struggle to buy anything I want where I live, the shops either aren't there, or aren't competitive or don't try to be - I've stood in my local shoe shop before having tried on a £100 pair of shoes with my mobile phone in my hand saying "I can get these online for £65, can you do anything at all on the price?" only to be told "No".

I'll accept I'm part of the problem by buying online but my town centre is now dominated by charity shops and coffee shops (and bizarrely estate agents) because rents are insane, rates are insane, parking is insane, so why would you even bother?

Oh and that's before you factor in that legally I'm better protected buying online than face to face if I simply get it home and change my mind confused

SWoll

22,917 posts

288 months

Saturday 12th November 2016
quotequote all
Of course not, if anyhting it will become more popular.

It's not just about margins on delivery with retailers like ASOS ad Amazon, but also about you always shopping with them rather than going elsewhere as you don't have to pay delivery/return charges. We have both and certainly my wife returns more things to ASOS than she keeps, but will use them on a very regular basis (In fact I've just been to the door to accept an ASOS delivery from DPD)

The cost of running and staffing a chain of retail stores is also so big that in comparison subsidized delivery deals are insignificant. Imagine the costs to Argos for example of all of their retail stores running all week.

steveo3002

11,232 posts

204 months

Saturday 12th November 2016
quotequote all
high street needs a big shake up to work

bad parking , overpriced parking , shop hours that suit the unwashed , then having to push and shove past all the dole scroungers and scummy mummys vs clicking a button and having it delivered to the door

zb

4,211 posts

194 months

Saturday 12th November 2016
quotequote all
Hoofy said:
"Click and Collect" may become more prominent. Many shops offer it, plus you can have it delivered to Collect+ "stores" if the online business doesn't have a physical venue. (Annoyingly, I thought of the concept before I saw the first Collect+ store but had no idea how to implement it.)
This is the most likely. I recently ordered trainers online from Size? I chose next day delivery (by DPD), and had them dropped off at my local Halfords, so I could pick them up on my way home, rather than take a day off work for a delivery, which may or may not arrive. It cost extra but I have no qualms about that.

Wobbegong

15,078 posts

199 months

Saturday 12th November 2016
quotequote all
dci said:
A trip to my local high street:

Get in car and drive about 20 minutes to local town.

Enter car park and remember that it must be the only place in 2016 that doesn't take card payments.

Drive to local tesco, withdraw money and go in to tesco and buy something you don't need as the cash machine only gave you notes and the PAD machines don't take notes so you need change.

Drive back car park, spend a while trying to find a space that doesn't have the arse end of a people carrier hanging over the lines then park. Then find out the machine doesn't even give change..

Walk about 5 minutes to the desired shop to find that as its a small town centre store it doesn't have what you wanted in stock.

Go home disappointed.

Vs

Open IPad

Go to website

Select item and purchase

Turns up next day


It's really a no brainier for me.
Pretty much my feelings towards it too. If I wasn't penalised for bringing custom to the town/city centre I'd be more likely to spend my money locally.

Escort3500

13,544 posts

175 months

Saturday 12th November 2016
quotequote all
Car parking in the market place and surrounding land in our local small town used to be managed by the council who levied quite steep parking charges. Then it was taken back by the landowner when the lease lapsed. The landowner now offers free 2 hour parking. There's more activity in the town, it has a renewed vibrancy and some more shops have opened. Parking charges is one of the major issues that deters shoppers in a rural area like this.

Edited by Escort3500 on Saturday 12th November 18:31


Edited by Escort3500 on Saturday 12th November 18:32

paranoid airbag

2,679 posts

189 months

Saturday 12th November 2016
quotequote all
steveo3002 said:
bad parking , overpriced parking
So, which is it?

Basic economics here. If a product is under supplied, prices need to be raised.

Supply-demand curves are not a lefty conspiracy.

BrewsterBear

1,548 posts

222 months

Saturday 12th November 2016
quotequote all
Not for me. The nearest bigger town to me is Shorpe. Now, if I want a Greggs there are three of those. If I want to pawn a 9ct gold curb chain there must be half a dozen places I can do that. If I want to buy a cornucopia of Chinese ste for £1 then I will be having a heyday. However, if I want to buy good quality clothes, electronics, or anything else that isn't absolutely bargain basement then I'd be screwed. And charged for the privilege of parking in an overcrowded car park full of single mums in Renault Scenics that don't have a straight panel on them.

I'd rather pay £6 for next day delivery with a 1 hour slot than ever go into a poxy town centre again.

rxe

6,700 posts

133 months

Saturday 12th November 2016
quotequote all
However the supply/demand curve has a massive hole in it - there is an alternative. Faced with over pricing or insufficient availability, the demand side has a choice to go elsewhere. So it does.

I've got to the point where I will order 2 AA batteries from Amazon or eBay rather than waste 30 minutes driving to town, faffing with parking and driving back. Generally the price is better than physical retail, and delivery is free.

High street is dead, it just doesn't know it yet. If they ever manage to make driverless cars work, it will literally vanish overnight.

Flooble

5,756 posts

130 months

Saturday 12th November 2016
quotequote all
I am fortunate to work in an office which is within walking distance of a high street full of shops.

However, those shops are not open until after I have started work and they are closed by the time I finish work. I quite literally could not buy a pint of milk for the office kitchen on the way in yesterday morning - had to send someone out after the actual working day had started. Equally when I wanted to pick up some batteries I ordered them from Amazon to be delivered to the office, as by the time I got out of work everywhere had already shut, so the Amazon delivery was actually quicker.

As others have said, if you also need to drive to the high street you face the joy of scrapping with people who are too entitled to care about driving through your car or opening their doors into it. Around here even the local retail parks are deeply unpleasant places to park - spaces designed for a Ford Anglia (even the park built in 2016) but filled with gigantic MPVs and 4x4s.

David87

7,034 posts

242 months

Saturday 12th November 2016
quotequote all
I just looked at my Amazon account. 102 orders placed in the last six months. Can't see how they're making much money out of my Prime membership, but I'd happily pay more for it. hehe

I don't really go to shops at all and very much like I that way. I don't have the time and it's just generally hassle.

Fastdruid

9,405 posts

182 months

Saturday 12th November 2016
quotequote all
Honestly by the time you've got fuel and parking costs added on to typically higher high street prices it's rare there are any savings.
Plus it's at least an hour or so out of your life against click, click, turns up two days later.

Right now we get a chunk of our stuff from amazon, we're signed up for prime and it means everything is next day and if you do need to send stuff back it's hassle free.

The only real downside is the amount of cardboard for recycling. wink

Conscript

1,378 posts

151 months

Saturday 12th November 2016
quotequote all
Escort3500 said:
Car parking in the market place and surrounding land in our local small town used to be managed by the council who levied quite steep parking charges. Then it was taken back by the landowner when the lease lapsed. The now offer free 2 hour parking. There's more activity in the town, it has a renewed vibrancy and some more shops have opened. Parking charges is one of the major issues that deters shoppers in a rural area like this.
It's not so much the parking charges themselves which are the issue - I have no problem paying to park my car. What I object to, is obvious measures to make as much money from parking charges as possible, when there is absolutely no need.

Things like, supplying parking meters which don't give change, and then charge in multiples which you're less likely to have the exact change for anyway (70p an hour...they know most people are just going to shove a pound coin in).
Or machines which don't have a suitable minimum tariff, meaning you pay for an hours parking when you know you'll be there ten minutes max.
Also, non-transferable PaD tickets. If I pay to use a parking spot for an hour, then I leave after 10 minutes, where is the harm in giving the ticket to someone else? Does it matter what car is in the spot that's being paid for?
And as mentioned above, machines which don't take card - why not? It's 2016.

Councils enforce some of the above and seem to go out of their way to make high streets as inconvenient as possible to visit by car, and then p*ss and cry about how said high streets are declining. I understand that there must be costs to cover, but like I said, it would be nice if they made it easier and fairer to pay, rather than extracting money through means such as the above.


Edited by Conscript on Saturday 12th November 12:03