Major smartphone brands are focusing more on offline retail stores to increase their reach and sales in India. Here are some reasons why:
Wider reach – Offline retail stores give mobile brands access to a wider customer base, especially in tier 2 and 3 cities where most sales still happen through physical stores. This helps increase sales volumes.
Touch and feel experience – Many customers still prefer to see, hold and test a mobile phone in person before buying. The touch and feel experience provided by offline stores cannot be matched online.
After-sales service – Customers tend to trust that offline stores can provide faster and more reliable after-sales service like repairs, replacements, etc. This boosts customer retention.
Build brand awareness – Having phones displayed prominently on shelves in retail stores helps build brand awareness among walk-in customers who may not have heard of the brand otherwise.
Customer trust – Many consumers, especially in smaller cities, still prefer buying from familiar local stores that they trust rather than opting for online purchases.
Decrease reliance on e-commerce – Mobile brands want to decrease their dependence on major e-commerce players and have more control over the sales and customer experience of their own products.
Better bargaining power – Operating their own exclusive offline stores gives mobile brands more control over issues like pricing, discounts, promotions, etc. rather than relying on retailers.
Tighter inventory control – Operating offline stores gives mobile brands more control over inventory levels, replenishment schedules and product mix based on local demand. This helps optimize supply chains.
Data collection – Mobile brands can collect valuable customer data and insights by interacting directly with consumers who visit their offline stores. This data helps improve future products and marketing campaigns.
Brand loyalty – Providing an exceptional in-store experience can help build greater brand loyalty among customers who visit offline stores. This translates to higher sales and revenues over time.
So in summary, mobile brands are focusing on increasing their offline store presence for reasons like wider reach, better after-sales support, greater customer trust and more control over the sales process and customer experience.
