Brick and mortar retail to survive online boom

CEBU, Philippines — Global retail giant Miniso International is confident that the fast growing online retail highway will not make a dent on the businesses of the physical retailers.

Mini Depato Corporation president Michael Hong downplayed impressions that retailers will be badly affected by the boom of online trading.

Mini Depato Corporation is the Philippine master-franchisee of Miniso International.

Hong believes that the brick-and-mortar retail concept will continue to thrive stressing that online trading is not a threat, but rather provides additional boost to their businesses.

In fact most retailers now, including Miniso, are taking advantage of the digital platform to cater to the rising e-commerce market, Hong added.

Miniso, Japan's fast fashion brand, is now active on both sides — physical and online presence. Hong said the e-commerce economy of the Philippines is still in its infancy and still developing.

Hong said tapping the digital platform is already being discussed for the Philippine market but its rollout will largely depend on the maturity of the online selling acceptance here.

Meanwhile, Benedicto Villanueva, president and chief executive officer (CEO) of GFK Retail and Technology Philippines advised retailers to "cross-over" or blend-in to the online shopping highway, instead of being threatened by the popularity of digital shopping.

Experts have found out that maintaining an online presence at the same time operating the traditional "brick and mortar" are both important to stay in the business.

According to Villanueva while online shopping has not yet really taken off fully in the Philippines, it is however evident in developed countries that the evolution of ecommerce has not toppled down the brick and mortar stores eliminating impressions that online shopping could mean death to physical stores.

'Brick And Mortar' is a traditional "street-side" business that deals with its customers face to face in an office or store that the business owns or rents. The local grocery store and the corner bank are examples of brick and mortar companies.

After the much hype in digital and online shopping in recent years, the market has returned to brick and mortar, because most buyers still prefer to touch and feel the product and see it before deciding to pursue with the purchase. (FREEMAN)