Also known as ‘Click and Collect’, BOPIS (Buy Online, Pickup in Store) is becoming increasingly popular in ecommerce and refers to the possibility to buy online and collect items at a pick-up point or brick-and-mortar store. In addition to making delivery options more flexible for users and allowing retailers to mix online presence and physical space, this model offers several significant advantages, from reduced shipping costs to the chance to offer more competitive prices.
According to data from Shopify, 59% of consumers are interested in “Buy Online, Pickup in Store” options. The ultimate goal is in fact to allow the customer to collect their order more quickly and conveniently than with other shipping methods. To achieve this, however, it’s important to have enough stock available in the store or warehouse for staff to locate the items, package them, and arrange everythingfor collection.
How BOPIS works
BOPIS and its variants require an interaction between the online catalog and the physical location, which can be a shop, a dark store or a distribution center.
Here are the main steps in which BOPIS is divided for the customer:
1. Order online: Customers browse products on the retailer’s website or app and add items to their cart, just like they do with traditional online purchases.
2. Payment: Users select their preferred option and proceed to payment.
3. Fulfillment of the order: the order is sent to the “pick up” location
4. Customer notification and pickup: Once the order is ready, customers receive notifications via email, SMS or app and go to the dedicated pick-up point. Here the employees deliver the ordered items or the users themselves collect them autonomously from special lockers, protected by a code in their possession.
BOPIS processes may vary depending on the reseller’s operations and the nature of the products sold.
How BOPIS can elevate your online business
Reduction of shipping costs
BOPIS is a faster and less expensive solution than home delivery, and this applies to both the company and the consumer. It will no longer be necessary to make an individual delivery and packaging and shipping times are reduced.
Reduction of the cart abandonment rate
Among the main reasons for cart abandonment there are high shipping costs and long delivery times. BOPIS is a solution to both of these problems because it optimizes shipping costs and times, thus preventing the major causes of abandonment at checkout.
Faster and more flexible service
Giving customers more flexibility in terms of shipping options is essential. With BOPIS you will be able to satisfy both those who need more independence (in fact, not everyone can be at home when the courier delivers), encourage impulse purchases or meet the needs of those who require urgent deliveries. BOPIs is in fact among the fastest solutions in terms of delivery times.
Return reduction
Customers who buy online and pick up in store (BOPIS) can both try on and replace products on site, thus having more freedom to decide whether to keep or return them.
Increase in-store traffic and boost cross-sells
Online retailers that also have brick-and-mortar locations are missing out on big opportunities if they don’t take advantage of cross-channel shopping, considering that 50% of shoppers make additional purchases when they pick up in-store.
With BOPIS, retailers can integrate the online with the in-store experience, allowing customers to enjoy the benefits of both.
What do you need to implement BOPIS?
Have a physical location available
To implement BOPIS, retailers must have at least one physical location serving as a hub for order pickups. Hubs should be strategically located and be within easy reach for customers.
Synchronization and inventory visibility
You need to implement the right technology, such as a WMS software, to always be sure that the products are available to the customer.
If you have multiple locations, inventories must be synchronized to ensure same-day pickup options. Without that visibility, BOPIS can become a failure. For example, a customer might order online to pick up in-store and find out, only when picking up, that the product is out of stock. Real-time inventory visibility not only avoids these kinds of issues, but also allows you more flexibility to move and restock inventory from across channels.
The right fulfillment strategy and warehouse management
Before implementing BOPIS, make sure you have a proper fulfillment strategy and systems in place to handle your orders.
The more orders to fulfill, the more essential it will be to manage warehouse and spaces effectively.
