Chico’s FAS has implemented e-commerce fulfillment for items that are out-of-stock in its stores. The capability will also be extended to fulfill from stores when an item is out of stock on the retailer’s website.
“We have a terrific DTC business, and one of the things that our DTC business has allowed us to do is to locate merchandise that may not be available in those stores,” said David Dyer, CEO for Chico’s FAS on a recent call with investors. “We are able to actually ring the sale in the store and credit the store for the sale and then ship it from our distribution center, so that has been another way that we get increased productivity from a smaller square footage.”
In addition, Chico’s is utilizing e-commerce as a powerful, efficient marketing tool that allows it to create brand awareness and maximize the opportunity to attract and retain multi-channel customers. Significant investments are being made that include updates to mobile functionality, social marketing, improved quality of mailers and catalogs, shifting paper catalogs to the digital realm, online marketing, page search and emerging mobile platforms.
The retailer will also be allotting resources to the growth of customer groups that are outside of boutique trade areas, “fostering growth of our multi-channel customers, the most important customer of all from a sales perspective,” continued Dyer. “A multi-channel customer spends two times more than our boutique customers only, and three times more than our e-commerce customers only.”
[via RIS News]