So you've opened your new shop. Right there in the middle of the high street. You are selling something that everyone wants at a great price and people are flooding through the door.
But wait a minute, no one is buying your goods and people are leaving, disgruntled. You can't understand it, I mean, your wares are hidden under boxes, the tills don't work and you haven't got any staff to help but where's the problem?

It's inconceivable that you could run a successful retailing business nowadays without a clear plan for customer service and in-store merchandising. But that is what hundreds of online retailers are doing everyday. For many, online retail is a success despite, not because of, their practices.

And as consumers become more savvy and discerning (and this is happening very quickly) they'll take their business elsewhere. It is after all much easier to do this when the competition is a 'click' rather than a car journey away.



So how do you transfer the strategies of in-store merchandising to the web?

Answering these questions will be fundamental.

- How do I put POS material at the checkout?
- Where should I put loss-leader posters on the website?
- How do I encourage customers to spend more?

And of course how do I overcome the fact that there are no sweeties and magazines by the till and no 'little helper' to influence their purchase?

Today, merchandising is increasingly sophisticated with the positioning of goods in proximity to stimulate meal ideas for example. But are these strategies replicable online? And are they necessary? Journeys around a store are largely linear but this is not how people use websites so would it be prudent to force them to do so?

Critical to the future success of online retail will be getting the balance right between delivering what the consumer wants and what the business needs.

Thinking about customer service and merchandising online and finding ways to apply their principles is the first step in the right direction.

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