While e-commerce was worth €129 billion in France in 2021 (Source FEVAD), the segment currently represents only 14% of retail sales. In other words, traditional trade still accounts for 86% of transactions, and even more than 90% for large-scale food retail.
However, although the majority of transactions are still carried out at retail outlets, major retailers are actively working on their digital transition, particularly by digitising their local marketing.
Taking into account rising paper costs (+40% in 2 years) and initiatives such as “Oui Pub” [yes to advertising flyers], more and more retailers are considering abandoning paper leaflets.
The decision to abandon this method, which could account for up to 20% of sales, is being made because retail giants are beginning to find alternative ways of generating traffic in their sales outlets.
And location-based advertising is probably the most powerful tool, but also the most difficult to implement. It requires retailers to rethink the catchment area of their shops (postcode? IRIS [aggregated units for statistical information] code?, Isometric, Isochronic, boxes, customer GPS data etc.), change their catalogues to banners, segment their prospects (brand appeal, type of business, products etc.) and then buy advertising campaigns that combine coverage, premium environment and quality targeting.
Proxistore offers all this and helps retailers to deal calmly with the decrease in conventional methods. Contact our digital advisers to help you roll out your local digital communication the smart way!