Showrooming refers to the practice of browsing products in physical retail stores but then purchasing those same items online from another retailer at a cheaper price.
- Customers use brick-and-mortar stores like showrooms to evaluate products firsthand before buying elsewhere.
- They research in-store but complete the transaction online for added convenience or savings.
- Retailers risk losing sales from customers who gain information in their stores without making purchases.
- Showroomers may check reviews, specs and prices on their mobile devices while shopping to easily compare options.
- It poses challenges for traditional retailers in competing with online-only platforms on both selection and cost.
- Responses include price-matching, improved in-store experiences and digital tools to enable purchases on the spot.
Showrooming impacts retail business models by changing customer purchase behaviors across online and offline shopping environments.