While the rise of online shopping has undeniably transformed the retail sector, recent trends suggest a shift in consumer behavior. Across Europe, brick-and-mortar stores are experiencing a resurgence proving their enduring relevance in an increasingly digital world. This phenomenon dubbed ‘bricks over clicks’, is reshaping the retail landscape and prompting businesses to re-evaluate their strategies.

Its bricks over clicks

One reason for the resurgence of physical stores is that post-lockdowns consumers crave tangible experiences and social interaction, driving them back to physical stores. Meanwhile, experiential retail has gained momentum and retailers are investing in immersive in-store experiences, transforming shopping into a leisure activity. Also savvy retailers are seamlessly integrating online and offline channels, offering click-and-collect, in-store returns, and personalized experiences. And the rise of behemoths like Shein has pushed traditional retailers to innovate and elevate the in-store experience.

Despite an overall decline in store numbers, selling space in Europe is steadily increasing. Euromonitor data reveals.

This indicates that retailers are prioritizing larger, more experiential stores over sheer quantity. For example, Decathlon the French sporting goods retailer has expanded its global network by 80 stores this year, incorporating interactive features like repair hubs, rental services, and play areas. With the bricks and mortar stores gaining momentum Zalando, the German online retailer is now opening physical stores to complement its online presence and counter competition from Shein.

In fact, the presence of physical stores has been shown to boost online sales. As per Deutsche Bank analyst Adam Cochrane, having a physical store can increase online sales by 10-20 per cent within a 20-minute radius. This highlights the synergistic relationship between online and offline channels. Analysts say, consumers are choosing to return to stores as they’re rediscovering the leisure aspect of shopping. This sentiment is echoed by Thomas Joekel, a portfolio manager at Union Investment, who emphasizes the importance of human interaction and immediate gratification in the shopping experience.

Therefore, ‘bricks over clicks’ trend signifies a shift towards a more balanced and integrated retail landscape. While online shopping remains crucial, physical stores are evolving to offer unique and engaging experiences that cannot be replicated online. This omnichannel approach, combining the convenience of online shopping with the tangible appeal of physical stores, is likely to define the future of retail in Europe and beyond.