Brick-and-Mortar Battles Amazon: Who Will Win?

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Aug. 25 (Bloomberg) -- JPMorgan Senior Economist Jim Glassman and “Buyology - Truth and Lies About What We Want” Author Martin Lindstrom discuss the brewing battle between brick-and-mortar stroes and Amazon on “Bloomberg Surveillance.” (Source: Bloomberg)

Brick-and-mortar stores hold?

Bricks and mortar have tried to committee on price and volume over the last 15 years.

Forget about it.

What they can compete on is the senses.

It is an experience.

It is storytelling and people want that.

If you are petting a rat, we will die in a couple of weeks.

We want to touch because it makes us feel alive.

That is what retailers have to do.

Does that mean they should not expect people to buy anything on the first trip?

If you want to familiarize yourself with the product.

You walk around and get the ambience.

What we can see from our studies is retailers can still -- tell amazing stories.

You can engage with the community.

I think macy's and herald square is what you are talking about.

Is that transportable to other cities across the country?

We can put it in a bottle.

It is about malls regaining their power.

We are now creating our own pots and cans.

Your crafting things in malls.

If you can't reputation -- replicated online, you have a reason to go into a mall.

Malls have got to get out of the price rectus.

Can you explain the appeal of the farmers market?

They are up 17% this year.

Is an inefficient way to buy something.

It is so inefficient it is not even funny.

There is a trend in france where they are selling bananas that are not perfect.

It is booming because people feel that is authentic.

As an economist, do you look at retail as one whole or is it two or three parts?

There are many parts to it.

Depending on the consumer sector that you are looking at, some people are more focused and some are in a rush and don't have time.

If you stick with dollar tree, are they doing an event at all or treat?

I don't know if that is that kind of urges.

If i go into a retail store i am likely to buy 42% more than i planned to.

Online, it is around 9%. what about aspirational purchasing?

That is everything.

Even we are influenced by that when we buy our gingham shirts.

We all want to follow other people.

We are fundamentally afraid of falling out of line.

I do my purchases like that at home depot.

They not doing anything extraordinary.

Everything is automated that i like to go to home depot and we all have fun there.

The wealth of tools and possibilities that you have make it more aspirational than practical.

This is a toy store for adults.

We need that.

We are all a child inside.

The average adult believes he is only 17 inside.

Do economists believe that?

In his world and believe the 20 roles -- i still believe that i am 20 which is why i do so much damage to myself on the tennis court.

I am looking at you tom.

This text has been automatically generated. It may not be 100% accurate.

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