The retail landscape is constantly changing, with the lines between online and offline experiences blurring. A fascinating trend emerging in Singapore is the rise of digital-first fashion brands expanding to physical stores. This "click-to-brick" approach allows these brands to create a tangible presence, offering customers a more immersive and engaging brand experience.
This trend also reflects a growing consumer preference for omnichannel shopping journeys, especially in the fashion industry, where customers often want to try on clothes or see the items in person before purchasing. According to a report by the Singapore Business Review, nearly two-thirds (64%) of consumers in Singapore will be more loyal to brands that allow them to shop in-store but finish their purchase online, or vice versa. This highlights the importance of fashion businesses creating a seamless experience across both online and offline channels.
To further illustrate this trend, let's delve into how some of Singapore's most successful digital-first fashion brands have made the leap from clicks to bricks, and the benefits they've reaped along the way.
Love, Bonito, a Singaporean fashion retailer, started its journey as an online blogshop back in 2010, catering to women's fashion needs. After experiencing significant success online, the brand recognised the value of a physical presence and opened its first brick-and-mortar store in 2017, changing the future of e-commerce. This strategic move allowed Love, Bonito to offer customers the opportunity to try on clothes, feel the fabrics and experience the brand in a tangible way.
This click-and-mortar retailing strategy proved to be a winning formula, with a 41% year-on-year growth in revenue witnessed in 2021. By combining the convenience of online shopping with the assurance of an in-store experience, Love, Bonito was able to cater to a wider range of customers. Those who preferred to try before they buy could visit the physical stores, while those who valued online convenience could continue to shop online. This approach not only enhanced the customer experience but also allowed Love, Bonito to gather valuable customer feedback and preferences to finetune their strategies.
Pomelo Fashion, a fast-fashion brand established in 2013, quickly became a force in the online retail space, particularly in Southeast Asia. However, unlike many online retailers who viewed physical stores as a burden, Pomelo saw an opportunity to enhance its online presence by strategically integrating offline experiences.
In 2018, Pomelo built on its e-commerce reputation and opened its first permanent physical store in Singapore, introducing a unique "Online to Offline" (O2O) strategy. This click-to-brick model offers the best of both worlds by seamlessly integrating the online and offline experience. Customers can browse and order online, then visit a store for a convenient try-on experience. This eliminated the uncertainty of online sizing and fit, allowing customers to only purchase what they love. This approach caters especially to modern shoppers who value both online convenience and the ability to physically interact with products.
Zalora, launched in 2012, has become a dominant force in e-commerce fashion across Southeast Asia. While renowned for its extensive online platform, Zalora recognised the potential of physical experiences to further engage its customer base and enhance brand awareness. To achieve this, Zalora strategically ventured into the offline world through pop-up stores.
These temporary retail spaces, first started in 2014, are strategically placed in high-traffic locations and offer a curated selection of Zalora's online offerings. Customers can experience the brand firsthand, try on clothes and make immediate purchases. This click-to-brick strategy allows Zalora to connect with customers tangibly, creating a buzz and fostering a sense of community.
Zalora's pop-up stores are designed to be more than just temporary shops — they’re immersive brand experiences that drive customer acquisition. By offering interactive elements, personalised styling advice and exclusive promotions, Zalora creates a sense of excitement and exclusivity. This approach drives sales, strengthens brand loyalty and encourages repeat purchases.
With numerous trends in e-commerce already seen in 2024, digital-first brands embracing physical opportunities signals a broader shift in the retail landscape — especially for those in the fashion industry. The future of retail shopping lies in creating a balanced ecosystem where online convenience and in-person experiences complement each other.
For fashion brands, this means allowing customers to browse and purchase online. At the same time, they need to offer the option to visit a physical store to allow customers to try on clothes, see the quality of the items firsthand and get personalised advice. Through click-to-brick retailing, brands can enhance customer loyalty, build stronger relationships and thrive in the ever-evolving world of retail.
By offering financing solutions tailored to this evolving market, Choco Up empowers businesses to navigate this new era of retail business financing in fashion. Contact Choco Up today to learn more about how we can support your retail journey and help you achieve your business goals!
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