The symbiotic relationship between online shopping and brick and mortar stores

Can online shopping and brick and mortar stores benefit each other?

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“There was a narrative that as online grew, stores would become less relevant. But it hasn’t worked out that way,” said Neil Saunders, managing director at GlobalData. “In many ways, the store is still the heart or hub of retail.”

It is another example of how online-only retail has its limits, and why physical stores are making a comeback. After years of overbuilding that lead to a sharp contraction, retailers are on track to open more stores than they close in 2024 for the third consecutive year, according to advisory and research firm Coresight Research.

Many retailers have found that it is too expensive and difficult to attract and retain customers without physical stores. And using stores as pickup and drop-off points helps lower the labor, packaging and shipping costs involved in online orders…

Kohl’s now fulfills more than a third of its online orders in stores, Walmart more than half, and Target nearly all its sales from its network of roughly 2,000 locations, according to the companies.

Americans like shopping. This story makes me think that shopping can even be more pervasive. You can be shopping online and in person. You can shop from anywhere and everywhere. It can happen in the online and offline worlds. It is a self-reinforcing system.

Oh yeah, there is still that pesky problem of people not feeling financially comfortable. Is the all-encompassing shopping realm able to overcome this? Is it just a matter of finding good deals or working with some credit or debt to make purchases?

And if shopping is everywhere, there will likely be more need for companies to differentiate their products and services. What will make someone click on that email or that Instagram ad? What will drive people to that location as opposed to making the purchase online?

An American right to a good deal?

Amid inflation and high prices, the Chicago Tribune editorial board ended an editorial on prices at Starbucks this way:

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It’s no sin to offer good value. Americans are practical people. We’re betting most of those who duck into a Starbucks would be pleased to see some special deals on the menu.

What American does not like a good deal? At the same time, Americans tend to say that the market sets prices. So what happens if prices seem unfair or unreasonable?

Two recent phenomena highlight this tension:

  1. Higher levels of inflation coupled with higher set prices. Is this fair? Sure, Americans keep buying during this time but they are spending more money on goods that used to be cheaper.
  2. High housing costs. Americans want to benefit as homeowners from rising property values but do not like paying high housing prices.

At what point do Americans deserve a good deal? Or when should non-market forces jump in to change conditions? This could depend on the particular context, leaders and influential actors, and what the public wants. Regarding the second example above, Americans have worked over decades to back up mortgages so that more people could pursue homeownership while not providing much public housing.

Even as Americans do not have a right to good deals, they tend to have at least some companies willing to offer goods or services at prices lower than others. This does not always occur and there are situations – such as with monopolies – where the government will step in. Without intervention, individual consumers are left trying to find a bargain or going without in a country devoted to consumerism.

Suburbanites, sacred Target, and popular Stanley Quenchers

Suburbanites are willing to “scuffle” for the latest consumer items. Consider these descriptions:

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That’s why, for the past two weeks, a huge chunk of the internet’s attention has been focused on one baffling phenomenon in particular: What, exactly, is a Stanley cup, and why are suburbanites willing to scuffle over it in their most sacred space (their local Target)?

Let’s recap. As the new year began, Stanley, a century-old company that for much of its history made reinforced lunch boxes and drinking vessels for outdoorsmen and blue-collar workers, launched three pink, limited-edition Valentine’s Day versions of its jumbo-size Quencher cups, all in different shades of pink and only available at Target. The third of these cups, which came out a few days after the first two, was the grandaddy of them all—a new addition to the brand’s ongoing partnership with Starbucks, glazed in a shimmer finish instead of Stanley’s standard matte. All three flew off the shelves. Fans lined up in parking lots in the predawn hours to increase their chances of snagging one. In at least one instance captured in a now-viral video, an argument erupted over who was cutting whom in line, fingers were pointed, and a store manager was summoned to referee. A few videos of rushing shoppers and tepid interpersonal conflicts, plus one that appears to show store patrons trying to tackle a man who had grabbed a box full of tumblers and made a run for it, did the rounds on TikTok before jumping to local news broadcasts and the generalized zeitgeist.

As the internet watched this extraordinarily mild suburban chaos unfold, people understandably had some questions.

In a consumer-driven economy, trends come and go. What is more interesting to me here are the descriptions of how this fits with and/or upsets suburban life. The implication is that suburbanites at Target do not typically act this way. One study suggested suburbanites tend to avoid open conflict. Additionally, Target might be sacred space where a customer can savor the shopping experience. This kind of behavior does not fit within a calm setting. The suburbs are not typically about chaos; residents want to achieve the American Dream and have stability and predictability.

So far, I have not heard of anything involving Stanley that has seriously affected the suburban lifestyle. These are momentary interruptions to everyday life. Of course, they will likely be repeated for another desired item at some point.

Using capitalist means, such as TV shows and consumer goods, to critique capitalism

Capitalism is the economic system of the United States and many other parts of the world. Can actors use capitalist means to critique capitalism? Two recent examples.

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First, television shows, films, and cultural products more broadly often contain critiques of capitalist systems and outcomes. For example, one writer highlights how this happens with the popular series Squid Games:

One of the key things wealth can buy is the ability to make decisions and change your circumstances. Money gives you options and choices. For everyone else in the vicinity of Just Getting By (or worse), choice is often little more than an illusion. Most of us fall into the latter category and perhaps that’s one of the reasons the Netflix Korean series “Squid Game” has become such a global phenomenon since premiering last month, with its brutal critique of capitalist imperatives and the traps therein…

Because is it really a choice — such a slippery word — when you’re this desperate? Is it really a choice when the systems we live by are put in place by the rich and powerful to deliberately create that desperation? Put another way: Scarcity in modern life is as manufactured as the life-or-death scenarios in “Squid Game.”

In the show’s view, we are powerless to band together, to refuse to play along or create a different reality. When pushed to the brink, we become selfish or scared or just beaten down. And ultimately, we turn on one another. Another clear thematic through-line: It is men who run and enforce these games, and it is men who watch them from afar as spectators numb to (or thrilled by) the suffering at hand…

Amazon founder Jeff Bezos — the real-world embodiment of the show’s exploitative VIPs — tweeted congratulations to Netflix’s head honchos before adding: “And I can’t wait to watch the show”? Nothing bizarre or surreal about that, nope, nope, nope. Is this the part where I also mention that Netflix and Amazon are among the studios playing hardball with the union for TV and film crews in the U.S. on issues like livable wages, reasonable work hours and meal breaks? Everything is fine, pay no mind to all the contradictions we live with every day!

So wealthy studios, streaming services, and individuals put together and promote a series critiquing capitalism and there is plenty of money to be made off of this.

Second, consumers are regularly asked to purchase items or experiences that funnel money to worthwhile charities and causes. This could be celebrity-backed lines that donate a portion of the price to charity, religious organizations or civic groups selling items, or companies donating money through purchases. All of this assumes that purchases will be made and that consumers will want to purchase products or experiences that give back as opposed to ones just sold for profit. Consuming is the way to give, as opposed to just giving without the need for consumption.

Perhaps this is a consequence of the fact that anything can be made into a commodity. This includes items needed for daily survival to luxury goods to experiences to things that once were “sacred.” If anything can be bought and sold, including objects that critique the very system under which they are bought and sold, is there hope of a different reality?

Consumerism is also a powerful force. Whether consuming TV shows – binge-watching a critique of capitalism? – or consumer goods, the consumer is in a particular position of taking things in. I like the distinction I have heard from multiple sources over the last decade or so: there is a difference between being a consumer and a citizen. The first primarily takes while the second contains the ideas of duties, responsibilities, and obligations alongside personal or collective benefits.

Televised sporting events as vehicles for commercials

If people were looking for more reasons not to watch major sports – and there are plenty at the moment – then consider the commercialism involved in any televised sporting event. I quote from an article featured in an earlier post:

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The 11 minutes of action was famously calculated a few years ago by the Wall Street Journal. Its analysis found that an average NFL broadcast spent more time on replays (17 minutes) than live play. The plurality of time (75 minutes) was spent watching players, coaches, and referees essentially loiter on the field.

An average play in the NFL lasts just four seconds.

Of course, watching football on TV is hardly just about the game; there are plenty of advertisements to show people, too. The average NFL game includes 20 commercial breaks containing more than 100 ads. The Journal’s analysis found that commercials took up about an hour, or one-third, of the game.

The game itself could be interesting. I have watched numerous games that contained amazing sports moments and I am consistently surprised how often something new or rare happens.

But, even with those great moments, I always get a big dose of commercials. Break after break after break selling me products, brands, and an American way of life based on buying more and more.

Perhaps this is the true message of American sports: the observer, someone who probably was not able to play the sport in question at a high level, can live the good life through purchasing goods and experiences. Even while I am watching, I can purchase a lot through my phone or computer. And I can upgrade the sports watching experience with an even bigger television, more food and drinks, tailgate accessories, and ways to travel to the sporting sites.

And this may be the big message of American life in general. Community might be nice as might finding contentment with what you have. But, the guiding impulse that will help keep the economy humming and the consumer satisfied by novelty and acquisition is to just keep wanting and buying.

Missing the collective effervescence of Christmas shopping this year

Americans like shopping. And this year, even amid COVID-19, the shopping will go on. But, it will take a different form for many as the busy stores and shopping malls will be replaced by online shopping and shopping trips intended to avoid contact with people.

There are two components to shopping at Christmas time. First, Americans generally favor consumerism and can make commodities out of lots of things. Second, shopping can involve being around other people. In a large society where private lives are the norm, shopping near people in an excited holiday atmosphere feels like being part of something bigger. Even if you have no interactions with anyone else outside of your shopping group, simply being in the same time and place can be exciting.

Just as religious rituals can produce collective effervescence according to sociologist Emile Durkheim, so too can Christmas shopping. It may be based on consumerism, have no touch of the transcendent, and involve no direct social interaction with other people. Yet, shopping at Christmas is a different kind of experience than shopping for different kinds of items at different times of the year.

Shopping online produces no such collective effervescence. A person and a screen. The social energy is limited. Of course, one could head to social media to share their online shopping exploits. But, it is not the same as being physically near to other people in a space designed to push you toward Christmas cheer and more spending.

Live the American Dream in a $180k, 375 square foot tiny home

Tiny houses could provide needed cheap housing and upgraded models might also appeal to people. Here is an example of a higher-end model:

https://www.yahoo.com/news/180-000-tiny-home-outfitted-173504352.html

David Latimer of New Frontier Design is creating tiny homes that are more luxurious and more expensive than most you’d find on the market today. His most recent model, the Escher, starts at $180,000 and is designed to fit a family of six full time. Latimer calls this “the future family home.”…

The Escher is unlike most tiny homes, nearing $200,000 and including high-end features. But Latimer said that doesn’t make this model any less of a tiny house.

“Minimalism means different things for different people,” Latimer said. “The bottom line is that downsizing is a tremendous life adjustment and sacrifice for anybody. This tiny house is still a minimalistic lifestyle. It’s still a tiny home.”…

“I believe micro-housing is going to be a substantial part of the future of residential housing,” Latimer said. “Millenials and Gen Z are going to live this way. I would bet my life on this. Micro housing will allow people to live out the American dream.”

I am not surprised there is a perceived market for more expensive tiny houses. At a basic level, perhaps this is just selling the same products to different parts of the market: some people want to pay less for a tiny house, others will pay more. Indeed, from what I can gather about who moves into or at least talks publicly about moving into tiny houses, it looks like there are some educated people with some resources who want tiny houses with upgrades.

More broadly, I am not sure how a more expensive house fits into “the tiny house movement.” Downsizing and having a cheaper home are often connected to anti-consumerist motives and behavior. Some people make the choice to acquire a tiny house in order to move away from having too many items or fixating on a large home or being so financially committed. Does a luxury tiny house try to have it both ways?

If this kind of tiny house – small but still nearly $200,000 – is going to become part of the American Dream, the definition of the American Dream may need to change. For decades now, the American Dream involves owning a single-family home, probably in the suburbs. The Escher could indeed technically fulfill this – provide a single-family home in the suburbs – but it is very different in substance. If anything motivates people to make this the embodiment of the American Dream, it may be financial realities rather than aspirations for a simpler, downsized American Dream. In other words, expensive housing markets and debt may push people toward more luxurious tiny homes rather than a true desire to ditch the big showy house for a high-status small house.

America is #1, self-storage space edition

Americans need extra space for all of their stuff and the self-storage industry has the solution:

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It was in Texas that self-storage originated, in the 1960s. The industry has flourished since then, and the United States now has 2.5 billion rentable square feet, at least 90 percent of such space in the world; over the same period, the average size of an American single-family home nearly doubled, and the average number of occupants fell by a quarter. This suggests that self-storage was not an inevitable convenience but something else, perhaps an indicator of national psychopathology…

Millennials, it is often reported, are uninterested in their boomer parents’ abundant accumulated possessions. Might this hurt the storage industry? They also have the highest storage use of any generation, with one fifth of households. (Millennials, and city dwellers, are also likeliest to choose the inscrutable survey response of having “personally experienced” “living in their units.”) Another idly theorized threat to the storage industry is the success of Marie Kondo’s book The Life-Changing Magic of Tidying Up. The idea seems dubious: consumer storage use recently reached 10 percent of U.S. households, and if anything threatens the business, it would be the pandemic, which appears to have spawned vacancies and depressed rents. It is plausible, however, that a number of Americans attempted a Kondo purge—getting rid of possessions that failed to spark joy, often thanking them for their service before relinquishing them—but wound up storing those things. Since Kondo’s sensibility derives from both Zen’s ideal of nonattachment and Shinto’s respect for the animate dignity of the “inanimate” world, it would be an acute irony for these objects to become imprisoned, like the diverse species of Japanese undead, in a state of irresolution.

Even as Americans have the largest new houses on average in the world and may purchase these homes to store their stuff, many need even more space. There are multiple reasons for this: an emphasis on consumerism; difficulty in parting with objects; lots of land for self-storage as well as relatively low costs for storage; disposable income. Kicking the acquisition cycle can be hard to do.

Two additional thoughts: some argue Americans consume to show off or display their status. But, using self-storage is truly a private act. If items are stored there, they cannot be at your home or in your yard or on hand to use.

Second, if only 10 percent of Americans are using self-storage, there is more money to be made! Imagine a country where tiny houses become more normal but people cannot part with all of their goods and need to store them somewhere. Or, as noted above, Baby Boomers cannot interest their family in all they have accumulated and resale stores and markets are flooded with too many items. Or, some fancy self-storage system where drones find and deliver goods when owners want them.

Advertising yourself through your vehicle

What does your car say about you? It can say a lot according to one Washington police department:

RichlandPDcars

The emphasis here is on limiting exposure to crime. Put a lot of information on your car, people might see it and take advantage.

But, this goes against what Americans argue is a feature of consumerism: the products purchased plus their customization and deployment reflects individuals and their personality. Americans do not just buy cars to get from one place to another. Instead, what model and trim and color buyers select reflects something about them. The pick-up truck reflects rugged individualism. The Toyota Prius reflects different sensibilities as does the Nissan Versa or the Subaru Outback. And then owners can modify the vehicle in a myriad of ways, including adding stickers or decals or a vanity plate to the back. And driving is essential to the American way of life.

Not all information given in public will lead to a crime. Of course, the tweet above does not cover all of the information one could add to their car. This includes messages about particular religions (think Coexist or fish emblems), political bumper stickers, and sports teams, just to name a few.

Treating suburban communities as another consumer good to choose among, Part Two

With the New York Times sharing suburban communities to choose among, I argue this could have long-term consequences for how suburbanites think about their community and social life. In short: treat suburbs like objects to consume and suburbs and suburbanites will struggle to form, develop, and maintain community. Here is why:

woman picking wine in store

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  1. Suburban community is often anchored in moral minimalism. With an attitude of leave each other alone, community is relatively shallow. The emphasis on each resident making the best choice for them could hinder efforts to build community. Consumerism encourages individual choices and often says less about and provides fewer opportunities for collective action.
  2. Making a choice among places of where to live could encourage people to more easily move away from places and/or limit their investment into each community. Purchase one suburb, throw it away when it no longer works for you or no longer meets expectations or another looks more attractive. Suburbs can be picked up and discarded at will, limiting commitment from residents and community members.
  3. Consumerism works through consumers making choices based on the resources they have available. This sorts people based on resources and makes it easier to justify different outcomes – and inequality –  by what resources people had coming in (which can be the result of social and individual factors). For example, one historian highlighted the shift in the 1960s from language about segregating by race or ethnicity to economic resources and social class.
  4. Consumer goods need to be differentiated from other competing consumer goods. The sort of analysis from the New York Times – fairly common in real estate sections – can put a spotlight on a few New York area suburbs and it is very difficult to provide an overview of all suburbs. While suburbs do indeed have unique characters, they also share similar traits compared to other places. Yet, for each of the suburbs highlighted, there are dozens of other suburbs with similar characteristics as well as other unique features. Going even further, trumpeting a few suburbs only might push more residents there while depriving other suburbs of possible residents. Highlighting particular features of places can reinforce statuses and traits and encourage agglomerations of both amenities and a lack of resources. In the long run, this pits suburbs against each other when they actually have multiple common interests and residents need particular services and options.

Articulating a different conception of social life beyond consumers making choices and could be more productive in the long run for nurturing the involvement of residents, deeper social connections, and stronger suburban communities. As I have heard said by multiple scholars, consumers take while citizens benefit as well as have responsibilities to others and the whole.