Every week, you can log on to this column to check out how best you can use the Internet as a tool to improve what you are best at, running your business. They are opening up physical stores and showrooms as a way to better connect with consumers, bolster credibility and ultimately drive more traffic back to their Web sites. It's a logical next step for Internet merchants. After all, the Internet is merely one channel for reaching customers. Analysts believe online companies must learn to attract consumers everywhere they live and work, and that includes the real world.
Flagship stores are necessary to target mass consumers.
Their function is not so much to sell roducts, but to acquaint and educate consumers about their online counterparts and legitimize the brand name. It's critically important in terms of building trust to have a physical location where people can find you and feel the excitement. The company plans to build similar showrooms in other major metropolitan areas like London, New York and Chicago. The showrooms will all contain Web kiosks for bidding. Building a strong brand name and consumer trust is vital to any Internet company.