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Net-to-retail photofinishing refers to ordering prints online and picking them up at a local store. As marketers are ramping up their efforts to appeal to the widest audience possible, the historically separate channels of online and retail are merging as an increasing number of online pure-play and retail photofinishing providers begin offering net-to-retail services. Net-to-retail offers the convenience of online ordering, but without the shipping charges and waiting times associated with mail-order delivery. Our survey results suggest that net-to-retail has the potential to increase in popularity as time goes on. In our 2006 survey, respondents were asked whether their primary online photo service enabled them to pick up their prints at a retail store rather than receiving them by mail. 26% of respondents said that it did not, but 53% of respondents reported that they didn’t know. This pointed to a very low awareness rate. Nevertheless, the situation seems to have improved dramatically over the course of the past year. When presented with the same question, 64% of our 2007 survey participants said that net-to-retail was an option, and only 7% did not know. You will notice that the percentage of respondents that indicated “no” to this question remained fairly consistent year-over-year. It’s the awareness that is increasing, and this is a positive sign for the market. Respondents who ordered prints online and had the option to pick them up at retail were also asked how frequently they used net-to-mail versus net-to retail. Survey participants reported using net-to-retail about 60% of the time and net-to-mail about 40% of the time. This split is relatively consistent with that from our 2006 survey. While this appears to be inconsistent with the preference for net-to-mail delivery indicated by respondents previously, it may indicate a willingness to abandon that preference when actually placing an order, perhaps when faced with shipping and handling charges for mail delivery. It might also be that once online photo service users try net-to-retail, they enjoy the service and become more likely to continue using it. This would be a positive sign for retail photofinishers, as it would indicate that online photo service users are pleased with the ordering process, the in-store experience, and the quality of their prints. The preceding is an excerpt from a report entitled, 2007 U.S. Photo Kiosk and Retail Digital Photofinishing End-User Study Analysis. To learn more about this report, visit our online store or contact Robyn Wuori at ext. 109 or via e-mail at . |