I just read an article in Fortune (https://fortune.com/2024/08/19/rei-outdoor-gear-green-vests-unionizing-losses-eric-artz/) about REI, which got me thinking about the challenges outdoor retailers face.
As an outdoor enthusiast my entire life—competing in sailing, skiing, mountain biking, climbing, and even as a sponsored triathlete—I’ve seen many outdoor stores come and go. From EMS (now in bankruptcy protection) to Sports Authority and Modell’s Sporting Goods, these stores’ struggles often go beyond UX.
The real issue lies in their inability to adapt to market shifts. Overstocked inventory, lack of inventory, and competition with the giant that is Amazon are common culprits. So why try to compete head-to-head with Amazon?
At this point, as much as we all crave a new way to shop, we’ve grown accustomed to Amazon’s convenience. REI should take note.
While telling a brand story and showcasing the culture through beautiful hero images is essential, the question remains: does that drive sales? Factors like pricing, simple shopping experiences, and easy navigation influence a purchase. These might not be why customers choose to buy, but they facilitate the decision.
REI is a great brand, and in many ways, it stands out from competitors like Dick’s Sporting Goods. It may be time to stop trying so hard to differentiate through storytelling alone. Instead, hire talent with the right experience across all business areas, even outside of outdoor sports. This type of knowledge is critical to long-term success.
I don’t know precisely how REI should be run, but I have some ideas. Feel free to reach out to me if you’d like to talk about them. In the meantime, I recommend starting with these changes.
Making REI.com more like Amazon.com would involve adopting some of the key features and strategies that have made Amazon so successful. I am not saying that REI has not implemented some of these, so take it as a playbook and move forward.
Enhanced Search and Navigation
- Advanced Search Capabilities: Implement a more robust search engine that supports natural language queries, predictive text, and misspellings. Add advanced filtering options that allow users to narrow down results by price, brand, size, color, and other relevant attributes.
- “Amazon’s Choice” Equivalent: Introduce a feature similar to “Amazon’s Choice” that highlights recommended products based on popularity, ratings, and value for money.
Personalization and Recommendations
- Personalized Recommendations: Leverage user data to offer personalized product recommendations on the homepage, product pages, and during checkout. Use algorithms similar to Amazon’s to suggest complementary items (“Customers who bought this also bought…”).
- Tailored Content: Display personalized content, such as blogs, guides, and product suggestions, based on the user’s browsing history and preferences.
User Reviews and Ratings
- Comprehensive Review System: Encourage user-generated reviews by making the process simple and rewarding. Include features like verified purchase badges, the ability to add photos and videos, and the option to upvote or downvote reviews.
- Q&A Section: Add a Q&A section on product pages where customers can ask questions about products and receive answers from other users or REI staff.
Streamlined Checkout Process
- One-Click Purchase: Introduce a one-click purchase option for logged-in users to speed up and make the buying process more convenient.
- Saved Payment and Shipping Preferences: Allow users to save multiple payment methods and shipping addresses to streamline future purchases.
Prime-Like Membership Program
- Membership Perks: Expand the benefits of REI’s membership program to include perks similar to Amazon Prime, such as free shipping on all orders, exclusive deals, early access to sales, and unique member-only content.
- Subscription Services: Offer subscription-based services for frequently purchased items like gear maintenance kits or camping supplies, with scheduled deliveries and discounts.
Extensive Product Listings and Detail
- Expanded Product Catalog: Consider expanding the range of products offered, including third-party sellers, while maintaining REI’s focus on quality and sustainability.
- Detailed Product Pages: Enhance product pages with extensive descriptions, high-quality images, 360-degree views, and detailed specifications. Include options for colors, sizes, and other variations directly on the product page.
Logistics and Fulfillment
- Fast and Reliable Shipping: Aim to offer quicker shipping options, including same-day or next-day delivery in certain areas, similar to Amazon Prime’s delivery service.
- Order Tracking: Provide real-time tracking information for all orders, with notifications at each stage of the shipping process.
Customer Service and Support
- 24/7 Customer Support: Offer 24/7 customer service through multiple channels, including live chat, email, and phone support, to address customer inquiries and issues promptly.
- Easy Returns and Exchanges: Implement an easy, no-hassle returns process, allowing users to initiate returns online and print return labels directly from their accounts.
User Engagement and Community
- User-Generated Content: Encourage users to create and share content, such as reviews, photos, and videos of their outdoor experiences with REI products. Feature this content on product pages and social media.
- Loyalty and Rewards: Implement a loyalty program that rewards users for purchases, reviews, referrals, and engagement with the REI community.
Mobile Experience
- Mobile App Enhancements: Develop or enhance a mobile app that offers a seamless shopping experience, with features like push notifications for deals, mobile-only promotions, and an integrated barcode scanner for in-store price checks.
- Responsive Design: Ensure the website is fully optimized for mobile devices, with fast load times, easy navigation, and a mobile-first design approach.
Innovative Features
- Amazon-like Marketplace: Consider creating a marketplace platform where third-party vendors can sell their products through REI, expanding the product selection while maintaining quality control.
- Voice Search Integration: Integrate voice search capabilities on the website and app, allowing users to search for products using voice commands.
By adopting these Amazon-like features, REI could significantly enhance its user experience, improve customer retention, and attract a broader audience. However, it’s essential to balance these changes with REI’s unique brand identity, focusing on quality, sustainability, and the outdoor community to maintain its core values.