ICSC Expands Landmark Halo Effect Research, Quantifying the Symbiotic Relationship between Physical and Digital Retail

Multiplying effect of single transaction yields notable gains, as consumers spend $131 in store for every $100 online transaction in a 15-day window

NEW YORK–(BUSINESS WIRE)–#ICSC–A single retail transaction translates to multiple subsequent transactions and significant incremental spend with that same retailer across channels, according to a new study by ICSC, “Halo Effect II: Quantifying the Impact of Omnichannel.” The findings reinforce ICSC’s 2018 landmark study “The Halo Effect: How Bricks Impact Clicks,” which found what the industry anecdotally knew for years to be true: that physical stores increase online traffic and brand awareness.

ICSC’s latest study takes the halo effect to a new level by quantifying the impact of omnichannel strategies on sales, verifying how bricks and clicks work in tandem to strengthen the relationship with the consumer and drive increased spend. The study, which analyzed 41 million credit and debit card transactions in conjunction with 1010data, demonstrates how online transactions translate into physical store purchases and vice versa, ultimately boosting the bottom lines of retailers that offer omnichannel options.

“Our first Halo report demonstrated the positive correlation between having both a physical and digital presence as it relates to web traffic and brand awareness, this follow-up report puts a dollar amount on that relationship,” said Tom McGee, president and CEO of ICSC. “What we found was that consumers take advantage of the channels available to them and it has a positive impact on total sales. Simply put, consumers want a great experience whether it is online or in the store.”

The research found that, following an online transaction, the average halo consumer makes 2.1 transactions in-store with the same retailer within 15 days. Likewise, following an in-store transaction, the average consumer makes 1.3 online transactions with the same retailer within 15 days. Both convergence paths yield notable supplementary spend: an additional $131 in-store following a $100 online transaction and an additional $167 online following a $100 in-store transaction. Physical and digital act as extensions of each other and consumers spend continuously at both, notably within a 15-day period.

For successful brands, a single shopping act reverberates across multiple days and purchasing platforms. Over a 30-day period, an initial $100 online purchase will result in an additional net online and in-store spending of $171. A customer journey that begins in-store with a $100 purchase generates an additional $163 in spending over a 30-day period.

Omnichannel strategies offer additional touchpoints for brands to meet their consumer and perpetuate the positive consumer experience that initiated the sale in the first place. Physical stores are where brands meet their customers and offer them what they cannot get online: human interaction. In turn, the knowledge gained from the in-person interaction allows retailers to create an even more personalized experience for the customer along the next steps in their purchasing journey. As a result, 67 percent of click-and-collect shoppers buy additional items at the store when they pick up their online purchase.

The report also includes omnichannel success stories from current retailers and retail analysts. It can be downloaded here.


The study analyzed $31 billion in consumer spending from more than 41 million unique credit and debit card records from 2016 through 2018. It covers retailers across multiple categories: home; large-format specialty retailers; discount department stores; apparel; cosmetics; traditional department stores; and emerging digitally native brands. The halo effect, or the influence on spending in one shopping channel starting with another, was calculated from the total net value of purchases starting in stores and ending in online transactions, and vice-versa, in five-day increments.

About ICSC

ICSC serves the global retail real estate industry. We provide our 70,000+ member network in over 100 countries with invaluable resources, connections and industry insights, and actively work together to shape public policy. For more information about ICSC visit www.icsc.com.



Shannon Troy, Media Relations Manager

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