Retail Update: Hopping the pond to the UK

NCH Software continues to expand our presence in retail stores worldwide. Most recently, with the help of Channel Assist, you can now find several NCH Software products on the shelves of retailers like Dixons PC World in the United Kingdom. The UK is already one of our largest online markets, and we know that being in retail stores will only strengthen our presence there. Software titles available include Golden Records, Express Invoice and essential software suites of our audio software and business software products.

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Software On-Demand

I recently finished reading The On-Demand Brand by Rick Mathieson, which takes a look at how our culture has become increasingly demanding, seeking instant gratification. From everything from fast food to television, we are no longer willing to wait for things. While Mathieson points to Burger King and their "have it your way" campaign in 1970's as a starting point for this trend, technology and the internet have only increased our need for having things the way we want them on our own schedule. Mathieson goes on to examine ten rules that marketers should know in this on-demand world, all relating to how companies need to shift their thinking to be in line with the expectations consumers have.

The software industry has seen this shift too. We've talked before about software buying trends and the percentage of people who buy their software in a retail store versus purchasing online. It used to be the only way to get software was to get the box with several floppy drives or CDs inside to install from, and it could be a rather time consuming process. Now, you can download and install software in fraction of the time. You don't really need to make plans in advance about your software needs; if you come across a need you can download a software solution on-demand.

NCH Software has adapted to this on-demand mentality quite well. We spend a lot of time trying to improve the usability of our programs so that a user can have the software up and running in three minutes or less, catering to this high-speed demand. Most of our products are under 1 MB in size, so the download time is negligible. We also have a wide range of products that are easily integrated, making it easier for customers to customize a software solution to meet their needs by picking and choosing only the exact products and features that they are looking for. All so you can "have it your way" with software on-demand.

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Software Buying Trends

Earlier this year, LifeHacker posted a wonderful info graphic depicting data from the US Census Bureau comparing how many sales are being made online versus in retail stores across a number of categories.


I found the results of What People Buy Online vs. in Stores fascinating. I'd love to see something that showed trending over time, so I'll have to keep my eyes open for results in years to come. As the world becomes increasingly more connected online, I imagine these numbers will continue to shift in favor of making purchases online.

I did find the software results a little surprising. There is nearly a 50/50 split between computer hardware and software purchased online and at retail stores. I would have expected a larger percentage of purchases in this category to be made online, similar to what is seen with other electronics.

I imagine consumers perceive software products as more legitimate or reliable when seen inside retail stores because they fear online products come from fly-by-night businesses that will be gone tomorrow, or maybe consumers don’t feel comfortable buying something so intangible. On the other hand, consumers who do buy online recognize the ease and immediacy of being able to download an application and have a solution instantly. For example, the software utilities we provide at NCH Software download and install, in most cases, in under a minute. That means you can install a program like Prism Video Converter to convert a troublesome movie file that won’t play on your computer before you could so much as make it out your driveway to go to the store in search of a solution.

Until late last year, 100% of NCH Software sales were made online. We are still new to the retail market and our retail presence is still actively growing, so I am curious to see where the split will be in our overall software sales once we are more firmly established in retail stores. Shoppers in the U.S. can currently find Golden Records, Express Invoice as well as software suites of our audio, video and burning software utilities in stores, with additional products including dictation/transcription software, Inventoria, WavePad, VideoPad, and FlexiServer also being added to the mix. Will we eventually see half our sales being made through retail stores, or will retail sales settle at a lower percentage as more customers migrate to online purchasing? I guess only time will tell.

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