Dick’s Sporting Goods Converts 65% of Customers to Click-and-Mortar™ Shoppers

Dick’s Sporting Goods

In an effort to further engage its highest-value customers, Dick’s Sporting Goods is integrating more technology into the in-store experience.

The sports retailer shared in a presentation with analysts Thursday (March 14) discussing its fourth-quarter and full-year fiscal 2023 financial results that it is incorporating more technologies into its stores, from virtual sports simulators to digital-powered footwear shopping assistance.

“Our digital capabilities are … core to our omnichannel success, and we continue to see growth in our omnichannel athletes who spend more with us and shop more frequently than single-channel athletes,” Dick’s Sporting Goods CEO Lauren Hobart told analysts on a call.

In fact, the company noted in the presentation, these shoppers tend to spend twice as much as single-channel customers or more.

Indeed, many consumers seek this kind of omnichannel engagement, per research from PYMNTS Intelligence’s study “2024 Global Digital Shopping Index: The Rise of the Click-and-Mortar™ Shopper and What It Means for Merchants,” commissioned by Visa Acceptance Solutions and drawing from a survey of nearly 14,000 consumers.

The report revealed that 39% of consumers are now Click-and-Mortar shoppers™, engaging across digital and physical channels. Specifically, 25% are digitally assisted in-store shoppers, using technology to improve their brick-and-mortar experience, and 14% are pick-up shoppers, preferring to buy online and collect their items at the store.

Dick’s investments in wooing this valuable demographic seem to be paying off. The retailer reported that more than 65% of its sales in fiscal 2023 came from omnichannel shoppers, which it defines as those who made purchases both in stores and online.

A key pillar of Dick’s digital strategy is its emphasis on data-driven insights and personalization, leveraging customer data from its rewards program to deliver highly targeted messaging.

The PYMNTS Intelligence report “Personalized Offers Are Powerful — but Too Often Off-Base,” which drew on responses from more than 2,500 U.S. consumers, found that 71% had received personalized offers and were interested in them and an additional 12% had not received personalized offers but were interested.

Additionally, the retailer is further driving digital engagement with its GameChanger mobile app and website, which provides sports video streaming and other content to connect athletes and teams with fans.

“GameChanger families are some of Dick’s Sporting Goods most valuable customers,” Hobart said. “A GameChanger customer who also has a Dick’s ScoreCard [rewards account] spends over 2 times more per year at Dick’s than a typical ScoreCard member.”

The company’s loyalty program penetration has been quite high, with its more than 160 million members accounting for 80% of sales.

Dick’s Sporting Goods’ transition toward Click-and-Mortar™ is indicative of a shift in retail overall, where integration of technology and personalized experiences is becoming increasingly essential to meeting customers’ evolving expectations. With over 65% of sales stemming from omnichannel shoppers, Dick’s investments in this area are yielding substantial returns.