I went shopping this past weekend—nothing in particular that I really needed or wanted, just felt the urge to get out of the house and see what I could find. On a venture to the local mall, I began to notice the shopping displays designed to lure consumers into their stores. BCBG had bright colors popping out on white store walls; The Gap and Express had signage indicating sales; Banana Republic and J. Crew exhibited a modern and sleek displays exhibiting the latest trends; countless other vendors are vying for consumer attention with a variety of samples and on-site demonstrations.
While walking by these store displays, I began to wonder: In this recessionary economy, what are retailers doing to differentiate it from other retailers to vie for consumers' spending?
In a webisode from the WPP Store, David Roth, CEO of the WPP Store asked Matt Haywood, Global Insights Director for Fitch, for his top ten global ‘must see’ retail stores. His opinions are summarized in the list below:
(10) Uniqlo, New York, NY, USA – Established in 1984, Uniqlo is a value retailer that uses scale and color blocking to showcase its trendsetting products. Its current trends are in alignment with European and American fashions, yet, its prices are affordable.
(9) Sephora, Paris, France – Sephora is a dynamic, innovative, youth focused, beauty retailer that uses bright, night-club displays to showcase both well-known and new brands. In an optimistic environment, the staff is eager to help and offer opinions to patrons, priding itself on its hands on approach to beauty. Sephora is a buzz retailer, primary using WOM as its advertising outlet.
(8) Bic, Osaka, Japan – Best described as an extreme retailer, Bic is a store thrives on madness. The store uses bright and vibrant colors and screaming staff to attract consumer attention to a wide range of specialist brands. On the storefront, a huge quick response (QR) code allows patrons to snap a photo and then be automatically directed to Bic’s website, so that they can shop on their mobile device even when the store is closed, or when it’s too crowded to enter. However, most consumers prefer in-store “extreme” shopping, and are willing to pay more since there is no substitute for the Bic shopping experience.
(7) Daylesford Organics, Cotswold, England – Located on a farm, Daylesford Organics is a lifestyle concept store that is one of the pioneers of high quality, organically grown and sold food and products. Decorated in natural products and colors and staffed with knowledgeable workers, consumers want to spend time here, and often make an event out of visiting the store.
(6) Carnival, Dallas, TX, USA – Carnival is a Hispanic themed supermarket, whose focus is on its product—food! With black gloss and the ceilings and floor, Carnival uses lighting to showcase food and create artful displays. The store also prides itself on hospitality—the store manager welcomes customers when they enter.
(5) Mercer, Buenos Aires, Argentina – Established in an old auto repair garage, Mercer carries a simple, yet trendy garment line in a bold atmosphere. Walls are covered in red striped pattern wallpaper, floors are covered in decadent rugs, and antiquated furniture creates a genuinely unique shopping experience. Like other stores, shoppers are more dependent on the experience of shopping in such a unique store, and are less concerned with price (and therefore items are expensive!).
(4) Lane Crawford, Hong Kong, China – Lane Crawford is a modern department store with an interdepartmental shopping experience. With dividers in place of solid walls, the store allows consumers to participate on an endless shopping journey. Mannequins, retail items, and furniture are arranged according to the principles of feng shui. In accordance with its service proposition, a concierge in each ‘department’ allows consumers to be personally guided through the store adding to the prestige of shopping in such a unique environment.
(3) Mr. Clean Car Wash, Cincinnati, OH, USA – Mr. Clean is a carwash that only uses Mr. Clean products. Consumers are invited inside the store to sip coffee, view Mr. Clean products, and watch TV and/or their car being washed. Mr. Clean prides itself on finding the right people to do the right job.
(2) Asian Paints, Mumbai, India – Asian Paints is store that doesn’t sell any actual products. Instead, it is a showroom that is designed to inspire consumers to experiment with color and lighting, and give them the confidence to mix and test to see what will work in their own homes. This showroom directs consumers to purchase paints at one of its three thousand outlets.
(1) La Boqueria, Barcelona, Spain – Built in the 17th century, La Boqueria is a marketplace that showcases real retail at its best. The environment is energized, as store owners take pride in visual merchandising with color blocking and signage. Hospitality is key at this venue—socializing, tasting fresh foods, and learning add to the uniqueness of this environment, causing consumers to want to spend both time and money there.
From this list of top retailers, several themes emerge:
-Each store needs to fit the needs and wants of it consumers in regards to social, economic, and geographic market conditions—what works in China, might necessarily work in the US, and vice versa. Retailers should be aware of the overall demographic of its consumers when deciding where to establish a retail location, what products each location displays, and how the store markets itself to the public.
-Quality is essential to the overall success of a retailer. Not only is the duty of a retailer to create an atmosphere in which consumers want to spend both time and money in, but they need to offer a premium product/service. Consumers are more willing to part with their money for a unique shopping experience and premium products. While online shopping is a good way to reach a mass audience, there is no substitute for a first hand, in-store experience.
-Happy consumers tend to spend more money, and empowering consumers is vital to a stores success. Stores should make sure that hospitality is a central part of their selling process. A knowledgeable and helpful staff can help consumers navigate through products to select the right items to fulfill both wants and needs.
-Stores need to be innovative in products and product displays, and should really ignite innovation to not only entice consumers to spend more in their stores now, but also to stimulate future sales in more positive economic times.
From my experience, I think that Apple and H&M retailers share similar traits to the list of retailers above. Apple has sleek, modern stores with white interiors, and many displays featuring its products. While having an appointment is necessary for an Apple product to be serviced, the stores are adequately staffed with knowledgeable professionals. H&M, conversely, is a large, trendy store with endless shelves of bright and fashionable clothing. The affordable merchandise is updated frequently to match seasonal trends, and is exhibited in fun and innovative displays.
Whatever the retailer, when I go shopping, I want to have a positive experience free of any regrets (regarding price, quality, and experience). I tend to spend more money on quality products exhibited by retailers that keep, clean, modern, and well organized stores. While I prefer not to be disturbed by salespeople when shopping, I do appreciate an honest salesperson’s opinion when trying a new garment on or help when trying to locate certain items (and especially when trying to find the perfect gift for a friend, relative, or coworker).
As for my recent shopping adventure, I purchased a handbag and scarf from a poorly staffed department store with lackluster display. While I’m satisfied with the quality of the items I purchased, I’m generally dissatisfied with the overall purchasing experience. I had been looking for the items I inevitably purchased and was able to locate them on my own, but was not enticed to search for new or innovative merchandise. Instead, I simply purchased the items I was looking and then left the store without pursuing any other merchandise. During my next shopping escapade, I’ll be sure to go to a retailer that wants to compete for my time and money.
References
http://www.wpp.com/wpp/about/whatwedo/store/store-tv.htm?t=Top-10-Stores&p=http%3A%2F%2Fwww.thestorewpp.tv/site_media/stream/flash/2009/10/The_Store_Top_Ten.flv
About Me
- eckramer
- Growing up in Atlanta, GA, I moved to New Orleans, LA to achieve my BBA in Marketing and Management from Loyola University New Orleans. After being displaced by Hurricane Katrina, I spent a semester at Georgia State University, but was able to return to New Orleans to achieve my degree. Following graduation, I returned to Atlanta to pursue a coveted career in advertising. Currently, I am working as an assistant traffic manager at a prestigious advertising agency. I am a self-motivated, organized, detail-oriented, advertising professional with a strong sense of project ownership and proactive approach to issue resolution. Although my background has been primarily focused on online media, I have the ambition to learn and master new technologies, processes, departments, and other innovative facets of the advertising industry including broadcast and print production, public relations, communications, and strategy. I interact with a variety of people, personalities, and overcome unique challenges on a daily basis in a highly-dynamic environment under strict deadlines. I am always looking to increase success for myself, my agency, and our clients.