Future of Retail - NBA Retail Portal

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Future of Retail
The Consumer Journey
1
What is the consumer looking for?
Innovation
Uniqueness
Experience
2
Observations/Learnings
1. Shop-in-Shops: Consumers love to be walked through their
experience.
2. Visually Inspiring: Consumers are no longer easily impressed. They
want to see something “different” and “innovative.”
3. Education/Engagement: Consumers desire to make informed
decisions. These experiences should be interactive and engaging.
4. Display - Mannequins: Consumers employ these tools to
understand product stories.
5. Relationships:
• Service/People - Consumers want to feel welcome and be
heard. They crave a personalized journey and appreciate
employees’ individualized efforts.
• Consumer Behavior/Loyalty - consciously or not – look for
reasons to reenter the store. The decision is made before
they’ve even left.
3
Shop-in-Shops: Multiple Shops at JC Penny
Levi’s Demin Shop
JCPenney’s new
Shop-in-Shops
launched this
past Fall in
approx. 700
stores
nationwide
IZOD Shop - video
Clip of JCPenney CEO Introducing Second Wave of Shops
Shop-in-Shops: NFL Shop at Niketown
Shop-in-shops have become more prevalent in the retail world. As we look to the future and
the new “boss” consumer, retailers must guide that consumer experience.
Niketown New York – Rather than a singular environment, we see retailers providing an
“ecosystem” for their consumers. Transitioning between departments can be described as if
consumer were walking through invisible doors and into new mini-department stores.
5
Shop-in-Shops: Heat Tech Shops at Uniqlo
Uniqlo 5th Ave – Uniqlo fully outfits consumers across their shop-in-shops by promoting
products from head-to-toe. They walk consumers hand-in-hand across the store, whether or not
the salesperson is present. Uniqlo encourages consumers to explore each shop-in-shop and
even employs physical doors as a means of differentiation.
6
Shop-in-Shops: Multiple Shops at C Wonder
C Wonder Soho – C Wonder uses vibrant
colors and lavished wallpaper to distinguish
between footwear, apparel, jewelry, home,
etc…
7
Shop-in-Shops: Multiple Shops at Toys”R”Us
TIMES SQUARE, NY
8
Visually Inspiring
Niketown New York
C Wonder New York
Uniqlo 5th Avenue
Quicksilver Soho
9
Consumer Education/Engagement
10
Display – Mannequins: Niketown
11
Display – Mannequins: Uniqlo
12
Summary -Innovation is key
Converse
Quicksilver
13
Findings
• Beautiful is not beautiful enough.
– Retailers must grab consumer’s short attention spans and maintain that
grasp.
• DO judge a book by its cover.
– A story told by mannequins can be as compelling as one expressed
through words.
• Are we there yet?
– Shop-in-shops are the wave of the future. Retailers are paving the road
for the consumer’s journey and enticing them to continue discovering new
product stories.
• Who said video games are bad for you?
– Consumers are no longer looking to pamphlets and brochures. With the
world at your fingertips, why would you? The proliferation of
smartphones, tablets and other electronic devices make for a more
interactive – and memorable – consumer experience.
14
Quick Facts by Retailer
1.
Niketown
–
Mission Statement: "If you have a body, you are an athlete.“
–
Approx. 97 Nike doors in the United States, this includes Niketown and Nike Factory Stores
–
Brands under Nike include - Nike, Jordan, Converse, Cole Haan & Hurley
2.
C Wonder
–
Mission Statement: “C. Wonder is a shopping destination that transports women into a world of luxury and surprises.”
–
Total of 14 doors - 7 locations in NY
3.
Uniqlo
–
–
–
The CEO of Uniqlo USA says: “MADE FOR ALL. We are selling jeans, not style, we don't want to push our brand logo, and
you can combine our clothing with other brands.“
Total of 5 doors in the US – 3 locations in NY area
793 doors in Japan, additional doors in 11 other countries worldwide
4.
Victoria’s Secret
–
Mission Statement: "Limited Brands is committed to building a family of the world's best fashion brands offering
captivating customer experiences that drive long-term loyalty and deliver sustained growth for our shareholders.”
–
Total of 1,017 doors in the US - 25 locations throughout Canada
5.
Quiksilver
–
Mission Statement: “Quiksilver is not just a brand but the name for a family of brands. Each symbolizes the sports it
represents and provides people with a connection to the outdoors, beyond sport-related equipment and apparel into
everyday sportswear and accessories.”
–
Operates approx. 850 stores worldwide
–
Brands under Quiksilver include - Quiksilver, Roxy & DC
15
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