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The Pop Up Store - Vector for Customer Engagement
- 1. DANIEL DUTESCO VP DIGITAL- ARCHIPEL INFOPRESSE - MKT TRENDS CONF. 2017 THE POP-UP STORE - VECTOR FOR CUSTOMER ENGAGEMENT ©DanielDutesco
- 2. HOW WE DEFINE RETAIL IS CHANGING A NEW CONTEXT IN WHICH ©DanielDutesco
- 3. PROMOTION/ ACTIVATION/ SPONSORSHIP EXPERIENCE RETAIL/ARCHITECTURE CRM AD/PR/MEDIA CAMPAIGN POP UP DIGITAL/MOBILE/ ECOMMERCE CONTENT/SOCIAL/ INFUENCERS A CONTEXT THAT HAS INCREMENTALY MULTIPLIED TOUCHPOINTS AND CREATED A MORE COMPLEX CONSUMER JOURNEY PRODUCT ©DanielDutesco
- 4. TANGIBLE + INTAGIBLE COMPONENTS CONNECT INTERACTIONS OVER THE DURATION OF THEIR RELATIONSHIP INTERACTION WITH INTANGIBLE BRAND ARTIFACT TO DRIVE ACTION WE MUST UNDERSTAND HOW ©DanielDutesco
- 5. “IN TODAY’S ENVIRONMENT CUSTOMER EXPERIENCE IS A FUNDAMENTAL DIMENSION OF HOW A COMPANY COMPETES” Joseph Pine, The Experience Economy CUSTOMER EXPERIENCE IS THE NEW BATTLEFIELD GARTNER ©DanielDutesco
- 6. 30,000 people 195 brands 15 industries CANADA CUSTOMER EXPERIENCE INDEX 2015 ©DanielDutesco
- 7. “A number that transforms the way we need look at building brand experiences” ©DanielDutesco
- 8. The number of Canadian companies that received an “excellent” score(2015): IMPROVING CUSTOMER EXPERIENCE IS A STRATEGIC PRIORITY FOR 58% OF BUSINESS LEADERS IN CANADA ©DanielDutesco
- 9. 0 The number of Canadian companies that received an “excellent” score(2015): IMPROVING CUSTOMER EXPERIENCE IS A STRATEGIC PRIORITY FOR 58% OF BUSINESS LEADERS IN CANADA ©DanielDutesco
- 10. • What causes truly outstanding companies to excel? • How do successful companies maintain momentum? • What makes their teams, methods and their people different? • How are they able to create value that extend beyond the product? • Why do they succeed in creating destinations vs opening stores? • What is their approach to creating brand experiences? ©DanielDutesco
- 11. THESE COMPANIES ARE DIFFERENT ©DanielDutesco
- 12. A 4TH TYPE OF OPERATIONAL DNA Ad-hoc initiatives in response to market or competitive pressure Product-centric organization. Strategy is focused on short- term sales and customer acquisition Consumer-focused organization. Seek differentiation, efficiencies and client retention REACTIVE TACTICAL STRATEGIC CONSCIOUS ORGANIZATION © ORCHRD Group
- 13. 1. Put purpose at the core of the business 2. Ensure alignment 3. Express what makes you unique 4. Hire for attitude not aptitude 5. Focus on the customer journey 6. Embrace failure 7. Challenge the status-quo 8. Think long term and innovate 9. Coach your people - Retail is detail. 10. Celebrate individuality THE 10 TRAITS OF CONSCIOUS ORGANIZATIONS © ORCHRD Group con·scious - ˈkän(t)SHəs/ Adjective: An advanced state of awareness. Deliberate; Intentional; having the mental faculties fully active; having a soul.. CONSCIOUS ORGANIZATIONS STAND OUT THROUGH THEIR ABILITY TO DRIVE BUSINESS PERFORMANCE, CREATE ENGAGEMENT AND IMPLEMENT IDEAS
- 14. 2016 75,000 consumers 193 brands 15 industries ©DanielDutesco
- 15. IMPACT OF A 1 POINT INCREASE IN CX INDEX 2016
- 16. 2016
- 17. Traditional industries now perform as well as, or better than, their digital competition. Accenture & Forrester Canada CX Index 2016 THE OPPORTUNITY TO ESTABLISH LEADERSHIP STILL EXISTS
- 18. The number of Canadian companies that received an “excellent” score(2016):
- 19. 1 The number of Canadian companies that received an “excellent” score(2016):
- 21. CUSTOMER EXPERIENCE IS NOT JUST OPERATIONAL CONSCIOUS ORGANIZATIONS HAVE UNDERSTOOD ©DanielDutesco
- 22. CUSTOMER EXPERIENCE IS EMOTIONAL “ Customer experience is the new marketing”. (In this context) - Operational excellence is the ticket for entry,” … “We need to eliminate the word satisfied from our vocabulary. …We need to delight. We need to amaze. We need to provide extraordinary.” MERCEDES BENZ USA PRESIDENT AND CEO STEVE CANNON ©DanielDutesco
- 23. FORRESTER CUSTOMER EXPERIENCE INDEX Q3 2015, AT Kearney – WSJ McKinsey 78%of consumers and 82% of Millennials prefer to purchase in store 90%of retail sales are occurring in a physical store ©DanielDutesco
- 24. POP UP STORES OFFER US THE OPPORTUNITY TO CREATE UNIQUE EXPERIENCES THAT CREATE ENGAGEMENT AND CONNECT ONE ON ONE WITH CUSTOMERS IN A MEANINGFUL WAY ©DanielDutesco
- 25. POP UP STORES CAN DELIVER INTIMACY EXCLUSIVITY URGENCY SOCIAL TALK VALUE FOCUS ©DanielDutesco
- 26. WEBROOMING ONLINE TO STORE SHOWROOMING STORE to ONLINE PERSONALIZATION OF SHOPPERS BELIEVE SHOPPING HAS BECOME TOO IMPERSONAL FORRESTER CXINDEX Q3 2015, AT Kearney – WSJ McKinsey 74% 63% 52% POP UPS ENABLE US TO LEVERAGE KEY CONSUMER TRENDS ©DanielDutesco
- 27. Minimize the areas in which you are a commodity Maximize the areas in which you can be a brand ignition group POP UP STORES ©DanielDutesco
- 28. WHAT DRIVES THE SUCCESS OF THEIR POP-UP INITATIVES ©DanielDutesco
- 29. EIGHT VECTORS FOR CUSTOMER ENGAGEMENT CONSCIOUS ORGANIZATIONS LEVERAGE IN THEIR POP UP STORE INITIATIVES ©DanielDutesco
- 31. Paul Gaudio Creative Director ADIDAS “The brand is a narrative — it’s an idea that people both inside and outside the company have to buy into. My role is to shape the narrative: ‘What do we stand for? Why are we here? How do we think and feel and act?’” ©DanielDutesco
- 33. JOHNNY WALKER BLUE LABEL POP UP MILAN POP UP CHRISTMAS STORES MILAN, PARIS, LONDON AND MONACO ©DanielDutesco
- 34. SELL CULTURE OF EXPLORATION AND DISCOVERY , ALONG WITH THEIR HERITAGE. MOST OF ALL THE POP UP STORES REFLECT THE ATTENTION TO DETAIL AT THE PRODUCT LEVEL. ©DanielDutesco
- 36. ©DanielDutesco
- 37. ©DanielDutesco
- 38. The open-layout store sold 40 percent more shoes than the brand’s traditional brick-and-mortar locations” PETER SOLOMON, ELECTRIC SEKKI. HONG KONGBRICKHOUSE X HAVAIANAS POP UP, HONG KONG ©DanielDutesco
- 39. Do we have a clear understanding of our values and our brand? Are they reflected in the activities we undertake? Can customer see these values even in the smallest details? ©DanielDutesco
- 41. UNDERSTAND CUSTOMER VALUES CEB ©DanielDutesco
- 42. CONSCIOUS ORGANIZATIONS UNDERSTAND AND LEVERAGE THE KEY EMOTIONAL DRIVER FOR BOTH MILLENIALS AND GEN Z ©DanielDutesco
- 43. FOMO - fear of missing out Fear of missing out or FOMO is "a pervasive apprehension that others might be having rewarding experiences from which one is absent". This social angst is characterized by "a desire to stay continually connected with what others are doing". CONSCIOUS ORGANIZATIONS UNDERSTAND AND LEVERAGE THE KEY EMOTIONAL DRIVER FOR BOTH MILLENIALS AND GEN Z ©DanielDutesco
- 44. FOMO - fear of missing out Fear of missing out or FOMO is "a pervasive apprehension that others might be having rewarding experiences from which one is absent". This social angst is characterized by "a desire to stay continually connected with what others are doing". 68%of millennials said they've made a spur-of-the-moment purchase due to FOMO within hours of seeing someone else's experience with the product. Citizens Relations Canada CONSCIOUS ORGANIZATIONS UNDERSTAND AND LEVERAGE THE KEY EMOTIONAL DRIVER FOR BOTH MILLENIALS AND GEN Z ©DanielDutesco
- 45. NIKE - SNKRS XPRESS - VIP BUYING JOURNEY, TORONTO ©DanielDutesco
- 46. EXCLUSIVE AND UNIQUE MERCHANDISE ONLY AVAILABLE THROUGH THE EXPERIENCE ©DanielDutesco
- 47. ©DanielDutesco
- 48. THE POWER OF POP UP STORES IS THAT THEY TAP DIRECTLY INTO THE PSYCHOLOGY BEHIND FEAR OF MISSING OUT TO DRIVE BEHAVIOUR ©DanielDutesco
- 49. Do we have a deep understanding of what drives our customers? How can we shape activities to take advantage of FOMO? ©DanielDutesco
- 50. 3. THEY ARE OBSESSIVE ABOUT DATA & CUSTOMER EXPECTATIONS ©DanielDutesco
- 51. ©DanielDutesco
- 52. WHAT THESE COMPANIES SHARE IN COMMON IS THAT THEY HAVE ACHIEVED A LEVEL OF DIGITAL MATURITY THAT ENABLES AN OMNICHANNEL VIEW OF THE CUSTOMER IBM ©DanielDutesco
- 53. REVOLVE Social Club -members-only venue Private shopping, exclusive events and invites to pop-up shop parties. “Millennial customers value experiences, intimate relationships, and authenticity, and our data gives us a unique opportunity to provide that to our most valuable customers,” Mike Karanikolas, Co-Founder and Co-CEO of REVOLVE. ©DanielDutesco
- 54. TAP INTO DATA AND TECHNOLOGY TO DELIVER A BETTER CUSTOMER EXPERIENCE ©DanielDutesco
- 55. TAP INTO DATA TO LEARN ABOUT CUSTOMER BEHAVIOR AND OPTIMIZE THE PURCHASE JOURNEY BOTH INSTORE AND ONLINE ©DanielDutesco
- 56. A BRAND OBSESSED WITH BECOMING SMARTER ABOUT THEIR PRODUCTS, OPERATIONS AND THEIR CUSTOMERS ©DanielDutesco
- 57. BETTER ALIGN INVESTMENTS AND NEW PRODUCTS TO MATCH CHANNEL DEMAND *EDITED ©DanielDutesco
- 58. INVEST AND ROLL OUT INNOVATION *EDITED ©DanielDutesco
- 59. Data enables retailers to adapt pace to the new Millenial consumer – one who is permanently focused on the new and losing interest fast. • Nike sneakers sell out in 122 days • Adidas sneakers sell out in 110 days • Adidas Neo line - 108 days on average. • Originals line - 101 days • Stella McCartney - 92 days • Adidas Originals by Jeremy Scott - 33 days • KANYE - YEEZY - 1 DAY DATA ACCELERATES SALES EDITED- 2016 ©DanielDutesco
- 60. MOST RELEVANT BRAND 2015 VOTED “They’re the brand of the year,” MATT POWELL, SPORTSWEAR ANALYST NPD GROUP ©DanielDutesco
- 61. “Data enables you to connect digital with the physical, the rational with the emotional” MAKING CUSTOMERS FEEL APPRECIATED, CONFIDENT AND RESPECTED Across the industries, if you make customers feel appreciated: • 80% will advocate for the brand • 70% will stay with the brand • 68% will increase their spending with the brand *Forrester CX index 2016 ©DanielDutesco
- 62. ©DanielDutesco
- 63. What are our clients expectations from interacting with our brand? Do we understand their journey? What is the data that we need to create stand out experiences? ©DanielDutesco
- 65. ©DanielDutesco
- 66. ©DanielDutesco
- 67. PABLO POP UP, NEW YORK
- 69. PABLO POP UP, LONDON, UK
- 70. PABLO POP UP, MELBOURNE, AUSTRALIA
- 71. ©DanielDutesco
- 73. YOU CANNOT TRY ON CLOTHING STYLE COUNSELOR GIVES ADVICE ON FIT AND SIZING ©DanielDutesco
- 74. MAXIMUM 2 PER ITEMS / SIZE ©DanielDutesco
- 75. ©DanielDutesco
- 76. ©DanielDutesco
- 77. ©DanielDutesco
- 78. ©DanielDutesco
- 79. ©DanielDutesco
- 80. WHOLE FOODS FLAGSHIP STORE , AUSTIN , TEXAS MALLS AND RETAILERS MUST ENVISION THEMSELVES NO LONGER AS REAL ESTATE BROKERS, BUT INSTEAD AS CUSTOMER-FACING PROVIDERS OF SHOPPABLE ENTERTAINMENT. – McKinsey ©DanielDutesco
- 81. CREATING NEW AND DIFFERENT OPPORTUNITIES FOR YOUR FANS TO INCREASE INTERACTION WITH YOUR BRAND. ©DanielDutesco
- 82. What do our best customers want as products, offer and experiences? How do our efforts in retaining customers compare with acquisition offers and experiences? ©DanielDutesco
- 84. ©DanielDutesco
- 85. “Customer satisfaction is ultimately determined by something few companies manage – cumulative experiences across multiple touchpoints and in multiple channels over time” Harvard Business Review ©DanielDutesco
- 86. LEADERS ARE EXPANDING INTEGRATION ACROSS PRODUCT LINES Birchbox Man Pop Up , NY ©DanielDutesco
- 87. AMAZON IS BUILDING OUT ITS VISION FOR A NEW CLASS RETAIL BUSINESS THAT WEAVES TOGETHER OF ONLINE AND PHYSICAL COMPONENTS. Business Insider WILL ADD 30 POP-UP STORES BY THE END OF 2016 UP TO 100 IN 2017. POP-UP SHOPS PUSH PEOPLE TO USE AMAZON.COM AND SIGN UP FOR PRIME RUN BY THE DEVICES TEAM, NOT THE RETAIL TEAM ©DanielDutesco
- 88. ©DanielDutesco
- 89. ©DanielDutesco
- 90. OBJECTIVE IS TO CONNECT YOU TO THE VISION. IKEA POP UP MADRID IKEA POP UP TORONTO ©DanielDutesco
- 91. WHERE THE TRANSACTION TAKES PLACE DOES NOT MATTER. ©DanielDutesco
- 92. While traditionally physical stores have seen the web as competition , what retailers and Mall operators are realizing that ecommerce not only drives sales, it increases footfall into physical stores. FORBES Customers don’t see P&L’s. They see a brand and they expect a single seamless experience. ©DanielDutesco
- 93. Do we have an integrated view of the customer? Are our channels competing against each other? ©DanielDutesco
- 97. ©DanielDutesco
- 98. NOT ABOUT TECHNOLOGY, CREATING AN IMMERSIVE EXPERIENCE OR DRIVING SALES; AN EXPERIENCE THAT THROUGH ITS NATURE, REDEFINES THE SOCIAL CONNECTION AND SOCIAL CONTRACT IT HAS WITH THEIR FANS ©DanielDutesco
- 99. ©DanielDutesco
- 100. $ 3 million free media Reached 4 million people in 10 days ©DanielDutesco
- 102. Campbell’s believes in the strength of belonging and bringing people together on their common ground,”… “We feel like we can own that because there’s soup in every country and culture. That really resonates with consumers and we communicated that in a big way through video, but to bring it to life on the ground and give people a chance to experience it physically is particularly powerful.” MELISSA MENDOZA CAMPBELL COMPANY OF CANADA ©DanielDutesco
- 103. Are our experiences engaging and driving interaction with our community of fans? ©DanielDutesco
- 104. 7. THEY CONNECT THE EMOTIONAL TO THE MATERIAL ©DanielDutesco
- 105. “[The pop-ups] are a deliberate plan as we want to make sure we are offering value beyond the product and giving our fans something other brands in this space don’t offer; true engagement and social values” BARRY MOORE - ADIDAS UK ‘THE X’ POP UP AT VICTORIA PARK, LONDON MARKETING IS NO LONGER JUST ABOUT “SHOWING OFF PRODUCT” IT IS ABOUT CREATING VALUE BEYOND THE PRODUCT. ©DanielDutesco
- 106. Fitness and health events throughout a 10-day period. Celebrating the launch of the technically advanced PureBOOST X trainer, the first trainer from Adidas made for women only. For the first time ever the park’s mile-long run route will stay open after dark. ©DanielDutesco
- 107. “Establishing an emotional connection by creating a true sensory experience around their products” ©DanielDutesco
- 108. CHANGING HOW CONSUMERS INTERACT WITH THEIR PRODUCTS ©DanielDutesco
- 109. Are people connecting with us emotionally? ©DanielDutesco
- 110. 8. THEIR FOCUS ON EXPERIENCE AND STORYTELLING FIRST (AHEAD OF SALES) ©DanielDutesco
- 115. PRODUCTS AND EXPERIENCES THAT TRANSCEND THE TECHNICAL - eg. Mercedes Benz fragrance ©DanielDutesco
- 116. Mercedes me Store Hamburg combines vehicle presentation, catering, events, information and advice, as well as digital interaction and product experience CREATING SPACES THAT COMMUNICATE THE BRAND VALUES
- 118. CREATING TALK VALUE AROUND YOUR BRAND STORY ©DanielDutesco
- 120. OFFERING STORIES & EXPERIENCES THAT TRANSFORM THE VALUE OF OWNERSHIP ©DanielDutesco
- 121. STORY IS MORE IMPORTANT THAN SCALE ©DanielDutesco
- 122. ©DanielDutesco
- 123. THE SABLE ISLAND GALLERY IN NYC 123 ©DanielDutesco
- 124. 124 A PROJECT THAT GAVE PERSPECTIVE TO THE IMPACT OF CLIMATE CHANGE AND THE POWER OF EDUCATION ©DanielDutesco
- 125. IAMWILD IS A NEW GLOBAL PLATFORM FOR TRANSFORMING CONSERVATION. WE ARE CREATING A NEW SUSTAINABLE BUSINESS MODEL FOR THE PROTECTION OF WILD ECOSYSTEMS: DRIVEN BY ART & EXPERIENCE, PURPOSE & PROFIT. ©DanielDutesco
- 126. HOW CAN WE CREATE THE EXPERIENCE THAT COMMUNICATES THE REAL FRAGILITY OF THE ENVIRONMENT ©DanielDutesco
- 127. Self-Sufficient Low-Impact Movable Durable Designed by BeMaa Studio, Milan IAMWILD POP-UP MUSEUM ® ©DanielDutesco
- 128. 128 ©DanielDutesco
- 129. 129 A POP UP CAN BE INTEGRATED INTO ANY SETTING AND STILL DELIVER A CONSISTENT BRAND EXPERIENCE ©DanielDutesco
- 130. Are our activities creating incremental value for the brand ? ©DanielDutesco
- 131. These vectors change the way we need to look at engaging customers. THE FUTURE OF COMMERCE IS ABOUT CHALLENGING THE STATUS QUO ©DanielDutesco
- 132. THE RESULTING IMPACT POP-UPS HAVE RESHAPED THE RETAIL LANDSCAPE AND CUSTOMER EXPECTATIONS AND TRANSFORMED THE PERMANENT STORE EXPERIENCE IN THREE FUNDAMENTAL WAYS ©DanielDutesco
- 133. THE RELATIONSHIP ARE MOVING FROM A TRANSACTIONAL MODEL TO A PARTNERSHIP ©DanielDutesco
- 135. Advisors felt spent hours developing and updating a single proposal, rather than investing in understanding and helping the customer imagine their new home. Today Pirch advisor focuses on outcomes vs individual products. COMMITMENT TO DELIVER Just 37% of leaders have a dedicated budget for customer experience improvement initiatives FORRESTER ©DanielDutesco
- 136. CONSUMERS EXPECT TO BE PART OF THE EXPERIENCE ©DanielDutesco
- 137. Samsung 837 blends culture with technology. CREATED A DESTINATION THAT INCREASES YOUR INTERACTIONS WITH THE BRAND ©DanielDutesco
- 138. THE CUSTOMER IS AS IMPORTANT TO THE EXPERIENCE AS THE STORE AND THE PRODUCTS ©DanielDutesco
- 139. CONSUMERS EXPECT YOU TO DELIVER THE UNEXPECTED ©DanielDutesco
- 140. POINT OF VIEW OF A MAGAZINE CHANGES LIKE A GALLERY SELLS THINGS LIKE A STORE ©DanielDutesco
- 141. ©DanielDutesco
- 142. IN CONCLUSION… A RETAIL SPACE CAN AND SHOULD TRANSCEND THE TRANSACTION. Pop Up Stores, if executed correctly are an opportunity to create value, engagement, test new commercial models, increase NPS scores and ultimately become more competitive. ©DanielDutesco
- 143. THE RESULT OF A RETAIL/COMMERCE APPROACH INSPIRED BY THE DRIVERS BEHIND POP-UPS EMOTIONAL AFFINITY RECOGNITION & REWARD BEHAVIOUR CREATE SOCIAL CURRENCY GIVE PRICE CONTEXT ©DanielDutesco
- 144. THE RESULT OF A RETAIL/COMMERCE APPROACH INSPIRED BY THE DRIVERS BEHIND POP-UPS EMOTIONAL AFFINITY RECOGNITION & REWARD BEHAVIOUR CREATE SOCIAL CURRENCY GIVE PRICE CONTEXT VALUE = ©DanielDutesco
- 145. “The greatest danger facing a brand is not rejection, but indifference.” Adam Morgan, Eat Big Fish POP UP STORES CAN DELIVER REVELANCE ©DanielDutesco
- 146. THE 8 VECTORS OF CUSTOMER ENGAGEMENT 1. SELL CULTURE NOT PRODUCTS 2. LEVERAGE CONSUMER PSYCHOLOGY 3. BECOME OBSESSIVE ABOUT DATA & CUSTOMER EXPECTATIONS 4. FOCUS ON YOUR FANS 5. BRIDGE THE PHYSICAL AND THE DIGITAL 6. CREATE SHARED SOCIAL SOCIAL EXPERIENCES 7. CONNECT EMOTIONAL TO MATERIAL 8. FOCUS ON EXPERIENCE AND STORYTELLING AHEAD OF SALES THE KEY IS TO START ©DanielDutesco
- 147. BECOME FUTURE-PROOF SEND EMAIL FOR A FREE EBOOK EARLY 2017 10 STEPS TO BUILDING A CONSCIOUS ORGANIZATION ©DanielDutesco
- 148. “The key reasons why companies excel or fail is their understanding of the essence of their customer and more importantly the essence of their own brand. They understand the fundamental truth, that the consumer experience is the brand. They understand that to set the tone and continue to be relevant in every touchpoint, whether physical or virtual, you need to put transformation at the core of what you do. We always strive to innovate and move into new territories, because of a very simple fact - our clients are already there.” DAVID GREENFIELD, GLOBAL SR DIRECTOR DIGITAL EXPERIENCE, ADIDAS ©DanielDutesco