Think that "showrooming" means the end of brick and mortar retail? Think again. Connected consumers comparison shopping online while they're in-store is a game-changer, for sure, but the new reality of retail marketing is fundamentally about creating a better experience. We outline 3 ways to build stronger retail brands in a market where online and offline are inseparable, and increasingly, indistinguishable.
3. Introduction
It’s not news that shoppers are increasingly heading
online to make purchases. But the sheer size of the
online market is staggering. According to Forrester,
by 2016 online sales will breach $327 billion in the
United States and nearly $1 trillion worldwide.
There is a huge amount of expert advice out there
about how retail needs to adapt to survive in this
new age. But here’s the simple truth: brick-andmortar stores can’t compete with the web in terms of
convenience, selection and, often, value. So maybe
they should stop trying.
Retail stores offer something different than their online
counterparts. They need to embrace these differences
and focus on their differentiating benefits (and
experience) to win in the marketplace.
The online market has changed the game forever, but
the fact remains that most shoppers prefer to shop
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(and buy) in an actual store. Further, over half of US
shoppers rate the in-store experience as an extremely
valuable source of information about a brand. And,
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in a world in which shoppers increasingly shop
across multiple channels, they are still most likely
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to make their final purchase in store.
So, while it’s absolutely critical for retailers to
invest in ecommerce platforms, they need to
balance this need with enhancing their in-store
experience. And the most successful brands will
create a seamlessly integrated, complementary
and continuous brand story that lives in multiple
channels—both on and offline.
The brick-and-mortar store offers something
completely unique. It is a place where retailers
can create an effective playhouse for shoppers to
experience a brand’s promise and value.
Here are three tips for harnessing the power of the
in-store experience to differentiate and succeed in
the new retail reality.
Gartner Industry Research, Agenda Overview for Retail, 2013
Jack Morton Worldwide “New Realities 2013” Research
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4. 1. Empower
Staff to
Be Go-To
Experts
The most effective store associates are not
sales people. Instead, they are trusted,
valued storytellers and brand ‘friends.’
They are able to engage with shoppers in
the most authentic and appropriate way.
One standout example: Outdoor retailer REI’s brick-andmortar stores, which have a warm, rustic identity that invites in
shoppers and encourages them to spend time in the space.
Because one of REI’s brand pillars is education, store
associates are not only trained to know a lot about
merchandise, they also have personal experience with the gear
and can therefore genuinely advise shoppers on what works
best based on their needs. Outside of the store, associates
lead REI Outdoor School programs that include instruction
and trial gear to empower consumers to perform their best
at a range of recreational activities. Furthermore, associates
appear in digestible, educational ‘how to’ content featured on
REI’s website.
Store associates still play a significant role in brand
building and the need for one-on-one interaction is a
reason that many consumers choose in-store shopping.
In order for retail stores to effectively stay relevant, they
must empower their staff to share brand stories.
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5. 2. Plug in
Relevant,
Enlightening
Technologies
The border between ‘bricks to
clicks’ is rapidly dissolving and
retail stores must implement
relevant new technologies to
elevate the shopping experience.
Burberry is a true leader in seamless technology
integration. An early advocate for a rich online
presence, the brand has used its digital experience
to enhance its London flagship store. An enormous
screen in the center of the space live-streams runway
shows, RFID sensors on merchandise activate
product-specific videos in nearby visual displays
and sales associates are equipped with iPads to
provide detail on merchandise and order out-ofstock items for delivery to the customer. Burberry
also encourages social media activity through
in-store displays. The more recent Burberry Kisses
campaign, developed in partnership with Google,
allows shoppers to capture their kiss imprint on a
smartphone and send it in a digital love letter.
While it’s easy enough for any retail store to
install WiFi or apply QR codes (which are, let’s
face it, totally over) the most effective retail
stores seamlessly embed technology to enhance
their brand experience.
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6. 3. Curate
a ShopperCentric
Experience
Curated stores put the consumer at
the center and feature a collection of
products and experiences targeted to
their wants and needs.
An early example of curation done well is the Home Depot flagship in
New York City, where square footage is at a premium and shoppers
don’t have a need for a full-blown garden center or lumber aisle.
Revolutionary in 2004, the format offered a range of products, howto events and customer services relevant for an urban lifestyle.
Another example: National Geographic’s London store, which
operates on a philosophy of appealing to a shopper’s sense of
adventure rather than on siloed product categories. The dynamic
space is designed to educate and inspire the shopper through
expertly chosen merchandise from around the world that is organized
by theme. Additionally, the store hosts exhibits and events with artists,
adventurers, scientists and thought leaders, creating a destination for
world travelers (and a natural extension of National Geographic’s
brand promise).
Finally, look at the evolution of the pop-up shop, which attracts
shoppers not based on ‘limited time only,’ but rather on the promise
of a unique experience. STORY is a small space in New York City that
has the melded philosophy of an art gallery, magazine and retail
shop. Every four to eight weeks, STORY completely refreshes the
space around a different theme and/or brand partner.
Curated environments appeal to the shopper’s interests and
preferences because they support ‘lifestyle displays’ that
focus on experiences and passions rather than categories of
products—mirroring the way people live their lives through
resonant experiences, not things.
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7. So… what now?
The ‘arrive, buy and leave’ retail mentality is a thing of
the past and retailers must make the in-store experience
as relevant and appealing as possible to today’s onlineoffline shopper.
Ultimately, in a highly competitive landscape, shoppers
will almost always choose to buy from a trusted name,
with 80% of them more likely to consider a brand if they
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know they will have a great experience.
That’s where the power of the in-store experience comes
in. An empowered staff, relevant technologies and
curated environments can help the brick-and-mortar store
evolve into a compelling, memorable and yes! buyable
brand experience.
Lucy Barnard is an associate strategist at Jack Morton Worldwide.
You can reach her at Lucy_Barnard@jackmorton.com.
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Jack Morton Worldwide’s “Best Experience Brands” Research
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