For years I have been told that with millennials it’s all about shopping online. It’s true that they do shop online, but that doesn’t mean that they have stopped shopping in bricks-and-mortar stores. In fact I have noticed that buying in bricks-and-mortar store seem to give them a very different emotional shopping experience. Most of the time they come home without having bought anything but still happy after a great time with friends. Sometimes, they come home with a less good feeling as many stores delivers at the best a neutral emotional experience. So how can it be that they still enjoy bricks-and-mortar shopping?

1. Winners will
redesign the
role of their
stores

2. Summary
All
the
digital
prophets
have
been
somewhat
right
about
one
thing:
the
new
technology,
from
smart
phones
to
social
networks,
has
fractured
the
once-­‐
cozy
world
of
retail
and
par>cularly
of
the
physical
store.
But
the
consumer
s>ll
loves
to
touch
and
feel
before
they
buy.
A
study
from
A.T.
Kearney
reports
that
95%
of
all
retail
sales
are
captured
by
retailers
with
a
brick-­‐
and-­‐mortar
presence,
sugges>ng
that
the
social,
physical
and
interac>ve
dynamics
of
the
showroom
s>ll
ins>l
shoppers
with
the
most
confidence
to
buy.
Source: PFSK

3. 2014
2020
Online purchases
In-store purchases
$200b
$4050b
Online
retailing
is
going
to
grow
and
more
than
double,
but
the
rela>ve
level
of
money
spending
in
bricks-­‐and-­‐mortar
stores
is
s>ll
many
mul>ples
of
what
is
spent
online,
even
when
projected
out
to
2020
Source: Timetrade, The state of retail 2015
$550b
$4900b

4. 53%
Have narrowed it down to
2-3 products and need help
making a final decision
60%
Are more likely to buy more
than planned, if they like the
associate helping them
87%
Will
buy
more
than
they
intended
to
when
shopping
in
a
store
Source: Timetrade, The state of retail 2015
The power of In-Store service

5. Consumers are admitting that they prefer
the in-store experience
report they like to ‘touch and feel’ products
before they decide what they want to buy
of 18-34 year olds plan to shop in stores as
often if not more in 2015 as they did in 2014
Source: Timetrade, The state of retail 2015
85%
>90%

6. Stores haven't changed
significantly in 100 years
but customers are changing
rapidly and they have
devices in their pocket that
are extremely powerful

7. Online and offline behaviour are converging
and there’s no reason not to embrace it

8. If not – then
prepare for!!

9. How do you please
the customer who
wants the best of
both worlds?

10. You redesign the retail
experience
“We’re
not
selling
you
anything.
We
want
you
to
feel
differently
when
you
leave
the
store.
People
start
talking
about
Tesla
not
because
we’re
pounding
it
into
them
but
because
they’ve
experienced
it
themselves.
The
goal
is
to
engage
you
in
a
way
that
you’ve
never
experience
in
any
other
store.”
George
Blankenship
Vice
President
of
Sales
&
Ownership
Experience
at
Tesla

11. From
WHAT CAN I BUY
FROM YOU
To
WHAT CAN I ACHIEVE
WITH YOU

12. Attention - customers
can be complex

13. 3
RETAIL
DESIGN
AREAS
KEY

14. DIGICAL
SIGNATURE
COMPLEMENTARY
1 2 3

15. Let’s be inspired by
some great ones

16. 1
A seamless hassle-free
offline/online experience
will be an absolute must
DIGICAL

17. SHOWROOMING
START OFFLINE, FINISH ONLINE
WEBROOMING
START ONLINE, FINISH OFFLINE
+

18. = DIGICAL
SHOPPING

19. Giving customers a notion of online experience
with an engaging, interactive and personable
user experience
DIGICAL SHOPPING
(a mash-up of the words digital and physical)
Digical is a world in which shoppers browse
online first, then go to the store, smartphone
in hand, to buy

20. Understand that digital enhancement isn’t
the answer to change - it’s the enabler!

21. Digical experience case #1
Rebecca Minkoff – like a online shop,
remembering everything you tried on, passed over or
purchased

22. Each piece in the shop is recognized by the dressing room mirrors, so as shoppers try on
items, they can see how to best accessorize a white sweater or perhaps opt for a similar
style. A stylist can be summoned at the press of a button, bringing new sizes, colours or
just a hint of advice.

23. The connected fitting room
Customers check in on arrival, via the "Connected Glass" shopping wall, a large
mirrored interactive display. Once a customer has made their selections, they tap a
button to have their products sent to a dressing room, each of which is also outfitted
with the mirrored touchscreens.
In the fitting room, customers can browse the online catalogue, and will be able to
virtually connect with a stylist through the mirror's touchscreen technology for anything
they need ... whether it's another size or a glass of champagne
The buying journey at Rececca Minkoff:
Through the mobile app, a
customer can check-in to the
store upon arrival which prompts
the customers personal profile to
be carried across the store
channels – helping store
associates provide a more
personal, customized experience
Check-in upon arrival
Browse the connected
shopping wall
A mirrored, physical
manifestation of the Rebecca
Minkoff online experience. You
can select “send to my room” to
initiate a 1:1 styling session. You
can also order your own
beverage directly from the wall, to
help you enjoy the space as you
begin your shopping experience
Connected fitting rooms
The touch screen mirror
automatically recognizes items in
the room, through RFID tagged
products and unique RFID fitting
room technology, identifying
other sizes and colours that are
available in the store. You don’t
have to leave the fitting room to
buy – just pay with credit card or
add items to an online basket for
later purchase
1
2
3

24. Digical experience case #2
HOINTER – A mix of robotics, mobile technology,
hassle-free shopping, all within a bricks-and-mortar
store

25. Jeans are presented hanging from their belt buckle, and there are close to 150 styles to
choose from. No bulky stacks of jeans to sift through here. But you see only one of each style.
When you see a style you like, you pull out your smart phone and launch the Hointer app.

26. An interesting part of this store is that the clothes in your shopping cart arrive in the dressing
room within 30 seconds. A specific dressing room number on the app directs the shopper to
his clothes. If the clothes don’t fit, the shopper can place the clothes in a particular section
and request a different pair on their phone.
The clothes that don’t fit are simultaneously removed from the shoppers’ virtual shopping cart.

27. Create the future of customer experience
INNOVATE
No need to sift through piles of
clothes. Tap on the clothing you
like and your items will be
delivered to your fitting room in
under 30 seconds
DISCOVER
Browse and try on different styles
from premium jeans brands.
Discover what you like and find
the perfect fit fast
SIMPLIFY
Like it? Swipe your credit card
and walk out – no lines, no
hassle. Not the right fit?
Tailoring of purchases with
free, next-day custom alterations
This innovative store format presents a new perspective on integrated retail within a brick and mortar
store.
Hointer’s also tracks real-time shoppers’ activity in the store and permits customers to rate the
apparel on their smartphone. Hointer’s gives brands access to the data on the retailer’s portal. With
this data, brands can see which pair of jeans, shirts, and belts sell well within the beta store.

28. Digical experience case #3
Tesla motors – An orchestrated Retail
experience that reinvent the way cars are sold
Source: Nurun

29. Interactive stations are designed to draw people into the store with visuals and content
that address the most common questions they have about electric vehicles. They’re
intended to move visitors from general interest to real consideration

30. Supporting a complex decision
Customers
spend
a
lot
of
>me
considering
the
purchase
of
an
electric
car.
That’s
why
the
Tesla
configurator
work
in-­‐store,
at
home
and
on
the
go,
providing
con>nuous
support
and
educa>on.
Prospec>ve
buyers
can
create,
modify
and
save
their
car
designs
on
Tesla
store
sta>ons
and
revisit
them
on
PCs
and
tablets—or
vice
versa.
The
experience
is
seamless
across
devices.
Source: Nurun
“Our
technology
is
different,
our
car
is
different,
and,
as
a
result,
our
stores
are
inten>onally
different.”
Elon
Musk
Tesla
Chairman,
Product
Architect
&
CEO

31. Digical enhanced
The missing link in almost
every retailer’s ecosystem
in-store experience

32. The ability to drive foot traffic
or increase cart size through
online initiative has remained
difficult

33. Connected stores
They integrate retail shopping into a
service experience – offering seamless
interactions before they visit the store,
while they’re in-store and post-purchase
removes this blind spot

34. Customers benefit from more
informed choices and
smarter, more personalized
shopping experience

35. 2
Branded experience
signature, unique from
one brand to the next.
Why shoppers choose
one brand over another.
SIGNATURE

36. The unfortunate
reality

37. “The
unfortunate
reality
is
that
the
majority
of
brand
differenBaBons
is
no
more
than
beCer
sameness.
Most
is
just
doing
what
they
have
always
done
–
and
what
preCy
much
all
the
compeBtors
do”
Better
sameness!!

38. What’s the solution?

39. First remember that companies
don’t have customer experiences
– only customers do!!

40. Design signature experiences
that create an emotional
resonance with your customers

41. Experience takes place
in one place and one
place only - in the mind
of the customer

42. Signature brands are
increasingly built by what
others say about them

43. Signature experience case #1
Starbucks – A comfortable, inviting, predictable and highly
social “third place” to go beyond home and office

44. THE UNIQUE CUP
SIZING
Part of the Starbucks concept includes that
customers have the option to choose from a
wide range of beverages, which includes
coffee, available in various unique sup sizes
and flavours.
Customers can order Moccachino, Iced Venti
no-water Americano and Double Tall non-fat
extra hot Cappuccino – and many other
specific coffees.

45. Starbucks staff at the counter are trained to take the orders in a very specific way. The
philosophy behind the processes is that it will be even more accurate and efficient if all
customers can order their coffee the same – standardized – way every time.
Therefore Starbucks tries to “educate” the customers by ensuring that staff repeat the
customers order, so that the customer can hear it. Not the way the customer submitted
the order, but in the “correct” way and in a voice seeking to be “friendly”
The way customers orders a
product

46. Getting the phone juiced
up at Starbucks
Roll-out in major
markets in 2015

47. Starbucks signature
reward program
The Starbucks retail experience seamlessly extends to the
mobile devices that millions of their customers carry with
them every day, offering possibilities like earning free coffee,
listening to Spotify or free digital NY Times news articles and
many more features

48. My Starbucks Idea – a social brainstorming
platform for all things Starbucks
Fans can share and discuss new ideas, read others’ ideas and vote for their
favourites. More than 44,000 new ideas for coffee and espresso drinks; nearly
22,000 food ideas; and over 10,000 new ideas for music and merchandise

49. Starbucks goes to a lot of trouble to train employees to be both
skilled in the culture and happy in their work.
Unlike most companies, Starbucks spends more on training
than advertising. Job satisfaction translates into an emotional
customer connection.
It’s about being!!
Not just doing!!

50. The personal human connection
Personalising your order by writing your name on your Starbucks cup, a small, simple
reminder that someone knows your name.
As a bonus, the process enables the barista to learn the names of regular customers.
That enables an even stronger customer connection when the barista greets her by
name. But wait…what is this?
They spell your name wrong on your cup - why? You’ll post something on social media
about it and that’s free publicity. Without you even noticing it! And the one time that they
spell your name correctly you’ll also post it because a “miracle” happened.
Instagram posts:
Is misspelling a marketing stunt or not? You decide. The fact is that to inspire and
nurture the human spirit – one person, one cup and one neighbourhood at a time is an
important Starbucks signature experience.
Starbucks
15.000.000
McCafe
350.000
Costa Coffee
75.000
Dunkin Donuts
950.000

51. Signature experience case #2
LUSH – All of their products are handmade and
use natural and organic ingredients

52. Appeal to the girl who’s had enough and believe
in what they believe

53. When you walk into a Lush store it’s like walking into a candy
shop – not only visually but also aromatically. You can test
everything in the store - all you need to do it just ask!

54. Products are displayed on wooden tables with minimal to no
packaging. Once you decide to purchase a product, it is cut
and weighed to determine the pricing, then packaged for you
to take home in a simple paper bag

55. Innovative, unique and quirky
LUSH’s
trademark
is
it’s
passion
for
fresh
and
natural
homemade
products
which
has
build
a
high
level
of
trust
among
customers.
It’s
ethical
values
are
highly
visible
and
make
LUSH
stand
out
in
an
industry
saturated
with
brands
that
use
chemicals
and
ingredients
nobody
can
pronounce.
The
thing
that
is
most
unique
with
LUSH’s
products
is
the
fact
that
they
look
like
something
you
can
eat.
Has
a
wide
range
of
colours,
shapes,
sizes
and
smells.
Not
only
are
the
products
themselves
dis>nc>ve
but
so
are
the
names.
Aside
from
the
smell
that
emanates
from
LUSH
stores,
there
are
two
signature
experience
pillars
that
really
encourage
customers
to
shop
there
–
integrity
and
personalisa>on.

56. This is all about getting the customers’ attention
using a small number of high contrast and
differentiated “signature experience elements.”
Signature experience elements catch customers by
surprise, are perceived as a difference in kind
compared to what they expected, and contribute to
the brand story you want the experience to tell.
If you listen to customers talk about the Starbucks
experience, the LUSH experience, etc…, you’ll see
that customers consistently refer to a small set of
experience elements that stand out for them as being
the defining elements of the experience.
While you can spend a lot of time getting lots of
details correct in the experience, having a small set
of signature elements are the kinds of things that
really resonate with and influence customers.
Signature experience
elements

57. 3
Complementary or 3rd
party offerings,
encouraging shoppers to
visit for reasons outside
of products
COMPLEMENTARY

58. If you get the sense that there aren’t
enough customers coming through
your front door

59. It’s time to do something to
increase foot traffic and
walk-in business

60. A rising trend in retail is to set aside space
within the stores to push complementary
services and experiences that go beyond
the core product offerings
Space for relationship and
engaging moments that
customers will return for
again and again
Source: PSFK

61. Complementary experience case #1
Umpqua Bank – A bank that helps it’s
customers to spark creativity and innovation

62. The experience begins outside with signs and info screens drawing people closer. Inside the
front corner is occupied by the Spark centre, where businesses and individuals can connect
and be inspired. They host events from yoga classes to small business events to art
exhibitions and chocolate tastings.

63. An enjoyable banking experience
Umpqua is trying to create stores that neighbourhoods will welcome and people will
want to visit. It attempts to make even the most mundane transaction a treat. Tellers, for
example, hand out a chocolate with each cash withdrawal.
The bank prides itself on doing everything differently. Instead of sending out junk mail
offering consumer loans, Umpqua employees attached small flyers to potted plants and
placed them on doorsteps in the neighbourhood they are targeting.
Their culture brings stores to life and differentiates Umpqua’s customer experience from
the competition. They empower their people to create an extraordinary experience for
customers without having to ask for permission. And in their stores, that means that
people are empowered to program their store with events and activities that will
resonate in their community - It’s not dictated from above.

64. Complementary experience case #2
Urban Outfitters NY– Try on a sweater, sip on a latte
and get your hair styled; all without leaving the store

65. Beside clothes and accessories, the store features a coffee shop, a hair salon,
vinyl records, book store, bike repair station and a Sephora-sized makeup
shop, as well as fun gadgets like a "lensometer" that can scan a customer's
glasses and read their prescription.

66. A new lifestyle destination
Urban Outfitters on Manhattan is another example of the shifting retail environment, in
which bricks-and-mortar stores are looking to reinvent themselves to ramp up their foot
traffic.
Extending beyond the traditional Urban Outfitters format, the Herald Square location
hosts several independently owned and operated companies. Los Angeles-based
Hairroin Salon occupies a portion of the first floor, also hailing from Los Angeles is the
legendary Amoeba Records, which has stocked a curated assortment of over 400
vintage vinyl titles that can only be found in Urban Outfitters Herald Square.
Eyewear company Tortoise & Blonde, who opened a shop-in-shop last year in Urban
Outfitters’ Soho location, also has space in Herald Square. The company will provide
customers with the latest fashions in prescription eyewear, including an exclusive
sunglass collection with Urban Outfitters slated to launch in June.
The coffee bar, Intelligentsia Coffee, has a 900-sq.-ft. space on the ground level of the
store, with its own entrance.
The goal for Urban Outfitters was to have the customers to spend more time, explore
and be engaged.

67. Complementary experience case #3
Lululemon Athletica – Not only do they sell
sportswear, they also offer yoga classes in-store

68. Part of the secret of the store formula is that they don’t just sell product. They provided
community, using yoga as the main hook. Every store holds regular events around its
neighbourhood such as “Run, Yoga, Breathe, Laugh” which showcases local instructors
and actively engages people in the brand. This make the store environment a place to
inspire shoppers, rather than simply a way to buy cool gear.
For
the
yoga
and
fitness
fana>cs
of
London
it’s
the
place
to
go,
not
only
do
they
sell
celebrity
loved
sports-­‐wear,
they
also
offer
complementary
yoga
classes
in-­‐store.
Offering
an
all-­‐round
experience
to
consumers
is
crucial
and
Lululemon
have
gone
the
extra
mile.
Not
only
do
they
encourage
dwell
>me,
they
also
give
consumers
a
purpose
to
visit
their
store.

69. An experience for people to enjoy
Lululemon target people who want to experience a certain lifestyle. Through yoga,
health and a feel good philosophy, the brand is building an experience for people to
enjoy. The success is reflected in everything within the store experience. The people
who work there believe strongly in the lifestyle and what it represents. People can buy
other lines of clothing but Lululemon provides a whole group extension — that we are
all part of Lululemon. That's why they have such a strong following.
Lululemon want every store to be a part of its community from the first day it opens.
They invite their customers to hang out, chat with their educators and learn about local
yoga/fitness studios. Every week, their stores push aside their product fixtures and
open the store up to the community for a complimentary yoga class.

70. We are heading into a
future where retailers
still face challenges

71. Winners will redesign
the role of their stores
as brand statements or
centres of differentiated
experience

72. Innovative retailers will
base their visions on
real customer and
business needs

73. Ensure they have the
capabilities to win,
master experimental
design and be thoughtful
in how they
commercialize

74. Thank
you