Archive for the Category »Retail «

13
Jul
Store within a store
Jeannie Chan

I’ve noticed that recently there is more retailers setting up specialized stores within their stores. These specialized inner stores have their own entirely different personalities aimed to attract different sets of consumers.

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Recently, I believe I was at Macy’s. The “ThISit” store not only has different selections, different displays, different color schemes… it even plays different music.

I wonder at the end of the day what this means. I believe it’s all in the shopping experience. If my specific brands are in a specifically designated area, it makes it easier for me to find. It’s like shopping at a boutique, but knowing that I have the resources of the big store backing this boutique. It may mean easier returns. It may mean lower prices. It may mean convenience. It is really the best of the two worlds!

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Now, as a brand, if you could get into these specialized stores where the retailer is trying to build a loyal following… you’re improving your relationship with the retailer as a business partner helping to grow each other’s mutual business!

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Category: Retail  Tags:  Leave a Comment
25
Jun
The golden triangle
Jeannie Chan

Today I visited a retailer’s concept store. It’s really cool to get a sneak peak of what is may be the future.

But this really puts in focus the real trick to success…

Alignment.

Manufacturers and retailers really need to work together in order for these to work. If a manufacturer can have the latest and greatest widgets, but the retailer lacks the vision to bring that to life, all is lost. Likewise, the retailer can be on the cutting edge of a trend, but unless you have the product to support it, the trend would never amount to much in sales.

Finally, alignment with the consumers.

The consumers at the end of the day dictate all. What they want is the only thing that matters. Their vision of what they expect to find in a store is the only vision that matters.

Now, both manufacturers and retailers have insights on this. Sometimes they are the same, sometimes they differ slightly. If they are the same, perfect. If they differ, perhaps they need to consider the relationship fit. Perhaps the two are just playing to different strengths and answering to different consumer needs.

At the end of the day, they all must come together and find that golden triangle where the manufacturer wins, the retailer wins, and ultimately the consumer win.

PHOTO CREDIT: Kid In Aisle, originally uploaded by captscurvy.

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Category: Random Thoughts, Retail, Strategy / Tactics  Leave a Comment
02
Jun
Invest into being Loyal
Jeannie Chan

Recently at work, the question of what exactly is a “loyalty card” came up. Because in truth, loyalty cards are really just discount cards. I for example, have one from multiple grocery stores, multiple book stores, etc. Having a loyalty card from retailer A doesn’t mean I’ll be loyal to retailer A, because I probably have one from the competing retailer B as well.

People use the loyalty cards for the instant discounts. And every time you check out, the cashier ask “if you’d like to sign up, it’s super easy.” There is no investment, financially or mentally, into this loyalty program. So, in return, there is no loyalty.

But a recent conversation with a friend reminded that there are loyalty programs that work. Airlines.

What’s the difference? Well, an airline loyalty program is everything a retail loyalty program is not.

1. Airline loyalty program is not about easy and convenient. Have you every booked a reward travel? You have to jump through hoops!
2. It’s not instant. Hoops aside, you have to save up these points! It’s not quick or easy. And once you’ve accumulated a certain number of points, you feel invested into the program. That’s why ultimately drives loyalty.

So, the moral of the story: While the payoff is important, it’s the motivation to join a loyalty program. However, like everything else, the success of a loyalty program depends on how much you actually involve the consumers in the process. Make them invest into your brand one way or another! Then, they’ll be loyal to your brand. Otherwise, it’s just another card in the wallet.

Photo credit:DSCF5589, originally uploaded by joelogon.

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Category: Promotion, Retail, Strategy / Tactics  Tags:  Leave a Comment
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