Now, a store within a store concept is nothing new.  In fact, in some ways, we may even be able to consider our earlier look of Victoria’s Secret and Pink to be an example of such.  The idea of having a store within a store is to make sure that each segment of your shopper base feels like they belong.  There is a section of the store that has been tailored specifically for them.  I’m particularly intrigued by the effort put forth by Forever 21.  Forever 21 started a single store carrying women’s clothing, accessories, swimwear, lingerie, and shoes.  It has since expanding into various geographies and into various categories.  Forever 21 owns a variety of retail format, including the original, the accessories only, the one for plus-size, the one for kids, and the one for men.  Now, in its XXI Forever high square footage format, you will find all these stores in one.  It is in these stores where the store within a store concept gets really interesting.

Now, at first glance, you may think you’re looking at pictures taken from two different stores.  Of course, you know that they are simply two “stores” within a single XXI Forever store.  The pictures above shows the 21Men store (also known as Heritage1981) and the For Love21 store for accessories.  Now, as we have learned throughout the week, the devil’s in the details.  And it is no exceptions in this case.  The attention to detail is inspiring.  It goes all the way from the merchandising to the shopping bag.  As a man, wouldn’t you rather carry a more manly gray bag, as opposed to Forever 21’s signature yellow bag?

Inspired by my love for shopping, we’re looking at the place where brands really come to life – retail spaces.  Today, we’re looking at a retail shop that only sells the perfect toy. 

Children are so imaginative, and a good retail space can really tap into this power.  Build-A-Bear is the perfect example of this.  It’s an interactive retail space where kids can make their own customized stuffed animal.  Individual customization is the king of segmentation.  It is the secret to make sure that your product is just absolutely perfect for this shopper.  Founder Maxine Clark credits Build-A-Bear’s success to being able to connect with each consumer with his/her own perfect toy.

The process goes a little like this.  You go in, and you choose an animal.  Then you go record a voice, if you so choose.  Afterwards, you stuff your animal, with a heart.  After you have a fluffy animal, you go around the shop to find the perfect outfit (and these outfits are hung on a bear-shaped hanger.  Now, that’s attention to detail).  Finally, you name your animal and make it a birth certificate. 

Now, this is a real involved process.  So, store associates can play a big part of this experience.  Remember the part where you’re stuffing the animal?  A store associates help with the actual stuffing by working the stuffing machine (I don’t know the official name).  In addition, store associates make each experience special.  In the stuffing process where you insert the animal’s heart, the store associate would ask you to kiss it before putting it into the animal.  Now, what can make this stuffed animal more special than that?   Behind each special experience is an army of special store associates.

I am a girl.  I like shopping.  So, let’s dedicate a few posts to this favorite subject of mine, in the vein of looking at retail spaces.  It is at retail where brands really come to life!  And the first thing about branding is to make sure you’re talking to the right consumers.  This is where I feel like a few retailers really shine. 

Let’s talk about a branding Angel – Victoria’s Secret.  It’s a brand that’s stands for femininity at its finest.  It’s sexy, but not sleazy.  It’s alluring.  It’s everything a woman wants to be.  But, what about those who wants to be a woman, but have not quite grown into it yet.  Victoria’s Secret created Pink for this segment.  It’s cute.  It’s sweet.  It’s age-appropriately feminine. 

To get this branding into retail, Victoria’s Secret created two separate retail spaces.  In some cases, these are actually separate stores.  Often, they are attached storefronts with distinct branding difference.  Victoria’s Secret resembles a fashion boutique with its cream wood paneling, while Pink perhaps resembles a girl’s college bedroom with pink wallpapers. 

Store associates are vital to the Victoria’s Secret brand.  Victoria’s Secret is a store that’s built with the comfort and ease of the shopper in mind, regardless of gender.  If you’ve ever shopped for lingerie, you may realize that sizes are tricky.  That’s why they only have simple displays of lingerie, but store associates are always on-hand to help.  Store associates will help you figure out what sizes are right and pull the appropriate product from inventory.  So, it’s not just the space, it’s also the people.

In this case, the branding comes through as well.  The store associates are dressed professionally in black jacket and pant sets.  However, in cases where Victoria’s Secret and Pink are separate stores and staffed separately, Pink associates are actually dressed in black hoodies and sweat pant sets, which are just more age appropriate.  It is in this level of detail where you know how much thoughts have gone into each Victoria’s Secret retail space.   

I have written before how Kroger Marketplaces are taking on mass merchants. As more mass merchants stock groceries, groceries are staring to stock mass merchant products.

Here is a video taken recently at a Kroger Marketplace. You could see that next to the milk is furniture. This store carries a wide variety of products, most are very economical. I have myself bought a few pieces of home goods from Kroger stores. My area rug costs only $20. I think in the current economy, Kroger Marketplace posts a specific threat. To furnish an entire house / apartment at one time could post a significant financial strain on a family. This is exactly where Kroger could fit in. Along with buying the necessities (e.g. milk), you could easily pick up something for your new / existing home that you’ve been wanting to pick up. Because of the price point, Kroger can actually encourage impulse purchase for home goods. It’s a very different proposition than making a specific trip to a Target.

It doesn’t appear that Kroger is eager to expand this model. It’s being very selective in where to put in a Marketplace store. I look forward to see how this story would continue to evolve.

More from the Food For Thought series.
Related Post: Groceries fighting back!

Retailers can be our biggest enemy (as it’s evident with the current environment of private labels gaining shelf space over brand names). Or, they can be our biggest friend. At the end of the day, our products get sold off their shelves. Therefore, I have always had a healthy fascination toward the retail industry.

The other day, I visited a local Dillion’s, a Kroger store brand, and was amazed at the level of localization. This particular store was not in Texas, or San Diego. It was in Kansas, but in a Latino neighborhood. I thought I stepped into Mexico in the product assortment and the way the store was merchandised. It shows how sophisticated the art of retailing has become. In fact, today’s retailers have very comprehensive and important information about our consumers at each of their stores. This is why joint business planning has increased in importance. Manufacturers have long conducted extensive consumer researches to understand the consumers. Retailers now are empowered with real time information. Together, we can bring to our consumer exactly the product they want at exactly where they’re looking for it.

I am fortunate to live in a testing ground, somewhat, for retailers. It’s a great place to be for someone who’s fascinated about the industry. Therefore, in the next few weeks, I’d like to bring to you what I see on the transformation that had been unfolding in the last few years on groceries.

More from the Food For Thought series.
Related Posts: Groceries Fighting Back

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!

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!

I was as surprised at how much I was surprised.

It just did not look right. Especially amongst all the other brands.

I would have enjoyed seeing the original research that supported this redesign. As I stood at the aisle, I tried to dissect why I could not connect with the packaging. I think it was because the packaging was too aspirational.

First, it moved too far away from the message. Tropicana had always heroed the orange. The move to hero the juice was a far move away from the brand’s image. Also, losing the straw from the orange actually lost a lot of the freshness message. It could have been any juice in that glass that was on the packaging.

Second, it was too pretty. Orange juice is simple. Orange juice is breakfast. Orange juice is family. Orange juice is drank from a simple juice glass, or straight from the box (don’t tell mom). Rarely would I drink it out of fancy juice stemware, if I was at home. And when I saw Trop50, all I could think of was mimosa. That has orange juice, yes, but I certainly don’t drink mimosa because it’s healthy. So while the packaging heroed the juice, it lost the juice at the same time. Ironic.

Third, it was hard to shop. Color-blocking is one of the simplest ways to help consumer identify their product from the line on shelf. The old packaging did this effectively, and the new packaging made it hard for consumers. This was especially true when you consider how the packaging actually sit on the shelf.

But, I am always conscious that sometimes my opinion is just my opinion. It was interesting to realize that it wasn’t, and Pepsi is bringing back the old packaging. In this NY times article, the flop was compared to the New Coke in how it allienated its own core consumers.

Of course, like many, I found the new orange shaped squeeze cap a very neat innovation. Too bad that one good did not overcome the many bad… (But in execution, I don’t think this cap went on every carton, which was unfortunate…) The good news is that they are keeping the cap.

Photo credit:
Shelf set ShopperCulture.com
Trop50 PRnewswire.com

It impresses me even when I knew it was coming.

For example, last month, MTA rolled out a test last month that put digital billboards on the side of buses around Manhattan. These are impressive because they are not only animated, they are targeted. As these buses drive around Manhattan, the ad changes depending on the location and time. So, if you’re on Wall Street just after the market closes, you may see an animated ad for an ice cool Bud. (They assume you may need one after another rough day…)

Today, Bloom, a chain of upscale grocery stores, announced that they will be launching smart shopping carts. So, as you go through the aisle, it can make product recommendations. This is probably about as targeted as advertising get.

As a marketer, I’m very excited about what is the next thing that will impress me.

Source:
http://www.nypost.com/seven/10212008/news/regionalnews/next_stop__digital_ads_134589.htm
http://www.businesswire.com/news/google/20081113006322/en

The economy is in trouble, no doubt about it. And everyone is trying to figure out how to get a share of consumers’ shrinking wallets.

I subscribe to several Smartbrief newsletters (if you don’t, you should.) And one of the top headline is “Kraft Tests Recipe for Selling in a Recession”. (Full article is available with subscription to Advertising Age. Once again, if you’re not currently subscribing, you should.)

The same day, I was emailed an article from New York Times ”Goodbye Seduction, Hello Coupons”.

And of course, last but not least, I’m working on a value proposition campaign at work myself. I’m sure many of you are, one way or another.

So, how do we sell ourselves out of this mess?

Stay true to your brand! If you got it, flaunt it!

If you’re an economy brand – flaunt it! You’re cheap, and there is no better time to be cheap.

If you’re a lux brand – flaunt it! The rich won’t cheapen themselves…

If you’re somewhere in between… well, flaunt what you got.

Consumers bought you for a reason. Take Target for example. Everyone is now worried about them, including Target themselves. However, it’s not like consumers used to shop there BECAUSE it was more expensive than Wal-Mart. They shopped at Target because they enjoyed the shopping experience better, because they enjoyed the selection better. And now is the most important time to remind them. Now is NOT the time for Target to become Wal-Mart. Otherwise, people would just go to Wal-Mart

So, remind consumers why should choose you. Flaunt what you got.

Look at it another way. If you consider yourself to be a fashionista and you can’t afford to shop at the designer stores at the moment, you get creative! You shop vintage. You won’t all of a sudden ditch your “brand” and start shopping at the Gap. So, be creative, but stay true to yourself!

But, this is not a political blog, so I’m not writing another political post. However, what I am going to write about again is how important it is to bring your product to your customers.

During yesterday’s voting, Vote and Vax did just that! This non-profit organization brought flu vaccination to people, and during the perfect time of the year. What a great idea!

Commercially, it appears that marketers are trying harder and harder to improve their relevance, as consumers are making harder and more choices with regards to their wallets.

P&G’s Tide Total Care and Downy Total Care recently had a very interesting campaign, in conjunction with other elements of an integrative marketing campaign that launched the products and touts “50 Washes. Still Beautiful”. They partnered with Ann Taylor. This was to capture the opportunity of women dry cleaning clothes that need not be dry cleaned. So, P&G used this campaign to highlight how the products are made to keep clothes at its best for a long time. While they did not exactly sell detergents at Ann Taylor, they did hand out coupons.

There is great synergy in this campaign. Ann Taylor can encourage more clothing purchases because now the clothes are cheaper to maintain. Tide and Downy were still in front of the consumers. They were not in detergent shopping mode at the mall, but that coupon would probably incent them to purchase Tide on their next grocery trip. But the truth is in the numbers, it’d be interesting to see redemption and sales numbers for these products.

Photo credit: New York Times