According to the New York Times, large national chains are are making major shifts in their business strategies due to the recession. Below is a summary of the strategies mentioned in this interesting article:
Greater personalization and regionalization of merchandise ("My Macy's")
Fewer brands to choose from (Wal Mart, Target, Home Depot)
Stores are more willing to run the risk of selling out of merchandise by carrying less inventory
Seasonal transitions of merchandise will have shorter lead times
More partnerships with prominent designers in order to have exclusive merchandise
Integration of online and in-store shopping
Increased focus on highly attentive, personalized customer service
What is this "blogging" you say? And why is everyone doing it? One of the best ways to attract traffic to your website is to have an online "personality". Why do people shop in your store in the first place? Because they like the look and the vibe, the personality, of the space you have created. What better way to appeal to your online customer than to carry that personality through on your website. Sure, you can have color and graphics that evoke a certain style or sensibility, but it's your daily musings about the things that inspire you that can really hook people in.
Yvonne Roeske, owner of Yvonne Estelle's in Park Ridge, IL posts almost daily on the progress of her garden. The photos and the text evoke the magical moments Yvonne has in her garden when the first magnolias of the season bloom or when she watches the sun set as she sits on her garden bench with a glass of wine in hand. Walk into Yvonne's shop and you'll see that she is inspired by the beauty of flowers and the serenity found in the garden. The arrival of spring and the promise of summer are the most exciting thing in the Chicago area after a grueling winter. When Yvonne checks her website traffic she can see that browsers come back repeatedly to check on the progress of her garden, to see if she has posted any new recipes, and maybe purchase something beautiful for their homes while they're at it!
WHAT IS YOUR INSPIRATION? HOW CAN YOU SHARE IT WITH YOUR CUSTOMERS IN A BLOG?
DO YOU HAVE A BLOG ON YOUR WEBSITE? PLEASE SHARE IN THE COMMENTS!
One side effect of our lagging economy is the empty storefront. Many savvy retailers have dared to think outside the box and find ways to use these spaces to their advantage. What are some advantages you ask? An empty store front can be used temporarily to try out a new retail concept or a new merchandise mix that might not fit in with what you're already doing. It might be a place to have a blow-out sale or a sample sale. A few small companies manufacturing handmade goods might join together to lease a space as a temporary showcase. Or a larger manufacturer might create a buzz around the launch of a new product by previewing it at a pop-up shop.
Many landlords are willing to lease out vacant space on a short term basis because it looks better for them to have tenants, even temporary ones. In the Detroit area Oakland Mall started offering special short-term leasing rates to small start-up businesses. The lower rates allow entrepreneurs to test out new ideas or promote seasonal products without committing to long-term leases.
Target was able to use the space vacated by a museum on Chicago's tony Michigan Avenue to have a temporary downtown location where high rent has prohibited the company from opening a permanent store. The pop-up shop, called "Bullseye Bazaar", lasted for one weekend and had an outdoor market theme (even though it was inside). Simple visuals were used to cheaply and effectively merchandise the space. For example, buckets of fresh produce with handwritten signs and inexpensive pots of mums were dispersed throughout the "shop".
The temporary nature of the pop-up store creates a nice "buzz". Shoppers want to check out the shop before it no longer exists. Target's Bullseye Bazaar maximized the appeal to this curious customer by previewing new merchandise not yet available in their stores. They also showcased products that are normally only available online. Makeup artists were on hand doing makeovers and computer stations were set up to help customers looking for items not available in the pop-up shop.
ARE THERE VACANT RETAIL SPACES NEAR YOU? HOW WOULD YOU USE THEM? IS THERE AN EVENT OR IDEA YOU WOULD LIKE TO TEST OUT? HOW CAN YOU CREATE A BUZZ USING A TEMPORARY SPACE?
Other Great Pop-up Shop Ideas:
A Mother's Day Pop-up Shop in Brooklyn called Thanks, Mom, via PSFK
Save Fashion, a pop-up shop in the NYC Port Authority - a fun sample sale environment meant to support independent designers and re-coup lost sales from last year's 4th quarter, via PSFK
In retail, relationships with your customers are your most valuable currency.Now more than ever it’s important to strengthen these relationships.Shoppers may not be makingmajor purchases right now, but how do you make sure to stay on their radar so they shop with you when they’re ready?Obviously, you want to increase traffic with the goal of moving merchandise as well.How do you do this without offering a discount or sale?Shop*Front spoke with one retailer who planned a series of in-store events to draw customers into her store and provide some added value to shoppers who are watching their pennies.
Interview with PK Mason, Papers Plus – gift and tableware shop and the local source in East Grand Rapids, MI for custom invitations and stationery.
SHOP*FRONT: Tell me some things you’re doing to maintain relationships with customers:
PK, PAPERS PLUS: We are holding a series of events that don’t have a huge focus on selling, but rather educating the customer about how to use the products in our store in their homes. We just had an event called “From Drab to Fab in a Weekend”. The focus was on rearranging what you already own and finding inexpensive ways to change the look of a room. We had a local designer set up vignettes in the store using rugs, bedding, throw pillows and throw blankets. The local Benjamin Moore dealer gave us large paint swatches and the decorator was on hand to help customers match things up. Our rug vendor, Company C, allowed us to offer a free 2x3 or rug pad with the purchase of a rug and free shams with the purchase of a quilt or duvet. All discontinued rugs were also discounted so we could pass the savings along to the customer. We went from selling 1 quilt in a week to selling 4 in 2 days!
SHOP*FRONT: What else do you have planned for the future?
PK, PAPERS PLUS:Our next event will feature a local florist teaching customers how to arrange flowers. We will offer five vases of varying price points from Juliska, a line of beautiful handmade glass and ceramics.The seminar is called “5 Vases, 5 Ways” so customers can learn which shaped vases are more appropriate for which flowers.Again, we’re not pushing a sale as much as we’re trying to engage the customer.The seminar is on the Thursday before Mothers Day and we will pre-sell the flower-filled vases to be picked up on Saturday for Mothers Day. Again, the manufacturer allowed us to offer a beautiful gift with purchase for any customer who buys over a certain dollar amount.We also received free postcards to promote the event and a beautiful vase to use as a raffle prize.
SHOP*FRONT: What is it that makes these types of events successful for you?
PK, PAPERS PLUS: Some of our biggest purchases have been from word of mouth after the event.We do the in-store event on certain days, but the promotion lasts all month.We have something going on that people can come back for.And our costs are limited, mostly to postage. The beautiful postcards we’re able to send give something for people to hang onto throughout the month as a reminder to come back when they have the time.
SHOP*FRONT: Any other words of wisdom?
PK, PAPERS PLUS: I really think that this recession will benefit us.For better or for worse, we now have the time to do all those things we have been meaning to get to and need to learn how to do, like events and using the internet effectively.Also, when money is tight, you have to be more creative.
WHAT IN-STORE EVENTS CAN YOU HOLD TO SHOW CUSTOMERS HOW TO USE YOUR PRODUCTS? Plan something fun and engaging that will add value to their shopping experience.
DO YOUR VENDORS OFFER ANY FREE PROMOTIONAL TOOLS? Take advantage of every resource at your fingertips!
WHAT OTHER BUSINESSES IN YOUR AREA CAN YOU PARTNER WITH TO HOLD AN EVENT?
*Watch for future postings with PK Mason about using email to communicate with customers*
What is going on in the minds of consumers today as they make decisions about how to spend their money? "Do I really need this? Will it last me for a long time? Is this the best quality, best looking, best designed one I can find for the money?" A couple things are starting to happen as shoppers weigh each purchase more heavily. We are moving away from the throw away culture that tells us it is okay to buy cheap things because it is also cheap to replace them when they break. This means less waste in our landfills. Whether it is intentional or a by-product of frugality, consumers are making decisions that are better for the environment. And goods that are built to last can be passed on to future generations.
But it is not just durability that ensures something will become an heirloom. It is the personal meaning, the superior design and the beauty of an object that make it heirloom worthy. WHAT ARE YOU CARRYING IN YOUR STORE THAT IS "HEIRLOOM" QUALITY? How can you engage your customers about this added value when they are shopping for that couch, set of dinnerware, piece of jewelry, or (fill in the blank)? What is the story behind the product you are selling? How is it crafted and by whom? Why will it endure?
Here are a few related articles worthy of checking out:
Heirloom Design, Worldchanging - why "Green" is a Rolex watch and a Monte Blanc pen.
WHY IS THIS EXCITING? This is a special chance to see hand selected, vintage furniture and curiosities from Belgian, French and Argentinian flea markets. Shoppers who arrive early get the first pick before "sold" tags start appearing on all of the most fabulous finds. And the first 150 people through the door get a signature 2009 market tote.
If you're a shopper, you want to be the first person in line at an event like this. You're excited at the prospect of finding something that's one-of-a-kind. And you'll spend money because you've found something special...and if you snooze, you lose. This concept can be effective no matter the size of your store or community. WHAT WOULD YOUR CUSTOMERS LINE UP FOR AT 8:00 IN THE MORNING?
Welcome to Shop*Front- a gathering place for independent retailers. We all know that times are challenging and shopping-as-recreation has come to a halt. However, it's a well known fact that some of the most exciting ideas and innovation have grown from challenging times. This is an opportunity to think outside the box, to challenge conventional methods of promoting your business, and to redefine the role a boutique should play in its community. There is a cultural transition happening as we move through this economic shift and its important to stay ahead of it rather than be left behind.
Shop*Front will regularly highlight creative and innovative things store owners are doing to market and promote their businesses, build their brands and get shoppers into their stores. Come here to find interesting ideas, inspirations and trends. Readers are also invited to use this site as a way to promote their businesses. Consider it a place to advertise your events, promote your website, or share interesting ideas. Are you using social media like facebook to promote your business? Did you just launch a beautiful new website? Do you have your own blog? Are you hosting an all night party at your store with circus performers and live monkeys?!
You might be wondering, "who is this person writing this blog and why should I care?". I am a Sales Representative living and working in Chicago. I work with owners and buyers from some of the top independent retailers in the country representing manufacturers of high-end home furnishings and gifts. I also worked in retail for many years so I have experience on both sides of the counter. Perhaps most importantly, I love beautiful things and I love to shop.
The site will evolve, but initially I plan to post on the following topics:
Events - creative ideas for getting people inside your shop
The Merchandise Mix - cool products and product assortments
Branding - ways to communicate your store's image to the public
Using the Internet - how retailers are tapping into this new frontier
New Trends - new and emerging concepts in retail
Check back on a weekly basis for ideas and inspiration that will help your business thrive!
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