Revitalising retail through great experiences
People have become so accustomed to clicking ‘buy’ to purchase their favourite products, that online purchases accounted for 18.3% of all retail sales in the UK in February 2020 (ONS). That was before the country went into lockdown.
By June, internet sales leapt so much that they accounted for 31.2% of the UK’s shopping. This upward trend – which has increased from 2.5% of all retail sales in December 2006 – may never be reversed.
What does this mean for the future of shops? Do we still need them? If everything can be bought from the comfort of our living rooms, why even bother going to the shops?
Buy something, get a memory free
The fact is that shopping is about far more than just buying new things. Shopping is about discovering new experiences that you never knew you would love and enjoying them with the people who mean the most to you. Trying on a red jumper that doesn’t quite fit – before finding one that’s perfect – wouldn't be anywhere near as fun without a panel review from your mates. Tony Elvin, General Manager of Touchwood Solihull commented, “A successful modern-day shopping centre cannot survive on bricks and mortar alone. It has to be about the experience.”
Shops are aren’t just a fundamental part of our interactions with goods and services. They help us improve our relationships with each other. The challenge that many retailers face is how to sell memorable experiences, as well as just memorable products. Every day Tony sees “coffees with Mum, family cinema trips and parents grabbing a bite to eat with the kids adding that bit of magic to days at the shops.”
Over the last few years, Intu’s Merry Hill has taken a lead on this in the Black Country by spending £10 million on a refurbishment. Walls that change colour and huge screens throughout the shopping centre will create truly immersive experiences for visitors. People won’t just visit Merry Hill to buy great products, they will go to share a piece of the Merry Hill experience with their friends.
But what can smaller brands who don’t have £10 million to spend on refurbishments do to make their stores must-visit locations?
Your space is also your brand
When people think of brands, they often think of adverts, logos and social media pages. While these all contribute to your brand, the physical layout and design of your stores are also vital to the public’s perception of your business. No matter how much space you have, you’ve got a variety of different options when it comes to using your space to clinch sales and drive footfall without spending a fortune.
Spread things out
If you haven’t got much space, don’t cram your shop full of so many different products that your customers don’t know where to look. Focus on products that the data from your digital channels show are popular and give customers the time to really understand the story behind these items.
Hire brilliant staff
Great products have great stories. Businesses need patient, attentive and knowledgeable staff not just to tell those stories, but to tell them in ways that will resonate with individual customers. Long-term relationships of trust and mutual respect developed between your staff and your customers are essential drivers of your business’s growth.
Support your local community
Get involved with local causes that align with your values. If you sell clothes, why not support local training programmes that help young people start careers in fashion? If you sell food, why not donate some to needy causes? Helping your community will persuade even more people to support your business because they will know just how much you care about supporting them.
Don’t waste your walls
Walls don’t have to be covered in block colour paint, or formal wallpaper. Using your walls to educate your visitors about your company’s history, your values and your ambitions will keep them interested while they’re browsing. Interesting walls also help to break down communication barriers and create great opportunities for potential customers to start conversations with your staff.
Shops can be far more than shops
Cafés, gyms, bars, bespoke service stations and even museum-style exhibitions have been added into larger shops around the world in order to drive sales. The key to their success is to immerse customers in your USPs.
If your products are exotic and luxurious; make sure that your coffees are too. If people are using your gym, make sure they’re using your equipment, and offer them the opportunity to try your apparel before they buy. If you build an exhibition, make sure that there’s an opportunity to buy featured and limited edition products at the end of it.
Tony added that as soon as cafés and restaurants could re-open safely at Touchwood, “the atmosphere changed overnight. Back came chinking of coffee cups, the warmth of chat and laughter, and that bit of normal we’ve craved over these past few months.” People came back for amazing experiences. In the few weeks after 15th June when only cappuccino-free non-essential retail could re-open, “it all felt a bit clinical and transactional.”
if you don’t already have amenities like cafés, expanding your space is incredibly difficult under current Coronavirus regulations. However, you can still create amazing experiences through pop-up stalls and vehicles. As life begins to return to normal, people are enjoying socially distanced visits to parks and public spaces. It makes sense to take your shop to the park too.
Don’t wait for people to come to you. Show them why they need your brand in their life and give them an opportunity to buy your great products, without having to leave their favourite leafy tree.
Mix Digital and physical experiences
Digital and physical retail are often depicted as being in competition. However, if you can blend them together seamlessly, you will generate incredible results for your business. If you allow your customers to plan their visits on your app, they’ll be able to find exactly what they want to buy as soon as they arrive if they’re in a hurry and don’t have time to browse your full range.
If they can pre-book lunch in your café online, then their visit will be totally stress-free, giving them time to relax and browse your full range after they’ve finished eating.
Whatever your customers want to do, you can use your website to help them find their favourite products, so that their visit to your shop represents the end of a journey that began online. The final piece of the puzzle is much easier to place if customer data told you exactly where to put it.
Even though so much shopping now happens online, your premises can still be home to special memories and regular purchases if you make the most of your space. For Tony, “The future of retail depends on people and our need to meet, connect and share experiences together. The digital world can enhance our shopping experience and maybe even give us more time to spend with those important to us.
However, digital technology can’t replace the need for humans to gather and interact in physical spaces. Have you ever tried drinking a coffee through a laptop? Don’t try that at home. Retail isn’t dying, it’s evolving.”