Page 1 - gs140202flipbook

February 24, 2014 • Issue 14:02:02
Retail strategies converge

at merchant threshold

he growing disparity between overall retail
sales and the number of shopper visits to
brick-and-mortar locations is causing many
T merchants to scramble for ways to address
recent slippages in foot traffic. ShopperTrak, a firm that
measures and analyzes such traffic in 50,000 global retail
locations, recently predicted a 2.8 percent increase in first-
quarter 2014 year-over-year retail sales and a 9 percent
decline in shopper traffic.
Shifting shopping patterns and renewed consumer
confidence are shaping this trend, which for savvy
merchants can represent tremendous opportunity. "While
foot traffic will continue to slow due to changing consumer
patterns – with more shoppers purchasing online or
researching products online before heading to stores –
retailers must remember an overwhelming majority of
all retail sales in the U.S. will occur in brick-and-mortar Sense of discovery
stores," said ShopperTrak founder Bill Martin.
In a visceral sense, the battle for consumer dollars has
Statistical data suggests economic resilience persists pitted brick-and-mortar against online retail, but in reality
within the brick-and-mortar culture. Internet analytics one mode can augment the other and thus provide an
firm comsScore Inc. attributed 11 percent of total retail integrated shopping experience without diminishing
spending to online transactions in the fourth quarter of either channel.
2013. Martin believes retailers who deliver a seamless
customer experience both in-store and across all channels According to international retail architect Michael Ellis of
will emerge ahead of the rest. Many industry observers 5+design, brick-and-mortar merchants today are focused
agree. Meeting consumer expectations through channel on enhancing the experiential qualities in retail spaces
melding has accelerated an influx of next-generation and in bringing a variety of venues to retail environments.
technology that can not only entice shoppers, but also The objective is to evoke a sense of discovery and provide
keep them engaged. consumers who shop in stores something special they
wouldn't necessarily get online.

"The pleasure of a really nice store is just what's within
Contributed articles inside by: those four walls, and you kind of want to get immersed
in that," Ellis said. "I think store design is so critical now,
Edward Barton .................................................................................... 36 because you're painting a 360-degree manifestation of
Dale S. Laszig .......................................................................................52 the brand, and that environment says as much about the
Michael Gavin ..................................................................................... 56 brand as the service and everything else."
Aaron Nasseh ...................................................................................... 58
TOC on page 3 Aging malls continue to dominate the U.S. retail landscape,
and many mall operators are repositioning their businesses
to remain competitive. "Some retail centers are putting in
car washes, dry cleaning pickup, all kinds of things to
ensure that their customers can focus on shopping," Ellis
Continued on page 43