Many Retailers Need Better Window Displays

Several months ago, we presented a powerful infographic on window displays.
Today, our valuable infographic post on window displays — which is quite different from the prior one — is from Storetraffic  (a people traffic solution provider).  According to Storetraffic:
“Creating an eye-catching window display has many benefits for your store: it will obviously serve to show off or display the products that you offer; it can give the store a theme and image; it can segment seasons and update the exterior look of the storefront; and it can help to entice shoppers into your store, which is the ultimate aim.”
“While some of these points might be obvious, there are still far too many store owners who are not exploiting the benefits of creating effective and engaging window displays. Store windows the world over are littered with poorly arranged displays with weak lighting and cluttered, unorganized merchandising which continues to work toward missed opportunities and promoting a poor impression of the store. With a little effort and input, these issues can be worked upon. It actually might not require a huge amount of budget but it will require thought and planning to execute it well.”
creating-a-powerful-window-display-in-your-store-1Thanks to Patrick Thuot, a Vice-President of Storetraffic, for providing the infographic.

 

Posted in Part 3: Targeting Customers and Gathering Information, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer | Tagged , , , , , , , , , , | 1 Comment

Discounting NOT Always Good for Department Stores

As we have noted before, department stores such as Macy’s regularly offer discounted prices on many items. This may draw some added traffic and revenues, but does this increase profitability and draw profitable customers — and really help the department stores?
According to a recent RetailWire article by George Anderson, the answer is a resounding NO:
“Have sales promotions become a [“danger”] for department stores? Allen Questrom, the former CEO of J.C. Penney, thinks they have and said so in an interview on the CNBC show ‘Squawk Box.’ Mr. Questrom, who was credited with turning Penney around in the early 2000s, said department stores have fallen back on sales promotions whenever business begins to slow. ‘Sale[s] cannot be the only driver, it has to be a part of it. But product, presentation, excitement in the stores, the salespeople in terms of servicing the customer’ all need to be part of the value proposition for department stores to succeed.”
“He pointed to Zara and Uniqlo as two clothing chains that have learned how to drive business without relying primarily on sales to attract shoppers, primarily Millennials, to stores. Department stores need to understand that Millennials, unlike their Baby Boomer parents, search for ‘inspiration, not aspiration’ when they shop, he said.”
“Research by NPD Group, released in July, found that two-thirds of consumers who shop for clothes do so at off-price stores. While consumers 45+ make up more than half of shoppers in off-price locations, Millennials are increasingly attracted to these shops. People between the ages of 25 and 34 represent 16 percent of shoppers in off-price outlets and their numbers are growing. Many department stores have opened their own off-price stores in response, but those moves have not directly benefited their full-price businesses.”
Click the image to read more.

Photo: RetailWire

Photo: RetailWire


 

Posted in Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 3: Targeting Customers and Gathering Information, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer, Part 8: Putting It All Together, Strategy Mix | Tagged , , , , , , , , , | 1 Comment

A New UPS Report: Complexities of Online Retailing

 

On a regular basis, shipping giant UPS publishes reports on the UPS Pulse of the Online Shopper.”
Its 2016 report deals with the tech-savvy shoppers who are transforming the retail landscape:
“While E-commerce offers new, unparalleled opportunities for accelerated growth, most retailers also are facing unprecedented challenges, and their very survival is in question. They must keep pace with ever-evolving technology and customer expectations. And omnichannel retailers are being pushed by shoppers to deliver a compelling, seamless experience across all channels. The lines of distinction between brick-and-mortar and digital experiences are forever blurred.”
“Excellence across all channels is considered table stakes, and organizations are struggling with how best to accomplish these objectives while remaining profitable. With change at a rampant pace, there is no longer a universal set of answers for how a retailer sets priorities and thrives. However, this much is clear: It is more essential than ever to understand the actions and motivations of today’s increasingly savvy, tech-driven shopper. That is exactly what this study offers — insights on today’s well-connected, in-control shopper.”
“Retailers of all sizes are experiencing tensions within their organization about prioritizing the changes needed to remain competitive. The insights offered here are designed to help them determine the best path forward as they navigate the intricacies of a market that’s never been more challenging.”
Click the image to access the full UPS 2016 report.

ups
 

Posted in Online Retailing, Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 3: Targeting Customers and Gathering Information, Part 5: Managing a Retail Business, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer, Part 8: Putting It All Together, Social Media and Retailing, Strategy Mix, Technology in Retailing | Tagged , , , , , , , , , , , | 1 Comment

What’s on Your Shopping List? Part 2

Yesterday’s post focused on the popularity of gift cards during the holiday season. Today, we take a broader look at what shoppers will be buying this year.
As Ana Serafin Smith reports for the National Retail Federation:
“With shoppers eager to take advantage of early promotions from retailers, more than half of consumers have already started making dents in their holiday gift lists, according to the annual mid-season survey released by the National Retail Federation and Prosper Insights & Analytics.”
“NRF President and CEO Matthew Shay said: ‘This time of year is about finding the right gifts while staying on budget. For those looking for anything from toys to apparel at retailers large and small, in-store or online, retailers are ready with great merchandise at affordable prices.’”

 
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Posted in Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 3: Targeting Customers and Gathering Information, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer, Strategy Mix | Tagged , , , , , , , | 1 Comment

What’s on Your Shopping List? Part 1

Today’s post focuses on the popularity of gift cards during the holiday season. These cards are easy to purchase and enable the recipients to buy what what most interests them — while also being somewhat impersonal.
Based on the recent survey by the National Retail Federation and Prosper Insights & Analytics, these gift card findings are clear:
“Holiday shoppers are planning to purchase an average of three gift cards with an approximate value of $46 per card, the second most-popular gift after clothing. Spending on gift cards is expected to reach $27.5 billion, up from last year’s planned $26 billion. The most popular types of gift cards include those from restaurants (35 percent of buyers), department stores (33 percent), Visa/MasterCard/American Express (22 percent), coffee shops (21 percent) and entertainment (17 percent).”

 
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Posted in Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 3: Targeting Customers and Gathering Information, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer, Strategy Mix | Tagged , , , , , , , | 2 Comments

A New Infographic About Online Retail Growth

As we know, online retailing is continuing to grow, while store-based retailing is rather stagnant.
Here’s an interesting new infographic about online retailing by Robert Memery, Operations Manager at 2Flow (an outsourcing logistics solutions firm).

the-growth-of-online-retail
 

Posted in Online Retailing, Part 1: Overview/Planning, Part 2: Ownership, Strategy Mix, Online, Nontraditional, Part 3: Targeting Customers and Gathering Information, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer | Tagged , , , , , , , , , , | 1 Comment

Knowledgeable Holiday Shoppers Are Smart Shoppers

Yes, Black Friday WEEK is finally here — after weeks of being bombarded by holiday shopping ads. This post has two goals: (1) To alert you to the possible deceptions this week and (2) to again present our THIRTY-FIVE holiday shopping tips.

Our first topic is this: Is Black Friday week really a good time to shop? Are there bargains that won’t be available after Friday? Let’s turn to Brian Chen, writing for the New York Times (1, 2), for an assessment of Black Friday deals:

“The overwhelming majority of Black Friday deals are duds. Retailers’ sales promotions begin weeks before Thanksgiving, with a smattering of modest deals that eventually build up to the shopping bonanza that is Black Friday. That is followed by Cyber Monday, a so-called online shopping extravaganza after Thanksgiving weekend.”

“It has become fashionable for online retailers to build up anticipation for Black Friday with so-called flash deals. These last only a few hours, putting pressure on consumers to buy with little or no research. Yet, however you shop, chances of snatching a great deal for a quality item are slim, because Black Friday is mainly for retailers to clear out unwanted goods and best-sellers rarely drop much in price.”

“Year round, The Wirecutter tracks prices across the Web to unearth true deals on high-quality items. Less than 1 percent of the tens of thousands of Black Friday deals online last year were good deals — that is, discounts on high-quality, well-reviewed, and durable products. This year, the situation is likely to be the same.

“A quick search on Camel Camel Camel, which looks up price histories on Amazon, [can be quite enlightening]. Some mediocre deals can be tricky to catch. Toward the end of October, Amazon listed a deal for its Kindle Paperwhite E-reader for $100. This may seem like a good deal because the retail price is $120. But at the beginning of October, the Paperwhite was discounted to $90 — a price drop that Camel Camel Camel could not detect because the discount was applied at the end of the checkout.”

Take a look at the following New York Times video for further insights.

 

Our second topic is this: How can you be a better shopper for the 2016 holiday season? Here are 35 tips (originally posted two weeks ago).

2016-shopping-tips
 

Posted in Part 3: Targeting Customers and Gathering Information, Part 5: Managing a Retail Business, Part 6: Merchandise Management and Pricing, Part 7: Communicating with the Customer, Strategy Mix | Tagged , , , , , , , , , , , , , , , , | Leave a comment