Shopper Marketing - May 2018 - 18

18

SPECIAL REPORT

SHOPPER MARKETING MAY 2018

Three examples of ways that stores will survive and thrive include offering shoppers seamless, connected
interactions with products/services (like Verizon, above), giving customers more pleasurable experiences
and reasons to stay in/visit the store (Whole Foods, right), and designing layouts in a way that's more
welcoming and organized based on how their customers think, live and shop (Exchange, below).

Photos by: Mark Steele Photography, Columbus, Ohio

their strategies for how to maximize the physical
store space and engage with shoppers in more sophisticated, relevant and exciting new ways.
"We are overdue for a change in physical retail,
and everyone in the industry needs to be thinking
about what that future looks like," says Tina Manikas, president of FCB/RED. "We all know that the
old models of stores are holding us back. Just ask
a Millennial. They still like physical retail in terms
of touch but they do most of their searching,
buying and information gathering somewhere
else. New and compelling elements are needed
to create successful environments now and into
the future."
Manikas and her colleagues envision a time
when marketers and customers alike view shopping in physical stores as complimentary to online shopping, not as competitive threats to one
another or mutually exclusive activities. And they
have some bold predictions about what stores
will look like in the years to come. (See page 19).
"We believe that physical retail will become a
robust extension of online delivery and subscription buying," says Curt Munk, senior vice president
of strategy at FCB/RED. "Physical stores must tap
into the empathetic technologies for shopping
that we'll all be using in our lives and integrate
them into one holistic experience. You can't abandon the things you do at home when you go into a

store. It must become part of that integrated system because the way we shop is becoming more
and more a part of the way we live."
In the meantime, traditional retail environments
increasingly seem static and unresponsive to
demands for a more satisfying customer experience. That is why major retailers including Kroger,
Starbucks, Walmart and Target are making big
bets on new store formats and designs. Target,
for example, is investing billions of dollars to overhaul more than half of its approximately 1,800
U.S. chain stores. Its prototype store in Houston
has two distinct entrances (one with a Starbucks
and an area with exclusive brands and seasonal
items, and another leading to a food market) as
well as a dedicated curbside grocery pickup area.
Inside features include clearly delineated departments with individual flooring; curved walkways
leading to featured displays at the middle of the
store; lower shelves for easier access; and large
windows to let in more natural light. 
Target's dual entrance format - or a similar
design that addresses different needs or motivations for shopping in any given circumstance
- could be duplicated across many retail sectors, says Mindi Trank, vice president of strategy
at Chute Gerdeman. Rather than cater to different demographic profiles or types of shoppers,
Target's redesign addresses two distinct shopper

need states: speed and inspiration, Trank argues.
"Some shoppers want to get in and out quickly;
others would like to explore and discover," she
says. "It's a smart way of keeping pace, faster
or slower, with a more diverse set of consumer
needs and behaviors."

Staying 'Alive'

For those on the front lines of the changing face
of retail, today's marketplace includes many forward-thinking concepts and ideas. Chute Gerdeman is a proponent of creating a store environment that is fluid, responsive and "alive." It uses
terms like "contextually relevant" to describe how
some retailers - including the ever-changing Story outlet in New York City or the 2,500-squarefoot pop-up store Debut in Minneapolis' Mall of
America - constantly reshuffle their assortment,
layout and interior design to suit the current ethos
of their patrons. Elsewhere, apparel retailers like
Urban Outfitters have successfully employed
mixed-unit, multi-purpose spaces to create diversified offerings that encourage repeat visits.
For Jay Highland, chief creative officer at Chute
Gerdeman, it all comes down to keeping shoppers interested and engaged. "We need to put
the theater back into retail," he says.
One way to do that is to rethink the role of innovation and technology within a retail environ-



Table of Contents for the Digital Edition of Shopper Marketing - May 2018

Contents
Shopper Marketing - May 2018 - Intro
Shopper Marketing - May 2018 - 1
Shopper Marketing - May 2018 - 2
Shopper Marketing - May 2018 - Contents
Shopper Marketing - May 2018 - 4
Shopper Marketing - May 2018 - 5
Shopper Marketing - May 2018 - 6
Shopper Marketing - May 2018 - 7
Shopper Marketing - May 2018 - 8
Shopper Marketing - May 2018 - 9
Shopper Marketing - May 2018 - 10
Shopper Marketing - May 2018 - 11
Shopper Marketing - May 2018 - 12
Shopper Marketing - May 2018 - 13
Shopper Marketing - May 2018 - 14
Shopper Marketing - May 2018 - 15
Shopper Marketing - May 2018 - 16
Shopper Marketing - May 2018 - 17
Shopper Marketing - May 2018 - 18
Shopper Marketing - May 2018 - 19
Shopper Marketing - May 2018 - 20
Shopper Marketing - May 2018 - 21
Shopper Marketing - May 2018 - 22
Shopper Marketing - May 2018 - 23
Shopper Marketing - May 2018 - 24
Shopper Marketing - May 2018 - 25
Shopper Marketing - May 2018 - 26
Shopper Marketing - May 2018 - 27
Shopper Marketing - May 2018 - 28
Shopper Marketing - May 2018 - 29
Shopper Marketing - May 2018 - 30
Shopper Marketing - May 2018 - 31
Shopper Marketing - May 2018 - 32
Shopper Marketing - May 2018 - 33
Shopper Marketing - May 2018 - 34
Shopper Marketing - May 2018 - 35
Shopper Marketing - May 2018 - 36
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