In August, I spent a week in Chicago where I was the keynote speaker at the IGC Show. I enjoy Chicago as a walk down Michigan Avenue is, for me, a must “do” to see what is happening to retailing in the USA and possible identify global trends.
I had read a lot recently about the demise of retailing in this part of the world as the online retailers continue to take market share.
When looking at the more traditional retail outlets, I can understand, as many looked the same as they did two years ago and I am sure the customer is getting bored with their offer.
The one sector that really shines is the confectionary retailers who are starting to lead retail innovation in this part of the world and have lessons for the rest of us.
It is not only on Michigan Avenue where innovation is appearing, companies such as Lolli & Pops with 38 stores in 17 States are one of the retailers leading the way.
What are the lessons to learn for this sector of retailing?
- Have a clear brand strategy
Lolli & Pops have a business strategy to “Delight People” This is summarized by three key messages that they believe in, Hospitality, Generosity, and Thoughtfulness. In practice, this means the General Manager of the store has the role of Greeter, they are called the “Chief Purveyors” The team members are the “Magic Makers” They have the authority to open any product and share it with the consumer. They believe the act of sharing the product is a great way of getting a human connection. They promote their brand to their fans “one taste at a time”
In my presentations, I talk about “Day Makers” and this is an ideal way of introducing a Day Maker strategy.
2. Have a conversation with your customer via your signage
Fannie May on Michigan Avenue is a wonderful store where they have provided ample “Gathering” space for the customer and communicate and inspire the customer via their signage. I love the simple, by inspiring words they use to communicate with the consumer.
3. Inspire the customer with your merchandising
Dylan’s store, a few blocks away from Fannie May, is a Disneyland for confectionary. Once you enter their store you cannot help but buy. The way the retail theatre has been put together is an excellent example of showing how you are different.
I came away from my walk down Michigan Avenue with the message that “Bricks” retailing is thriving as long as you inspire the customer with the way you get the message out about the product you sell. The same message applies to food retailers, hardware stores, and garden centres. I suggest at present it is the confectionary stores we need to look at for ideas.
John Stanley
john@johnstanley.com.au
